Cloud Accounting is cool now? Seriously?
Yeah it is and that’s all to do with Cloud Accounting. Software like Xero and the array of add-on solutions that have built up around it have provided a revolution in small business accounting over the last few years. The pace of change and innovation is only going to speed up however so there has never been a better time to jump aboard this particular train.
Well here’s a pretty good reason. Xero doubles the survival rate of small businesses. 88% of UK small businesses who use Xero are still operating after 5 years compared to an industry average of 41%. A compelling statistic.
How does it do this? Here are a just a couple of ways.
Firstly it increases your productivity. Too many small businesses are spending countless hours on spreadsheets (and worse!) dealing with finances and other administration. With Xero that’s a thing of the past with seamless integration of invoicing and bill payments etc. taking savvy adopters closer to the aim of a paperless business. Now business owners can take that time back from the mundane to invest in growing their operation. This creates a real productivity advantage for the most progressive businesses. Of course this time saving could be invested outside of your business as well and that’s cool too!
Secondly it helps you get paid faster. Late payment is the scourge of UK small business and it’s on the rise. Last year a survey showed 51% of small firms wait more than 30 days for payment. Not getting paid on time destroys your cashflow and cashflows problems are one of the key reasons so many small businesses don’t make it. Online invoicing straight from Xero will allow faster payment and you’ll be able to see when your customers have opened your invoice.
And then there are the Add-ons…
Xero is a fabulous tool to help combine entrepreneurial spirit with technology. And the great thing is that Xero has a bunch of add-on technology partners that build solutions for key business problems which integrate perfectly with the accounting software.
This eco-system of solution providers is growing every day and now there are over 450 Xero add-ons. Now this presents a problem in itself as this is a daunting array of options. Identifying the right add-ons for your business is crucial to unlock the productivity gains talked about above.
For example, is your number one issue that stack of paper receipts sitting on your desk filling you with dread? Well there are solutions which can make the need to keep these paper receipts a thing of the past and these solutions integrate perfectly with Xero so you or anybody else who needs to see them (like the Taxman) has access forever in the cloud.
Or is it late payment that is really getting on your wick? So there is an add-on that when combined with Xero’s online invoicing will really blow your mind as well as reduce your payments days and it’s a painless process to get started.
Or is it the desire to having some engaging and insightful dashboard reporting to really tell you how your business is doing but more importantly where it is going? But small businesses can’t have that right? Way too expensive! Wrong!! It’s here now and there are small businesses getting this service through Xero add-ons that was previously only the domain of the big corporates.
How can Chilli help?
Xero and it’s add-on partners are great but just subscribing and using them is not enough. You need to integrate them into the way you do business and fully embrace all the productivity and insight advantages they can bring.
At Chilli we specialise in this approach where we combine our favourite cloud accounting service (Xero – had you not picked that up already?) with the best of these add-on solutions. But it’s not technology for the sake of it. No, it’s about understanding the problems that’s are bugging our clients and finding the appropriate solutions for them. And this requires listening to you, our clients, and we pride ourselves on this.
Then once these base solutions are in place to increase productivity we can then work with you to help provide the business insight which helps your profits grow. And because we haven’t spent the last ten years just filing tax returns but actually out in the real world understanding what information business people need to be successful that puts us in a unique position to help.
And one more thing. We provide an online virtual accounting service. Embracing collaborate working tools and communicating by Skype makes posting great wads of information off to your accountant a thing of the past. Paperless business is here now and that is how we operate.
Ok, so after reading all that are you feeling it? Cloud Accounting is cool in 2016. Alright, so it’s not Samuel L Jackson cool. But it’s way better than a guy in a grey suit mumbling something about the tax deductibility of entertainment expenses.
Cloud Accounting has changed and so have accountants. At Chilli we are part of this new breed combining the best of cloud technology with business insight. But don’t take our word for it. Come check us out and then let’s have a chat.