How Can Accounting Automation Help Accountancy Practices?

Accounting automation has become one of the trending topics in the current years. We have been hearing about accounting automation and most of us are perhaps wondering whether it will help your business or not.

It depends on who you ask, automation has different connotations. However, automation is often referred to as the next big thing in the business world.

Before we move to the benefits of accounting automation, let’s understand what accounting automation is.

To put in simple words, accounting automation is a combination of automated processes that reduces the human intervention from accounting tasks. However, it’s important to understand that accounting automation is more than partial automation of accounting processes.

Here are a Few Benefits of Accounting Automation for Your Business:

Automating accounting processes have an array of benefits for business owners. Here are some of the most important benefits:

More Accuracy

Even if your accountant is extremely thorough and meticulous, there are all the probabilities that some details might slip away from their attention. Misplacing an amount or missing decimal can happen even to the best of professionals. But, this is not the case with automated accounting solutions. Data accuracy is paramount of accounting operations and also enables you to keep a good reputation among the clients. Since it’s supported by technology, it guarantees 100% accurate records offering immediate benefits.

Quicker Turnaround Time

Among the most important benefits of accounting automation, time saving tops the list. Automation allows accounting companies to deliver the outcomes in the fastest turnaround time. Moreover, this provides the opportunity to take on more clients, while you can deliver accurate and fast solutions to the existing customers.

Comprehensive and Meticulous Analytics

Since the role of the CPA is shifting towards a strategic advisor, access to the necessary information becomes important. Automation helps avoid the pain of collecting and compiling data. By connecting the right technological platforms, it becomes easy for anyone to automatically access important data including monthly/annual reports, charts and KPIs.

Another obvious benefit of automation processes is reduced expenses. It takes simple math to see how much expenses the automation process can save. An average accountant in the UK earns approximately £25 an hour. Imagine this professional spends around two hours a week to organise and update the financial records. That means you have to spend about £2000 a year. The said task could easily be automated, resulting in processing more records and in less time and at less than half the cost.

Increased Data Security

Data security is of utmost importance in today’s world. Automation helps in protecting the data from getting leaked. Moreover, the automation process also safeguards your data from breaches, cyberattack or unauthorised access. Automation process enables automatic storage of important data and retrieving it whenever you need. Besides, searching for a document becomes easier as the data is consolidated and hence it’s stored on a tidy database.

Get in touch with experts from Accounts Bytes to get more information on accounting automation.