From large corporations to small businesses, having a solid accounting department is key to a successful company. If you can’t effectively managing your financial activities, a wide variety of things can go wrong — some of which can be catastrophic to your business as a whole. From tax preparation to bookkeeping, all of these activities are vital to your bottom-line, including the satisfaction of both your clients and your employees. While you think these factors play a role only with large corporations, smalls businesses too need effective accounting services. But while these small businesses usually include small teams with little resources, it’s important to stay on top of the latest accounting trends to ensure you’re set for the present and geared for the future. In this post, we’ll discuss 4 accounting trends that can lead to many benefits for your small business.
One very important accounting trend to keep your eye on involves automation. According to Capterra.com, a common automated process in accounting revolves around OCR (optical character recognition) software, which scans a physical document and produces a convenient digital version. While you may think this data might be displayed scattered and jumbled, the results are clearly shown in an easy-to-read way. All you have to do is take a picture of the document and the OCR technology will do the rest. This software and many others help to take the load off very busy accountants, which opens the door for greater productivity and greater efficiency in accounting processes.
Accounting Roles Are Changing
Given that a lot of accounting processes are now being automated, this is opening up the schedule for small business accountants. While accountants are typically flooded with work and stressed out due to the insane schedule and list of duties, automated processes are changing the roles of these professionals. Instead of providing typically accounting services as seen in the past, accountants are now acting more like consultants. As these schedules are freeing up, accountants can now add real, long-term value to your business from multiple angles. From researching investment strategies to better forecasting future financial endeavors, expect accountants to focus more on these processes than ever before.
More Interactive, Less Boring Visualization
There is a common problem that most people see with accounting–it’s insanely boring. While crunching numbers is the ideal day for some, most people hate the idea of accounting work. Typically, accounting numbers and data aren’t displayed in a visually appealing way, and this data is hard to digest for many. That being said, one trend that can greatly benefit small business accounting has to do with the improvement of the software. There are multiple accounting software options nowadays that display data and other information in an interactive, easily-digestible way. To make things better, this information can now be understood by those not even involved in accounting. Small business employees can now better understand how their choices make an impact, including how the financial framework of the business works.
Option for Outsourcing
In this day and age, it’s pretty evident that the workforce is changing. These changes have to do with a more millennial-packed society that focuses on highly-advanced technology to get work done more efficiently. In addition, this change has also provided a workforce that includes more freelancers and contractors. And given that the roles of accountants have been changing, it’s a great time to consider hiring a freelancer. Not only are these freelance accountants focused more on technology and simplifying processes, but you won’t have to go through the annoying tasks of hiring a full-time employee, training them, providing benefits, etc. This will help save money while still getting top-notch accounting work.
The Future is Bright
Be understanding the accounting trends mentioned above, your small business can reach new heights that you never thought possible. While accounting software is improving by the day, with accounting processes getting more simplified, expect to see accountant work being more effective, efficient, and more focused on your financial goals as a whole.