Accounting does not have to be time consuming. Manual accounting and spreadsheets are very antiquated. Desktop software is ok, but it has some drawbacks, such as constant backups of data needed and software updates. As well, you may be tied down to one computer. This is not the case with cloud accounting software.
This past week we saw that H&R Block is set to acquire Wave financial, a company that owns a popular free cloud accounting solution for $537 million Canadian. With the uncertainty of how Wave will operate moving forward, is it time to consider a change? I will admit Wave is a great platform for some small businesses, but it lacks in integrations that others may want. It also lacks in reporting options and account coding options that can sometimes impact decision making.
When it comes to cloud accounting software, it’s no secret that Xero is my choice. It has over 700 integrations that connect seamlessly. I have clients using apps that are used for payments, payroll, workflow management, US dollar transfers, receipt extraction and so much more.
Cloud accounting software allows you to simplify the record keeping process by pulling bank transactions into your software via a read-only feed. You can then match these transactions against receipts and invoices. Organized books will make life easier when it comes to decision making and dealing with the tax man.