Gone are the days that a business relies on an in-house accountant with paper records to keep track of their cash flow. Instead, companies today are taking advantage of powerful digital solutions that can help them better manage their finances. Many companies currently use online accounting software that’s available for purchase via subscription in order to manage finances. However, many of the current online accounting solutions lack features, and in order to manage all financial matters in one place, customers must pay for add-ons, or purchase additional software in order to manage unsupported tasks. Luckily, there’s actually a new generation of accounting tools that is available to business owners and accountants — and it is making current online accounting software look outdated and inefficient.
One of the best new accounting tools that is available to companies is Xero. Xero is a cloud-based platform where companies can manage all aspects of their business in one place: from invoicing to contact management to stock reordering, and much more. If you run a business and you want to make sure you are using the most up-to-date, powerful accounting platform available to you, here’s why you should take a look at Xero.
It is Built as a Relational Database
Xero is designed as a multitenant relational database. A relational database is essentially a collection of data sets that are organized into tables, and the data can be accessed and used from those tables in countless ways — without having to reorganize the tables. In Xero, accounting data is structured in a logical, relational form — which ultimately both simplifies the application architecture and delivers a more integrated experience to users. If you use Xero, you can create uniform reports for a wide range of companies — no matter how their accounts are charted or documented.
It Exists as a Single Global Platform
Xero exists as a single global platform, with more than 500,000 customers across the world. This means that all users have access to the same core product and central database. Xero will continue to use their single code base in order to build more powerful and convenient tools, and to offer services to more and more varied business across the globe — which means you can take advantage of the software no matter where you work or who you work with.
It Utilises a Major PAAS Provider
You’ve probably heard of SAAS. (Software as a service). However, the new accounting tools you should be taking advantage of exists as a PAAS (platform as a service). This means that the accounting platform exists in the cloud, and you don’t need to install software on your office computers to use it. Xero uses Amazon Web Services to store data, and by using it to manage your financial information, you can ensure that information is highly secure, doesn’t require extra capital or cost for storage, and is always available to you.
It Incorporates Machine Learning
Xero prioritizes the fact that AI (artificial intelligence) and machine learning can revolutionize the way accounting solutions work, and in turn, the way that companies handle accounting. Xero is a cloud-based platform, and there is a limitless amount of raw user data that is also currently stored in the cloud. That data can be anonymized and analyzed using machine learning in order to deliver insights into ways that software can be more, and perform better. This means that over time, a platform like Xero learns from the data it stores — and can handle more and more accounting functions. This will ultimately give you more time to take on extra clients, deliver more accurate information and avoid menial, tedious tasks like complicated calculations.
It Offers Invoice-Driven Payments
Xero offers simple, easy online invoicing and payments, which encourages customers and clients to pay expediently and conveniently. This can ultimately saves you time and money, since you don’t have to spend time and energy chasing clients who are behind on payments.
Ultimately, as the digital world evolves, accounting software has evolved, too. The most efficient businesses are turning to solutions of a new generation like Xero — which can ultimately save you time, make your business more organized and ensure you’re managing your money in the smartest and most cost-effective way possible.
IntegraPay aligns perfectly with Xero and together makes a seamless solution for business to not only track spending, send invoices and get paid easily, but also auto-reconcile, create recurring invoices and generally improve business efficiency. Check out the IntegraPay Xero App here.