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Title: How to Leverage Accounting Automation? – Small Business Guide


1
How to Leverage Accounting Automation? Small
Business Guide
  • https//www.imprezz.in/ Imprezz

2
Coming up with small business ideas and making
it requires you to take actions. Theres a lot of
thoughts that go into taking that call of making
it happen. The success of your business is
inversely proportional to the number of sales you
crack every day. It involves a lot more than just
trading goods for money. Emerging technologies
have been remarkably helping businesses succeed,
and it is high time to understand how to leverage
accounting automation. As a business owner, you
need to puzzle out product merchandising, stock
control, market research, advertising and
marketing, customer service, negotiation and
more. It doesnt end there. You need to
understand small business accounting cash flow,
taxes, payroll, tally,  ledgers, purchase orders,
and other accounting tasks need to be tracked
carefully. You dont want to let an entry slip
away through the cracks. In simpler words, the
key to run a successful business is to keep
detailed records, and that is where accounting
automation software can help. This article is a
part of our comprehensive small business guides 
heres how you can leverage accounting process
automation in 2021.
3
What Is Accounting Automation?
  • Manual processes consumes most of an accountants
    workday. Accounting automation can complete the
    significant financial tasks automatically, or
    instantly. The concept of automation for small
    business in accounting is not entirely new there
    have been different forms of computerised
    accounting systems since the late 1800s (source
    https//www.accountingnotes.net).
  • Until recently, accounting automation tools were
    unable to work without human intervention.
    Accountants mostly operated them, and the manual
    operations still took a tremendous amount of
    time. Modern accounting automation has
    successfully removed these hassles by eliminating
    the least effective financial tasks. They provide
    more time for accountants to work on analysis,
    accounting strategies and other crucial business
    operations.
  • Automated software systems are advanced in
    crunching numbers and tracking each real-time
    transaction of a business. They have erased the
    need to build complex ledger files and countless
    rows and columns of data entry. Computerised
    software has built-in formulae that help create
    and send reports with the click of a button. AI
    in the field of finance strives to streamline the
    overall business operation by automating
    accounting processes.

4
Impact of Automation on Accounting
  • Several business organisations have been
    continuously seeking efficient results through
    fair use of accounting automation tools and
    services. According to one of the recent surveys,
    the accounting automation statistics suggest that
    a more significant number of transactions are
    being processed and reported automatically by AI
    machines (source https//www.researchgate.net/).
    Modern AI software work alongside humans to make
    financial operations more effective and
    productive.
  • Several CFOs are concerned about the impact of
    automation on customers. Recent reports estimate
    that more than 50 of the back-end functions can
    be potentially automated except roles related to
    knowledge-base management and shared
    services (source www.ibanet.org). That is
    professionals, including the data scientists,
    cognitive tech geeks who can convert insights
    into meaningful communication.
  • Several big businesses and CFOs are now focused
    on utilising this opportunity by identifying
    individuals who are passionate to learn and
    expand their skill sets in the process of
    becoming the real business-minded partners.
    Todays business world needs the next generation
    leaders capable of driving changes that can
    reshape how accounting operations are done.

5
What Is Accounting Automation Software?
  • The practical results of implementing accounting
    automation are beyond learning accounting or
    cloud accounting. Automated accounting is more
    potent than the traditional computerised system.
    Employing an automated system rids accountants
    from performing manual data entries or 3-way data
    matching.
  • Business automation tools automate a significant
    part of small business accounts payable
    processes. It automates everything from recording
    each transaction to GST returns filing
    procedures. Accounting automation software might
    require humans to intervene only when there are
    certain exceptions or need a higher level of
    thinking.

6
What Are the Benefits of Using Automated
Accounting Software?
  • Automation in finance resolves the manual
    accounting hazards through smart software
    solutions that can instantly take care of the
    problem. If you are a small business
    wondering how accounting automation can benefit
    your enterprise, heres a curated list that
    answers all your questions.

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Strategic Management of Cash Flow
  • Mismanaging cash flow is one of the primary
    reasons why businesses go bankrupt. Cash flow
    crisis mostly arises due to inadequate accounting
    protocols that are unhealthy to a company. These
    protocols limit an enterprise from scaling and
    expanding their business. On the other hand,
    automation focuses on strategically managing cash
    flow that immediately provides a clear picture
    of business funds.
  • Automation allows business owners to quickly
    estimate their profits where is the business
    spending the most, when can the company expect
    income. They no longer have to create manual
    reports to know their financial position. It
    provides visibility that contributes to making
    critical decisions when necessary.

