Posted 8 months ago by Tracy
One of the least exciting aspects of running a business is doing the bookkeeping. While looking after the numbers is rarely anyone’s idea of a good time, it’s important to be aware that having an out-of-date or inefficient accounting system to keep track of your financials could be doing more harm than good to your business’ long-term growth prospects.
If you recognise any of the below signs, there’s a good chance that your business could benefit from new online cloud accounting software.
If you still have to physically go into the office to access your accounting software, it’s time to upgrade your software.
As flexibility and accessibility become the latest trends to take over workplaces, your accounting software should be up to the task of allowing people to access financial information wherever they are, whenever they like.
With cloud accounting software, you only need to have an internet connection to log in to the software. This means you can manage your business on the go while also benefitting from real-time updates as to how your business is performing.
Some accounting software programmes will only let one person access a business’ accounts and work on them at any given time.
While this set-up might work well for sole traders or very small businesses, the truth is that any growing business will more than likely need several people to have access to the books at some stage, whether those people are members of your finance team, your accountant, or your tax adviser.
Limiting access to just one person is not only frustrating for others that might need to see the business’ financials, but it could also lead to delays during particularly busy times of the year, such as year-end or when tax returns are due.
Ideally, you should switch to software that will let multiple people access your accounting records, so that collaboration is seamless and timely.
AccountsPortal, for example, allows an unlimited number of users to access your business’ accounts. Each user is also given their own set of permissions to ensure that they only see the information they need to.
It’s no secret that technology is always changing. Every year, we see new and improved phones, laptops, and household devices released on the market.
If it’s been a few years since you last upgraded your accounting system, the chances are high that you’re missing out on the new and improved functionality that more recent accounting software programmes can offer.
For example, is your current accounting software able to keep track of your current inventory levels? If you find yourself scratching your head trying to decipher whether you have a certain product in stock, you’re in need of a software upgrade.
Accounting software providers like AccountsPortal can track your business’ performance when it comes to inventory, from providing detailed item reports for individual stock items to letting you create price list items for the products and services you sell.
If you have to manually backup your accounting records, then the responsibility is on you to make sure that your records are backed up regularly and that backups are stored in a safe location in case of unforeseen events such as a flood or fire.
By contrast, cloud accounting software providers often run automatic and regular backups of data, giving users the peace of mind that their data is secure even when things go wrong.
If you don’t think you’re getting value for money with your current accounting software provider, you’re probably right.
One of the many advantages of cloud-based software is that it is usually much cheaper for businesses to use. This is because you don’t have to consider costs that are associated with offline software, such as the costs of installing and storing various items of computer hardware and paying for their backup and maintenance.
As there are lots of different cloud accounting software providers on the market, it also means that monthly subscriptions are competitive and cost-effective for most businesses.
AccountsPortal, for instance, offers a 30-day free trial for new customers so that they can see the benefits of cloud accounting software for themselves. What’s more, AccountsPortal offers a simple and affordable £10 per month pricing plan after the trial period has ended, with further discounts available through the referral programme.
As the UK’s tax system becomes increasingly digitised, the days of relying on multiple spreadsheets to prepare tax returns and accounts may soon be numbered.
Take the Making Tax Digital for VAT initiative as an example. From 1 April 2019, most businesses with taxable turnover above the VAT registration threshold of £85,000 will have to adhere to new digital recordkeeping and digital VAT return filing requirements.
If you’re impacted by such upcoming changes, then you need to ensure that your accounting software provider is compatible with Making Tax Digital for VAT. Otherwise, you could risk falling foul of the new rules.
AccountsPortal has been recognised by HMRC as an approved software provider for Making Tax Digital for VAT, offering a fully integrated solution that makes it easy for businesses and their accountants to file VAT returns online with HMRC through the AccountsPortal software.
It’s easy to get stuck in a rut with your accounting software, especially if you haven’t upgraded over the past few years.
While many business owners might like the familiarity that well-worn spreadsheets and accounting software programmes can bring, the fact is that sometimes such programmes are no longer fit for purpose, and you may actually be wasting time and resources by sticking with such software.
Thankfully, there are plenty of solutions available today that have been designed to make life easier for business owners, whether that’s through automatic updates, regular data backups, unlimited and flexible access, or low cost.
AccountsPortal offers cloud-based accounting software to accountants, bookkeepers and business owners who are looking to leverage the benefits of software that can offer real-time reporting, integrated online payments, simple navigation and free support.
Try out AccountsPortal’s 30-day free trial to find out how cloud accounting software can benefit your business.