Why it’s time to go digital with your bookkeeping
Over the course of any given tax year, your business is likely to generate a lot of information. Think invoices, bank statements, tax returns, payroll, receipts. They soon start to pile up. If you’re keeping paper records, it can take up a lot of space and if the worst happens, you could end up losing your documents.
Here are some reasons why it’s time to bite the bullet and go digital with your bookkeeping.
Making Tax Digital (MTD)
The government plans to make it easier for businesses to get their tax right by becoming one of the most digitally advanced tax administrations in the world. In a bid to make the tax system more efficient, HMRC is introducing the measures and aims to have most businesses keeping digital records within five years.
It’s important to get on board now to make sure your business isn’t left behind or struggling with compliance at the last minute.
It’s more secure
We don’t like to think about worst case scenarios. However, it’s an unfortunate truth that sometimes businesses can be affected by hazards like fires and floods. Shockingly, over 50% of UK businesses risk losing their data. When you keep physical copy records, important information can get damaged and lost forever.
When you keep digital records, your information can be easily backed up giving you that extra level of security. If your records are stored in the cloud you can retrieve them anywhere, anytime.
You save space
If you’re keeping physical files for your bookkeeping records, where do you store them? Whether they’re in large filing cabinets, in your spare bedroom, or you pay a premium for off-site storage; it’s much better when you put this space to better use.
Office and storage space is expensive, you can save space and money by going digital with your bookkeeping.
You save the planet
According to Manchester-based business solutions company, Keeley Travis, the use of paper has skyrocketed by 120% over the last few decades. When you no longer store hard copies of your records, you’re doing your bit to protect the environment.
Going paperless helps reduce the carbon footprint your business creates. With more consumers and businesses taking social responsibility incredibly seriously, it spells the end for hoarding paper documents when there’s a better alternative.
You see the bigger picture
One of the most important parts of running a successful business is knowing how you’re performing financially. When your business takes it’s bookkeeping online, you can get access to technology that allows you to get a better overview of your position. This helps you make better, more informed decisions.
As your business grows, your workload and paperwork increases. When you’re using digital bookkeeping, you can scale your business without spending lots of time and money on changing your processes.
Are you ready to go digital with your bookkeeping? At Numero, we can provide you with expert advice and guidance on how to make the leap. Ready to find out more? Talk to us today.
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