A key part of Making Tax Digital (MTD) is the need to move to an HMRC approved accounting software as all VAT returns must be filled electronically. If making the move from spreadsheets to software 2 Sisters Accounting recommends going for a cloud based accounting software like Xero or Quickbooks.
We are certified with both of these software providers and offer an hour free training to any of our clients using them to help make the transition to cloud based accounting be as easy as possible for you.
There are a lot of benefits for cloud based accounting software beside simple compliance with the new MTD rules, and if you need some convincing to make the change we are covering these below.
1. Have access to your numbers anywhere at anytime.
Using a cloud-based accounting app like Xero, gives you easy access to your figures whenever you want to access them. It’s hosted remotely which means you don’t need to worry about any time-consuming downloads and updates. You can even access your figures on the Xero app making it truly mobile! This gives you added flexibility knowing that you don’t need to be sitting in your office to check your cash flow or access your accounts.
2. Get a completely up to date view of your business finances
When your data lives in the cloud you’ve always got a completely up-to-date view of your current financial situation. And that allows you to make better informed decisions about the financial future of your business. Using traditional accounting methods, you’d have to scroll through pages and pages of out-of-date management reports. Now you’re looking at your company’s finances in real time – and that’s a pretty amazing benefit when you’re a fast-growing company.
3. Backups are stored electronically for you
In traditional accounting software your backups are costly and slow to create, if they are done at all. With cloud based accounting software the backups are all part of the service you pay for each month meaning you don't have to worry!
4. Reduced Costs
Instead of paying a one-off lump sum fee, which you often need to pay again when you upgrade, users pay a monthly subscription fee, depending on the company’s size and specific requirements. The prices rarely increase once you have taken out your subscription instead of the annual price increases that are common with traditional accounting software.
5. Your accountant is much more help!
Being able to log in from anywhere also means we can log in as your accountant. This enables us to run reports, make adjustments and answer your questions with ease from wherever we happen to be. Traditional accounting software means we have to either take a backup every time we visit you, or come to your offices to do any bookkeeping work. This means we can't answer your questions as they arise, and us visiting you increases our bookkeeping invoice at the end of the month!
If this has helped to convince you its time to move to cloud based accounting just get in contact and we can discuss the best options for you!