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Young female wearing formal clothes working on laptop typing emails sitting at her workplace.

Time is money. Hence, businesses are required to ensure that they value time as much as they value money. One of the primary objectives of most enterprises is to maximize profits – signifying that with higher profit goals, they must save crucial business hours that would otherwise be wasted. The Japanese concept of Lean Production calls for eliminating waste or ‘muda’. This waste can take various forms; one of which is unnecessary time taken to execute a certain task.  Lean principles dictate that lead time can be reduced by avoiding re-works. The task performed must be done to perfection in the first attempt so that no re-work is necessary. The more re-work a task demands, the higher the wastage, the lower the efficiency. It is, therefore, essential for businesses to save crucial business hours and implement lean production within their organization to inseminate an efficient work environment.

Rather than manual tasking, businesses can salvage time through implementation of accounting software – ERP (Enterprise Resource Planning). Using accounting software enables various benefits that can effectively save crucial business hours that would otherwise be wasted. 

Accounts Preparation

With the aid of an accounting software, such as QuickBooks, most of the account creation process can now be automated using the inbuilt analysis tools and templates. Rather than the manual creation of ledgers and financial statements in Excel, it is easier and time-saving to instead use an accounting software that includes the relevant templates. Bookkeeping was initially automated to avoid human error, but an automation such as this brings other laudable benefits along with it. Now, you don’t only eliminate error, you get to save time and any and all cost involved.  

Invoicing and Payments

Accounting software allows for automated invoice creation and updating. Moreover, payments can be processed in time for both the vendors and customers from within, systematically. Creating invoices can be a tedious task owing to its repetitive nature. This repetition may effectively be reduced through automatic invoice generation for the various vendors. Payment runs will highlight the accounts that require payment. The system will automatically make changes to these respective accounts without the need to manually post a debit and credit entry within the innumerable accounts of the General Ledger. Automated invoicing and payments is yet another way to cut down on crucial business hours that may now be allocated elsewhere.

Report Generation and Distribution

Accounting software may be configured such that daily, weekly, monthly and yearly reports can be processed and prepared at preset time intervals. Moreover, the accounts can be integrated in order to feed relevant data into the reports. So, for instance, the daily time-in procedure of each employee will transfer data into their weekly attendance report. This will save time in preparing the weekly and monthly attendance sheet of each employee. In addition to real-time reporting, these reports can also be distributed by integrating the email system with the accounting software being used. This allows for timely reports being sent to all authorized recipients.  If this had to be managed manually, imagine the time it would consume.

Inventory Management – Restocking

Stock-outs can be a nightmare for many businesses, especially ones that have a well-established repute in the market. For other, lesser-known ones, turning down customers for ‘out-of-stock’ products can be detrimental and may eventually lead to a diminishing customer base. To avoid stock falling below the safety margin or the Economic Order Point (EOC), automated refurbishment can be actualized through an accounting software. In addition to avoiding stock-outs, crucial business hours can be redeemed. This may as well be used by the business to set itself apart from its competitors. Stock-outs give a very poor first impression to all potential customers.

Conclusion

An accounting software such as Xero or QuickBooks can be used to save crucial business hours. Every second that you save may be utilized in performing other more productive duties, thereby reducing wastage and fostering efficiency. Moreover, resource allocation can be largely improved upon using accounting software. The redundant resource is an expense in itself.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

 

 

 

 

 

Young finance market analyst working at office at white table.Businessman analyze document and the calculator in hands.Graphs and diagram
In the past few years, new technologies have developed which have transformed almost every aspect of a business. The accounting industry was thought to be stagnant for many years, however, with the emergence of new technologies it certainly looks ready for disruption. There are a few drivers that must be seen in an industry before it dives into disruption.

What drives Disruption in an Industry?

Complacency

Complacency is one of the biggest signs that disruption is on its way, as businesses become mundane and instead of focusing on the future, boasts about their past accomplishments. This is an ideal opportunity for new players to come into the market and make an impact.

Frustration and Lack of Automation

Customers today are highly demanding and want better offerings. If existing practices in the accounting industry are not able to cater to their needs, they will look for some other option. Manual tasks usually take longer and frustrate the customers who want quick results. Automated solutions are in high demand in such an environment, which ultimately leads to disruption.

Innovation

Many new start-ups entering the market force the big players to either change their approach to innovation or acquire the emerging of new companies. Such a scenario can drive disruption in any industry.

