7 Reasons Why Cloud Accounting Software Means Less Stress for Small Business Owners
Small business owners are busy people - but we probably don’t need to tell you that.
When you have a lot on your plate, the last thing you want to worry about is accounting and bookkeeping.
Fortunately, that’s where accounting software comes in handy.
Cloud accounting software can automate many of the tasks that are associated with bookkeeping and accounting, which means less stress and more free time.
Let's take a look at seven major reasons why accounting software is a lifesaver for small business owners.
What Does Cloud Accounting Software Do?
Cloud accounting software automates many accounting and bookkeeping tasks. It can be accessed from any device that has an internet connection, and it's also subscription-based, so you only pay for the features you need.
Some of the most useful features include:
● Automated invoicing, with a dashboard to keep track of who has and hasn't paid
● Automated bank feeds that keep track of your finances and help you avoid manual data entry
● Automatic categorization of expenses, so you can see where your money is going
● Integrated payroll features, for tracking employee hours and paychecks
Benefit #1 - Seamless Collaboration
One of the biggest benefits of cloud accounting software is that it allows for seamless collaboration.
Multiple users can access the same account and make changes simultaneously, which makes team bookkeeping a breeze. This is a major advantage for small businesses with several employees.
Benefit #2 - Increased Efficiency
Cloud accounting software increases efficiency by automating many tasks that would otherwise have to be done manually.
This includes tasks like invoicing, tracking payments, and categorizing expenses. Not only does this free up time for small business owners, but it also ensures that the books are always kept up-to-date.
Benefit #3 - Greater Clarity
Cloud accounting software centralises your data so that you get a better picture of your company's financial health. You can see where your money is coming from and going to, which makes it easier to make informed decisions about the future of your business. It's even possible to create charts and graphics so that you can visualise your data and see trends in the numbers.
Benefit #4 - Cost Savings
Cloud accounting software is often cheaper than desktop-based solutions, especially when you consider that there's no upfront cost for expensive hardware or installation fees. You also don't have to worry about maintaining the software or paying a professional IT team to manage it, which can save you a lot of money in the long run.
Benefit #5 - Cybersecurity
Cloud accounting software is hosted on a remote server, so it's more secure than storing your data locally. This means that you don't have to worry about hackers or viruses corrupting the data because all of the information is backed up and encrypted on another server. It also comes with built-in cybersecurity features like two-factor authentication and password protection.
Benefit #6 - Greater Accuracy
Cloud accounting software is more accurate than manual bookkeeping, because there's very little room for human error. This means that you can trust the numbers that are displayed in your account and make better decisions about your business based on real data.
Data entry errors and miscalculations can lead to mistakes on your tax form, which in turn may result in a hefty fine from the authorities. Cloud accounting software eliminates the risk of human error, so you can be confident that your finances are always in order.
Benefit #7 - Peace of Mind
Last but not least, one of the biggest benefits of using cloud accounting software is peace of mind. Knowing that your finances are taken care of and that you have up-to-date records gives small business owners the freedom to focus on what they do best - running their businesses.