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Saving Time Through Automation
  • Automation is generally known to save time and
    manual efforts across various industries.
    Likewise, in accounting, automation allows
    accountants to conveniently work on ledger
    entries, client information and other financial
    details. They no longer need to spend countless
    hours trying to interpret data or matching them.
  • Automated accounting systems auto-updates each
    record and relates the existing data in no time.
    Further, the systems also generate structured
    financial reports and install accurate timestamps
    on the related data. Soon, automated accounting
    software might replace the need for manual data
    configuration as well.

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Advanced Cloud Access
  • Businesses using cloud programs can never settle
    for anything less. It is much easier to work when
    data access and document sharing is just one
    click away. Accountants and business owners can
    immediately process transactions and analyse each
    document anytime, anywhere. Cloud systems like
    Imprezz makes it easier to work as a team with
    shared data access.
  • Cloud accounting software is comparatively much
    secure to manage accounts payable it is
    purpose-built for professionals with round the
    clock data access. They strive to provide the
    highest safety and enterprise-grade data security
    standards to keep the business operations
    streamlined.

10
Flexible Features System Functionality
  • Supreme quality accounting software provides
    features that are adaptable enough to sync with
    various business requirements. Implementing an
    accounting system that can adapt to the
    everchanging business environment is crucial for
    enterprises to succeed amid challenging
    competitors.
  • An integrated software system like Imprezz allows
    standard formatting and provides customisable
    templates to formulate different business
    ledgers. These are some of the vibrant features
    and functionalities that make accounting software
    highly flexible for a wide range of businesses
    and industries.

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Cloud Storage Data Organization
  • Automated accounting platforms are capable of
    elevating businesses beyond their current
    capabilities. Data organisation becomes easier
    with accurate data entry, processing and storage.
    Business operations become significantly
    convenient when you know where to locate specific
    information precisely.
  • Automated accounting software guarantees
    streamlined data. It automatically saves the
    details by immediately identifying the
    information entered in the database. Advanced
    computerised systems like Imprezz offers secure
    cloud accounting that helps perform automatic,
    regular back-ups to prevent businesses from
    losing crucial data.

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Enhances Data Security
  • On the dark side, the internet of things has made
    it difficult for businesses to survive. Although
    there are various advancements in todays
    technology, the chances of being harmed by
    cyberattacks are equivalently high. Accounting
    automation is built with encryption technology
    that offers advanced security features to ensure
    maximum business data protection.
  • Alongside protecting businesses from being
    hacked, automated platforms enable business
    owners to control the shared data access,
    allowing them to share what is necessary. The
    feature helps maintain the confidentiality of
    ledger information by preventing the unauthorised
    employee from accessing the information.

13
Quick Data Recovery
  • Physical storage of paper files can be a daunting
    task data storage can slowly turn into countless
    records. The thought of retrieving or reviewing
    physically stored data can haunt accountants.
    They have to search for each document, sometimes
    piled in different rooms to match them and
    interpret the data.
  • Accounting automation is a boon to accountants
    it is effortless to find records online. Instant
    location of files, entries and records has never
    been this easy before. Automated systems are
    programmed to make ledgers and document reporting
    easier to categorise and store safely.

14
Comprehensive Data Analysis
  • Besides offering data security and organisation,
    modern accounting platforms also supports quick
    presentation and distribution of financial data.
    Analysed files can be accessed by any individual
    working in the enterprise making reconciliation
    of audits and records much more manageable.
  • Furthermore, analysing trends becomes easier with
    accurate means to check variances and
    predictability feature offered by the software.
    It enables accountants to make data-driven, smart
    business decisions by providing access to readily
    available reports.

