Soldo wants to end expenses as we know it. Instead of a few company credit cards, doled out to a select few, and employees paying out-of-pocket, Soldo claims there’s a better way.
In our exclusive video walkthrough, AccountingWEB’s business editor Francois Badenhorst and Soldo’s Darren Upson examine the product and discuss some issues raised by the Any Answers community.
Expense reconciliation in Soldo
Current systems for managing spend are managed reactively and place a significant liability on the business and employee. They are resource-heavy and require significant administration - from manual expense reports to month end reconciliation.
In comparison, Soldo is a prepaid expense account that automates the expense management process. Employees and departments are issued with Soldo cards and an account admin can set bespoke budgets and spending rules for employees or entire departments.
In this video, Darren shows how this works with a real life example.
The Soldo card and app lets employees categorise spending at the point of purchase and then asks them to tag the receipt to enrich the information collected, which is then instantly added to the Soldo dashboard.
“If you think about the way most businesses manage spend - it’s backwards,” said Soldo’s Upson. “Only a handful of employees have company cards (normally the senior team), and everyone else is expected to pay with their own cash and reclaim. This creates real issues, and often results in employees being out of pocket and feeling resentful. At the end of a month, piles of receipts are given to finance and reconciliation hell ensues.”
At the other end, Soldo integrates with all accounting software through a simple two click export process. Xero users, in particular, will benefit from a seamless integration with Xero that streamlines processes and help accountants move towards daily bookkeeping.
Integration with accounting software isn’t new per se, but previous attempts have come with a “fundamental flaw”, according to Upson.
Providers have focused on pushing all transaction information through, without the ability to allow users to reconcile transactions to a bank statement line. “So we have been working with Xero on integrating to their bank feeds API to allow accountants and business owners to have greater insight and trust of the financial data in both solutions.”
Ultimately, expense capture doesn’t work in isolation, according to Upson. Traditional expense management solutions don’t exert control over the way company money is spent by employees and doesn’t link back to the transaction to ensure employees are correctly reimbursed for out of pocket expenses.
Here’s the part where we drill down into how Soldo will help you day-to-day. In this FAQ, Francois Badenhorst asks three burning questions:
- How does Soldo help with employee engagement?
- How scalable is Soldo?
- How does Soldo help with cost control?