Expense management software like Divvy can reduce the administrative burden of expense reporting and free up your team’s time to be more productive.
Tech companies have dozens of critical concerns, from hiring and retaining talent to making sure products and projects meet their deadlines. Administrative tasks are often put on the back burner from the idea that scarce time and resources should be focused on the core business; expense management software is a way to make financial administrative tasks easier.
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The benefits of using expense management software
With growing businesses, expense management can consist of a shared spreadsheet and a half-baked approval and reimbursement process. This provides a limited overview; Also, unless someone is diligently collecting and aggregating expenses, your company probably doesn’t have a good handle on which departments spend what. And your organization can be inundated with recurring payments for everything from software licenses to office services that are no longer used or duplicates. In short, this administrative work is likely to lead to limited insight.
What is expense management software?
Expense management software addresses these challenges by integrating payment cards, employee tools, and reporting and management into one platform. These expense management tools were usually the domain of larger companies that could negotiate deals with credit card companies and buy expensive software. More recently, companies such as Divvy (Image A) have made expense management tools available to smaller businesses; and at Divvy in particular, the tech-forward approach is a great fit for growing technology companies.
Image A
Using Divvy Expense Management Software
Your company can start using Divvy with a streamlined credit application that grants credit to the company as a whole, reducing the burden on individual employees. Then your administrator can set up employees and give them personal credit limits associated with a corporate credit card that Divvy provides.
Rather than being surprised by excessive spending weeks later, any charge appears in Divvy immediately and charges are declined once an employee exceeds their limit.
Divvy’s app makes expense management easy
In the Divvy mobile app, employees and administrators can immediately view transactions; Additionally, expense reporting is simplified because employees can categorize transactions individually and capture receipts without special reports or manual entry. In addition, employees can immediately request an increase in their credit limit, so that an emergency expense can be approved as quickly as possible.
Divvy offers next-level budgeting
Divvy has robust budgeting features. Your admins can create budgets for a variety of items, ranging from a marketing campaign to travel for a conference. Budgets can have one or more owners who manage the funds and multiple employees who can receive budget allocations. These allocations appear on the employee’s credit card and expenses on the card can be allocated to the allocated budget. As with any other write-off, anything above the allotted budget will be declined, although individuals can request permission for exceptions.
A budget view shows all budgets associated with your company (Figure B), and a simple chart shows the budget amount, what has been allocated and what has been spent. Budgets can be discreet or recurring monthly.
Figure B
Divvy allows users to set disposable credit card numbers
Another Divvy feature that’s especially useful for technology companies is the ability to set up “disposable” card numbers that can be assigned to recurring charges. Most tech companies are inundated with software hosting costs, subscription services, and other recurring costs; Divvy users can create a unique credit card number for these subscriptions, with a monthly maximum that cannot be exceeded. These disposable credit card numbers can be quickly canceled if a subscription is no longer used.
How much does Divvy cost?
Divvy’s core tools, payment cards, and budgeting capabilities are free to the subscriber, as the company monetizes the swipe fees associated with credit card transactions. Divvy offers additional options ranging from bill payments to rewards.
Save time and be more productive using Divvy
Expense management may not be at the top of your list of important initiatives, but it’s worth exploring as it offers the opportunity to free up administrative time that can be applied where it matters most. For time-constrained technology companies on a budget, perhaps the greatest reward of using such software is the time saved from avoiding manual expense reports, delayed refunds, and questions about excessive spending identified long after the costs were incurred.
Divvy’s web- and mobile-centric approach to these tasks feels modern, accessible, and should be more familiar to technical staff than spreadsheets and approval forms.
