6 December 2021

Transitioning your business to a cloud-based accounting platform can result in some significant benefits. However, for many business owners, the process can seem quite daunting, particularly if you’re not tech savvy.

So, if you’re running a business and have not transitioned to cloud-based accounting software, let me talk you through a few of the reasons you should at least consider it.

1. Time

Most business owners I know are time poor and don’t want to spend hours entering data, doing bank reconciliations, paying bills or working out who owes them money. Of course, you can employ people to perform these functions for you, but without the use of current technologies this process can still be time consuming and costly.

Cloud accounting automates large parts of the bookkeeping function helping to free up significant amounts of time and resources.

2. Accuracy

With the level of automation available within cloud accounting software, the risk of human error is significantly reduced, and accuracy and efficiency are dramatically improved.

Bank feeds provide data direct from your bank into the software giving you peace of mind that all transactions are being processed and reconciled, and nothing has been missed.

3. Access

No longer do you have to be stuck in your office in front of the old desktop computer to access your financials. Cloud-based accounting systems can be accessed from almost any device from anywhere in the world that has access to an internet connection. This gives you ultimate flexibility to keep your business running from wherever you are and keep an eye on your business performance based on live data.

4. Security

Data loss is a very real risk with manual processes and can result in significant disruption and cost to your business.

Traditional accounting systems installed on a single hard drive or local server can leave you exposed to a backup failing or your local computer or sever crashing or being damaged. Cloud accounting systems encrypt your data and store it in multiple secure locations to mitigate against the risk of data loss.

Transitioning to a cloud accounting system also means you will always have access to the latest version of your software with automatic updates. No more purchasing, downloading and installing multiple versions of software to keep yourself up to date.

5. Collaboration

With cloud accounting, having multiple users on your file is as simple choosing what level of access you want them to have and inviting them to access the file via an automated email. So, the issue of old desktop versions having limited access numbers are a thing of the past and your team can all access the file as and where needed with the appropriate level of authority.

Additionally, it makes sharing and collaborating with your accountant and advisers easier than ever. Printing off reports or taking backup copies onto a USB for your accountant is a thing of the past. Simply grant them access to your file and you can have real time collaboration with your accountant. People you provide access to can work in your file with live data, providing feedback and advice on real-time data and financial reports, and invaluable insight into your business performance.

6. Compliance

Cloud accounting platforms make dealing with your compliance requirements a simple streamlined process.

With most government agencies, including the Australian Tax Office (ATO), moving to digital communication platforms and lodgement of data, including Activity Statements, Single Touch Payroll and the like, having cloud accounting software that can perform these functions is fast becoming a necessity.

With so many software options available it can be difficult to know what best suits your needs or where to start. Findex has a specialist team that can assist you in analysing your current system, defining your needs and implementing a system that works best for you.

Our experts can also help manage your entire bookkeeping and finance function through our digital platforms, keeping you fully informed and giving you peace of mind that the numbers are under control, so that you can spend your time where it matters most. If you require any assistance, get in touch with the Findex Accounting and Business Advisory team.