Accounting has been through a revolutionary change over the past couple of years – and that’s down to the arrival of easy-to-use cloud accounting software: a completely new way to think about your finances.
Cloud accounting is certainly no fad. Using accounting software that’s based in the cloud – and not on your desktop hard drive – has put some of the more basic elements of accountancy directly into the hands of small businesses. And that’s helping to give business owners an increased sense of confidence in their numbers.
So, cloud accounting is here to stay. But what does that means for your relationship with your accountant?
A more proactive kind of accounting
Surprisingly, what you may think of as ‘accounting work’ is starting to become what you do, or what your bookkeeper does (and not what your accountant does).
That sounds rather contradictory, but the functionality and ease of use of cloud software like Xero means you and your finance team can do a lot of the bog-standard accounting things yourself. Bookkeeping, invoicing and all the data entry and finance admin elements of accountancy can be covered in-house.
So, if that’s the case, why do you need an accountant at all?
Your accountant as business adviser, not bookkeeper
While you might be covering the accounting basics yourself, what any business will always need is sound, experienced advice on how to run the company.
As accountants, what we do now is what’s been known in the past as ‘value added services’. So it’s about looking at your numbers and data and helping you understand issues, apply solutions and implement change.
When you engage a modern accountant like Tyrrell and Company, what you’re getting is a mixture of finance expert, business adviser and strategic coach. The value doesn’t come from us rifling through a box of receipts and doing your bookkeeping. The true value come from taking the resulting data from these receipts and pointing out the potential savings you could make, or looking at ways to claim more tax relief on those expenses.
Get the guidance you need to succeed
So, what cloud accounting does is give you choices. You can outsource your paperwork to a bookkeeper, or you can do it all in-house. Or you can agree that your accountant covers the bookkeeping, as well as providing that essential value-add business advice.
The key here is to speak to us about the big picture stuff – the business planning, the strategic thinking, the financial management and tax planning.
Xero Trifecta – cloud accounting in action
We’ve shown you how cloud accounting can work for your business. And we’ve explained how it’s a combination of cloud numbers and sound business advice that really get you on top of your finances.
But how does this work in practice?
The Xero Trifecta is our three-pronged approach to taking the cloud tech and making it work for you and your business.
With Xero as the financial foundation we’ve added three core Xero Add-ons that will turn around the control you have over your business:
- Receipt Bank for control over your time.
- Chaser for control over your cash and debts.
- Spotlight Reporting for control of your business information.
Find out more about how the Xero Trifecta could be the power behind your business.
If you’d like to have a chat about how we can use cloud accounting to add value for your business, please do get in touch for a chat.