When records are not kept accordingly, it’s easy to lose track of spending and often times a business's budget is exhausted. Things can quickly spiral out of control. Funds will not be available to pay taxes, employees, suppliers, utilities, and other fundamental necessities that keep your business running efficiently. Legal matters can arise as it is illegal not to pay your taxes and employees. As a result, you may be forced to file for bankruptcy.
This seems to be one of the worst cases scenarios. However, poor record management can cause other small hiccups that can easily be avoided. It is quite possible that your records are poorly managed and they are going by unnoticed. Signs of poor record management are: time wasted, inefficiency, poor productivity, lost files, and clutter. These issues are warning signs to a bigger, underlying problem.
Organization is key to a successful business. Maybe it’s time for someone else to take over your document management, check out our previous blog Considering Document Management? “We’re Not Ready” is the Wrong Answer.