The devil is always in the details. This much rings true in many ways, even when it comes to small business accounting. Just take a look at how cloud accounting solutions providers these days market their products. When big names in cloud computing promote their product, you will often read about accuracy as one of the main benefits of the platform. While there is indeed increased accuracy when you shift to the cloud, the reality is that cloud accounting tools do not guarantee zero errors.
Dealing with manual data entry
Manual data entry or the tedious task of doing hands-on work in transferring raw financial data into the cloud is an integral part of the accounting process. While it is generally considered as a simple task, the nitty-gritty details involved is quite time-consuming. Moreover, it is also quite susceptible to human errors since it requires a lot of manual labour. Acknowledging the need to push cloud computing functions a notch higher by eliminating the need to do manual data entries, cloud accounting company Xero has recently announced its plans to improve the status quo.
Xero goes full blast on accounting automation
Xero’s plan to revolutionize the cloud accounting paradigm basically involves introducing new features that would allow small business owners and entrepreneurs alike to completely entrust data entry tasks to their accounting software. By automating the coding functions of the online tool, the accounting and bookkeeping tasks of small businesses will become more accurate.
According to recent reports gathered by the Xero team, small businesses were said to have input a significant amount of wrong data into their transactions. The result of such errors, other than mismatched financial data, is that more time is wasted rectifying and reconciling the financial information. Through Xero’s plan to automate coding, more small businesses will experience smoother and error-free financial transactions.
Asked to comment on the company’s plans to expand its automation feature, Xero CEO Rod Drury said the application of machine learning was the first of its kind in the industry and signalled the dawning of a new wave of innovation for accounting.
What’s next for Xero?
If you think Xero’s automation plans stop at coding, think again. According to sources, the company is also on the lookout for the development of invoicing automation. At present, Xero already has a feature that allows its users to generate electronic payslips in one go. However, the process still includes a little bit of manual data entry and calculations. Upon the complete development of the automated invoicing feature. Xero users will no longer be required to input financial data into the system. This time around, the system will completely do all the work for the user.
Xero accounting tools
Xero has helped change how small businesses do their business accounting. The customer base of Xero has expanded over the years and this has a lot to do with the quality of the products and services that the company has provided its users with. So what exactly can you expect from Xero? Here’s a quick rundown:
Xero brings convenience within your reach by allowing remote access to your financial data anytime, anywhere. This means you can look through your pertinent financial data and practically run your business from anywhere.
Waiting for updates can be challenging if you need to make smart business decisions immediately. With Xero, you don’t have to wait for updates because you’ll get them in real-time with just one go.
As businesses grow, their books become more complex as well. In some instances, this urges small business owners to hire their own accountants and bookkeepers. The good news is that with Xero, you can collaborate with your staff with ease because of convenient user access and other features that make collaborations more manageable.
An invoice plays a great role in putting an order to customer payment processes. Through the Xero accounting software, small business owners and entrepreneurs alike can generate their invoice without the hassle.
Dealing with financial data is stressful, primarily because this information is critical and prone to fraud and scams. With Xero, you do not have to worry about these. The software will keep your data safe and secure, ensuring efficient accounting processes without any form of security breech.
More than anything else, Xero also takes pride in its top features and functionalities as these are part of the reason why more and more customers are patronizing their products and services. For one, Xero has an intelligent inventory feature that helps small business owners manage their inventory online without difficulty. Another feature worth mentioning is Xero’s bank reconciliation capabilities. With just a few clicks from your computer, Xero can automatically check and balance your bank accounts to make sure that you are always on top of your financial data. Plus, Xero products can also accept payments and record expense claims in a breeze.
Design and interface
As for its design and ease of use, you’ll find that Xero is also very user-friendly. The dashboard is simple and devoid of complex and confusing buttons. You can easily work through your files and sort out all the pertinent financial data with a single glimpse at your dashboard. Everything is properly laid out so you can check important financial information quite easily.
In the past, Xero mostly served the Australian market but over time, it has expanded its reach and is now being used in Asia, Europe and America as well. Xero’s services has substantially improved over the years. Its plans to update and to shift into full automation attests to the improvements that users can expect from Xero in the near future.
As a startup owner, investing in a promising cloud accounting software will do a lot of good for your business. To hit your targets to its very core, consider shifting to the cloud and giving Xero a spin. There are different Xero products to choose from, depending on the industry that you belong to and the size of your business.