Keeping CAPEX Under Control With Online Forms
CAPEX is short for capital expenditures. These are expenses associated with the purchase of significant physical assets for a company. Examples include manufacturing machinery, major office equipment, or real estate for physical expansion of a business. If upgrading or repairing existing physical assets is significantly costly (such as a major machinery repair), it can count as CAPEX too.
In a company’s accounting record, CAPEX aren’t recorded as expenses. Rather, they are recorded as so-called fixed assets. Fixed assets are recorded as expenses over the course of an applicable useful lifetime – typically five or ten years. So, if you buy a piece of machinery for $10,000 and expect it to last for 10 years, you could record $1,000 in CAPEX amortization per year for the equipment.
Spreading fixed costs in this manner is known as amortization. Most companies set a dollar threshold where expenses become capital expenses. When a proposed purchase exceeds, say $10,000, the company may require that the purchase be processed through a special approval workflow. Excellent tracking of CAPEX is essential to a company’s financial health.
How Online Forms Can Boost Your Reputation with Investors
Tracking CAPEX used to involve stacks of papers and thick files. In the hands of a competent filing clerk it could work well, but tracking CAPEX on paper is a lengthy, detailed process. By putting the forms used to track CAPEX and the process of handling them online, you show potential investors two things:
One, you understand how important tracking CAPEX is to your company’s financial health, and
Two, you value the efficiency and accuracy of online forms over the clumsiness and error risk associated with tracking CAPEX on paper forms.
If your company is looking for outside investors, demonstrating that you track expenses accurately and make decisions based on solid financial data will make your company more attractive.
The Right BPM Software Can Make the Difference
Business process management (BPM) doesn’t just apply to CAPEX, but to every type of business process. If you select BPM software with care, you can use it to manage processes as simple as requesting maintenance to replace a light fixture or as complex as tracking and reporting upon capital expenditures. The key is using BPM software with both power and flexibility, so your team can put it to work in the ways that are most meaningful to your business operations. Tracking CAPEX and producing quarterly or annual reports that provide all the pertinent details are two BPM software uses that are sure to establish your software’s return on investment clearly.
Put Forms Online, Not on Paper
With the costs associated with IT infrastructure becoming more reasonable every day, it makes sense to have company’s forms on your company network rather than in a filing cabinet. Not only are they easier to locate, they won’t get lost en route, and they can be set up to be submitted to the correct recipient automatically upon completion. Many businesses are choosing to put forms online with the help of cloud form software that relieves them of the burden of maintaining the software on servers on the premises. Cloud software is widely appreciated for helping reduce and sometimes eliminate capital expenditures, which is one reason the cloud is so popular with small and medium sized businesses.
When Form Software Is Powerful Enough for BPM
Form Creation Software that is powerful and flexible enough to take on BPM isn’t just something for a wish list. While you can obtain simple form software that creates forms and allows you to do limited things with them, most businesses assess the situation and conclude that form software that also functions as BPM Workflow Software makes more sense. This level of form software allows you to create not only forms, but also workflows, the status of which can be determined by authorized users at any time. In other words, there is absolute transparency throughout the process. The result is faster workflows, fewer errors, and lower expenses.
PerfectForms is Workflow Management Software that is fully capable of taking on BPM tasks, including tracking CAPEX. With an intuitive user interface and easy integration with web forms and databases, PerfectForms can save massive amounts of time and money. We invite you to read some of our case studies to see how powerful and easy-to-use PerfectForms is. You’re sure to come away with ideas for how it can streamline your business processes too.