The government’s Making Tax Digital scheme is fast approaching and with all businesses expected to be reporting their tax online by April 2019, time is running out to switch to cloud accounting. At Tax Agility, we have years of experience with Xero and Freeagent accounting software, and we’ve got a few easy tips to make your transition that much smoother.
1. Make sure everyone is involved
When making a transition from an accounting software installed in your local machines to a cloud-based accounting software, you need the right support, particularly if you have an immense amount of data to transfer. Getting your bookkeepers and relevant staff involved as early as possible is key. Don’t underestimate the scale of change required either – get help from experts if you think the switch will disrupt your daily operations.
2. Choose the right software
There are many options for cloud accounting software on the market right now and each has its own advantages and disadvantages. For example, if you already understand some basic accounting principles, you may choose more sophisticated software like QuickBooks. However, if you want something that is easy to use without having to learn any accounting principles, consider Xero. Other features to consider depend on your set-up, like if you need to have a payroll function or if you would like to integrate inventory management with an accounting system.
At Tax Agility, we’re gold partners with Xero, which gives us access to exclusive benefits that we can share with you. Our certified Xero experts are also available to help you get the most out of your software. You can learn more about Xero in this post: “Xero Accounting: update your business“.
3. Don’t be afraid of asking for help
Just because you’re on track to get everything sorted, doesn’t mean you shouldn’t ask for help. One of the greatest benefits of cloud accounting is the streamlining effect it can have on your business when executed properly. Once integrated into your operations, it would be foolish not to take advantage of it.
Although most cloud accounting software is designed with ease of use in mind, many offer add-ons to allow each business to tailor the software to their own needs further. Professional advice can help you set up the add-ons you may find useful in the future, and get you into the necessary habits that will keep everything running smoothly.
Talk to cloud accounting experts
When you do decide to make the transition, the structure you end up with is likely going to be the one you rely on for many years to come. It’s vital to get it right the first time around, especially as it’s going to dictate how you manage your business finances and taxes going forward.
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