The Problem:
A thriving £1m turnover company was struggling with a time-consuming, error-prone process for managing its invoice payments. The company used two systems: an industry-specific invoicing platform and a separate direct debit system called GoCardless for processing payments. Unfortunately, there was no API integration between the two, and the invoicing platform only allowed for the export of CSV files, which lacked crucial client information.
Every week, the company’s staff had to manually process all invoices. They would export a CSV file from the invoicing system, but because it didn’t contain sufficient details, staff would need to cross-check each invoice with client details before manually entering the payment data into GoCardless. This process took at least 5 hours per week, resulting in an estimated £6,000 annual staff cost. Beyond the financial strain, this manual entry process led to frequent human errors, slowing down the company’s ability to manage cash flow and creating operational bottlenecks.
The Solution:
Given the invoicing platform’s lack of API functionality, we had to rely on its CSV export feature. However, the challenge remained: the CSV lacked critical client data necessary for the payment system. To solve this, we designed a custom solution that involved downloading both the invoice CSV and a full client list CSV, along with a CSV from GoCardless containing clients with active direct debit mandates.
We developed a custom interface using PHP to handle the CSVs. This system allowed us to automatically match invoices to the appropriate clients and their direct debit mandates. The automation streamlined the matching process between the invoice data and the direct debit mandates, ensuring accuracy in client invoicing.
An error-checking feature was integrated into the system to flag any mismatches or potential issues before submitting payments. This gave the staff a chance to review and confirm the billing details before the system generated a final CSV, which could then be uploaded directly to GoCardless for processing. By generating a CSV in the correct format, the new process allowed for seamless and faster payment collection.
The Outcome:
The custom-built automation dramatically reduced the time spent on invoice processing from 5 hours per week to just 15 minutes. This alone saved the company over £5,700 annually, nearly eliminating the staff time needed for the task. The return on investment was rapid—within just four months, the company had recouped the £2,000 cost of the custom system we developed.
The new system didn’t just save time and money; it also improved accuracy. With error-checking built into the process, mistakes due to human error were virtually eliminated. Payments were processed faster, enhancing cash flow management and improving overall operational efficiency.
For a business turning over £1m annually, these improvements were significant. They no longer faced delays in their revenue collection, and the entire system became much more reliable, allowing staff to focus on higher-value tasks rather than manual data entry.
