How to use accountancy software to keep on top of cashflow
Three start-ups reveal how managing their company's finances online or on the move has freed up time and energy to focus elsewhere
We asked three start-up founders how accountancy software helps them to keep on top of cashflow.
The resounding answer was that it removes some of the headaches caused by trying to keep up with business admin.
“As soon as you have cashflow issues you take your eye off the ball and are worrying about how to pay people,” says Magic Whiteboard founder Neil Westwood.
He uses his accountancy software to keep an eye on how much is being spent on areas such as marketing, wages, and tax, enabling him to forecast three months ahead what he thinks the cashflow position for the company is going to be.
Wonderush founder Nelson Sivalingam concurs and adds that access to software across devices means the information he needs is available at all times.
Within his company members of the team have responsibilities for different aspects of the business and budgets to work within, but the need for an amount of fluidity is apparent in order to make the right decisions to support growth.
“You’re trying to grow with limited resources,” he says, “so it’s important to know how that money is being spent and to have those metrics at our fingertips.”
For Lorna Syson, a designer and founder of her eponymous brand, accountancy software has provided a good way to relieve the stress of managing her company’s finances.
She uses software for processing payments made via her website, which links with her accountancy software package within 24 hours. “Tomorrow morning, I’ll log on to Sage One and they’ll all be there and I’ll go ‘accept, accept, accept’. The VAT’s already sorted, so I haven’t got to do that, and it just saves me so much time.”
This film was produced in partnership with Sage One. For more business insight and tips to keep on top of cashflow and small business tax visit the Sage business blog http://uk.sageone.com/blog/.
For a free trial of Sage One please visit http://uk.sageone.com/products/.