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Friday 15 May 2009

How much time could CTO save you?

We did a quick survey of some of our users to find out how much time they used to spend on inputting invoices.

Previously we'd found that a staggering 80% of online store operators either copy and pasted orders from their admin to their accounts or printed them off and date inputted them.

60% took about 3 minutes but a hefty 25% took 5 minutes or more.

So we crunched some figures and came up with this little table (based on taking 3 minutes per invoice):

  Hours Per Month Days Per Year Weeks Per Year
2 Orders Per Day 3 5.2 1
5 Orders Per Day 8 13 Over 2
10 Orders Per Day 15 26 Over 5
20 Orders Per Day 30 52 Over 10
50 Orders Per Day 76 130 26
100 Orders Per Day 152 261 52

If you factor in the time spent correcting inaccurate invoices (data inputting always leads to some errors) and generating credit notes, then there are even greater savings.

These are back of the envelope calculations of course. We don't think many companies will have full time data inputters putting invoices in manually.

However, I used to run a store that regularly did 30 orders per day and at busy periods over 150 orders. We didn't input any invoices, but put in aggregate monthly figures into our Sage accounts.

The problem with that?
- We regularly over-estimated VAT due to returns or exchanges;
- After the VAT inspection we were told that our records weren't accurate enough and we *should* be inputting each invoice;
- Our web stores lacked the reporting sophistication to allow us to spot our best customers;
- We couldn't easily aggregate sales from our 2 different web sites and Ebay.

If you have a brand new store or only do a few orders a month, then CTO is still a great time saving solution - why not try our
 Free 45 Day trial!?


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