15
Tax Compliance Deductions
  • The advent of the GST regime in India has made
    returns filing mandatory for registered
    businesses. The recent tax relaxations have led
    to confusion. Business owners are struggling with
    sales tax deductions during the tax seasons.
    Running errands with tracking receipts and
    expenses might lead to mistakes that can have
    severe consequences.
  • The rise of automation in bookkeeping has
    eliminated the hassles of GST returns filing.
    Accounting platforms are now capable of updating
    records immediately as the transaction is
    processed. Accountants need not enter information
    as real-time accounting systems auto-update
    transaction data. They need to have an eye on
    these details to make sure if the information is
    accurate.
  • Automated GST accounting software like Imprezz
    are capable of figuring the deductibles. It
    allows the business owners to understand and
    estimate the tax preparation time immediately
    after processing the transaction.

16
Professional Development Expert Learning
  • Any job role requiring manual, repetitive work
    can be replaced with the right tools and
    automation. In finance, accountants can easily
    replace their traditional, regular-basis work
    through automated accounting systems. It enables
    accountants to be more productive as they are
    free to focus on personal development and other
    efficient tasks.
  • Despite all the advancements, accounting
    platforms do require human intervention.
    Accountants must ensure that these applications
    are working accordingly from time-to-time.
    Automation has been a turning point in the career
    of every accountant. It helps enrich their
    employment experience, improve their value within
    an organisation, and share their knowledge.
  • Implementing an ideal accounting platform can
    eliminate the most tedious and frustrating
    accounting tasks. It must allow business owners
    to better focus on other crucial business
    operations, such as managing the bank accounts,
    developing business and accounting strategies,
    and better communication with the employees.

17
How to Select Best Accounting Automation Software?
18
  • Automated accounting systems arent just for
    accounting. Business owners must know how to
    leverage accounting automation by integrating
    various business functions under a single
    platform. Instead, they should look up for
    software programs offering integrated business
    intelligence tools that help manage other aspects
    of the business.
  • For instance, Imprezz integrated system allows
    businesses to leverage invoicing and quotation
    maker feature as a marketing tool. The software
    also integrates various essential tools
    like tally, purchase order management, import
    functions under a single platform.
  • Heres a curated list of what to look for when
    you decide to purchase accounting software.

19
1.   Does the software work well for your
business requirements? Before taking the call on
buying software, make sure if the accounting
system is designed to make ends meet for your
business. You can refer to online forums and
detailed specifications to understand the
functionalities of the software. 2.   Does the
software offer multiple access levels? As
discussed earlier, it is best to implement
different data access levels for owners,
managers, employees and other authorities. You
dont want all your employees having easy access
to your accounts data. 3.   Is the software
capable of recording transactions and managing
the payroll system? Although any accounting
platform is capable of recording transaction, not
many systems offer payroll management. Most
software offer payroll as an upgraded feature.
Please check for the features before you purchase
the software.
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4.   Does the software offer inventory
tracking? Only some software features include
inventory tracking others dont. You do not want
to link other tracking apps to your main
accounting software. It will just multiply the
amount of money you will have to spend on
automating your accounting processes. Do thorough
research about the software features, but what is
useful for your business. Do not pay for
unnecessary features. 5.   Is it a cloud-based
software? We have already discussed the detailed
benefits of cloud system in the article above. If
the software is cloud-based, it will provide
remote access. You will have the freedom to work
from anywhere. It also offers lower support
costs, automatic back-up facility and hassle-free
integration for payment and other applications.
21
6.   Is the software extensible and
scalable? Small businesses have a greater scope
of expanding with time. Thus, it is crucial
to implement a scalable remote business
accounting system, a software that can grow as
the business does. Scalable software feature
enables businesses to add new users as they
expand. Wherein, the extensible feature allows
users to purchase new add-on applications. Regard
less of which accounting software you choose to
purchase ensure you always keep your essential
files archived. Do not share the access for your
data concerning sales records, bank information,
loan statements and tax data. These crucial
documents play a vital role in formulating tax
returns and business audits.
22
Quick Tips for Successful Small Business
Accounting
  • Using your accounting software to accomplish your
    regular business operations will help you get the
    best results. Heres a list of quick tips, make
    this your daily accounting small business
    checklist, so you dont miss out on anything.

