Automated bookkeeping software tools have been around for years and there are many good ones on the market today. The irony is that accountants were consulted during the development and it looks like the profession may not exist much longer.
Ironically, accountants are instrumental in consulting with software developers to create the technology that might replace them. The flip side of this coin is that these programs have proven useful to accountants in carrying out daily tasks. The latest development is that these can be accessed from the Cloud.
While these fears may be rational, accountants will always be in demand. What these professionals do for entrepreneurs and their businesses is irreplaceable. Accounting systems, however, help business owners track their spending and keep books when they are unable to afford an accountant.
Here are the advantages of using an automated bookkeeping software application:
- Automated calculations: Thanks to scripts in a software, manual calculations of depreciation or adding up invoice amounts becomes easier.
- Accuracy: Accounting software tracks all expenses and payments automatically. Books are balanced faster, and entries are made under the right headings, such as AR, AP, P&L, and so on.
- Reliability: Calculations are reliable and accurate; all a business owner must do is get a CPA to certify that the information is correct before filing with the IRS.
- Scalability: Every software program these days can be scaled to meet business needs. As the business grows, accounting processes could become complex. The tool can be configured to accommodate growth.
- Security: With the availability of cloud services, companies can store their data offsite and retrieve it when they need it. This is especially useful when a natural disaster strikes.
- Reports: Every software package has built-in tools to help a business owner see how his company is doing, what areas are lacking, and how he should invest to expand in the future.
Automated bookkeeping software is a good option for businesses. Even if one can afford to hire an accountant, it is likely that they will use what is available on the market. Why not let technology help with accuracy and speed?