The tech-savvy firms went through a bare minimum impact on the contrary the firms using obsolete technology suffered a good amount of loss.
As Accounting is the fundamental process that every business has to go through, did handling accounting on spreadsheets kept businesses from growing? There is only one answer to the question.
The year 2020 was a wake-up call for all the businesses that hadn’t yet started on their online accounting journeys.
Businesses needed to refresh their skills and optimize their complex financial data by creating a path for an online accounting solution. A lot of business issues and problems like posting and chasing invoices, maintaining spreadsheets/installing programs on one machine, fear of data being hacked, unhealthy relationships with accountants, etc., can be resolved from online accounting solution.
Apart from being cost and time-effective an online accounting software can turn around your business pages and build a success story for your business by managing multiple users, reconciling bank accounts, tax compliance, generating financial reports, etc.
• COST AND TIME EFFECTIVE
Online accounting keeps you from running a marathon or creating time-consuming errors with your invoices. It automatically generates invoices at regular intervals by creating recurring profiles for regular customer orders and scheduling invoices.
Moreover, it proves to be cost-effective by eliminating the need for an accountant and providing monthly payment options thus helping you in managing your business’s cash flow.
Now counting your chickens before they hatch wouldn’t be so bad!
• TAX COMPLIANCE
One another tedious task from which every businessman suffers is filing their tax returns.
An online accounting solution is designed to adhere to your local tax regulations.
Accounting tools make tax estimates quicker and help you add the correct tax on your purchases more precisely. You can also get a clearer understanding of your taxes by generated tax review reports thus making the tax compliance a childsplay for you.
• STREAMLINED DATA AND BANK RECONCILIATION
You can get an overview of your entire business at a glance and an up to date snapshot of your business finances through a dashboard and automated bank feeds. Nevertheless, you won’t have to wait for the end of an accounting period to view your financial reports as an online accounting solution allows you to keep a track of your balance sheet in real-time!
The fundamental accounting feature of a company is bank reconciliation, and accounting software streamlines it. Connecting your bank account directly to accounting software helps you to automatically fetch statements from bank feeds into your accounts. In your accounting program, custom requirements and bank rules can be set up to automatically categorize and align imported bank transactions. You just need to check and validate them to reconcile your accounts until your transactions are matched. Accounting software helps keep the company audit-ready during the year with efficient bank reconciliation.
• MILITARY LEVEL SECURITY AND NO PAINSTAKING BACKUPS
Online accounting solutions do not let you compromise on your data being hacked by providing watertight security. Your data is constantly backed up on a cloud server and even if your computer crashes everything is still saved in the cloud.
Unlike desktop accounting that requires a data backup at the end of the day, an online accounting solution eliminates the pain of backups by providing automated backups at regular intervals!
• ONLINE BUSINESS COMMUNITY AND COLLABORATIVE EASE
Apart from some great accounting features online accounting software also helps in creating an online community of fellow business owners.
You can also work with colleagues, share data with your advisors, keep a track of your competitors, etc. by creating online networks through your very own accounting solutions.
BOOST YOUR BUSINESS BY SMART ACCOUNTING FROM TODAY!
A quick overlook of the impact of the plague in the accounting profession would enlighten us with the fact that 62% of the firms who felt they are responding to COVID-19 successfully were more likely to be using cloud-based technology, particularly, cloud-based document management and online client portals and hence the firms must create and implement a business continuity plan to address critical scenarios which may impact them in the future.