Over the last few weeks we have been discussing the many advantages of Cloud Accounting. This week we will summarise all the information in those posts and will follow next week with some real-life examples of how Cloud accounting can benefit a business.
Cloud accounting software comes with features that can boost your productivity and save you valuable time. Primarily, the automatic bank feeds allow you to connect your bank and automatically download transactions. The software will even reconcile your bank to sales and purchases.
This automatic feature reduces the amount of data input required and reduces the likelihood of human error. Consequently, you don’t have to spend hours manually adding transactions or re-doing work due to typos or mistakes.
Reporting on the Cloud is another way that the software can benefit your business. It allows you to quickly and easily see how your business is doing, using real-time information. The flexibility of the reports means that you can find out exactly what information you require by customising the reports.
As a result of having access to all of this information, the reports allow you to make better business decisions. If you keep the system up to date, it will reward you with good quality insights into your business.
Using these three, more advanced features can help streamline the running of your business. The Projects module allows you to create projects for every task you do and assign costs, time and income to it. Timesheets allow you to effectively keep track of your employees’ time by inviting employees to log into their own timesheet (without giving them uncensored access to your finances). You can use Classes to categorise your different types of income and expenses. There are two levels of tag that you can apply – ‘location’ and ‘class’ – which can give you a more specific breakdown of the income and costs from each location.
In short, it is clear, from all the posts we have put up about Cloud accounting, that the software is extremely beneficial and can make running a business easier and more efficient. Next week we will be looking at how Cloud accounting software can benefit and be applied to real businesses.
As always, if you have any questions, please let us know and we will be happy to help.