Many businesses are now returning to their new normal but it’s safe to say that the legacy of COVID-19 will be around for a while and has led to changes in the way we work.
This means that there is a growing need to rely on technology now more than ever:
1. Cloud technology helps remove all physical contact and enables remote working and social distancing
2. Whether you’re remote working, or not, cloud accounting makes managing your finances quicker and easier
3. Cloud accounting enables proactive business decisions and better collaboration with your accountant
Our digital services manager, Sarah Smith, shares her thoughts on what businesses need to be thinking about:
What businesses need to know?
We are now in a position where businesses are returning to their new normal, and can start to understand the longer-term impacts of COVID-19. It is vital that businesses now:
a. Understand their current results and cash position and projected results
b. Digitalise their existing workflows to adapt to a new way of working
The two come hand in hand. Digitalising the workflows of the finance function will give business owners financial information at the touch of a button, in real time. Everyone needs to know their business’s financial position – whether it’s good or bad.
Being this close to the finances enables business owners to make decisions quicker. Suffice to say that quick business decisions are needed now more than ever, with the degree of uncertainty still surrounding us.
Real time data
Having real time data may sound like a lot of work but we are lucky that in this digital era we have access to a wide range of technology that can really help to streamline manual tasks. At the very least we recommend that all businesses:
a. Use cloud or cloud enabled accounting software
b. Raise sales invoices directly in the accounting software, or integrate 3rd party software directly with the accounting software
c. Use a purchase invoice automation app
d. Use automatic bank feeds
These are very basic tools but there are a lot of businesses who are not using these to their fullest potential.
It’s not all about real time data though. It’s also about what we can do better and how we can operate more efficiently, from different locations and with minimal contact. We have seen an increase in businesses looking at this, in particular with the following:
a. Taking invoice approval processes online, to replace a traditional rubber stamp approval
b. Making payments from directly within their accounting software
c. Offering payment services on invoices, to get paid quicker
This is by no means an exhaustive list of what can be achieved. Please click here to see what an ideal digital finance function should look like.
Our digital services team are working with clients to help them get the information and workflows they need. Whether they use Xero or Sage both software packages can be connected to apps to create smooth workflows and get access to real time data.
Watch out for their upcoming guides on digital workflows and in the meantime please feel free to speak to our Digital Services Manager Sarah Smith, on the details below, should you have any queries: