Red Shoes Accounting Services

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Make going paperless a goal for your business.
19/12/2022

No matter what size your business, taking your accounts system paperless simply means switching your hard-copy paperwork in favour of using digital storage, software, and electronic payments. Accounts is the one department which can generate mountains of paper. Invoices, receipts, bank statements, loan or grant paperwork, correspondence from HMRC can all take up a lot of filing cabinet and archiving space. Shuffling paper can take up valuable time and money and your efficiency in making and receiving payments may be affected through time-lagging bottlenecks.

Even if your accounts system is already cloud-based, are you using it to its maximum potential by taking advantage of its paperless capability to streamline your process and improve efficiency? Or are you still diligently printing invoices and receipts off, ticking them off with a pen against the bank statements and putting them in a folder to hand over at year end?

No matter what size your business, less time spent chasing, printing and shuffling accounts paperwork is more time spent on growing your business and providing excellent customer service. You’ll save money too.

The top 7 reasons to go paperless:

Among the many reasons to go paperless, some of the most appealing include:

1. Save time and money

Obviously, the cost of paper is a saving, but there are also costs such as filing cabinets, printers and ink, binders, pencils/paper and pens to consider. That’s in addition to the time it takes a person to manually process an invoice and their cost per hour. Paperless systems and cloud accounting can be automated, which can be a total game-changer. Integrated bank feeds match up to invoices to automatically reconcile. You can save hours trawling through bank statements to print off receipts and match transactions.

Also, you could save money on your accountancy bill as clear, organised digital accounts will save your accountant time too. Which, in turn, could lower your accountancy bill.

2. Save storage space

Clear out storage space used for filing cabinets and archive boxes by saving everything to the cloud. You can access any record at the click of a button rather than rummaging through paper files. You could even use the space freed up to put a desk for a revenue-generating new employee.

3. Better transparency

By having access to all your accounts at your fingertips, and accounts data available up to date and in real time, you can make better decisions about your cash flow and also monitor your next personal/corporate and VAT tax bills through cloud accounting’s tax summary functionality. This will help avoid any nasty tax bill surprises at the end of the year allowing you to budget more carefully.

4. Increase efficiency and productivity

Paperless is simply faster. Reports can be generated quickly.  Information can be accessed at the touch of a button and the chances of documents being filed in the wrong place greatly reduced thanks to keyword searches. Time wasted searching through paper files is eliminated.

5. Less human error

Paperless means less lost paperwork. There is also less duplication. No more invoices or documents getting lost in the post. No more coffee cup rings left on paperwork. And reduced risk of fraud as the amount of manual handling is reduced and you can keep an eye on transactions more easily.

6. Remote access

Perfect for hybrid-working or if you want to access your accounts remotely at any point. If you have a question for your accountant, well, we can log in too and check anything for you and swiftly resolve any queries.

7. Environmental benefits

The obvious one. Less paper in your office means fewer trees are cut down!

So, how do you make the transition?

4 steps to going paperless with your accounts:

1. Plan - What time of year is best to make the switch? New Year is a good time to start the planning process, you may decide to get steps in place to go paperless and introduce automation from the start of your next tax year. What do your team think? What processes do you currently have and how can they change for the better.
2. Select - Choose your cloud accountancy software if you don’t already have it. There are plenty to choose from: Xero, Quickbooks, Sage, QuickFile to name but a few. If you need any advice, contact us and we’d be happy to advise the one that would best suit your requirements.  We can also train you on how to use it for maximum efficiency.
3. Scan - Start scanning the records that you will need to upload. Many cloud accounting software providers also have Document Management storage areas that will let you upload bank statements, contracts, correspondence, remittance etc.
4. Shred - Safely destroy any scanned documents that you no longer need to keep to free up storage space. Your office will look much better for the paper declutter!

Make it your number one business resolution

If you would like to improve your business efficiency and save time, money and hassle, there is no time like the present to get the paperless wheels in motion.

If you need any advice or training on cloud accounting or transforming your clunky accounts paperwork to a streamlined automated digital breeze, then contact us and we’ll be happy to find the best options for you. 

And, if you don't have time for bookkeeping, we can do all that for you. Just get in touch and ask about our Bookkeeping services. We'll bring it all up to date in no time!