Small business accounting challenges
When we talk to the small business community and accountants and bookkeepers, several things become obvious. It’s clear that all small businesses need good cashflow to survive. But many don’t really understand or manage their cashflow. They also don’t have good visibility of their accounts.
If you’re a small business owner, there might be a few reasons you started your own company. You may have wanted to do something you’re passionate about, have control of your future, or be your own boss. But it’s likely that balancing the books wasn’t high on the list of potential advantages.
Having passion for your business is great, but accounting often sits at the opposite end of the scale. The software many businesses have is often difficult to use. It’s had a history of being time consuming and confusing for anyone who isn’t an accountant.
If you’re a business owner, you might relate to this sentiment:
'' I would rather face root canal with no anesthetic than do bank reconciliations.''
Too many people are frustrated with the software they use. Why is that? Small business accounting software has been unintuitive and difficult to use for years. Business owners often find themselves chained to an old desktop in the back room labouring over the finances. With a system like that, it becomes obvious why people don’t have good visibility of their accounts.
Five ways cloud software makes accounting fun
- When statement lines from your bank account are fed into your accounting software automatically, you can see your cashflow in real-time.
- Being able to see bank balances, invoices, bills and expenses at a glance gives you a clear picture of your finances.
- View your accounts in the cloud so you can access them when you want, where you want, on any device.
- You’re free to be mobile – not chained to your desktop. When you can work on the same data as your advisors at the same time, there’s no need to share a computer or exchange files.
- Small business accounting software with free updates means there’s no need for installations or maintenance.
Accounting can be fun and addictive
Software that makes doing business a pleasure, can only be a good thing. Making money and seeing how your business is doing should be fun. If your software is intuitive, it can be addictive to use.
What this means for small business
When business owners use software that’s intuitive and easy, they are much more in tune with their financial situation. This means they can avoid problems and take action when it matters, not after the fact, when it’s too late. Adding to that, accountants and financial advisors are able to give them much better insight and advice, spotting future opportunities for growth.
When you get excited about using your accounting software, you’ll notice the positive effect it has on your business.