Accounting software is easier to use than ever. Modern packages run in the cloud, allowing you to sign in and access what you need wherever you are. Most are designed with companies in mind, meaning you don’t even need to be an accountant to benefit from them. Although, the more advanced features of your accounting software can feel a little daunting. After you’ve learned how to perform key duties, like creating estimates and raising invoices, you may not wish to explore further. But, you are definitely missing out. Good accounting software does far more than automate regular tasks. Learning how to use it can help you get a better handle on your business data. Here are some tips on how to get more out of your accounting software.
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Reevaluate How You Work with Your Accountant
Accounting software can automate particular tasks that are normally performed by bookkeepers or accountants. If you wish to begin using accounting software but don’t evaluate how you work with your accountant, there is the risk of ending up in a situation where you pay for an accountant and software to do the same tasks. Bear in mind that while accounting software isn’t a replacement for an actual accountant, it can help in reducing your accountancy bills.
Keep Your App Up to Date
To get the most out of your accounting software, you need to ensure it’s kept up to date. There are always new features being added that could maximize how you do business. It’s important to think about app security testing too. This is performed to identify any bugs or flaws within the software. ForAllSecure has a guide on static application security testing, which analyzes source code to find security vulnerabilities.
Let Other Members of Staff Use the Software
When running a company, we appreciate you may not want everyone within the business to see every aspect of your finances (particularly if your accounting software features details of employees’ salaries). Although, you can grant different levels of access to different people if you wish. This will increase financial transparency across your company and can help in reducing how often employees ask for account information. For example, you could let your marketing team have direct access to your business’s sales figures or let budget holders examine and update details of their own spending.
Test and Track with Budgets and Forecasts
Basic accounting software may not feature budgeting and forecasting features. But if they are available, these are some of the best tools in your planning arsenal. Forecasts enable you to experiment with different scenarios to see what would happen within your company. Budgets are crucial for controlling and planning to spend as your venture grows. This is because they allow you to allocate funds to several areas. Once you have allocated budgets, your team can record spending in the accounting software, meaning you can always check whether you’re on track.
Look for What Integrations and Add-Ons Are Available
One of the major advantages of using online cloud accounting software is that it’s pretty simple to add functions by connecting add-ons or other online services. For instance, if you sell online, there is the option to connect your eCommerce software to your accounts software. Doing so means all your sales should transfer automatically to your accounts, without the need for having to put them in manually.
Anticipate and Address Risk Earlier
No one likes to think about issues their company could face. The good news about accounting software is it makes it simpler to establish small problems before they turn into disastrous ones. Cash flow in particular can be problematic, especially if you have tight margins or are faced with late payments. Accounting software lets you monitor payments, pinpoint overdue invoices, and look out for any deterioration in how quickly customers pay.
Automate Expenses
Calling accounting software ‘magical’ may be stretching it a little bit. But, there are some nifty ways it can make things simpler and faster. Keeping a record of expenses is a common problem, especially if you go on a business trip. Many accounting software providers allow you to record expenses by taking a snapshot of receipts with your smartphone.
Analyze Your Sales Patterns
You may be surprised at what you don’t know about your business sales. The great thing about accounting software is it provides powerful reports and dashboards to analyze sales data. This helps you understand when things are quiet or busy. You can also develop strategies and sell more of what you want, whenever you want.
More and more businesses are choosing accounting software to use in their operation. This software is able to record and categorize financial transactions, as well as help you pay bills, manage payroll, send customer invoices, and run standard reports directly on the platform.
Taking the time to learn more about accounting software can really pay off in the long run. Just make sure you pick reputable software that can be used efficiently within your business.