Xero Accounting Software for B Bakery
Many small growing businesses face challenges in keeping records and accounting transactions. Incorporating an accounting software will enhance information handling, accuracy, and data security. The software has functional modules such as account receivables, payroll, trial balance, accounts payables and other functional accounting transactions. The most software may be on-line based or desktop enabled that works offline. The complexity of the software and the number of functions it can perform determines the cost of the software (Khaneja, 2015). Xero software provides accounting solutions for B Bakery. Xero software is subscribed monthly and can be scaled up or down upon the users wish. It is hosted on the Internet and responds to the variety of customers accounting needs. It is 100 percent cloud hence uses a browser. Most of its functions are cloud-based. Hence, the data is always secure and backed up. The information on Xero can be accessed anywhere.
Benefits of Xero accounting software for B Bakery
The company is set to benefit from installation and running their transactions using Xero. The software will ensure automatic bank reconciliation, where the software connects to the bank accounts and imports the necessary bank statements and categorizes them automatically. The statements are reconciled to ensure that the accounts are accurate and up to date. The program will also help the organization with the inventory management. The software will assist in the tracking value of the inventory and improves the stock control process.
Running accounting transactions using Xero online services ensures data security even if the computer is stolen or gets lost. It allows the one to run the company on either a personal computer, tablet or a mobile phone. Additionally, it provides the company with real-time information to the management and other professionals for the purpose of decision making.
Data access in using Xero software is much easier, the challenges of traditional bulk entries of accounting transactions will reduce since computerized accounting will provide an easier way for several people to access the data in and outside the offices. The management need not be around the factory to see the financial state of the bakery. The system ensures reliability as the figures are supposed to be accurate. Moreover, the B Bakery is continuously growing. Hence, the accounting system makes the process scalable. Some transactions increase with the growth of business, and they become more complex as the Bakery incurs higher profits this calls for a computerized accounting. With the process, every transaction is straightforward since the system make it easier to located a transaction unlike to locating in a bulk bunch of papers (Knudtzon&Schmidling, 2006).
The Xero software will speed up the entire process of preparation and managing of the accounts. Reports and financial statements can be generated faster with just a click. Decision makers will not have to take many hours waiting for the statements to make important decisions. Unlike the paper-based accounting, the software accounting is cost-effective. After the initial installation, running the system is less expensive and maintenance free. The system allows the one to see the accounts in different perspective hence make better decisions. The system could tabulate tables and graphs in different formats hence helps in more improved decisions. The company will benefit by providing automatic reports and analysis such as profit and loss, paying bills, pay slips, and calculating value added tax. These processes reduce the errors that could be done in the process of manual filing. Moreover, the system could perform other functions such as e-filing and online banking. The data stored online is safe from not only natural but also man-made impacts such as fire, earthquakes, flooding, and terrorism. In a case of attack, the system could be restored in other computers and the data could be retrieved.
With Xero computerized accounting, it will be much easier to pay all the 70 employees since compliance increases with the combined payroll. Manual data entry is cumbersome to pay all the 70 employees, and computerized accounting system makes it easier for the accountants. Xero could bring about invoice reminders where it could automatically send messages to customers to remind them of the invoices that are overdue. Moreover, the system could handle expenses by reviewing and approving receipts (Dalci& Tanis, 2004).
Incorporating an accounting software will enhance information handling, accuracy, and data security. The management need not be around the factory to see the financial state of the bakery. The system ensures reliability as the figures are supposed to be accurate. In Xero, every transaction is straightforward since the system makes it easier to locate transactions unlike to locating in a bulk bunch of papers.
Berka, G. B. (2001). U.S. Patent No. 6,275,813. Washington, DC: U.S. Patent and Trademark Office.
Dalci, İ., & Tanis, V. N. (2004). Benefits of computerized accounting information systems on the JIT production systems. ÇukurovaÜniversitesiSosyalBilimlerEnstitüsüDergisi, 13(1).
Hossack, S. (2015). Cloud-based accounting and productivity tools for practitioners and taxpayers. Taxation in Australia, 50(5), 265.
Khaneja, S. (2015). E-Accounting in the Current Scenario: Impact of Information Technology. The International Journal of Business & Management, 3(9), 290.
Knudtzon, K., &Schmidling, C. L. (2006). U.S. Patent No. 7,120,597. Washington, DC: U.S. Patent and Trademark Office.