We were told that small businesses love crunching numbers, and so they handle with vigour most accounting tasks on their own. We wanted to believe that story. At least they’re going to save a lot of money instead of hiring a professional accountant. But it was just a myth, created to mislead new businesses.
Why, bookkeeping and accounting are both tedious and confusing tasks better left in the hands of an expert. I actually haven’t heard a small business saying they’re not stressed about them.
So here’s our take on improving their and your small business accounting with the cloud. You’ll be happy to know these things after this sumptuous read.
First Things First- Get On the Cloud Now
The first step to improve your small business accounting is to switch to the cloud. Cloud accounting software offer a variety of powerful accounting and bank reconciliation tools that could automate your processes.
One of the major unique selling propositions of the cloud is that you can access your accounts anytime and anywhere, as long as you have the internet connection. It also works on multiple platforms and operating systems.
Cloud service providers automatically back up your data so you don’t have to. You won’t have to worry of losing your work anymore. In terms of its security, cloud service providers have teamed up with third-party online security agencies to ensure that their servers are private and secured.
The Cloud Eliminates Manual Work
The cloud tries to automate everything for your small business accounting process, so you won’t have to sweat about manually entering your payments, receipts, and purchases. When you perform external transactions using your bank accounts, the online accounting software will work with your bank to capture the transaction and feed it into its own system. It will then be put into your bank statement automatically.
If you still have data in your spreadsheets, you can import it directly into the software. The same will happen if you import your bank and credit card data into the application.
If these actions are done properly, you’ll render less error or repetitively do the same work.
Constantly Keeps You Updated
Your small business accounting can benefit from the cloud’s ability to give you the most up-to-date details and real-time data. A good cloud-based accounting solution has a dashboard feature which shows an at-a-glance description on the state of your finances and transactions.
There are also accounting tools which provide notifications or alerts of your due bills or overdue customer invoices.
If you’re an owner of a small business looking for a cheaper and easier solution to your small business accounting problem, it’s maybe the time to hit the restart button with cloud accounting. Whenever a small business uses the cloud and is happy about their processes, we would gladly believe it right away.