Maximizing ROI with CRM, banking and accounting automation
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Synopsis
In today's fast-paced business world, efficient financial processes are crucial. Businesses dealing with manual data entry, labor-intensive transaction management, and the risk of human errors encounter significant challenges. This white paper explores the impact of manual workflows, highlights the proven benefits of automation, and promotes its potential to revolutionize efficiency and success for businesses of all sizes.
In every industry, the financial ecosystem revolves around 3 core components: CRM, Accounting Systems, and Banking Systems. Unfortunately, these systems often operate independently, requiring manual intervention to bridge the gaps. While some setups integrate accounting with inbound banking transactions, outbound transactions are typically overlooked. Moreover, CRM systems frequently lack direct integration with banking operations. This disjointed approach results in a lack of unified connectivity across all three systems, hindering seamless financial management and operational efficiency.
The challenges posed by disintegrated CRM, Accounting and Banking processes
Disintegrated CRM, accounting, and banking operations can lead to several disadvantages, including mentioned in the below table. Overall based on a detailed client study conducted by REDA it is found that disintegrated CRM, accounting and banking operations may cost business $3.25 per transaction (inbound and outbound). This cost may increase exponentially for a complex business setup managing multiple companies and bank accounts.
Possible solutions approaches to mitigate these challenges
There are three types of solutions available to address these challenges. The first two typical solutions involve integrating your CRM and accounting system directly with the banking solution, and integrating with payment processors. However, these solutions come with their own limitations, which we have mentioned below.Additionally, we will explore the ideal solution to effectively tackle these challenges.
Integration with banking System : Integrating CRM and Accounting systems directly with banking systems canfacilitate oversight of both inbound and outbound transactions. However, it comes with significant drawbacks:
High Costs: Implementing and maintaining such integrations can be financially burdensome for companies.
Banking Dependency: Relying solely on one bank limits flexibility. Switching banks becomes a complex andchallenging process.
Multiple Bank Accounts: Companies managing multiple bank accounts face the additional hurdle of needing to integrate their systems separately with each bank, increasing complexity and resource allocation.
Integration with payment processors: : There are numerous payment processors offering a wide range offinancial services. However, they come with certain limitations:
Dual Processor Requirement: Companies often need separate processors for inbound and outboundtransactions, which complicates operations and increases management overhead.
Limited Customization: Customization options are typically constrained, restricting flexibility in adaptingpayment processing to specific business needs.
Cost and Efficiency Concerns: Utilizing two different processors can lead to higher costs and reducedoperational efficiency due to the need for dual system management and integration
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Ideal solution approach to mitigate these challenges
The ideal approach to tackle these challenges is to centralize control within your CRM, automating interactions with banking and accounting systems, thereby creating a comprehensive banking solution integrated seamlessly with your Salesforce CRM. This is where REDA plays a crucial role.
REDA Pay is a comprehensive banking solution integrated with Salesforce CRM. With robust integration capabilities, it serves as a unified automation tool that seamlessly connects CRM, banking systems, and accounting systems. Let's delve into how it sets itself apart from other solutions
Manages multiple bank accounts efficiently.
Manages multiple companies on a single platform.
Provides real-time insights into financial operations.
Flexible, automated funds routing for enhanced financial agility.
24-hour payment settlement, optimizing cash flow management.
Seamlessly integrates with both Salesforce-native and non-native accounting systems.
Transform banking and accounting with seamlessly integrated CRM workflows and manage unlimited transactions effortlessly.
Only application which processes both inbound and outbound payments, offering comprehensive transaction management.
These features collectively position REDA Pay as a versatile and efficient solution for modern financial management needs.
A complete banking solution and its benefits
Having already explored the ideal solution to address these financial challenges, we will now delve into the specific benefits and outcomes this solution can bring to our business. Through an in-depth study, we have gained a thorough understanding of its implications. Let's proceed to discuss these details in depth.
Imagine a real estate company handling 100 transactions daily, encompassing both inbound and outbound payments such as rent, loan repayments, earnest money deposits, and vendor payments. With multiple bank accounts and inter-company transactions across sister companies, manual management becomes increasingly challenging.
Inbound transactions involve funds arriving via payment processors into bank accounts, followed by manual entry into the accounting system. This dual-system access poses risks to data and financial security. Conversely, outbound transactions require invoice entry into the accounting system before processing payments through the banking system.
This scenario highlights extensive manual labor and inherent risks to data and financial security, underscoring the need for streamlined automation solutions.
Cost calculation without automation
In this company where Banking and Accounting systems are not linked with each other, a dedicated team meticulously processes an average of 100 transactions daily. With each entry entailing 3 minutes for manual data input, the company expends a staggering 300 minutes, equivalent to 5 hours, on manual data entry each day.
Estimated minimum time per transaction: 3 minutes (time to book the accounting transaction in case ofinbound payment + logging in bank app to initiate outbound payment)
Number of transactions per day: 100 (inbound + outbound payments)
Estimated time spent on manual data entry per day: 3 minutes/transaction x 100 transactions/day = 300 minutes/day
Estimated total time spent on manual data entry per year (300 working days): 300 minutes/day x 300 days/year = 90,000 minutes/year or 1500 hours/year
Estimated total man hours for monthly bank statement reconciliations: 12 hours/month or 144 hours per year
Annual cost of manual banking operations (300 working days): 1,644 hours x $60/hour = $98,640 (assuming net cost per man hour at $60)
Estimated cost of delays, human errors and accounting mistakes: $50,000/year
Net total estimated cost overhead: $148,640
Cost savings with automation
This company utilizes REDA Pay to seamlessly integrate its Salesforce CRM system with banking and accounting systems, effectively automating all financial operations
Estimated monthly cost of REDA Pay's banking automation services: $2,000/month
Annual cost of REDA Pay's banking automation services: $2,000 x 12 months = $24,000/year
Annual savings with REDA Pay: $148,640 - $24,000 = $124,640
Return on investment (ROI): $124,640 / $24,000 = 500% (approx)
+1600
$100K+
+500%
Consider not only small businesses but also large enterprises with significant transaction volumes. In such cases, the amount of manual work increases substantially, raising the risks of errors and security vulnerabilities. The sheer volume of transactions requires a strong emphasis on operational efficiency and accuracy to minimize risks and maintain seamless financial operations.
REDA Pay: Not an option but need of industries
REDA Pay is versatile and suited for businesses of all sizes and industries. Its unparalleled customizationcapabilities can effectively structure and streamline company finances.
SMEs
Monthly transactions less than500
Less ROI
Automate processes to minimize errors and boost efficiency, thereby creating greater scalability opportunities.
Mid-size companies
Monthly transactions 500 to 5000
ROI up to 500%
Save money for growth investments and eliminate mundane tasks to achieve higher productivity.
Large companies
Monthly transactions 5000+
ROI more than 500%
Improves savings significantly while offering enhanced control for ensuring data and financial security, and enhances customer experience through branded payment links and portals.
Embrace Automation with REDA Pay for a brighter future
In today's dynamic business landscape, efficiency and data-driven decision-making are paramount. REDA Pay emerges as your unwavering partner, guiding you towards unparalleled financial prosperity.
Through seamless integration and automation, REDA Pay liberates your team from tedious tasks, minimizes errors, and unlocks valuable time for strategic initiatives.
Real-time financial insights empower you to make informed decisions, optimize resource allocation, and seize growth opportunities with confidence.
Unparalleled security and compliance safeguard your sensitive data, ensuring peace of mind and unwavering protection.
These features collectively position REDA Pay as a versatile and efficient solution for modern financial management needs.
Banking and accounting {automation} for Salesforce
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