You have probably heard of various digital accountancy software such as Xero or Quickbooks and may be wondering if your business will benefit from making the switch. Digital Accounting software helps you easily record your business finances, whilst giving you quick access to analyse the data.
Whether you are looking for basic invoicing capabilities, bank reconciliation, or tax calculations, digital accounting will modernise and excel the way you run your business. You can even upload a receipt photo from your phone or other devices, making the process easy and fast.
Making Tax Digital
As of April 2021, all UK VAT-registered businesses are required to keep digital records and submit their tax return using software under the HMRC Making Tax Digital rules. When choosing digital accounting software a good place to start is ensuring it meets the Making Tax Digital compliance requirements.
As of April 2024, all self-employed businesses and landlords with an annual income above £10,000 will also need to follow the rules for Making Tax Digital. Now is the time to invest in digital accounting systems for your business.
Let’s take a deep dive into Surrey Accountancy Limited’s top 5 reasons to go digital:
When running your business, it is essential to have the systems in place to streamline the day-to-day operations. Not only will this ensure efficiency, but it will also support future growth.
Prevent human error
Using digital accounting software can vastly reduce the chance of inaccurate invoicing or tax returns, which can be caused by human error. Something that happens a lot when a business does not use accounting software.
Speed and productivity
A simple way to ensure your accounts are recorded fast and accurately is by implementing digital accounting software, your team could spend the time saved on other tasks, increasing their productivity. In the age of the digital, it is all about working smarter.
Easily access financial information
When running a business it is critical that you are able to access your financial information quickly, digital accounting software ensures all data is stored securely in one place. Meaning each department within your business can gain access to the information they need, resulting in decisions being made quicker and improving adaptability. Taking your business from reactive to proactive.
Keeping up with the times
Not only is it now a legal requirement for VAT-registered businesses to keep digital records, but it is also good practice to evolve and change with the times. Since March 2022, many businesses were forced to adapt how they ran their business. With many employees working from home having financial information stored in one place has never been more vital.
Here at Surrey Accountancy Limited, we understand upgrading and investing in new software to ultimately change the way you may have been doing things can be daunting. That is why we provide training for you and your employees. Empowering you with the knowledge to implement the switch to digital.