The Software That’s Guaranteed to Improve Business Cash Flow
You’ve heard before, and you know it’s true. Time is money. If you’re saving time, you’re saving
money—and here is the one way that every business can do just that. And Improve Business Cash Flow
By Willie van Dyk on July 10, 2021
No Business Can Afford to Skimp on This Technology for Real Cash Savings
Improve Business Cash Flow – If you haven’t had a chance to read our last post, the importance of a budget in businessRead it now by clicking here.
That’s because you’ll need to include decent cloud accounting software in your annual budget.
Don’t worry about that small new expense. It’s going to help you to save heaps of money in the short- and long-term! You’ll also save tons of precious time that you can use to focus on your core business.
What Is a Cloud-Based Accounting System? And can it Improve Business Cash Flow ?
A cloud accounting system does three things:
- It centralizes your business books. All your business records are together and linked.
- It automates almost everything. As your records are linked, you only have to capture an expense once, but your general ledger, trial balance, profit, and loss reports are all updated simultaneously.
- Securely stores your data online. Yes, it is much safer than a few spreadsheets on your local computers.
This is a vital process because you can’t measure what you don’t record.
Now you have the complete picture of every cent coming in and going out of your business. It helps you to review what you’ve been doing so you can see if you’re veering off track or about to blow your budget. But there is way more to it than that.
The Benefits of Using Cloud Accounting Software and how it can Improve Business Cash Flow
- Accurate Reporting – Accurate reports are crucial for you to see how your business is performing. It’s equally as essential for forecasting, and both matter when you are trying to secure investments into your business.
- Always Up-to-Date Records –
Live record keeping allows you to view your financial health at any given time. While planning and forecasting help you avoid sticky situations, a real-time view assists when you need to make a purchasing decision fast! Knowing exactly where you stand (and not where you think you stand) will prevent impulse purchases that will negatively impact your cash flow.
- Cost Savings –
Whether you’re a start-up of three or a corporate organization with 200 employees, cloud accounting can save you money. Software as a Service (Saas) is a significantly cheaper way to acquire the software you need (as opposed to desktop software). While you’re saving on license fees, you’re also saving on labour costs, thanks to automated updates.
It is cash-flow friendly, too, because the subscription model means you’re paying a low monthly fee, keeping costs manageable. Better yet, “on-demand” services usually bill per user, so you only pay for what you use and not a cent more.
- Flexibility –
As long as you have a device that can connect to the internet, you can access your accounting software. That goes for your employees, too, enabling remote working so that invoicing and collections aren’t hindered regardless of the lockdown level we’re facing.
Professional accounting services cost less with cloud accounting, too, because the provider no longer needs to travel (so they can charge less). This also means a much faster turnaround on queries!
- Time Savings –
The value of automation cannot be stressed enough. Automation saves time, dramatically reduces errors, and relieves reliance on human resources.
For example, you can link your bank feed to your software to automatically capture every transaction in your books in real-time.
- Less manual input is required, leaving less room for human error that might throw everything out of balance (and cost a boatload to fix).
- Everything is entered and processed into the correct journals, ensuring uniformity and consistency.
- All systems include pre-set configurations for automatic calculations.
Now you can better utilize your internal resources for greater output or outsource your accounting for a fraction of the costs of a full-time salary.
Keeps Your Business Compliant –
Accurate, up-to-date books make tax calculations and submissions a dream. Cloud-based accounting systems help with forecasting and saving your cash flow.
Should you ever be audited, your information is organised and readily available.
The Best Part, You Can Let Go (And Everything Will Be Alright)
Not all businesses can employ a full-time CFO
Often, we see owners or CEO performing these duties, which can be a considerable burden. Not to mention that the financial integrity and success of your business rely heavily on your financial competence.
Thanks to virtual CFO services, you can enjoy the benefits of increased flexibility while keeping your overheads low.
Perhaps you don’t need a CFO at all, but you just want a professional to guide you through what your numbers are telling you.
Give yourself peace of mind by having a qualified financial accounting professional—and fellow business owner—share his expertise.
CTA: A 45-min investment could turn your business around! Book Now!