Never miss a story

Get subscribed to our newsletter

Photo by Scott Graham on Unsplash

The accounting software market is on steady growth for the past five years as more businesses utilize their powers to minimize their business losses.

By Prajakta

The accounting software market is on steady growth for the past five years as more businesses utilize their powers to minimize their business losses. Analysts from Technavio forecasted the market size of small business accounting software from 2017 through 2022. Their findings conveyed a CAGR of over 6%, making it grow from $3.16 billion in 2017 to $5.10 billion by 2022. Even beyond 2022, these figures are only going to increase and get better. This proves the increasing popularity of accounting software among businesses around the globe.

Since companies were using automation to streamline various tasks anyway, this switch to accounting software also comes as much needed and highly intuitive. Accounting software helps you handle your bookkeeping and accounting, including recording all of your financial data, creating comprehensive reports, and managing invoices and inventories.

All in all, accounting software, riddled with the latest features, help your business save a lot of time and money, and minimize losses in the long run. Here are five ways how an accounting software enables you to do that:

1. Automates monotonous yet important tasks

Robotic Process Automation. Pixabay

Data entry, especially concerning financial data, is extremely time-consuming yet supremely crucial. With accounting software, you get the ability to automate all of this data entry. You just need to enter the information once, and based on the history, and the tool will perform all the relevant data entry tasks accordingly. It's that simple! In doing so, not only does the accounting software help you cut down on unexpected losses that would have happened due to incorrect financial data but it also simplifies the entire accounting process.

2. Helps with legalities and tax calculations

Good accounting software helps you record, track, and manage all of your business expenses in a more structured manner, allowing for simplified and organized tax calculations. The accounting software puts you on top of your accounts and finances and provides you with the tax details and reports you need to save money on taxes. Gone are the days when you were running after such details endlessly! Being automated and digitized, accounting software also makes your business audit-proof by ensuring all the financial documents' utmost accuracy and completeness.

3. Converts physical financial documents to digital

maintaining physical papers is an outdated and time-consuming task. Photo by Lukas Blazek on Unsplash

In a highly technology-fueled world, maintaining physical papers is an outdated and time-consuming task. Further, that approach is also highly space-inefficient as with a growing number of physical documents, it becomes even more difficult to manage them. In today's fast-paced world, mostly all of the operations are powered by technology. This interaction of day-to-day business processes with the latest technologies will only increase in the coming days, especially looking at how immensely helpful technology has been in all the spheres of operations. Another benefit of digital documents is the ease of searching, sorting, accessing, and sharing them with the required people whenever needed. This is truly a blessing! Digital invoices and receipts also provide simplicity to your customers as your customers get the ability to pay just with a few clicks, using any payment channel of their preference.

4. Ensures overall positive cash flows

One of the biggest challenges of running a small business is ensuring steady, positive cash flows. Because, without sustainable cash flows, managing a business becomes next to impossible, as there are many upfront expenses to incur, like - employee salaries, office rent, electricity bill, internet charges, and so much more. So, for any business to be profitable, positive cash flows are essential. One hindrance towards positive cash flow is pending invoices falling through the cracks and staying pending for months. Accounting software, fueled by automation, helps you curb this challenge by setting up automated reminders and follow-ups if any invoice goes pending. You will be able to easily track bills as they arrive to forecast future cash flows, too. All in all, with accounting software to help you, you can rest assured about your cash flows and minimize losses associated with pending or delayed payments. As such, it is an extremely important component of any modern business.

5. Helps in reducing business expenses

Expenses stock photo

You can eliminate many business expenses by using accounting software to manage your bookkeeping and finances. For instance, you don't need a specialized bookkeeper or a person to manage your accounts; neither do you need to spend additional hours every month to keep your books updated and stay on top of your finances. Further, your business also eliminates the costs of storing physical papers, printing invoices, paying for inks and papers, and a lot more. Accounting software simply brings all of your bookkeeping and accounting activity to the cloud. It rids you of many physical tools that you would otherwise need to purchase to keep your finances afloat. This, in the long run, translates to cutting down on a lot of expenses and eventually minimizing business losses!

Move to smart accounting today!

Having accurate books and financial documents is imperative for your business growth regardless of the size of your business and lack of it can be extremely harmful. With accounting software, you get a tool to aid you in your accounting and bookkeeping journey so that you don't have to manually keep track of all the different documents and payments which is a blessing. By automating most of the cumbersome yet essential tasks, accounting software helps you save a lot of time and effort and allows your business to minimize losses and mitigate risks while staying financially healthy and thriving towards success!

Not to mention, the accounting software also comes with the ability to create automated and on-demand reports. These reports are useful when you require a quick overview of your company's finances or to communicate the financial health to other stakeholders of the company. These reports can also be properly analyzed and studied to make informed predictions about the company's financial future.

All in all, account software is the smarter way to handle accounting for your business while eliminating most of the losses!

Keywords: Business, Accounting Software, losses, cutting losses


As per the man, his wife had developed an illicit relationship with a man, living nearby their house. | Unsplash

High drama was witnessed in Kanpur Dehat for over an hour when a man, upset over his wife's alleged affair with a local man, climbed the tower with his children and threatened to commit suicide. The incident took place on Monday near Gandhi Nagar in Akbarpur, when the man threatened to commit suicide after throwing his kids down from a height of nearly 40-feet. Chaos prevailed around the area and the locals informed the police that rushed to the spot.

After about half-an-hour of convincing, the police managed to bring him and his children down. The man told the police that his wife's affair was going on with his neighbor. He had complained to the police, but no action was taken. Police said that as per the man, his wife had developed an illicit relationship with a man, living nearby their house. "As per the man, in his absence, his neighbor visited his house often. He said that he had reprimanded his neighbor many times, but to no avail," said the police.

Keep Reading Show less

The US forces continued their bombardment of buildings and institutions in Syria's northeastern Hasakah province.

The US forces continued their bombardment of buildings and institutions in Syria's northeastern Hasakah province, as part of their alleged manhunt of Islamic State (IS) fugitives, state news agency SANA reported. The US forces are shelling buildings and public institutions on Tuesday in the vicinity of the Sina'a prison in the Gweiran neighborhood in Hasakah "on the pretext of hunting down IS militants who fled the prison," said SANA.

Syria The Syrian Foreign Ministry has slammed the US airstrikes as civilian casualties have been reported. | Wikimedia Commons

Keep Reading Show less

Multiple avian influenza outbreaks have occurred in India, the UK, the Netherlands and Israel. | Unsplash

The circulating avian influenza outbreaks, including in India, do not seem to pose the 'high' risk but surveillance and biosecurity measures are necessary to reduce spillover risk between poultry and wild birds, a UN-backed scientific task force said. Throughout the past autumn and current winter in the northern hemisphere, multiple avian influenza outbreaks, caused predominantly by the H5N1 HPAI virus, plus other subtypes, including H5N8, have occurred in India, the UK, the Netherlands and Israel with the ever recorded mortality of the Svalbard barnacle geese in Solway Coast.

Also Read : Avian Influenza is Heat liable and gets killed when subjected to heat

Keep reading... Show less