Keeping careful records for business purposes helps when you file taxes, during an audit, if your company gets sued or just to look back at past events and learn to thrive. People sometimes make documentation errors without realizing it, though. Knowing how to avoid business documentation problems helps ensure you have the information you need when it’s most crucial.
You can also use documents to review company policies and ensure you’re implementing fair practices with all your employees.
Why Should You Avoid Business Documentation Errors?
The document management systems industry will grow to $6.78 billion this year. More and more companies see the importance of keeping records. Business documentation should sometimes be on paper and sometimes digital, but having software can make the entire process easier, especially at tax time.
The problem with keeping things consistent is that multiple people might work on documents at different times. They can go through various hands within the organization and everyone has a different record-keeping style. How can you avoid business documentation errors along the way?
Here are the things to be aware of and tips to keep everything up-to-date and accurate.
1. Write Neatly
Whether you keep records on paper and then transport them into a database or you keep only handwritten records, writing neatly is vital. Numbers, for example, can look like a one or a seven, depending upon how the writer notates it.
If you find an error at a later date, turning back to any handwritten records can help you unravel the mystery. It’s vital that people slow down and keep business documentation neat and tidy.
2. Destroy Inaccuracies
When creating documents, you’ll sometimes make an error and have to start over. It’s important to get rid of inaccurate reports so you don’t confuse them for the real thing. A professional shredding service is a good way to destroy any inaccurate documents and avoid future confusion.
The average shredder destroys around 20 feet per minute. Save employee time by investing in a faster shredder or turning to a service to complete tedious tasks such as this one. Your employees can spend them time on things that help grow your business while you farm out monotonous tasks.
3. Date and Sign All Business Documentation
Another common error is forgetting to date documents and have the person working on them sign off. If there is a question later, it’s impossible to track down when or who worked on the item before.
For example, you’re trying to list mileage for a tax deduction. One of your techs wrote down miles driven but forgot to add the dates. During an audit, such errors can create a ton of issues.
4. Include All Details
Another common error in recordkeeping is failing to add in enough information to jog your memory later. Entrepreneurs are often crazy busy. They might buy supplies for the office and keep the receipt but forget to note what the item was actually for. It’s hard to prove some things were used for business, so it’s crucial to list the reason for the purchase for your own records.
If you ever have to justify what you claimed, these notes come in handy. Include any details you might need one day so you never have to second guess your recording keeping.
5. Work in the Cloud
Around 83% of companies place their work in the cloud. The ability to access documents in real time helps documents stay up to the minute, especially in situations where data changes rapidly. For example, your sales team might open up a new client file, but the tech who goes out in the field and works with the customer can update the documentation and add detail.
Storing documents in the cloud is also more secure than keeping them on a single machine. Most cloud providers have top-notch security in place. They also offer backups, which ensure important documentation isn’t lost.
6. Set Formatting Standards
Errors often occur when people use different standards to track business information. Create standards for different departments and systems that everyone must abide by. While templates can be extremely helpful for documentation, train everyone to double-check them and change any information that doesn’t mesh with current information.
If you invest in some business documentation software, many of the issues with formatting standards are automatically solved. Programs are set up to keep records in a specific way and remind you when you change something, such as going from two decimal numbers to three.
7. Correct Grammatical and Spelling Mistakes
Putting a comma in the wrong location might not seem like a big deal until it changes the meaning of the sentence. Spelling mistakes can create even more issues. There’s a big difference between the word two and too, for example.
It’s smart to always have a second set of eyes on all documentation. Catching grammar and spelling errors in the moment is the best way to avoid issues in the future. You might run into issues as others search for an entry, too, if things are spelled correctly.
Why Should You Care About Business Documentation Errors?
Although keeping an eye on typos and sticking to set standards might seem like a lot of work when you’re already busy, it can avoid headaches later. If you let the same problems continue for years, they’ll build until they’re almost impossible to unravel. Recordkeeping is one of those things you need to keep track of as you go or risk getting drowned in too much upkeep at once.
Eleanor is editor of Designerly Magazine. Eleanor was the creative director and occasional blog writer at a prominent digital marketing agency before becoming her own boss in 2018. She lives in Philadelphia with her husband and dog, Bear.
