Any business, from the small one with four employees to the larger one with a few hundred, needs accurate and efficient bookkeeping. Manual bookkeeping has always been in practice, but with recent technology, automated bookkeeping services are taking over and becoming the standard.
Automating bookkeeping will minimize errors, reduce time spent manually entering data, and make sure your accounts are always current. Here, we’ll explain why your business needs automated bookkeeping and give you some tips for the best practices.
7 Reasons Why Your Business Needs Automated Bookkeeping
There are many different reasons why you should switch to automated bookkeeping. Read on for the seven benefits automated bookkeeping will bring to your business.
Automating your bookkeeping makes your bookkeeping service your one-stop shop for all your financial paperwork and files. You won’t have to find places to store mountains of files and records—the online nature of your bookkeeping will keep you organized.
2. Easy Taxes
When tax season comes around, many business owners hire accountants or have their in-house financial team spend hours filing taxes correctly. With everything online and in a central location, taxes become far easier and will take accountants less time to compile and submit.
3. Better Security
With automated bookkeeping, your accounts are only accessed by those with the proper passwords and administrative privileges. When your bookkeeping is protected by online security, it’s far more difficult for someone to get into your accounts and steal information or funds.
4. Real-Time Insights
With automated bookkeeping, you can see your accounts update and change in real time as transactions occur. This gives you better control and a view of the accurate full picture when you need to make financial decisions.
5. In-House Accounting
With automated bookkeeping, many tasks that would normally be performed by an accountant are done automatically instead. This allows you to save money on in-house accountant fees and utilize a smaller in-house team to run the show. If you want to know more about whether outsourcing or internal bookkeeping is right for your business, compare the options, including costs and other important information.
6. Easy to Analyze Patterns and Trends
With automated reports, you can see many different aspects of your business’s finances all at once. This allows you to make strategic decisions regarding where money will come from and how to make more.
7. Backed Up Information
Automated bookkeeping uses the cloud to store information for when you need to access it. Because your data is continuously backed up in the cloud, even power surges, outages, or broken equipment can’t cause you to lose important information.
4 Steps to Automating Your Bookkeeping
Even though automated bookkeeping comes with many benefits, the transition may still seem overwhelming for many business owners. There are some tips that, when followed, can simplify the transition, making your automated bookkeeping even more efficient.
1. Update Credit and Debit accounts
When you connect your credit and debit accounts to your automated bookkeeping system, it simplifies your bookkeeping. You can see instant reports, and you’ll immediately get transfers recorded onto your bookkeeping records.
2. Personalize the System
Every automated bookkeeping system is unique, but each usually has its personalization features. This allows you to prioritize certain reports and reorganize your bookkeeping software so it best serves you. This will help your business thrive by making it easy to see what you care about most.
3. Scan Receipts
Anytime you have a physical receipt, scan it and get it in your automated bookkeeping system immediately. This will save you from losing important information and ensure everything stays organized in one location.
4. Track Employee Payroll
The features of automated bookkeeping make payroll calculation far easier. The system can track hours and calculate wages. Take advantage of this feature so wages are accurate and paychecks always go out on time. This makes your life easier and increases employee satisfaction rates.
4 Different Products That Automate Bookkeeping.
While there are many options for automated bookkeeping, four systems stand out above the rest.
- Quickbooks Bookkeeping Service
- Netsuite Bookkeeping Service
- Acumatica Bookkeeping Service
- Xero Accounting Software
At Fourlane, we are experts in automated bookkeeping services and will tailor our services to help you with your unique business needs. We understand the subtle nuances between these different services and can help you set up your bookkeeping and resolve your concerns.
This way, you can learn to use all four systems quickly. We’ll help you navigate any complicated situations and set you up for success.
What To Do If You Need Help Choosing a Product or Automating Bookkeeping
When you need help choosing an automated bookkeeping platform or other service, Fourlane is your place to go. Our consultants can help you select the best service for your business and will make sure it will benefit your business model.
Make the Transition to Automated Bookkeeping Easy With Fourlane
Automated bookkeeping is the gateway to accessing more productive and less complicated bookkeeping in your business.
Talk to an expert for help automating your bookkeeping, and we’ll ensure you get your feet firmly planted on the path to financial success.