4 Key Benefits of Using an Accounting App

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4 Key Benefits of Using an Accounting App

Accounting apps have taken over accounting operations in so many companies and institutes in Indonesia. Time-consuming and error-prone manual accounting process is considered inefficient and slows down the performance of accountants. This is why more and more businesses are switching to automated accounting solutions. Here are a few key benefits an accounting app can provide for your business.

1. Improved Data Accuracy

Data accuracy is critical to any business. The problem with manual bookkeeping is that there are most likely errors in writing and bad writing can be misread by anyone. Manual calculations are also very vulnerable to mistakes.

It is true that human error cannot be completely eliminated from daily accounting tasks, but an accounting app can minimize the possibility. Taxes, income, expenses, etc. are calculated automatically by the app. Any errors such as duplicate entries can be identified by the system so that accuracy can be improved significantly.

2. Increased Mobility

A cloud-based accounting app gives you the advantage of being able to access your business account from anywhere. The app can also be used through commonly used browsers. In addition, you can also access it using your smartphones or other mobile devices.

Some of the processes you can flexibly perform when using an accounting app are:

  • Tracking profits and losses across multiple business locations
  • Creating and sending invoices directly from your mobile devices
  • Viewing transaction history and billing reports
  • Recording expenses and attaching receipts
  • Following up with customer payments
  • Gaining real-time insights into your income, expenses, etc.
  • Instantly generating financial statements such as income, cash flow, changes in equity, balance sheet, etc. 

3. Complete Financial Visibility

An accounting app provides more complete information related to your finances. Some of accounting apps even allow users to forecast cash flow, helping them figure out when expenses are likely to occur and when income is likely to be received.

Usually, detailed profit and loss data is difficult to be generated, especially if there are multiple businesses to be managed. But with a complete accounting app such as EQUIP Accounting, you can figure out your profits and losses based on area, store or warehouse location, and even product.

4. Simplified Tax Compliance

In addition to showing how much tax is payable on specific invoices, some accounting apps also allow you to generate reports that show how much of a specific tax your business has paid for a certain period of time, making it easier for you to collect the data needed to complete and submit government tax forms such as VAT (PPN) and PPh-23.

Read the related article: 5 Most Desired Features of Accounting Apps

Tips for Choosing the Best Accounting App

Finding the right accounting app for your business can be really tricky. You might have to go through a lot of research and have some considerations. To facilitate your search, here are some quick tips from HashMicro:

Prepare Your Budget & Find Out the Prices

Determine how much money that you will invest in an accounting app and meet several vendors who offer prices that meet your budget.

Understand Your Business Needs

Write down all your business needs. Have your financial team involved. Find out what features you look for in an accounting app. Some features that you should look for are:

  • Multi Currency Support
  • Automated Journal Posting
  • Bank Account Reconciliation
  • Cash Flow Forecasting
  • Invoice Management
  • Financial Report Management
  • Asset Depreciation Calculation
  • Tax Management
  • Multi User & Location Management
  • Payment Management
Reach Out to a Software Consultant

You may understand accounting very well, but you may not know how accounting software works. Are the accounting apps you are considering suitable for your industry? Are they customizable according to your business needs? Are they compliant with tax regulations in Indonesia?

Feel free to discuss your needs with a trusted software expert. HashMicro provides free consultation for those who are looking for an accounting app or other business apps. Find out more about EQUIP Accounting here or directly contact us directly by filling out the form below.

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