Bookkeeping services has been always the first step towards properly managing and accounting work of any business corporation. When it comes to business management, year 2020 shall be earmarked for adapting changes and keeping-up to trends for business survival. Bookkeeping becomes the base of many analytical activities related to the incorporations. Let’s dig-in the trends to be seen in bookkeeping services ahead.
Use of cloud and Artificial Intelligence
Many business corporations depend on the cloud for multiple operations from storing data to connectivity and reducing business costs. An emerging bookkeeping and accounting trend, the Cloud today is being widely used to work and allow easy access to world-class infrastructure without the need to spend large amounts of money on it. Cloud accounting helps in birds-eye view and improved collaboration with team members and a better overview of the business’ finances. AI also keeps the trends in the past into check to help with the future course of action with reduced efforts and maximising effectiveness in the whole process
Cloud Bookkeeping services requires software that runs on servers and connectivity to the internet. The benefits of cloud accounting include –
Automation
Automation in bookkeeping services is a necessity that can definitely save corporations long hours on accounting. It is slowly and steadily eliminating the requirement for man-held data entry and saving businesses a great amount of production hours. Automation in bookkeeping is intended to reduce the load of manual bookkeeping and accounting, and use that time to deal with actual real-time accounting issues. Although automation may seem like a threat for accountants, they aren’t going to replace them in the near future. Automating bookkeeping services and the related process is inevitably beneficial for entrepreneurs and small business owners/firms.
Collaborative and Integrative Approach
Bookkeeping services are undoubtedly seeing the upcoming shift in software and automation, but also in way of engaging and working with their clients. Collaborative accounting may not be a new thing at all, although a new angle in collaborative accounting involves using the internet and shifting technology to work in tandem in real-time irrespective of their location.
It implies to multiple services available today. A sale could be incurred by a salesperson sitting at one location using a mobile device or tablet and issues related to the same could be resolved by a manager at a different location. All that needs to be put into place is the technology required, tools, and portals in order to carry out smooth flow information between the collaborators.
OUTSOURCING
One of the futuristic shifts in bookkeeping / accounting services is outsourcing of finance and accounting activities. Outsourcing of accounting definitely allows businesses to keep their eyes on their core business areas instead of building an accounts department for clerical work. Outsourcing accounting / bookkeeping services can help institutions reduce costs, and also nullify risk of fraudulent activities and allow access to the services of dedicated professionals in the respective field. Below are the advantages of outsourcing accounting and bookkeeping services
Bookkeeping – a shift towards advisory and planning
All this new technology & automation means the bookkeeping role is changing. Bookkeepers are becoming more like business advisors and virtual CFOs, rather than data processors. Ability to read and analyse the numbers and make appropriate suggestions in accordance to the way the clients work is how most of the bookkeepers are investing their time these days. Apart from working on financial software, bookkeeping services focus on what the numbers mean for business performance and communicate the same to their clients. Bookkeepers that haven’t accepted technology or are hesitant to help business owners beyond basic data entry will definitely need to upgrade if they want to flourish in 2020 and beyond.
Finding balance in business
Bookkeeping services these days have allowed business owners find work life balance. There has been large amount of data available with bookkeepers which has allowed them to empower their clients. There has been shift from regular data entry job to planning. This has allowed clients to shift their focus on the prime customers rather than every loose customer which leaks their cash flow. All this time the business firms have allowed people to find balance in their life and allowed to improve their productivity in the core areas.
Turn COVID-19 crisis into opportunities
3 things you need to consider to stay ahead in business
The rapid spread of the Coronavirus, also known as Covid-19, has affected all of us. Many countries are on lockdown, the busiest street now seems deserted, public places have been closed, and events have been cancelled. All these situations had an enormous impact on our lives. Not only that, but it has also affected our business and economy. Many businesses are encouraged to stop their non-essential functions for the sake of social distancing and to stop the spread of the virus.
As bookkeepers, we understand the damage this can do and have done on the businesses. Many small-business across the country have already observed a negative impact on their financial position. Furthermore, a record-breaking number of companies are filing for bankruptcy or closing down. For many industries, the numbers are assumed to get worse. These business should consider turning COVID-19 crisis into opportunities.
From the economic point of view, we might be on the verge of massive transformations, and its consequences will be visible for the years to come. And while the business environment is guaranteed to change, there are several steps you can take to keep your business operations afloat. Most importantly, the key to facing this pandemic is to stay positive, look for opportunities and not panic. Therefore, we’ll like to suggest some useful tips that you can use to mitigate risk, minimize the potentially detrimental consequences, Incas opportunities and stay ahead during this pandemic. Check them out!
