26 Feb Cloud Accounting – the way of the future
Cloud accounting software has transformed the way that small lifestyle businesses control their finances. So, in an ever busy world, why should you as a business owner consider making the switch?
There are a number of advantages for both you and your business
- Spread the cost of the software by making payments by monthly subscription instead of one lump sum.
- All upgrades for cloud accounting software are carried out by the supplier at no extra cost, so you are always on the latest version. Any upgrades are normally carried out in the early hours of the morning. When you do come to log in the next day, you know you are always working with the most up to date software version.
- Fancy doing your accounts from the beach whilst on holiday? Well, if you really want to, now you can! Cloud accounting software can be accessed from anywhere that has an internet connection. You have no need to use a particular computer, or be stuck in the office. This does have practical implications, firstly it lets you keep track of the finances of your business from anywhere. If you want to know how much your business has made in your absence, whilst you are sipping your cocktail on the beach, well now you can. Secondly, on a more practical note, if you have employees off-site with expenses, then they can enter these themselves, and send the coded claim and receipts electronically, directly into the accounting system. If you want to change the accounting codes, or enter them yourself, then again no problem.
- All your data is stored securely in “the cloud” which means on the supplier’s bank of servers. Worried about potential hacking, well normally the servers are using the same type of encryption as your bank. If you are happy using online banking, then you should be fine. These, have the advantage of being continually backed up, so you never have to worry again about using up your own hard-drives space or having to take regular backups. You now no longer have to ensure that you keep a copy of your data safe away from the office in case of fire.
- Best of all, with cloud accounting software, you get real time information. This allows your accountant or other trusted business advisors instant access to your finance data. This means that they can help you if you are stuck on recording certain transactions in your accounts. They can post their year-end journals directly into your system, so your data is always up to date, but more importantly they can add real time value to your business. For example if you would like your accountant to check the figures for your VAT Return or even file it directly for you through the software with HMRC, or prepare some management accounts for you, and even help you with key decisions in your business. This is now possible.
Developments in recent technology holds many benefits for both businesses and accounting firms. In a world where we all continually strive for better services, that take less time and cut costs, then cloud accounting can help deliver. With clients able to do their own bookkeeping, the implementation of cloud computing helps to elevate the role and services of the accountant to that of a trusted business partner and advisor, no longer someone who contacts you once a year, always looking at historic data.
At Crunchers we are accredited practitioners of XERO, an online accounting solution that leads the way in cloud computing. If you are already using another accounting system, we can get that transferred across onto XERO, quickly and efficiently. We also help you not only with the setting up of the software, but we also have a comprehensive 50 point training plan that will teach you how to get the best out of it.
Remember we are just a phone call away, and are here to help you make your business a success.