SMB – although this is an acronym for Small and Medium Businesses, the amount of work that goes into building a small business is far from small or medium!
Most small businesses are highly passionate about their ideas and also very good at executing them. But for a small business to thrive successfully in the market, staying connected to its finances at all times, is extremely important. Diligent processes, compliance and leveraging the latest technology can help you stay on top of your books at all times.
Cloud computing has changed how businesses function drastically, and this is no different when it comes to small business finance. A robust accounting software tool on the cloud can make a huge difference and help small businesses address their critical financial needs. Here’s how.
Flexibility and Economy of Scale
A cloud accounting software gives you the flexibility to be on top of your books at any given time – be it from a laptop, a desktop, a tablet or even a smart phone. Since a cloud-based software is a resource shared by many members in the team, not only is it cost effective, but it also provides add-ons like larger storage space and automatic updates. The cloud has in fact helped introduce pricing models that are more flexible and affordable for small businesses.
Real-time window into expenses and revenues
Keeping a track of your expenses can be rather cumbersome, which is why most times we end up leaving them as financial backlog. When a small business makes it a point to track its expenses in real-time, it saves the business a great deal of time and effort. Having real-time access to your current turnover gives you a clear idea of whether your business is making a profit or loss. This helps you figure out how far or close you are to your goals, where to allocate your resources and budget, and even set a direction for your overall strategy.
Timely Compliance and Recovery
With real-time business accounting, you are easily able to meet your financial obligations, by keeping a regular track of them. Thus, paying salaries, paying the government and taxes, your business activity statements and other such liabilities, are taken care of in advance. A cloud-based solution also reduces the risk of important financial data loss and removes the typical challenges associated with data recovery during a disaster.
Quicker invoicing = Quicker payments + Higher productivity
The math here is simple. The faster the invoicing is done, the faster payments come in for your small business. Most businesses wait until the job is done and depend on manual processes in order to start the invoicing. With the assistance of a cloud-based software like Intuit QuickBooks Online you can invoice real-time and reduce the manual effort, thus speeding up the process. For small businesses and start-ups with small and nimble teams, this helps save costs and utilize the time and effort towards growing their business.
After all, simplifying the business of life is exactly what we do at Intuit QuickBooks Malaysia.