Before I started Clear Accounting NI I owned two other businesses, one was a domestic appliance distributor and one, a partnership, supplied industrial heating equipment. Because I was an accountant by background I liked to ensure that I had financial information. But how could I do that? I used a well-known desktop accounting system. But because it was desk top it was never really up to date. The staff in the office worked hard all day putting on the invoices, checking supplier delivery dockets and chasing creditors. But we could only reconcile the bank when the bank sent us a statement. And when I wanted financial information I had to wait until the bank was reconciled and then print off paper reports which I had to change and adapt to get into a form that was useful to me.
In order to keep on top of what was going on I devised a quick formula; the total daily value of invoices, multiplied by the average gross margin less the estimated annual expenses, divided by 261, which is the number of working days in a year (excepting leap years, assuming everyone was working etc.) It provided me with a broad view of how the businesses were doing. But it was very broad, little more than a guess really.
But that is the thing about desk top accounting systems. They take time to keep up to date, they are not responsive and they do not provide information in a timely manner. Furthermore, I couldn’t get any access to information if I was away from the office, or I was working from home in the evening. To get information that I needed I had to wait until I was back in the office.
So I was delighted when, as owner of Clear Accounting NI, I discovered Cloud Accounting and Book Keeping. Now it is possible to have your businesses financial records updated in real time. There is no need to wait for bank statements, everything can be pulled down online straight into your cloud accounting system. You can even have your purchase invoices moved from your email system straight into your accounting system and your purchase information updated immediately. And you can get access to the information you need straight away, wherever you are using a laptop, a tablet or your mobile phone. It means that you can carry out your business knowing that you have immediate access to all the information you need. Your sales staff can see the state of a customer account straight away and decide there and then whether or not to make any more sales to the customer.
So that is why, when we talk to our business owner clients now, we talk about Cloud Accounting. We tell them how they can be in control of their business finances anytime, anywhere.
Wouldn’t you like to know if your business is profitable on a weekly or daily basis? Wouldn’t you like to know the tax implications as they arise and not have to wait until several months’ after the year end?
Why not talk to your accountant about Cloud Accounting and Book keeping? Or if they haven’t yet moved to the Cloud, talk to us. We are Clear Accounting NI and you can contact us on firstname.lastname@example.org or by calling 02895215165