Business owners from almost any industry can appreciate the benefits of implementing an accounting solution. Tasks such as updating accounts, keeping accurate records and efficient bookkeeping are simplified. Accounts software allows even those fairly new to business finance to get to grips with their company’s revenue streams, payments that need to be made and profits. Automatic tracking of taxes, VAT and other incurred expenses makes for easier reporting at the end of each quarter.
By choosing the appropriate accounts software module, regular payroll and holiday payroll can be automatically synced with time sheet functions. Employees are able to enter the hours they worked so records are logged systematically. This is especially relevant for those who bill clients on an hourly rate as any time that is logged is automatically fed into the accounting system for invoicing.
Customised experiences are also easily achieved, with a few up front queries. Standard modules which are commonly found in accounting software packages include statements, general bookkeeping and reconciliation of accounts. Extra features can then be supplemented on top, which could include point of sale capabilities or management of inventory.
These additions vary from industry sector to industry sector and can be adapted for specific areas. For the most part, main accountancy tasks are fairly uniform in business but certain sectors may need expansions. For example, retailers will need to monitor inventory with customer transactions, along with their overheads. Not-for-profit organisations may not require inventory tracking, but will need to track any services that have been tendered and invoice accordingly.
Accounting systems have become increasingly more advanced in recent years with the development of cloud computing. Software solutions hosted in the cloud offer a much more cost-effective option for businesses. The need for in-house servers to host the software has been eliminated, cutting a number of IT overheads instantly.
The initial purchase of a server isn’t required, which can be a large expense in itself if it is to cater for a large workforce. Installation of that hardware and the following maintenance would previously need to be outsourced to an IT firm, but this can now be dealt with completely by the provider of the accounting software firm. All that is required from the user is an internet connection and browser.
Setting it up is simple and only required once. The setup sequence will guide the user through the customisation process and enable them to tailor the software to their needs. To further streamline the accountancy procedure, the software may be able to sync with existing financial systems such as online banking, outsourced payroll services and cheque printing.
In order to share confidential documents such as tax files and government reports with an accounting official, some accounting software packages come with an encryption service. Things become even easier if vendors happen to be using the same software, as email invoices and account reports can be sent over and recorded in an instant.
Businesses all over the world are utilising this technology to help streamline their financial system. Whether they’re a start-up or a multinational corporation, any business can find an accounting software solution to suit.
Note from the Editor: This was a guest post.