The advantages of accounting software
If you’re looking for a reliable and simple way to manage your finances, using bookkeeping software is likely the choice for you. Accounting software can save you time and money, as well as show you invaluable insights into your business.
Computerised accounting systems are usually the go-to form as they provide users with speed, accuracy and the ability to see the real-time state of your business’ financial position. A computerised accounting system will usually include a variety of advantages such as:
On-screen input and printout of sales invoices
Automatic updating of customer accounts
Recording of suppliers’ invoices
Automatic updating suppliers’ accounts
Making payments to suppliers
Automatic updating of the general ledger
Automatic adjustment of stock records
Integration of a business database
Automatic calculation of payroll
They can also provide you with instant reports for management such as:
A summary of customer accounts showing overdue amounts
Trial balance, trading and profit, loss account and balance sheet
Budget analysis and variance analysis
Accounting software is designed to be user-friendly, which means you only need to input each transaction once, unlike a manual system. The ledger system is also fully integrated meaning that when a transaction is inputted it is then recorded in varying different accounting records at one time.
The key advantages of using accounting software are:
Ease – the software is simple to use
Accuracy – only one accounting entry is required, which means less errors
Speed – with formatted screens and in-built databases data entry is much easier and quicker to process
Legibility - data is always easy to read and understand, helping to avoid any errors
Efficiency - by using accounting software it’s freeing up time to concentrate on other business aspects
Analysis - you have customisable reports to help you analyse various aspects of your business
Centralisation - various aspects of your business’ financial management such as inventory management, invoicing and payroll etc are all found within your accounting software system
Automatic document production – all invoices, credit notes, purchase orders, printing statements and payroll documents are created automatically with speed and accuracy
Up-to-date information – records are automatically updated
Availability of information – data is always available and can be shared with different users in different locations at the same time
Management of information – producing reports means a smoother management of a business
Simplicity of tax compliance – produces automatic figures for VAT returns
Money savings - accounting software reduces the time needed to manually do the accounts and reduces audit expenses used to check accounts
Multi-currency – modern accounting software usually let the user trade in multiple currencies
By using accounting software you are guaranteed to save time and money. You can ensure that records are saved accurately and efficiently with limited errors.
Any kind of business will benefit from using an accounting system. There are manual accounts and computerised accounts. In order to choose the right form for you and your business you will have to consider your accounting needs. To assess and prioritise your personal accounting needs you can put together an accounting requirement checklist to assist you. By keeping good accounts you are ensuring the survival of your business.
Here at Howards Accountants we are certified accountants with both Xero and QuickBooks. We also have an extensive knowledge of most accounting systems out there.
We can also provide training on your accounting software. We can provide the complete end to end service. From setting you up with HMRC, guiding you though your first year to filing your Tax Return all from £25pm. We offer fixed fees with unlimited support at no extra cost and no surprise fees, perfect for budgeting and the clients that need that extra support.
Get in touch to see how we can help you.