Introduction
Based on our experience, this is the current situation.
Maintaining accurate documentation is vital for companies today. It is often required to be kept by government requirements and is often needed to help you make decisions.
What is Documentation Management?
Document management refers to generating, archiving, and accessing files about a company's activities. Such documents include, among other things, bills, receipts, financial institution statements, salary reports, and tax returns.
Why is Document Management Essential?
There are several justifications for why exact document administration is crucial for firms. Some of the primary motives include:
Improved accuracy
Organisations can track transactions and record data to ensure their financial information is precise and reliable. This helps prevent errors and miscalculations.
Compliance with government regulations
Many governmental regulations demand that you keep detailed and updated accounts for some time. For example, the Australian Taxation Bureau requires you to keep financial records for at least five years from when the documents are lodged.
Saving time and money
Organisations can spare time and cash in various ways by keeping detailed accounts. For example, one of my clients found that they had accidentally overpaid a supplier by over $100,000. It was only discovered after a detailed study of the books.
Aiding decision making
Accurate account keeping can assist you in making decisions by giving you the information required.
Protecting the business from fraud
Maintaining adequate records can safeguard businesses against fraud. It makes it much easier to track stolen funds or goods. Several of our clients have had to use such information in court for dishonest staff members.
How you can keep proper records:
Manual
Filing cabinets and often is the best solution. The best evidence to back up your claims is the original documentation. The big problem here is that storing takes up a lot of time and often space, and searching for the required information usually takes time and effort.
Digital
Use and store your computer backups.
The big plus is that point-of-sale (POS) systems add extra information, e.g. customer details, item descriptions, and transaction records, into their records. This means they can serve as an information repository, storing essential pieces of data in one easy-to-find location. So you locate the information required quickly. It can also give you information in many forms. This makes it an effective mode of holding your records. Whether the relevant authority will accept your digital evidence is not guaranteed.
Since our POS System has an excellent CRM and a search functionality, you have a document management tool free.
How Long Should Businesses Keep Records?
The time you should keep documents varies depending on the government agency requirements and the courts. These are only general guidelines, and some court matters have no time limit. As a general rule, most businesses use five years after the close of the fiscal year.
Conclusion
Point Of Sale Systems can help your businesses to look after your records accurately and efficiently. This help saves time and money while complying with government regulations and allow for better decisions.
Executive Summary
-Proper documentation management is essential
-Document management involves generating, archiving, and accessing files about a company's activities.
-Manual takes more work, and it can be challenging to find the records required.
-Digital is easier to search.
-The duration businesses must keep specific documents varies based on government agencies and court requirements, but as a rule, most people use five years.
