Your accounting process may be more difficult than it needs to be. While many people still enter credit card information and process payments manually, cloud-based servers are being used more frequently today to help store sensitive credit card data more securely.
By 2018, it is expected that 30% of workloads will be done in the cloud, which keeps credit card data more secure than locally installed accounting software. By integrating accounting software with cloud-based solutions, merchants can increase security and boost efficiency for their business.
Small Business Digested reported that 91% of small to medium business owners with integrated payment systems reduced back-office expenses by at least 21%.
Here are 5 accounting problems that can hinder productivity for your business, along with solutions for more productive results:
Problem: Poor security
Solution: Use cloud-based software
Only 39% of merchants use cloud-based accounting software.
Customers trust businesses with sensitive credit card information. In order to avoid fraud, it’s important to store this data in a secure vault. However, many businesses fall short in this department. Some merchants put data at risk by keeping sensitive credit card information in risky locationssuch as spreadsheets, on printed paper, or on post-it notes.
Instead, data should be stored in a secure, cloud-based vault.
By finding a virtual payment gateway that offers cloud-based solutions, merchants can gain enhanced data security levels for sensitive information. Many virtual payment gateways use a process called tokenization to ensure that customer data is not seen by unwanted eyes, and stores this data on a secure, PCI-compliant server.
Problem: Lack of efficiency
Solution: Integrate your software
Less than 50% of merchants are currently integrated into their software.
The accounting process can be extremely tedious. In order to process payments, merchants must go through a multistep process. First, a merchant must log into a physical terminal and manually enter credit card information, including card number, expiration date, billing address and shipping address. Then, they must create an invoice, write a purchase order, and process a transaction. After an approval code is received, they must go back into their accounting system and create a cash receipt. This entire process steals company time. An integration can streamline this process and save businesses valuable time and money.
By integrating into accounting software, merchants can accept credit card payments directly within their accounting software, and credit card information can be updated with the click of a button. In addition, payments can be automatically posted with invoices and emailed to customers for immediate payment.
Solution: Stay up to date with security requirements
61% of merchants are not PCI compliant.
In order to process credit card payments, businesses must be PCI compliant. PCI compliance is a set of security standards that protects credit card information. Non-compliance can result in heavy business fines of up to $100,000 per month, and puts sensitive data at a much higher risk of fraud.
To ensure your business maintains PCI compliance and steers away from accounting problems, find a payment gateway that meets all of the PCI compliant specifications. In order to become PCI compliant, merchants must complete a yearly self-assessment questionnaire and pass a quarterly PCI security scan. A payment gateway can help your business meet these required security measures.
Problem: Challenging software
Solution: Update your software
27% of businesses still use an accounting software that is more than 11 years old.
Outdated software not only makes accounting more difficult, it also puts security at risk. Are you still manually entering credit card information into your accounting software? Do you use several systems to complete your accounting needs? Many companies use older software and firmware that don’t offer the same protection as the most current versions.
Updating to the most current software ensures that your sensitive credit card information is being protected at the highest security level possible. Integrations allow for enhanced speed and productivity while reducing the risk of accounting errors that can occur with outdated software.
Problem: Lack of features
Solution: Feature rich payment gateway
Traditional accounting software may offer few features at an expensive price, and many require you to update to the latest version in order to gain full functionality. In addition, many softwares don’t offer the reporting tools and security features that some payment gateways can provide.
A feature rich payment gateway that integrates to your software can provide a host of features that make credit card processing faster and more efficient. With a payment gateway, you can securely store sensitive data, access unlimited transaction history, create customizable reports, and reduce processing costs.
Accounting problems don’t have to rule your business. Using cloud-based software helps store sensitive credit card location in a safe place, and an integrated payment solution can help maximize security and increase efficiency for your business.