Adapting to digital solutions is vital in a startup’s success and survival. For both old and new businesses alike, failure to get accustomed to the changes may cause them to get left behind, increasing the risk of extinction.
But the cost of fully converting your business processes digitally may come at a hefty price tag, which may be an extravagant expense for most entrepreneurs and startup founders. The good news is that business owners can adopt various digital strategies one step at a time instead of going completely digital all at once. This way, it won’t break the bank and everyone in the team will have sufficient time to adjust to the various changes.
How can digitising benefit your business?
To give you a better understanding of how digital transformation can do wonders for your startup, here are some clear-cut benefits that can provide you with more clarity:
- Reduced operational costs: According to McKinsey, digitising information-intensive processes such as information management and data analytics can cut operational costs by up to 90%.
- Enhanced productivity: With more streamlined workflows, alignment is facilitated and practised among all employees across different departments.
- Minimal manual data errors: In comparison to manual data entry, the accuracy of automated methods allows for increased accuracy and lower risks of human error.
- Increased avenues for customer engagement: Through website hosting and mobile support services, customers can easily reach out to companies without the hassle. Taking your operations online can also expand your geographical reach and target audiences from across the region, increasing brand awareness.
- Strengthened brand perception: Digitisation also gives startups a competitive edge in both the local and global marketplace. Establishing your online presence with a modern and updated website acts as an excellent marketing tool and increases your credibility among customers and potential stakeholders.
4 areas to start your digital business transformation
Now that you know how it can benefit your business, here are five areas where digitisation can be applied seamlessly in your startup.
- Incorporate cloud-based solutions
- Streamline your accounting processes
- Improve organisational communication
- Tap into online banking
1. Incorporate cloud-based solutions
Before cloud-based solutions entered the picture, on-premise software dominated the business world. These are procured as one-time purchases, which are then installed and operated on computers. On the other hand, cloud-based or SaaS services are hosted on the vendor’s website on behalf of the customer, and can be accessed and operated remotely.
Most business owners today would lean towards cloud-based or SaaS software to run their operations from website hosting software, human resource management, to accounting software. With a plethora of benefits including quick deployment, scalability and integrations, and data security, it’s no wonder why startup founders are making the switch from traditional on-premise software.
2. Streamline your accounting processes
As a modern business owner, you need to make automation your best friend — especially when it comes to all things accounting. Unless you have a knack for numbers, most entrepreneurs despise the accounting processes as it is commonly associated with time-consuming and repetitive bookkeeping tasks.
Simplify your bookkeeping tasks through the use of accounting software. This way, you can forget about the manual data capture process and rely on cloud accounting to keep your books online. On top of that, it improves bookkeeping accuracy, allows for real-time reporting, and helps with tax compliance as well.
3. Improve organisational communication
Take advantage of collaboration and productivity tools to enhance internal and external communication in your organisation. Now that remote teams and work-from-home arrangements are the new normal, most companies are highly dependent on these tools to stay connected despite the physical distance.
Video conferencing apps like Google Meet, Zoom and Skype For Business and project management tools such as Trello and Notion allow for easier communication and collaboration among team members. Some of these solutions come at no cost, so take advantage of these solutions while you can.
4. Tap into online banking
Simplify your company’s financial processes by opening a 'business bank account' or a 'business account' from a payment service providers offering online banking features. If you haven’t already done this step, you should know that it’s best to keep your personal and business finances separate.
While traditional financial institutions may present a wide variety of features, perks, and rewards, they may not necessarily align with your immediate business needs. What’s more, setting up a business bank account with a traditional bank may have higher monetary requirements such as high interest rates and monthly fees.
You can find other solutions with modern features that give you the flexibility you need as a startup founder; digital banks and payment service providers are a great place to start.
Digitise all facets of your business finances today
There’s no better time than now to turn to all things digital. While it may seem like a daunting feat from the get-go, digitisation is imperative to the future of business.
One way to start is by digitising all facets of your business finances with the Business Account from Aspire. Streamline your financial and accounting processes with the expense management feature, scheduled payments and seamless integration with your accounting software.
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