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  • Record Each Transaction
  • Check Reconcile
  • Review the Difference b/w Incoming Outgoing
    Cashflow
  • Collect Required Tax Data
  • Cross-Check the Defined Ledgers
  • Keep Your Ledger Entries Updated
  • Get an Outside Perspective from Your Financial
    Advisor
  • Create Regular Reports
  • Keep a Trail of Paper Records (Receipts
    Invoices)
  • Do Not Intermix Your Personal Accounts Business
    Accounts
  • Stay GST Compliant File Returns On-Time
  • Watch Your Business Cash Flow

24
Combination of Automated Accounting Smart
Spending Software
  • By now, the reasons why your business finances
    require automation must be pretty clear.
    Accounting software saves time, avoids manual
    errors, and keeps business documents at your
    fingertips. Theres no excuse for not
    implementing accounting software.
  • Alongside enjoying the benefits of implementing
    accounting software, have you considered
    leveraging automation to track your expenditures?
    While giving your finance team a customised
    control over your finances, you can also deal
    with your expenses in the same manner.
  • Combining accounting and expense tracking
    features makes your business operations more
    efficient, accurate and help confidently deal
    with your accounts at the end of every quarter.
    But the question remains how to combine both
    functions? If you do not know where to start,
    consider implementing Imprezz accounting
    software, a complete package of business
    intelligence toolsleverage automation in every
    way possible. The software offers features that
    can help beyond your accounting needs.

25
Will Automated Accounting Software Replace CPAs?
26
Automation replacing accountants in the near
future is a mere myth. As we advance, businesses
are still going to require accountants to ensure
cost efficiency and effectiveness. Although
automation simplifies a large role of
accountants, it cannot entirely act like an
accountant. Instead, it is the modernisation of
the traditional practices of accounting which
allows accountants to make exceptional
advancements in their profession. Automation in
accounting has increased the scope for
accountants. It has eliminated their need to
spend enormous time doing the tedious yet
essential accounting tasks enabling them to
limit their errors and provide accurate results.
Accountants can now work on their vital roles as
financial officers. They can further become
finance consultants who create strategies,
budgets and advice the CEOs to help increase
their organisation overall profits.
27
The emergence of advanced technology does not
mean businesses can do away with employing
humans. They still need bookkeepers who can
understand the fundamentals of accounting,
analysing and explaining how finance works for an
enterprise. Businesses do require individuals who
are capable of doing more than just interpreting
financial data. Accounting software has
transformed CPAs into custodians of financial
information. Most people believe that AI
(Artificial Intelligence) and machine learning
will take over employees roles. However, it is
far from the truth. In accounting, businesses
will always require an expert to keep an eye over
software functionalities. All-in-all, AI has
increased CPAs efficiency by enabling them to
deal with numbers much faster and in more
accurate ways. The process of strategic decision
making is now easier than ever for CPAs.
28
Business Automation Guide Cut Short!
  • Having known the basics of accounting automation,
    heres a list of new strategies working great for
    businesses in 2021.
  • Automate transaction accounting tasks
    (bookkeeping, payroll, purchase order, etc.)
  • Automate your business cash flow, tax
    calculation, planning and tax research.
  • Automate accounts and records under GST.
  • Leverage AI right away and save yourself loads of
    time.
  • Auto-verify data to keep up with the quality.
  • Become an automated and fully outsourced
    accounting professional for your clients
    (forecasting, financial modelling, business
    planning and more).
  • Pick financial service providers who offer most
    accounting automation features and capabilities.

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Conclusion
  • Technology has enabled business owners to manage
    their enterprise more efficiently. As a result of
    automation, the business now has an easy means to
    perform improved data analysis and reporting.
    Ideal accounting platforms enables business
    owners to see the overall business performance.
    If your company still adheres to manual
    accounting processes, you are running last in the
    race.
  • Automation enables you to keep your fingertips on
    the pulse of your business, helping you to meet
    the everchanging demands in the marketplace. We
    hope this guide to accounting automation 2021
    was helpful for your business. Now we leave it
    all over to you.
  • Do you want to install strategic accounting
    software for your business? Implement Imprezz,
    pioneer of business intelligence software for
    small businesses in India. The company has been
    helping MSMEs in India succeed despite the
    everchanging business environment. The platform
    has been helping several small businesses sustain
    despite the economic crisis caused due to
    COVID-19.
  • We offer a 14 days free trial software program.
    Login to automate your transactional works and
    financial advisory right away!

30
Contact US
Email - info_at_imprezz.in
  • Sign up Today
  • https//www.imprezz.in/
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