Know what will help keep your business running like a beautiful well oiled machine? Good bookkeeping practices. Completed regularly, these habits will give you not only confidence, but peace of mind. Neglect these practices and mistakes will fester, leaving you up the proverbial creek with lots of back work to do. Bottom line: Good bookkeeping practices performed consistently will keep your business running at its very best and allow you to discover and fix problems before they derail you.
In this day and age, what is the easiest, most time efficient and convenient way for businesses to do that? The Cloud of course! The Cloud is everywhere you go, taking with it your business’ information, documents and accounts, whenever you need it. Aside from your information and data being stored in one convenient location, using the Cloud for your bookkeeping also automates your records, meaning that you can track your current financial information and accounts in real time, from anywhere in the world, on any supported device such as your laptop or smartphone.
Being automated means that you can spend more time on other aspects of your business. You’ll have more time for customers, growth and new ideas, rather than sitting down and doing the books. Feeding your bank transactions directly into your accounting software means you can see how much money you’re expecting to come in, know how much you owe in bills, and send sales invoices on the go. These are all things which cloud-based and automated bookkeeping can do, and you’ll know exactly where your business is sitting financially at all times.
Real-time bookkeeping can greatly benefit your business, should you choose to utilise it. This particular method of bookkeeping will not only automatically synchronise all of your accounts, but it will also become the backbone of your business. Companies such as Xero offer a complete automated and cloud-based bookkeeping system, which gives you more time for other important day-to-day tasks that your business may require. Over time, automating entries and efficient bank reconciliation via cloud-based bookkeeping means improved productivity and more cost-effective operations for your business.
This is a list of the latest statistics from a recent Xerocon conference:
- Only 51% of small businesses survive over 5 years. However, if they’re on Xero, 88% of them survive the five-year journey
- 92% of Xero organisations are connected to an Advisor
- 99% have an active bank feed
- 40% have an app connection
- Businesses who used cloud apps grew net profit 30% faster than those who didn’t
- Businesses who used an accountant grew net profit up to 23% faster than those who didn’t
As well as offering real time statistics of your business and its figures, automated and cloud-based bookkeeping companies also offer a plethora of other services that you may have found difficult to maintain when attempting to complete manually. Not only can you view your figures in real time, but you can also manage your important documents, from remote locations, giving you the freedom to work from anywhere you choose, at any time.
To make your bookkeeping even easier we have created what we call an AutoMagic check list. You can check this list to see if you have ticked off everything you need to make bookkeeping for your business run more smoothly, easily and automatically, or AutoMagically, as we like to say. By the time the end of the next financial year comes around you will be secure in the knowledge that your bookkeeping needs are taken care of and you are completely up to date and prepared.
Disclaimer: The advice contained in Balance Books blogs and newsletters is of a general nature only and may not apply to your individual business circumstances. For specific advice relating to your situation, please contact your Accountant or other professional adviser to discuss further.