There are many things to love about running your own business, but we bet doing your accounts isn’t one of them. But do you know about the fantastic benefits of online accounting?
Here are 14 reasons online accounting will help you fall back in love with your accounts:
1. It keeps it simple
The beauty of online accounting platforms is that they are really straightforward to use – even the biggest technophobes can get to grips with the systems. Xero accounting also has a huge help library for those that are really struggling.
2. You can ditch the spreadsheets
Online accounting brings everything you need to manage your accounts together in one place, meaning you no longer need to clog up your computer with endless spreadsheets and cover your desk in invoice printouts and expenses receipts. Everything is kept safe and secure in the Cloud, so that you can access your data anytime, anywhere.
3. You’ll have a slick expenses process
Submitting your expenses will no longer be a chore either. With online accounting platforms, such as Xero, you can even submit your expense claim on the go. Simply download their Xero Touch app to your smartphone, take a picture of your receipt and submit. It’ll save a digital copy of the receipt so it doesn’t have to float around in your car.
4. You can plan your budgets
An obvious one, but we know how people love to procrastinate over this task or completely avoid it in some cases. Xero, QuickBooks and KashFlow all allow you to create your budgets within their systems. Xero’s Budget Manager allows you to prepare comprehensive budgets and compare your performance so you always know how well you’re performing.
5. You get automatic bank feeds
The real revelation with online accounting is the ability to link with your bank accounts for automatic bank feeds. These provide you with a live feed from your bank account so you just need to log into one place to see exactly what is going on.
6. You can stop wasting time matching transactions
One of the most time-consuming tasks in accounting can be tracking your incomings and outgoings. But this is another laborious task that online accounting systems have managed to simplify for you. Any of your regular incomings or outgoings are learnt by the platform and automatically matched, any new transactions are matched, with a prompt for you to approve them.
7. It takes the hassle out of invoicing
With most online accounting platforms you can design your own templates within the system and send invoices straight out to your clients. With Xero you are even able to track when they opened the invoice.
8. You get paid quicker
Sending out invoices from your online accounting system also completely simplifies the payment process for your customers. They receive their invoice and with just one simple click they can pay you – meaning you get paid a lot quicker.
9. You can keep track of what you owe
The FreeAgent Tax Timeline gives you a real-time view of your liabilities, so you know exactly how much you owe meaning no nasty surprises when it comes to submitting your Self-Assessment.
10. You can simplify your payroll process
Payroll is completely simplified and automated with online accounting, with most platforms providing real-time information to ensure you are compliant with HMRC.
11. You can manage your accounts on the go
Gone are the days when you had to be tied to your desk for hours to manage your accounts. Most platforms have an app for your mobile and tablet so that you can manage your business from home, overseas or on your commute.
12. You’ll get professional help
Whilst having a simple accounting system in place will help slicken your accounting process, the advice and support a professional accountant provides is invaluable for small businesses. At Approved Accounting we are not just here to help our clients with their bookkeeping and VAT returns, we work alongside them when it comes to tax planning, business startup advice and planning and budgeting to ensure they remain a success.
13. You can even submit your VAT returns
Some online accounting platforms will automatically generate your VAT return for you and even send you a reminder when your payment is due.
14. And you’ll definitely sleep better
Finally, now that you know that your accounts are in better shape, with real-time cashflow and automatic bank feeds, there’s a lot less for you to worry about. Use your new free time wisely, whether that’s putting more effort into your business or having a much-needed early night.
At Approved Accounting we help our clients choose the right online accounting platform for their business. We get you set up and oversee the running of your accounts. We also work alongside you on your business plans and help with budget planning, providing top level advice outside of just your day-to-day accounting. To find out more email Jon now.