Cloud accounting: top tips to innovate your bookkeeping

The accounting world is constantly evolving into the digital world, with technology on hand to help with the everyday issues of financial management and bookkeeping.

Embracing cloud accounting has become a must for businesses due to big steps in accounting technology, which is revolutionising the way accountants work.

These developments have been driven forward by new legislation, processes and standards such as HM Revenue & Customs (HMRC)’s Making Tax Digital (MTD) strategy.

It is good news for accountants as new tech such as cloud accountancy and apps allow them to integrate and work seamlessly with their clients. It offers real-time integration, meaning accountants have a more detailed understanding of their client’s financial picture.

Collaboration between accountants and their clients is much easier, creating a smoother process for everyone. It means accountants can be on hand to help their clients anywhere, at any time of day.

In this fast-changing landscape, below are some top tips on how outsourcing, cloud accounting and virtual financial director services help to make bookkeeping easier.

Embrace cloud accounting

Cloud accounting refers to using an accounting system that is stored and accessed via the internet rather than a system that sits on one desktop computer. So, no wonder it has become an increasingly popular tool for companies.

For businesses yet to get into cloud accounting, now is the perfect time to do so. One of the main advantages is that it enables you to access your accounts and financial information anywhere, at any time.

It allows multi-user access so accountants and clients can collaborate. For example, accountants can access the latest real-time financial reports, expenses and invoices.

This handy tool is gaining even more importance with the rise of hybrid work, with many employees no longer based at the same computer every day.

With HMRC’s MTD strategy gaining pace, firms must submit their taxes digitally. Therefore, investing in cloud accountancy software now is a timely choice as it will help take the stress out of adapting to the new MTD system for both accountants and their clients.

Hand the reins to a virtual finance director

Virtual financial director services are one of the latest ways the industry is using new ways to maximise efficiency and savings for businesses across all sectors.

A virtual financial director is simply a financial expert who helps businesses without being hired as a regular employee, often working remotely.

A virtual finance director can be incredibly helpful for smaller firms that perhaps do not have the capacity for a full-time finance director.

Larger firms can also benefit by outsourcing this function so employees have more time and energy to focus on other priorities that will grow the business.

The benefits of outsourcing

It may seem daunting to hand over the financial function of a business to an outside figure, but in the long run, there are a host of advantages to be enjoyed: from financial insight and bookkeeping to credit control and costs, these no longer have to be managed in-house.

Outsourcing allows businesses to reduce costs, increases flexibility, gives peace of mind about compliance, plus enables company directors to spend more time focusing on the business.

Get app stacking

Another way of staying one step ahead with your bookkeeping is with app stacking.

So, what is this?

It is when a group of apps work together to perform functions that can be utilised to perform key finance functions for businesses.

They can perform a host of tasks by communicating with each other, such as cash flow management, reporting KPIs and taxes to make life easier.

There are hundreds of apps out there, so it is worth exploring what is on offer.

Looking to take your finance function a step further digitally but unsure about the first move? Contact our team today for expert advice.

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