As a company scales, managing expenses becomes more complex. This is why it is important for chief financial officers to master organic growth as part of its bid of prioritising expense management early on.
Doing so allows CFOs and Finance teams to decentralise payment processes and streamline operations, making expense, cost controls, and cash flow management easier, faster, and more transparent.
Especially in the cases startups, CFOs face new hurdles in expense management, as formal processes may initially seem unnecessary in small teams where trust is high.
According to Payhawk, with more people and more projects, CFOs often find themselves in need to support the founder in "shaking off" numerous approval threads and instead give accountability to the budget holders, without having to lose transparency and oversight.
The spend management platform says CFOs and finance teams are tasked to find a way to support project spend tracking, reconciliation & ROI analysis, and budget decisions.
Payhawk says it is important that organisations are able to choose an expense management solution early on in their growth journey, decentralising multi-entity management and payments, and adding ERP later as the organisational needs get more complex.
It should be noted that this process gets expensive fast, as a lot of expense providers charge by user and/or expense report, which quickly gets out of hand and impossible to forecast future costs.
