I was out on a bike ride on Sunday and went to overtake another cyclist, saying a polite “Hi” as I passed, as per MAMIL* etiquette. It turned out to be someone I know, the father of one of my son’s old school friends, David. We ended up cycling together for half an hour or so and catching up on recent events, kids, etc.
David is a consultant who has had his own company for 10+ years, and he was bemoaning the fact that all the accountants he had used had promised an ultra-streamlined accounts service, using the latest technology, but that they all ended up asking for prints or PDFs from his QuickBooks system, which they would then end up re-keying in to produce his final accounts- at his expense, or so he felt.
I explained how K&H had embraced cloud based accounting in general, specifically Xero. It is now possible to have, in effect, real-time accounting using labour saving features like automatic reading of invoices (using Receipt Bank or similar) and direct importing of bank transactions.
In his list of 10 reasons why businesses fail, Michael Gerber, author of the E-Myth, gives 2 finance-related items in the top 3. Soon there will be no excuse for not having financial information. The relentless march forward of technology will mean that business owners, from one-man consultants like David, to our larger ISOP** clients who have taken a back-seat from day-to-day involvement, will always have at their finger-tips fast, accurate information to monitor their companies.
Accountants will continue to need to evolve into an advisory role, interpreting and using the numbers in the accounts, instead of just generating them.
We will be running a number of events this year to show business owners the benefits of using products like www.xero.com in your business, if you would like to find out more please contact the office on 0118 923 5800 and ask to speak to Bernadette.
* middle-aged man in lycra
** Income and share ownership planning