5 Reasons to use Xero for your business accounting
I’m often asked by my clients about accountancy software and what are the benefits of it versus the traditional spreadsheet. Too often it is seen as a monthly cost rather than a monthly investment.
Here, I explore 5 reasons why I believe accountancy software is a must-have for your business and how it can help you to see the whole picture of your accounts and drive your business forward.
1. It saves time
As business owners there are never enough hours in the day but what if I tell you this will save you time? Once you find your way around Xero you will soon learn the best way of doing things for you. Automating systems such as adding rules to the bank reconciliation or inputting entries to repeat on a regular basis can save you valuable time.
There is also an app, so if you are out and about you can prepare invoices and send them to your client before you’ve even left their office.
2. You can customise it
One of the things I often hear is “Oh I would use it, but it doesn’t do what I want” …… are you absolutely sure? Of course, the software works based on settings of templates and standard timings, but the beauty of it is you can change these to make it work for you and your brand. For example, you can:
- Upload your logo
- Create quotation and invoice templates
- Change the wording on the notifications so it sounds more like you
- Set up different templates for different types of clients and products
- Customise the chart of accounts so that it makes sense for you and your business.
3. Accurate, real-time information
If you link your bank into the system and keep on top of the financial coding then you always have a real time position of your business. Over the last year we have seen how valuable that is in enabling you and your business to react to changes if you have the full picture.
Linking your bank directly to Xero takes a few minutes, then it just needs re-approval every 90 days (due to legal requirements), and then as long as you can sign into Xero you know you can check your bank balance at any time.
4. All in one place convenience
Accountancy software enables you to manage all the financial aspects of your business in one place – from quotes to invoices to expenses to bank information to reporting. And the real value of using software is to embrace all those aspects, from start to finish of the financials process.
Another thing I love about Xero is the ecosystem of apps around it. In my opinion, it is one of the best accounting softwares for linking with other apps that can also help your business. For example, you can link it to apps for:
- Payment collections, like GoCardless or Stripe;
- Ecommerce and point of sale; and
- Stock management systems.
Linking these systems to Xero puts the relevant accounting data all in one place for your ultimate convenience.
5. Streamlined system with less paperwork
Utilising Hubdoc with Xero enables you to store all your financial documents in one place, safely and securely and reduced the need for piles of paperwork that inevitably clutter your desk and filing cabinet!
Need some help to get organised?
As a Silver Certified Xero Partner, if you want to start using Xero and need a bit of help to get started or if you are already all connected but know you could be utilising it more, please get in touch.