AI Accounting for SMEs: How to Build a Simple Approval Workflow for Expenses

For many SMEs, expense approvals are either too loose or too complicated. Some businesses rely on informal chats and emails, while others introduce rigid processes that slow teams down. Both approaches create problems — either a lack of control or unnecessary friction.

AI accounting makes it possible to build a simple, lightweight expense approval workflow that balances speed and oversight. The goal isn’t to add bureaucracy, but to ensure expenses are visible, consistent, and easy to manage as the business grows.

Here’s how SMEs can design an effective expense approval workflow using AI accounting.

Start With Clear, Minimal Rules

A good approval workflow starts with clarity, not complexity.

Define upfront:

• Which expenses require approval
• Approval thresholds (e.g. small vs larger amounts)
• Who approves what

Avoid creating different rules for every scenario. Simple thresholds are easier for teams to follow and easier for AI systems to enforce consistently.

Make Submission Effortless for Employees

If submitting expenses is hard, compliance will suffer.

AI accounting works best when:

• Employees upload receipts directly from their phones
• No manual form-filling is required
• Documents are submitted at the point of purchase

With platforms like ccMonet, staff only need to upload the receipt or invoice. AI extracts the data automatically, so submission takes seconds — not minutes.

Let AI Handle Categorization and Checks

Before an expense even reaches an approver, AI can do most of the groundwork.

AI accounting systems can:

• Categorize expenses automatically
• Identify missing or unclear documents
• Flag duplicates or unusual amounts

This ensures approvers focus only on valid exceptions, not routine expenses.

Route Only What Needs Approval

One of the biggest mistakes SMEs make is requiring approval for everything.

AI workflows allow you to:

• Auto-approve routine, low-risk expenses
• Route only higher-value or unusual items for review
• Reduce approval fatigue

By limiting approvals to what truly matters, teams move faster without losing control.

Keep Approval Decisions Simple and Visible

Approvals shouldn’t require long explanations or multiple tools.

Effective AI-driven approval workflows:

• Show the receipt, amount, category, and context in one view
• Allow one-click approve or flag actions
• Record decisions automatically

With ccMonet, approvals are logged as part of the accounting record, preserving a clear audit trail without extra admin work.

Maintain Transparency for Business Owners

Even when approvals are delegated, business owners still need visibility.

AI accounting dashboards provide:

• An overview of approved and pending expenses
• Spending trends by category or team
• Early warnings for unusual patterns

This allows owners to stay informed without personally approving every expense.

Use Audit Trails to Stay Compliant Without Extra Work

Approval workflows are also about accountability.

AI accounting systems automatically:

• Link approvals to source documents
• Track who approved what and when
• Preserve change histories

This makes reviews and audits far easier — without requiring separate approval logs or spreadsheets.

Refine the Workflow as the Business Grows

A simple workflow today should still work tomorrow.

As SMEs scale, AI accounting helps by:

• Handling higher expense volumes without slowing down
• Maintaining consistent rules across teams
• Supporting more approvers without redesigning the process

You can adjust thresholds and roles over time without rebuilding the workflow.

Simple Workflows Work Best

The most effective expense approval workflows are the ones people actually use. AI accounting removes friction by automating data capture, enforcing rules quietly, and surfacing only what needs human judgment.

If expense approvals feel either too loose or too heavy, the answer is rarely more rules — it’s better systems.

👉 See how AI-powered accounting helps SMEs manage expense approvals simply and effectively with ccMonet

‍