When two or more of the above-mentioned drivers are present in an industry, it is set for disruption. Looking at the financial sector, we see that they are in play, one way or the other.

5 Trends Driving Disruption in the Accounting Industry

Customers want better connectivity

All service-based industries are opting for processes that are customer-centered and offer better value to them. With the advent of new tools and cloud technology, accountants are able to connect with their clients in newer ways, which builds healthy relations between both parties. All the business plans and future scenarios are discussed in real-time because of high-speed connectivity and problems can be solved as soon as they arise.

We can see this trend all around us as both service providers and clients have access to real-time information. It is all about information and whoever has access to the most relevant and rapid information has a competitive advantage.

Big Data

The advancements in business intelligence, big data, and machine analytics have far-reaching consequences in every aspect of the business. Big data allows businesses and decision makers to access an extraordinary amount of information and analytical tools to decide for their future.

Today, accounting professionals are using these tools to enter data, record keeping and analyze the future prospects for their business. Big data is a massive amount of consumer data and financial trends, which enables the strategists to view things from a broader perspective, allowing them to predict the future needs of their clients. The demand for business analytics professionals is on the rise because they are specialists in organizing big data and finding utilitarian patterns out of it.

Customization and specialization

It can be observed everywhere, as businesses are acquiring a taste for customization. This has been one of the driving factors to disruption in every industry, as clients only want to see or use the products that are fit for their specific needs. Social media users can choose to view content that they desire while smartphone users have access to the apps they want.

In accounting, this has resulted in an increased demand for specialized products instead of bundled packages. Businesses only want to pay for the specific services they require and cut costs on unnecessary services. If a company wants to outsource only its bookkeeping, the service providers need to oblige. Consequently, the accounting industry is seeing a shift in product offerings and price structuring of accounting software and other services to fit the need of their clients.

Mobile solutions

Smartphone usage has risen rapidly in the last decade and almost every business owner now owns one. This is one of the biggest challenges for accounting service providers as they must evaluate the kind of devices their clients use and then develop seamless apps for those devices. Many small business operators want to perform most of their accounting functions, like managing accounts, recording expense and tracking financial information on the move.

The accounting industry is coping with this challenge by equipping these clients with apps and portals specifically built for this purpose. The security features are becoming more advanced and user-friendliness of these apps is being worked upon continuously. Other value-added features like useful tips and advice are also helping service providers to attract new clients who want to keep track of their business on the go and stay on top.

Automation

We are witnessing the disappearance of manual data entries. Things like electronic documents, automatic imports and software solutions are becoming more of a norm. Businesses are better able to utilize their resources because of automation, as it saves them valuable time and cut HR costs. Real-time reporting is possible through automation and accuracy is improved significantly. Automation is going to be a key driving factor in the disruption of the accounting industry in times to come.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

Red help button isolated on white background
Guided help in an accounting software assists users through a real job by:

  • Highlighting of controls
  • Step by step instructions
  • Additional help boxes can be opened
  • Error grasping

There are tour guides and help boxes built into accounting software. When an accounting software is specifically designed for small business owners, it is built with an aim of simplicity. New users can also operate accounting software with an ease. The software is made more accessibly simple by built-in help boxes. Small business owners can use the small business accounting and bookkeeping software themselves.

Small business accounting requires some standard procedures in accounting and bookkeeping. A small business accounting software must have the following controls built into the software:

  • Income and Expense
  • Financial statements
  • Cash flow statements
  • Balance sheets
  • Fixed assets
  • Budgeting
  • Payroll
  • Taxation matters
  • Inventory management
  • Sales management
  • Customer management

Special guided help boxes in small business accounting software

Guided help boxes in small business accounting make the work easier and less time-consuming.

Guided help box to avoid error in entries

There are special features to eradicate typographic errors when accounting and bookkeeping in small business.

Now, the basic accounting software also comes with some special built-in features. If there is any difference in financial statements, the software will highlight the error. Small dialogue boxes are opened to guide where the error can exist. If one is not able to understand then they can access help boxes built into the software. You can get instructions using that ‘help’ feature. If the balance sheet does not match with cash flow statements or financial statements, a guide box opens to recheck entries. Such features reduce the chance of typographic errors.

Inventory management

If the business product is going out of stock, a special help box will keep giving you reminders until you get a fresh stock and enter the data into the software.

