Many businesses, particularly those that have been around for a number of years, will be sticklers for doing things the old fashioned way, only upgrading their systems when absolutely necessary for the survival of their business. It is a fact that many accountants still prefer to keep paper records instead of digital ones and, while this may be useful, it can also be perilously dangerous. Here are some reasons you might want to upgrade to more modern practices and how your accounting department could really benefit.
The Cloud and Backing Up Data.
Since the advent of so called ‘big data’ everything is connected. Tools such as Google Drive or Dropbox are used commonly among business accountants to sync their records and keep everything bang up to date. Sure, having your documents in a handy filing cabinet to wheel out in meetings is useful, but what if there’s a fire or some property is stolen? Or what if you happen to be away from the office when you need something important? This is where cloud storage can really help – giving you access to all of your documents wherever you are, via phone, tablet, laptop or whatever’s convenient. If you have a team of accountants this will also save you a great deal of time as you’ll be able to share information and work on files simultaneously.
Many old school business directors might prefer the old hat methods of accounting; sitting down with a calculator and crunching through numbers. While this can be a perfectly effective way of managing your accounts, the bigger the business and staff level, the harder it becomes. There are many software products out there such as Sage or Xero (many other products available!), which can really help with the day to day managing of your accounts. What’s even more impressive, is that you can set up access tiers for various employees and get a team working on one particular document at any given time. These software packages not only help you keep track of your accounts, but they can help you manage customer records and stock levels too. Imagine how much time that could save you and your business?
At the end of the day, running a business is about making the right decisions. Whether or not you make the right decision depends largely on what kind of information or data you have available. Computerising your business can deliver some incredible insight into the potential failings of your business, and new interpretations of data can offer new strategy ideas, keeping your business current and relevant.