When setting up your business it is important to keep good accounts and you can use simple desktop software or online accounting software.
Online Accounting Software
Unlike traditional accounting software where you buy a license to install a program on specific machines, using online accounting software involves paying a monthly fee which enables you to do your accounts online using a web-browser, with an unlimited number of users.
Says Edwards, “Moving to online accounting requires a very low upfront investment, you pay as you go, and someone else worries about hardware to store the data. This is pretty appealing to anyone with an eye on the bottom line – low maintenance, low cost, low resource profile.”
Of the accountants asked, most found that using online software increased efficiency when processing clients’ accounts. In many cases, this lead to substantial time savings resulting in cost benefits in the practice itself.
There were a number of reasons for this, most of which were specifically as a result of the software being online. Having the client’s bookkeeping records immediately available was regularly quoted, with the accounts being instantly available for review.
Time savings were also achieved as the accountant can review and make necessary corrections to the information from the practice office, meaning less client visits.
A number of web based accounting software systems are now available. It is widely considered that Software as a Service (SaaS) or, as it is increasingly known, Cloud computing, is the next step. The software is accessed via the internet from any computer, in the same way as a standard web page, making it very flexible.
This new way of working should become more commonplace in the near future, and embracing it could bring tangible benefits to accountancy practices.