November 5, 2016 en_SG How Accounting On The Go Can Improve Cash Flow

How Accounting On The Go Can Improve Cash Flow

Lira Razak November 5, 2016

Conducting business in the 21st century is no longer tied to the office or in meetings with clients. Technology gives business owners the ability to get in front of their clients and away from their desk. One platform that is helping business owners is mobile accounting software, which reduces administration time and better organise your books. You won’t need to rely on a bookkeeper or an accountant as much, and here’s why.

The Importance of Mobile Devices

Mobile devices are pervasive; your customers and staff are using them to stay productive while at home or when working out in the field. A Google 2014 study found 88% of customers searching for local businesses will do so via their smartphone. This means consumers are finding solutions to their problems via their mobile device and the vast majority of people are always connected or carrying a device.

You can connect with clients and customers via their mobile devices too, invoicing and sending them messages on the go. This reduces the need for paper administration and reliance on the desktop. Also, with some software platforms automatically collating data into compliant spreadsheets, accounting can now be done with little need for professional involvement.

The Future of Small Business Accounting

Technology is dramatically changing the future of bookkeeping, so much so that it might eliminate the need for accountants for some businesses. Initially, cloud accounting diminishes the need for data entry. But now, these always-on software platforms help business owners with operations such as stock control, payroll and distribution systems. This means business owners can take ownership of their finances, relying on technology to automate company finances and administration, boosting the time owners can invest in expanding their business.

The Cash-flow Problem

Poor cash flow is one of the major reasons many small businesses struggle to make ends meet. This can be for several reasons, such as disorganised books, small margins, being passive about repayments and bills, or high overheads. Technology, however, can help improve cash flow without any dramatic changes to process. For example, mobile devices with card readers can accept payments on the go, meaning you’re not waiting for clients to pay outstanding invoices.

Mobile Meets the Future of Accounting

When your mobile device is equipped with quality accounting software, you can issue, manage and send invoices – or even collect payments – when you’re with clients. This has the benefit of getting more cash into the business fast, so you don’t run into any cash-flow problems.

Here’s how to manage accounts receivable on the go when you’re with a client:

  • Conduct a service or sell a product to a client, and raise an invoice in your accounting software
  • Enter the customer’s details, the service or product they bought, attach a price, terms and charge it
  • Either print it with the client or choose to save and send it via email

Accounting software such as Quickbooks Online will create a view-able spreadsheet in the software you can look at any time. This will help you keep better track of the money you are owed, as well as collect on outstanding invoices so your company can better manage cash flow. You can balance this against your expense and keep on top of your finances with just the click of a button.

As the business owner, it’s important to spend more time out in the field pursuing new business or closing more deals rather than being stuck back at base or in the office. Today’s businesses are no longer spending hours filing and filling out forms, and are better preparing themselves to avoid the business-killer that is bad cash-flow management. In this fast-paced world, the mobile phone and being able to do tasks anywhere and anytime is key to survival.

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