In some software, the near ending stock will be highlighted to inform users to plan for their next purchase.

Expiry management

When you are doing a business of finished products or raw materials, everything has an expiration date. A standard rule is to follow the principle of ‘first in, first out’.

But accounting software also collects expiration dates and give intimation of soon to be expired batches.

Help in budget making

When making a budget using small business accounting software, the built-in features will help throughout the budgeting process. If expected expenses are exceeding the percentage reserved for special operations, it will be highlighted. A help box can guide you to manage expenses and income, according to the budget percentage. If the income is low and expenses are high, the guided help will lead you to make expenses accordingly. 

Taxation matters

Guided help boxes in small business accounting and bookkeeping also aid in tax matters. Income tax statements can be prepared. Value added tax can be deducted. A final picture of your taxation matter is made transparent using helpful features of accounting software.

Last date intimations

Using a software aids you in remembering last dates to pay taxes and make other payments. Small window boxes act as reminders or highlighted controls will be present in an accounting software to aid in the process of making payments and paying other liabilities.

Expense management

If the current expenses are going higher than expected in any kind of business operation, the guided help boxes will lead you to the point where you can actually check the exceeding expense record.

Web-based accounting

The above features are provided in software for small business accounting and bookkeeping. The same features and guided help boxes are also available in cloud-based accounting systems. Accounting can be done online and the same help and guided boxes are provided by the cloud-based accounting systems. You can access your accounting data from anywhere in the world.

CONCLUSION

Guided help boxes act as a useful guide for performing basic accounting functions by the users. In small business accounting software, these help boxes assist new users to perform accounting and bookkeeping tasks themselves. Accounting and bookkeeping are made easy and less time-consuming. 

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

 

 

 

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Small businesses are private firms, partnerships, or proprietorship. There are fewer employees and annual income is lesser than a regular size business. A business is classified as small to qualify for government support and utilize tax resources specifically designed for small business. Small businesses can range from shops like bakeries, grocery stores, salons, service companies, software houses, to lawyers, clinics, accountants, and home industry. 

Accounting is the application of knowledge related to business bookkeeping in a systematic and comprehensive manner. Accounting is the key-function in every business. In a small business, accounting can be managed by a single person, while in a large business, the accounting process needs more accountants. Accounting is a way to record bookkeeping, manage accounting statements, perform internal audits, advise on tax payments, etc. Interpreting accounting statements correctly by the entrepreneur ensures successful entrepreneurship. Accounting explicit profit, loss, liabilities, tax, and equity in a business is essential.

Accounting Software

Accounting Software are computer programs specially designed for performing daily accounting tasks and business bookkeeping functions.

The importance of using accounting software in the business:

  • Hours of time is saved by using accounting software for business operations and bookkeeping tasks.
  • Accounting software aids in monitoring the cash flow in a business. It can create invoices, track expenses, and create a variety of accounting reports. Such software also aid in managing inventory.
  • Accounting software can be relied on to analyze business operations.
  • There is a vast range of accounting software in the market. These accounting software are designed to specifically meet the needs of small to large size businesses.
  • There are software for accounting which are so simple in use that a small business owner who has no background in accounting can use them easily.

Accounting Software for Small Business

An important and challenging step in business is to choose the right software per your business needs. Consider its cost, usability, and extra features for choosing a suitable software for your small business.

  1. Features of an Accounting Software

The following accounting tasks are important for a small business:

  • Inventory management
  • Sales trackin,
  • Contact management and contact history tracking
  • Account to accept credit card payments
  • Generating Invoices
  • Financial statements, cash flow statements and balance sheet
  • Budget planning
  • Payrolls
  • Taxation matters

When choosing an accounting software for small business, always search for the above features in the software.

  1. Business Specific Accounting Software

There are software which are designed specifically for a specific type of business. A software for manufacturing business will require certain features specially designed for manufacturing units. A construction business requires a few features solely helpful in a construction business.

  1. A Cloud-based Accounting Software or an Accounting Software for use on Desktop

Always discuss your requirements and expectations from an accounting software with the software programming company. Discuss with other experienced entrepreneurs and get to know their choices before getting a software for you. Many software companies provide a specifically designed software that will meet your demands.

  1. Cost

Accounting software cost is an important issue to consider. First, plan out your business needs and finances. Purchasing a costly software with highly-advanced features will not help your small business. A small business owner can plan to purchase accounting software by giving a full payment at once or he can give payments in installments or as monthly payments. Plan out which suits your business finances the best.

