6 Ways Your Accounting Firm Can Benefit From Bookkeeping Services
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With the world gradually moving towards better accuracy and ease of use in all sectors of life, accounting does not have to be the only industry impaired by manual processes. Even though human intervention and decision-making are still vital, accounting firms stand to gain a lot from automation. Traditionally, automation is viewed as a threat to job security. However, as the world strives for performance gains, accounting automation has become more of a necessity than a luxury. According to FinancesOnline, 50% of accountants plan to incorporate online accounting software in their workflow. Companies can get more work done in less time while increasing efficiency and accuracy across all departments. Accounting bots and bookkeeping services can help replace manual data entry, invoice generation, and even financial reporting with automated methods. For accountants, automation represents the freedom from mundane and tedious tasks so that they can focus on high-value financial issues.
Widely stating, data entry is at the core of any business. The processes have changed from physical ledgers to digital workbooks, but the activity remains unchanged. However, the unfortunate thing is that despite its enormous importance, most accounting firms still use human resources for data entry. In today’s fast-paced world, manual data collection results in inefficiencies and inaccuracies across the board. According to a Gartner report, a team of 40 can save almost 25,000 hours of rework due to errors caused by manual data entry. Since data drives company decisions and its direction, it becomes imperative to implement automated bookkeeping services.
Invoices are critical to accounting audits and processes, serving as the legal contract between companies and their clients. Therefore, their significance in accounting processes cannot be denied. It falls on the accounting firm to maintain accurate invoices for accounts receivable of their firm and client companies. Even a simple typography error can cause legal repercussions for all stakeholders. Online accounting software can generate accurate invoices, thus eliminating the need for constant manual verification. Moreover, most companies, especially accounting firms, must store financial documents for at least a few years. These digital invoices save paper, filing, and storage costs.
Bill and Expenses Claim
Accounting is more than data entry work, workers have to understand the difference between bills, expenses, and any other payments. For instance, expenses refer to the business costs that have been paid. In contrast, bills refer to the already incurred costs that are yet payable. Similarly, countless other claims require accurate reporting. Despite their best efforts, accountants are prone to human error. Yet, any discrepancy in the records can result in grave consequences for the business. In such circumstances, accounting automation ensures that the records are reported correctly where they belong. Thus, bookkeeping services help maintain the firm’s and its clients’ data accuracy and integrity.
Read more on accounts payable automated bookkeeping.
Payroll Data Creation
Payroll data is a crucial part of a company as it tracks wages, helps maintain legal compliance with labor laws, and can also help optimize workforce performance. According to a survey, 43% of respondents described compliance issues, and 27% reported inefficient processes as the pain points in payroll accounting. Although most companies have an internal automated system for managing payroll data, juggling different tools for each process can become a hassle. Online accounting software seamlessly integrates all bookkeeping services and frees the staff from manual duties. This way, a simple finance bot can integrate data points from different accounting processes and produce a unified report.
Bookkeeping services can also help automate the financial reporting of an accounting firm. Financial reporting is the process of understanding money flow in a company. It allows the management to understand where the company is spending money, where the revenue is coming from, and where to allocate more resources. Therefore, these reports are the backbone of financial decisions made in an accounting firm. Moreover, these reports allow potential investors and banks to fund the company depending on the transparency of these records. Inaccuracies in financial statements can cause long-term monetary and reputational risks for the client companies and the associated accounting firm. Implementing AI bookkeeping services that produce accurate and up-to-date records is the most viable option.
Communication and Accounting Integration
An accounting firm that exhibits poor communication can suffer from negative relationships inside and outside the company. Flaws in internal communication can lead to inaccurate reports and delayed results. At the same time, inadequate external communication can result in frustrated clientele. Therefore, it is integral to ensure smooth contact within the firm and with clients. Understanding that misconceptions arise when a firm uses multiple tools for different processes is essential. The data from numerous sources can get mixed up, resulting in even more confusion. On the flip side, a finance bot allows a firm to access all bookkeeping services in a unified portal, thus, ensuring easy access and cooperative communication.
Revolutionize with RecordMe
Accounting firms are raising the bar for financial reporting by implementing online accounting services. In such a cut-throat environment, a simple finance bot that only automates manual data entry is insufficient. Firms now require sophisticated bookkeeping services for secure data collection, storage, and report generation.
RecordMe understands these issues and aims to be a one-stop solution for all your accounting problems. It goes beyond mundane data entry solutions to provide a customized experience. Starting with a seamless integration with all your accounting software to report generation in seconds, RecordMe frees you from all your accounting worries.