First off, thanks for reading. I hope to put something out occasionally. Posts will mostly be comprised of some casual FYI’s, other “interesting” financial/business tidbits (if there is such a thing), and I may even throw in a story or two.
PS: If you are not feeling like reading the entire article, skip the to bullet/bold points! That’s where I keep the good stuff.
Let’s start off with Cloud Accounting. What is the Cloud? I have no idea, by definition, I really do not. It is a word that gets thrown around a lot in 2020. If you’re looking to sound smart, drop this buzzword in casual conversation.
If I am explaining Cloud Accounting to Joe from down the road, I am noting a few things:
- Automates repetitive and manual tasks
- You can access from anywhere in the World (Web Browser or Phone App)
- It will save you time and money
The main goal of converting to a Cloud Accounting system is to automate as much as possible. We want to make the best use of your time as a business owner or Controller/CFO. Focusing on growing your business is a lot more important than smashing numbers into your desktop accounting program.
Evidently, according to Xero “entities that have began using a cloud accounting platform have seen a 15% increase in revenue year-over-year.” The time spent coding transactions, running payroll, and sorting receipt has been converted into business growth.
Time saving can be achieved in many ways, including (but not limited to):
- Automating payroll through apps like Wagepoint or Payworks, which utilizes direct deposit for both employees pay and CRA remittances (also takes care of ROE’s and T4’s as well)
- Snapping pictures of receipts and bills through phone apps like Hubdoc and Quickbooks to sort and post all expenditures/payables (no more receipts in the console of your truck!)
- For repetitive transactions, “Rules” can be set-up to automatically record payments/deposits. (Ie: Bank charges, Tim Hortons, Fuel – items you don’t need to review, but are frequent)
The biggest eye opener for me during the pandemic was the inaccessibility of other Accounting Systems. You literally need to be sitting in your office chair to access some of these programs. With a Cloud System, you can be anywhere in the World with an internet connection. If you are sick of storing paper copies of receipts and handwriting invoices, this is a great opportunity to make the switch into the 21st Century. One thing I will highlight: If manual entry is working, that is okay too. I am not going to come pounding on your door preach the good word of Cloud – it all boils down to what is best for you! However, I have seen the positive change this type of accounting system can bring, and I highly recommend it!
This is the next big thing in business! Don’t be late to the party, if you want to learn how your business can benefit from a Cloud System – contact our team!