With the proliferation of options now available in the world of cloud-based software, accountants are increasingly adopting new ways of performing essential tasks with new tools and systems. Cloud-based software has helped many accountants streamline their processes and in turn, prevent the likelihood of error and time wastage.
Erik Asgeirsson, president and CEO of CPA.com, notes that cloud-based systems have “helped turn client accounting services into a high-margin, high-growth line of business for many firms.” The 2016 National Management of an Accounting Practice survey found that CPA firms’ use of the cloud has grown significantly since 2014, with 56 percent of all firms saying they use cloud-based software.
So, what lies ahead for accountants and cloud-based software? In this article, we explore some upcoming trends in the world of accountancy and cloud software to better prepare business owners for the future.
The wheels keep turning
We predict that the transition from traditional models to cloud-based software will continue into the future, as more and more accountants become aware of the benefits of the cloud. The shift will continue to be among the important tech trends for accountants, “We’re seeing broad pickup in cloud services and other emerging technologies,” says Erik.
Small businesses and the cloud
The rush over to cloud computing is predicted to be particularly true of small businesses. One of the primary challenges for small businesses is financing the whole operation, so every little bit adds up. This is where cloud computing comes in: the cloud offers decreased IT costs. In fact, according to a recent study, “IT labour expenses were cut in half among 82% of the business that take advantage of cloud computing.”
It is no wonder small businesses are so enthusiastic about cloud software. While there will continue to be a general trend of transition across the board, small businesses are especially likely to be drawn to the lower expenditure offered by cloud-based systems.
According to existing research, “37 percent [of small businesses] had already migrated to cloud computing in 2015. That figure will more than double to nearly 80 percent in under 4 years.”
Not only will increasing numbers of accountants start to adopt cloud-based software, we also predict that accountants adopting the cloud will begin to experience greater productivity and capabilities through what Asgeirsson calls “fuller integration of [cloud] technologies and the elimination of bottlenecks in work processes.”
Unleashed also integrates with many cloud-based software.
Further advances in automation
The benefits for accountants of adopting cloud-based systems are huge, and a large portion of these benefits comes from the fact that cloud-based systems focus on automating processes. We predict that in future, accountants will be able to utilise even more sophisticated automation through cloud-based systems, to further streamline their processes and reduce the chances of error and time wastage. According to Asgeirsson, “a prerequisite to widespread use [of the cloud] will be the continued automation of data inputs.”
Business owners should keep an eye on these trends and keep ahead of the game to ensure they are making the most of what the cloud has to offer.
Article by Melanie Chan in collaboration with our team of Unleashed Software inventory and business specialists. Melanie has been writing about inventory management for the past three years. When not writing about inventory management, you can find her eating her way through Auckland.