The Rise & Rise of Accounting Software Solutions

A combination of the digital age and the pandemic alike has seen a surge in technology-driven solutions for most industries, and the accounting world is no exception. As we slowly inch towards the light at the end of the tunnel and the world begins to open its doors again, will we see a decline in the dependency of computer-based solutions? We think it’s unlikely…

Due to the financial and practical benefits of software solutions, combined with economically wobbly times, industry insiders predict a 6% SaaS (software as a solution) global growth between 2021-2024.

Businesses – whether large, medium, or small – can all benefit from accounting software because it frees up time and money that would otherwise be spent on tasks being completed manually by team members or external financial services.

While accounting software isn’t anything new (did you know Sage has been around and producing software for 38 years?), this article explores who the key players are and whether the rise of accounting software solutions is a trend or is something that’s here to stay.

The Key Players:

• Fresh Books
• Zoho Books
• Quickbooks
• Xero
• Wave
• Sage

Benefits of Accounting Software

Transparency

Automated systems (generally) prevent errors in calculations that would otherwise arise due to human intervention. As a result of miscalculation, businesses consequently must deal with potentially irreparable losses, thereby leading to a crisis. With accounting software, the calculations are automated and therefore accounts result in a higher level of accuracy.

Affordability

Automated financial packages are oftentimes more financially viable than hiring accounting staff or paying for external services and therefore see a return on investment.

Forecast Accuracy

Automated systems provide a clear depiction of financial areas in need of more investment as well as concurrently displaying areas that incur larger/avoidable expenses. Therefore, the software enables smarter strategies and decisions by providing meticulous analysis of the current financial patterns.

Productivity

Naturally, a key benefit of this technology is the inevitable increase in business/employee productivity. Because the process is automated, with the software collecting, analysing, and providing valuable insights, the business is awarded more free time, as well as leverage in making smarter financial decisions.

Better Insights

Following on from the added productivity, accounting software can track all successful transactions and therefore offer insights about a company’s financial well-being. This can, of course, be done manually, but with the utilisation of accounting tech, a business can predict the financial trends and then go on to make informed decisions – and all at a quicker (not to mention less daunting) pace.

Security

The foundation of all businesses is its financial health and safety; therefore, security is a top priority. Many cloud-based accounting applications (such as Xero) adhere to militant security measures to keep financial data safe. They utilise methods such as document encryption, user authentication, and authorisation, and offer similar protection to online-banking institutions.

What it Does

Depending on the type of software you purchase, generally what can be achieved is along the lines of the following:

• Billing and invoicing
• Payroll management
• Time and expenses management
• Enterprise resource planning
• Data storage
• Financial transactions

Conclusion

Automated technology is benefiting and accelerating every workflow in every industry – that’s undeniable. Numerous companies rely on automated technology because it provides them with advanced software systems which aid in the reduction of manual entry and potential human errors, and increases efficiency, speed, and accuracy.

Professional Support for your Business Needs

Bringing your new business to life or keeping your current one afloat can be hard. You spend more time on small (but important!) tasks, such as keeping on top of your sales and purchase ledgers, instead of focusing on driving your business forward. This is where we step in. We are here to assist you with all things bookkeeping and accounting – gifting you with more time to focus on the heart of your business.