  1. Modules to be added on later

Accounting software often have modules to include features as your business grows. Many software can be upgraded as the requirements for accounting processes increase. For example, a Payroll Module is often added later in many small business accounting software.

  1. Free trial

Go for a software where you are given an option of a free trial.

Some Accounting Software for Small Business are QuickBooks, SaaS, Freshbooks, Xero, Zoho Books, Wave.

CONCLUSION

An accounting software makes accounting work easier and helps on-time completion of accounting processes. Small businesses also need accounting software just as large businesses do. The accounting software for small businesses are specifically designed with small business features. But, good accounting software for small business gives an option of upgrading the software or adding modules in that software. Clarify your needs and expectations first, then go for purchasing an accounting software.

Check out America's Best Bookkeepers


About Complete Controller® – America’s Bookkeeping Experts
 Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

Small Business Owner using QuickBooks

QuickBooks is a software for accountants and companies to increase accounting efficiency in a business.

Efficiency indicates a level of performance through a process which involves the lowest amount of inputs to generate the greatest amount of outputs, including your time and energy.

Accounting Efficiency may mean accurate and up to date financial statements and that your bookkeeping is done with less time and energy.

Accounting efficiency is greatly enhanced by using specific software.

Benefits of Accounting Software

The introduction of accounting software was a blessing for trades and corporations. Time is saved which was previously used in manual bookkeeping and accounting tasks. The software can come with high prices, but the benefits are most certainly worth their price. Any business owner / entrepreneur who wants to grow their business must rely on purchasing valuable accounting software.

Accounting software reduces the time it takes for bookkeeping tasks and promotes proficiency in business accounting and bookkeeping. With the passage of time, the softwares have become very advanced and secure. Giant firms require complicated features in their accounting software, while small and medium size businesses require less features in their accounting software.

Accounting softwares have special features to ensure up-to-date financial statements from all entities and keeps them accurate.

One of such software is QuickBooks software. QuickBooks is designed for small to medium size firms and businesses.

QuickBooks Online is a brilliant accounting software for small to medium-sized businesses.  It can be customized according to the needs of the business. It saves time in accounting functions.

Features of QuickBooks accounting software

There are so many important features in QuickBooks accounting software.

  1. QuickBooks is an easy to use software.
  2. This software does not replace a full time accountant in a business.
  3. Customization in the software according to the work that needs to be done.
  4. This software can share data with other applications like Microsoft word, Microsoft excel, Outlook and other programs in the computer. This feature eliminates errors.
  5. There is a feature of online payments in QuickBooks Software. This feature allows it’s users to speed up billing and payments through credit cards and also by bank transfer. Bank statements can be directly downloaded through this software and an immediate settlement can be made.
  6. QuickBooks allows its user to easily track the cash in and cash out data.
  7. Invoices can easily be made using this software.
  8. Unpaid charges are separated from the customer and the job in the software.
  9. Any invoice can be double clicked to get a detail of that account’s activity. By this feature, it can trace the money owed to you by the customer.
  10. During tax time, there is a read only login and it’s access can be given to an accountant to get data and prepare the forms.
  11. QuickBooks is compatible with ‘TurboTax’ software to generate tax reports.
  12. QuickBooks analysis and Report options make it easier to view important accounting statements and financial reports. The three important reports are:
    1. The Profit and Loss Report (income statement)
    2. The Cash Flow Statement
    3. The Balance Sheet
  1. A QuickBooks Balance Sheet provides a complete summary of financial status of the business.
  2. The QuickBooks Balance Sheet provides all of the following information:
    1. Assets: All assets in a business including physically present assets like inventory, property, office objects, cash and intangible ones like patents, brand value, registered trademarks.
    2. Liabilities: Liabilities are the debts that have to be paid by the company / business to the banks, vendors and taxes.
    3. Equity:When assets and liabilities are subtracted,then equity is got. Equity is the money invested in the business added to any earnings that is not yet withdrawn from the business. If business has suffered any loss then loss during that period also has to be subtracted from the equity.

CONCLUSION

QuickBooks is an essential and a brilliant software for small and medium size firms. It covers all of the features that are essential for accounting in a medium size firm / business. QuickBooks is worthy of its price as it will enhance the accounting efficiency in any business.

Check out America's Best Bookkeepers

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.