Why it’s time to move to cloud accounting

By Tom McDonald – Client Services Advisor

Cloud accounting has been around for a while now and has established itself not just as an alternative to traditional desktop software but as the must-have piece of accounting software. In this article we explore how cloud accounting can benefit you and how transitioning to it can be a smooth and seamless process wi-], Inspire. In particular, we focus on Xero and Sage Business Cloud (SBC).

Accessible, simple and convenient – Compared to desktop equivalents, cloud accounting is simple, intuitive and easy to use. You and your staff can access your accounts anywhere anytime. You can use your mobile phone when you’re out and about to raise sales invoices, post expenses and reconcile the bank amongst other things. It makes it an ideal choice for those who are on the go or who split their working hours between the office and home.

Time-saving – The bank reconciliation in Xero is quicker than any other accounting software – particularly if you have multiple bank accounts or foreign bank accounts/transactions. With the help of connected apps, purchase invoices can be entered automatically and don’t need to be keyed in. Repeating sales invoices can be raised and automatically sent to customers. Xero can identify invoices that haven’t been paid after a certain amount of time and automatically email the customer to chase payment. Cloud accounting integrates with budgeting and forecasting software to update forecasts with actuals, at a touch of a button saving days of senior management time.

Real-time accounting and keeping up to date – Bank statements automatically feed into cloud accounting packages on a daily basis, which means your accounts can be reconciled on a daily basis – giving you an accurate picture of your accounts now.

Better Reports – Xero and Sage Business Cloud offer a whole host of standard reports from P+L, balance sheet, cash flow, segment reporting and monthly management reports. It also allows you to easily build your own custom reports.

MTD compliant – Making Tax Digital has arrived. Xero and SBC are MTD compliant – no need for any bridging software or to pay for an expensive software upgrade with your existing accounting software provider.

Security – Because all the data is held in the cloud you don’t have to worry about computers being stolen or servers breaking. Every entry to the software is saved immediately and securely.

Paperless accounting department – Xero allows you to attach pdf invoices when you enter them into the purchase ledger. You can attach spreadsheets or word documents to month end journals. All your accounting records can be kept and accessed in the cloud for no extra cost.

Cost – The standard package comes in at £22 pounds per month and there are no product upgrades to pay for.

Future proof – Xero has established itself as the major player in the small to medium size firm sphere. App developers have recognised this and create apps for Xero allowing you to find connected software that integrates seamlessly with Xero to find further efficiencies and better practices.

If you want to be MTD compliant, save time and money, produce better reports and give yourself more flexibility on when, where and how you do your accounting then speak to Inspire about joining a million subscribers who have already made the transition to cloud accounting.

For a demo of Xero’s cloud-based system click here. For more information on how the cloud can help you, click here.

If this system is of interest to you or you would like further information please call 01202 717867 to discuss with a member of our Inspire Team or email [email protected]