Top 3 Reasons to Embrace Online Accounting Now

In our previous blog, you read about how the clutter of spreadsheet is hampering business growth for small business owners across the country. Let’s move further into the topic and talk about how new technologies are here to make the business journey of entrepreneurs easy, fast and enjoyable.

Today, simple yet important activities such as banking have made their way to the online world.

It’s technology that has enabled me to reach out to the audience of business owners and accountants such as you and help simplify your business processes by my blog posts.

If you’re a small business owner then you may be looking for processes that will make your business efficient and let you manage your money better. Technology is the answer to all your major business needs. Most businessmen make use of smartphones, tablets, and social media, but now it’s time to use this technology to take your business to the next level by including it in your accounts and financial process. When you take up technology like accounting software then it can save you much time and allow you to focus on other aspects of your business.

If you’re looking for accounting software in India, then ensure that you look for one that can track your transactions and can produce a sufficient financial output. It should also allow you to file taxes online; it should provide you with reports like annual financial statements, tax return information and monthly reports.

In the end, the accounting software should be able to analyze the profit margin and efficiency levels of your business. When you are provided with the right information, you will notice that your operations begin to improve and grow.

Unfortunately though, a fair section of small businesses in India are still falling behind and haven’t been able to adapt to new technology, partly because of unawareness and skepticism.

Due to this, they still manually work on their accounting and consequently suffer from a stagnant growth.

The Problem with Manual Accounting

Despite these benefits, many small businesses in India still rely on manual accounting, which can lead to slow growth and missed opportunities. Manual processes are prone to human error, especially as transaction volume increases. As businesses expand, the complexity of manual accounting grows exponentially, making it harder to maintain accuracy and compliance.

Let’s take a closer look at a typical accounting cycle for a small business:

1. Journalizing Transactions

2. Posting to Ledger Accounts

3. Preparing Trial Balance

4. Preparing Final Financial Statements and Filing Taxes

While each step seems manageable, when you’re dealing with hundreds or thousands of transactions, even small mistakes can have big consequences. This is where online accounting systems come in, making the process easier and error-free.

So, What’s The Solution?

Weare glad you asked that. It means you want your business to excel and grow. Fortunately for you, the solution is simple: Your business needs an online accounting solution that fits all your small accounting needs, like invoicing and tax filing to the large ones, like inventory management.

Top 3 Reasons You Should Make The Move To An Online Accounting Solution-

You Will Save More to Earn More!

Traditional manual accounting is a tedious process requiring accountants to spend copious amounts of time mathematically checking numbers in the company’s accounting information. Simple mistakes such as transposing numbers or entering information into the incorrect column could create significant errors.

Online accounting systems allow accountants to process more information than before by creating accurate financial reports. Because of its efficiency and ease of use, online accounting systems also allow you to improve inventory control and payment collection, saving time and improving cash flow. Accountants can potentially spend less time looking for errors and more time analysing information for decision purposes.

Your Business Will Always be Up & Running.

The cloud is one of the most secure ways to store data. For example, using cloud software, if your laptop is stolen or gets crashed, no one can access your data since it’s only you who have a login to the online account.

In the event of a natural disaster or an on premise theft, having all your accounting data on the cloud means business productivity doesn’t need to be affected. As long as you have access to any computer or mobile device connected to the internet, you’re up and running.

In addition to this, if you invite your accounting team or investors or other decision makers to view your accounting data, you can control the level of access. This is much more secure than the old-fashioned way of emailing your files or sending out a USB stick with your data on it.

Your GST Compliance Complexities Will be Minimised.

Filing taxes is one of the crucial activities for any business, more so now, because of the introduction of GST. Today each and every business owner conducting in India has to register themselves under the Goods and Service Tax laws.

After which they are expected to send out invoices that contain the details prescribed by the government, upload monthly transactions to the GSTN portal, and file multiple returns every month. All these steps simply imply that it is impossible in the current day to handle all of this in manual books.

Online accounting is the right way forward. Not only it allows for GST compliant invoice generation for transaction level compliance but it also helps in generating easy to understand error reports and ultimately filing accurate tax returns.

Giddh Accounting: The Best Online Accounting Solution for Small Businesses

When it comes to online accounting systems for small businesses, Giddh stands out as a top choice for entrepreneurs looking for an easy-to-use and effective solution. Giddh offers a range of features designed to simplify financial management, from invoicing to tax filing. Here’s why Giddh is a great fit for your business:

• User-Friendly Interface: Giddh provides a clean, intuitive dashboard that allows you to manage your finances with ease, whether you’re new to online accounting or a seasoned pro.

• GST-Compliant Invoicing: Automatically generate GST-compliant invoices and manage your tax filings directly from the platform, saving you time and reducing errors.

• Real-Time Reporting: Giddh offers real-time financial reports, helping you make informed decisions and stay on top of your business’s performance.

• Affordable Pricing: Giddh is designed to be cost-effective for small businesses, offering flexible pricing plans that scale with your business needs.

How to Choose the Best Online Accounting Software

If you’ve decided to make the move to an online accounting system, it's important to choose the best online accounting app that aligns with your needs. Here are a few tips:

• Look for GST and Tax Filing Features: Ensure the software supports GST-compliant invoicing and facilitates tax filing directly from the platform.

• User-Friendly Design: The software should be easy to use for both accountants and non-accountants, allowing you to onboard your team quickly.

• Scalability: Choose a solution that can grow with your business and handle increasing transaction volumes as your business expands.

• Customer Support: Reliable customer support is essential, especially if you're new to online accounting.

Final Thoughts

Hopefully, you are aware of the benefits that come with cloud accounting systems. Once you have done your research and got all your data in place then it’s time to invest in the best accounting software for your company. Ensure that your accounting software includes features like ability to file GST return online and file taxes online.

You will find many results when you look for cloud accounting software, but not all of them will deliver the results that your business needs. So, the best way to find out if the software works in your favor is to review the system yourself. In the end, ensure that you choose accounting software that will boost your company’s profit margin.

Worry not readers! While you could still continue to perform the above mentioned tasks manually, doing so would be both time-consuming and costly and error prone.

Modern technology is changing the nature of accounting, across all business sizes and types. It’s time to sign up with a cloud accounting solution and enjoy a hassle-free & error-free accounting experience.