Oh SaaS CFOs out there. We see you.
We know you’re spinning one jillion plates. And the biggest one, the most dreadful one is the slow month-end financial closure.
You know exactly what happens near the end of every month.
Suddenly it’s ACTION day – cue the running, the shouting, the tutting, and the tense meetings. It’s a high-pressure and high-stakes race against the clock.
And it’s no good for you. You’re losing sleep, your nerves are shot, you’re suffering with headaches, or you’re taking something for the anxiety.
The Challenges
The finances of a SaaS company ain’t your mama’s checkbook.
There’s recurring revenue, customer contracts that are more complex than the shop you got lost in when you were a kid, getting reliable numbers and a steady cash flow, staying compliant, and juggling pricing models that change more than promotions at McDonalds.
Being a SaaS CFO can feel like a Herculean task.
The Ulcer-inducing Slow Closure
Slow month-end closures can get you popping anti-acids like M&Ms.
Slow month-end closures cause rushed work and mistakes. And there’s a ripple effect, because that rushed, incorrect work results in delayed insights, bad business decisions, and the inevitable trust issues with stakeholders and customers.
It’s more than just the deadline and number-crunching type of challenges that cause the damage. It’s how all these challenges with slow closures take a physical and mental toll too.
What’s behind the month-end chaos?
Is it the soul-crushing manual data entry day after day?
The massive silos that mean a real-time view of your finances is an impossible ask?
The countless hours tearing through invoice changes and reconciliations?
It’s a lot of things, but it’s almost always tied to these problems:
- Manual Processes: Relying on manual work is one of the biggest causes of slowing down the month-end close process. Everything from long hours to errors in spreadsheets make it hard to be fast and steady.
- High churn: High subscription customer churn rate makes the close process a lot harder because the Finance team isn’t able to keep real-time track of the customer base. It also makes it hard for you to forecast revenue and expenses.Â
- Bad Data Management: Bad practice causes slow closing. If management is outdated or inefficient (mishandling of financial disclosures, risk factors in financial reporting) life gets very difficult.Â
- No Transparency: When there’s miscommunication, and data doesn’t flow between departments, that leads to a slowing of the close process. It takes a long time to manually make sure everything’s right.
- Closing Pressure: Some companies think the best way to get employees to work harder is to pile even more pressure on them. Up the stakes. Employees work longer hours and they start to feel stressed, burnout and make mistakes. It’s not their fault – they’re only human – but mistakes slow down the process.
- Recurring Revenue Leakage: When you’re leaking money from your subscription billing problems, that will definitely slow down the month-end close process. It’s challenging to get the time to find and chase missing money on top of everything else.
It’s a lot. But now that you know your roadblocks, you can finally start to knock them out of your way.
Bluefort’s cutting-edge end-to-end platform is designed to streamline your financial operations, automate repetitive tasks, and provide real-time insights through AI-powered analytics.
Strategies to Accelerate Your Closings
If you’re ready to make some changes to speed up your closings, here are some of the most effective strategies:
Standardize procedures
By creating standardized processes, you can cut down on errors and boost efficiency. It helps knock down silos between teams so there’s better information flow. This is key for closures. Plus – bonus, it’s easier to train new recruits.
Consider the Continuous Close
If going through all those transactions and reconciliations at the end of the month is the heart of your stress, consider switching to a weekly or even daily model. That way the workload is spread, and takes the high-pressure stakes, the long hours, and the office cold pizza, away for good.
Use AI to Supercharge the Speed
All the repetitive tasks can be automated, from data entry to report generation. Errors are reduced. You, your Finance team AND your sales team finally have the time to sort out all the closings because so much less needs to be done.
Train
The more trained and skilled your teams are with new tech tools, the better they will be able to do their jobs. They’ll be happier and feel more valued.
Remain Compliant
Compliance rules are tough to keep up with. Not only do they change all the time, but international compliance adds another layer to the complexity. But compliance (and the potential fines it brings) is tied to revenue, so the sooner any compliance processes are cleared up and automated, the more confident you are in closing fast, and the more money stays in your account.
Get Ready to Scale
Scaling always seems to come at the worst time – when your teams are stretched and struggling to keep up as it is. But if you grab the best financial management software, train your teams, and significantly improve your financial planning and analysis ahead of the curve, you’ll be ready to go.
The Best Advantage You Can Get
Being in the SaaS industry means our customers know exactly how tech can enhance their lives.
So why would you deny yourself the same experience?
You deserve the tools you need to revolutionise your financial processes? It is possible – even a simple process – to speed up the closing process. You can enjoy:
- ERP that turns the financial chaos into order.
- AI-powered analytics that give you the data you need in real time, from the department that has it. It’s a good foundation for making strategic decisions.
- A cloud-based financial management platform that keeps track of every process, automates it, and gives you whatever you need.
Tech takes away all the tasks you are forced to do, so you have time to do the tasks you want to do.
Ready to Break Free from Month-End Financial Chaos?
We understand the pressure and stress that comes with slow month-end financial closures for SaaS CFOs. Bluefort is here to help you transform your financial processes and accelerate your closing cycle.
Our cutting-edge end-to-end platform is designed to streamline your financial operations, automate repetitive tasks, and provide real-time insights through AI-powered analytics. Say goodbye to manual data entry, compliance woes, and rushed work. With Bluefort, you can enjoy a seamless, efficient, and error-free financial close.