During the lockdown, it has become hard to maintain the books of accounts, especially if you do not use online bookkeeping software. Thus, our first tip is that you contact the bookkeeping service providers who are experts in the software such as Xero and start maintaining your day to day accounts digitally. Transferring your accounts online will help you in getting real-time assessments. By following this simple tip, you will be able to track your unnecessary expenses against the revenue and reduce them. During this contagion, it is crucial for firms to conduct a precise assessment of their variable and fixed costs as well as the present revenues.
Moreover, it is proven that keeping a close eye on your day to day transaction can help you in making various financial decisions. It will help you to track your liquidity and investment capacity. This assessment will provide a fair understanding of the business’s financial position and assist you in planning your next step in the current disconcerted environment.
Our second tip to you is that you should plan out an effective way to communicate with your stakeholders, most importantly, your customers and employees. Your employees rely on you, so keep them updated about every development. You should keep them abreast of significant developments so they won’t be surprised if there is a sudden change in the business operations. As a businessman, you need to keep your employees engaged and stay in touch with them through video conferencing applications such as Google meet and Zoom.
Additionally, it would help if you also remain transparent to your consumers about what your business is going through. Customers can sympathize with companies facing a crisis, as long as the communication is effective and transparent.
The idea is that we are in this together, so make sure that your stakeholder knows about the strategies you are preparing to create a safe environment for your employees and customers. This will help you to build a rewarding relationship with them, which you can encash in the future.
We are currently living in a rather uncertain time; the business environment is changing rapidly, so it is essential to be prepared for both the threats and the opportunities. For instance, with sales going down and consumer spending less, you might need to adopt alternative sources of income to support your business operation. If the business is still going well, you should try to put more money aside for an emergency. You should also contact your credit card companies to see if you can extend your credit or if they have a relief policy in response to the Coronavirus crisis.
Further, if your merchandise, services, or business model can be driven to assist people and address problems associated with the current situation, you can shield your business by aggressively tracking such opportunities. Contact the experts at your company and work on plans to respond in a way that can boost sales.
So, our final tip to you is that, put on a decent pair of trainers and be ready to encash the new opportunity that comes your way. Good luck!
How Can Outsourcing Bookeeper / Bookkeeping Services Change Your Business? Running a business may be a fulfilling and rewarding job. It’ll allow you to prosper beyond your imagination and assist you become increasingly financially independent. That’s why you ought to always want your business to succeed . For this to happen, your business, whether a start-up venture or a longstanding company, should be managed appropriately by you.
You should always keep your ears sharpand learn of the comings and goings of your business. But, of course, you can’t make it happen all by yourself. Running a business takes determination, commitment and dedication. But, more important than these, you require a help and another set of fresh eyes to assist you within the day-to-day operations. You want to be smart enough to rent outside help to assist within the business operations. You ought to enlist competent people to assist you manage and grow your business.
One of the people you might want to hire or outsource bookkeeping services. He or she will surely make your life easier.
What is a bookkeeper?
A bookkeeper is an AAT or ICB qualified professional whose main task is record-keeping or bookkeeping. Bookkeeping is an accounting process in a business that permits for the monitoring and recording of all financial transactions, purchases, sales, receipts, and payments.
What do they do?
A bookkeeper can pay close attention to your day-to-day operations to trace assets, expenses and cash flows. They perform checks and balances to form sure that your business is usually profiting and maximising its resources. Their tasks also involve preparing various source documents for all transactions made during operational hours.
How will it change your business?
Having a bookkeeper can offer you the following benefits:
1. Better financial management
Bookkeeping features a way of keeping you on top of your game since it can monitor the income of your business. It means you’ll manage your finances better and inform you immediately if your company is on the proper track.
2. No more tax obligation problems
Taxes can haunt your business if you did not organised your ledgers and balance sheets once you are near the tax season. A bookkeepers are going to be ready to assist you keep track of each documents and records in order to complete your annual taxes without a glitch.
3. Business planning made easy
You don’t need to always worry about your next course of action. Bookkeeping allows you to create an in depth marketing research which will help outline your future business strategy and marketing plan whenever you wantto.
4. No lost records
Bookkeepers are meticulous when it involves recording and organising your documents, so you don’t need to worry about losing critical financial data because it’s bound to be found within the accounts.
Making your business successful is not any small feat. Being an SMEowner comes with its own challenges. But, you’ll surely make it easier by hiring bookkeeping services. Doing this is able to go fartoward helping you grow your business faster.
If you need to our source bookkeeping services please contact award winning xero bookkeeping firm, Kenbell Accounting.
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