INNOVATE YOUR BOOKKEEPING WITH CLOUD ACCOUNTING
Released On 20th May 2022
As accounting continues to develop, the digital world has become more prevalent than ever, with technology playing a large role in daily financial management and bookkeeping matters.
The main component of that technology is cloud accounting, which is rapidly transforming the way accountants operate.
These changes have been further supported by new legislation, practices, and principles such as HM Revenue & Customs (HMRC)'s Tax Digital (MTD) strategy.
The latest tech such as cloud accountancy and apps not only allow accountants to integrate and work smoothly with their clients, but also gain a better grasp on their client’s financial position with real-time integration.
The relationship between accountants and their clients is strengthened, meaning a seamless process for everyone involved. In a nutshell, accountants can easily help their clients anytime and anywhere.
To help you navigate this ever-evolving environment, below are some top tips on how outsourcing, cloud accounting and virtual financial director services help to make bookkeeping easier.
Embrace cloud accounting
Cloud accounting is an accounting system that is stored and accessed through the internet, known as “the cloud”. This is opposed to a system that exists on desktop computers.
If you haven’t yet given cloud accounting a try, there is no better time to migrate over than now.
One of the main advantages is that it enables you to access your accounts and financial information whenever and wherever you need to, permitting multi-user access. Businesses can collaborate with their accountants in real-time, sharing financial reports, expenses, and invoices.
Cloud accounting is becoming even more vital with the increase of hybrid work, as many employees are no longer working at the same computer every day.
Additionally, with HMRC’s MTD strategy, businesses must submit their taxes digitally. Therefore, investing in cloud accountancy software now will help take the stress out of adapting to the new system for both accountants and their clients.
Consider a virtual finance director
If you need a professional who can manage your finance, but you can’t afford the expense of hiring someone on a full-time basis, you could employ a virtual finance director.
A virtual finance director is a financial expert aiding businesses with important financial information and offering support with financial decisions.
This can all be achieved without hiring them as a regular, full-time employee. Instead, they handle all the responsibilities of a conventional finance director whilst working part-time and remotely.
A virtual finance director can be incredibly helpful for smaller businesses that perhaps do not have the capacity for a full-time finance director.
Larger businesses can also benefit by outsourcing this function so employees have more time and energy to focus on other priorities that will grow the business.
The advantages of outsourcing
Although assigning the financial role within a business to an outside figure may seem intimidating, there are a multitude of advantages to be had, such as financial insight and bookkeeping to credit control and costs.
Outsourcing is beneficial because these aspects no longer have to be managed in-house.
As a result, you can reduce costs, increase flexibility, gain peace of mind about compliance, and spend more time focusing on your business.
Start app stacking
An app stack refers to a collection of tools that integrate with cloud accounting software, another great method of staying one step ahead with your bookkeeping.
A group of apps will work together to execute tasks that can then be used to operate key finance functions for businesses, performing a host of tasks effectively and efficiently by communicating with each other, such as cash flow management, reporting KPIs and taxes.
With hundreds of apps out there for you to discover, it is worth delving into what is on offer.
Do you want to take your finance function to the next step within the digital world? Contact our team today for expert advice.
