Important Information Before Migrating to cloud Accounting Software

Managerial Accounting
Is Xero good for Managerial Accounting?
November 26, 2018
Checklist for client onboarding
Checklist for client on-boarding Bookkeeping Work
December 14, 2018
Migrating to cloud Accounting Software

Important Information Before Migrating to cloud Accounting Software

Is your business about to take a vital decision regarding migration of accounting practice; for an efficient, productive and innovative step to project your work and client interaction in a new light; from traditional accounting softwares such as Excel?

Then, before migrating to cloud, certain technical and financial points need to be considered as:

  1. Check rigorously who should be given access and to what level
    • Care needs to be taken regarding data access and how network segmentation works by tenants or Cloud Service Provider for various levels in a cloud infrastructure.
  2. Before plunging to make a choice for your firm on standardized onboarding process a report needs to be generated to analyze:
    • Position of your firm with respect to other industries
    • Growth in pricing, staffing, marketing, management and more
    • The readiness of the firm to build an as successful establishment
  3. Analyze recurring cost factor v/s one-time cost of the software. (Cloud software always comes with a recurring cost. With modern business heavily relying on cloud computing, cost overruns unwanted utility computing expenditure needs to be averted through cloud deployment strategy to make the right choice between recurring or one-time software costs.

Software options available:

  1. Xero
    • Managing ‘to’ and ‘from’ accounts (payable/ receivable)
    • Suitable for small scale business due to low budget
    • Free payroll data access to users (bookkeepers, accountants, contractors, employees)
  2. Quickbooks online
    • Importing bank/ credit card transactions
    • Managing accounts
    • Preparing and displaying reports for Cash Flow Statements, Profit and Loss, Balance Sheet, issuing 1099s
    • Distinguishing feature: tracking of inventory, auto-create budgets
  3. Quickbooks hosting
    • Manageable and well-equipped servers for technological and IT support
    • Facilitates upgrading, automated data backups and regular maintenance
    • Allows execution of native functions and third party solutions
  4. Saasu
    • Raising of invoices and projecting estimates with provision for reminders and statement
    • Secured payment options for credit cards to customers
    • Readymade inventory with functionalities to build, assemble or bundle
    • Business growth tracking and live updates
  5. MYOB online
    • Customized and expandable accounting software as per specific industry requirements
    • Integration of existing software with the newcomers
    • Fast cash facility by averting late payments through credit card or BPAY directly from invoice
    • Avail financial support with flexible funding for aid in business growth
  6. Freshbooks
    • Importing banking transactions
    • Managing payment options due from customers and owned to suppliers
    • Customized invoice creation and scheduling recurring invoices
    • Tracking of project functions, time and expenses incurred
    • Report creation available only for Profit and Loss
    • Distinguishing features: Adjustable invoice templates, automated payment reminders and late fees charging
  7. Waveapps
    • Used for very small business and it is free.
    • Free accounting software to connect bank accounts
    • Synchronize expenses incurred
    • Balance book and keeps you ready for tax time
    • Accountant friendly software

The following are a few tips for making sure that the experience and results of cloud migration cater to your desires and objectives:

 Evaluate: The cloud partner would certainly assist in improving the system mapping; however, your team and yourself has to comprehend the fundamentals of the legacy framework prior to involving a cloud service provider.

 Defining success: Once you make an analysis of the pain points of the technology team and legacy systems, form a working team for defining company-wide objectives for switching over towards cloud. It essentially implies that successful definition relating to success is required whereby the cloud services partner of the future has an understanding quite earlier in the procedure what is required from the procedure.

 Choosing the correct partner: You are now prepared to look for and identify the suitable cloud services vendor which could enable you in attaining the objectives of the company. A company offering a solid cloud service would rapidly expand on the work being done, forcing back where it is required to enable you to clarify the objectives and analysis.

 Communicating: Change, particularly at scale, could be startling for those who are accustomed to functioning in a particular manner. It is indispensible for the leading staff and leadership team for comprehending that the correspondences inside — even inside PR is an important element for creating an efficient and constructive migration and post-migration utilization of the cloud platform.

Features to look for:

  1. Cash flow analysis.
    Inflows and outflows, financial reporting purposes, cash flow projection and forecast.
  2. Receivables management.
    Includes credit, collections, deductions, disputes and customer care operation management
  3. Ability to accept payments via credit card integration.
    Facilitates hassle- free, fast cash payment for invoices
  4. Creditor Analysis.
    Performed for data security, privacy, data and service availability, compliance factor
  5. Profit reporting per Item.
    Business growth in terms of profit gained on a specific product can be viewed and analyzed on request based on the data fed.

Comments are closed.