The financial industry is in the midst of a digital revolution, and many banking, financial services, and insurance companies are in the process of actively acquiring and incorporating intelligent technology into their internal systems and processes. They’re not the only ones that are upgrading, though. Commercial and retail banking customers are also quick to adopt innovations that will enable them to keep track of their finances and meet regulatory requirements more quickly and conveniently.
The accounting sector is no exception to this. In the past few years, many accountants and accounting firms have seen significant improvements in the tools and systems that they use to get their work done and stay compliant with the Bureau of Internal Revenue (BIR). Here are some of the biggest ways that technology is bringing change into the accounting sector.
Specialized Accounting Software
Gone are the days when accountants had to depend on their trusty pen, paper, and calculator to get their work done. These days, most accountants rely on their computerized accounting systems (CAS) to do their jobs and make use of specialized software solutions that are specially designed for accountants. Many of these programs are designed to make recording transactions easier. Some even record transactions by scanning pertinent documents and then filling out the other details and later on in the process, speeding up the accounting cycle.
Aside from featuring multiple functionalities that will make an accountant’s job much less liable to human error, there are also accounting solutions that feature a BIR CAS accredited system, which will make it much easier for them to comply with the reports and documents required by the BIR. By using solutions that are accredited by this regulatory body, accounting firms and businesses have a better chance of avoiding errors that can subject them to fines, sanctions, and even reputational damage. This technology presents a win-win solution for businesses, financial organizations, accounting firms, and regulatory bodies alike.
Highly Efficient Client Transactions
It used to be difficult to get a hold of clients and service providers, but this is no longer the case in the digital age. Thanks to the rise of the smartphone and instant messaging apps, there are multiple channels of communication that one can use to reach out to their clients and service providers in case they need to clarify a few details or ask for additional documentation. The ability to get in touch with a wide range of people has hastened the accounting process and enabled accounting firms to immediately address most of the issues that they encounter while working on their clients’ accounts. This, in turn, has enabled accounting firms and professionals to complete more tasks in shorter amounts of time, all without compromising the quality of the work that they do.
Growing Presence of Mobile Accounting
Mobile accounting solutions refer to mobile apps that are designed to help entrepreneurs and freelance professionals stay on top of their finances. Many business owners have yet to discover the benefits of using such solutions in their day-to-day operations, but mobile accounting apps can make it much easier for them to send and receive invoices, capture receipts, and create expense claims, among other accounting and bookkeeping-related tasks that many solo entrepreneurs have to deal with repeatedly. These apps will prove to be a game-changer for SME business owners and the accounting firms that they work with.
Because their accounting solutions are right at the tip of their fingers, entrepreneurs can take care of their finances whenever and wherever they want. What’s more is that these accounting apps can immediately backup their users’ data on the cloud, meaning that their users can review their finances and share their transactions and pertinent documents with their accountants in a convenient manner.
Use of Social Media for Client Engagement
Even social media has made a significant impact on the accounting industry. In particular, it has affected how people connect with each other on a personal and professional level. For example, many businesses also use social media platforms to look for service providers, such as accounting firms that they can partner with. This provides accounting firms with the opportunity to attract more clients through the use of their official social media channels.
It’s now an option for firms and professionals to advertise their services and establish themselves as thought leaders in their respective fields by sharing their knowledge, interacting with their audience, and building on their social media following. This makes them a prime option for organizations that are looking for service providers that can better cater to their specific needs.
The digital revolution is here, and it’s in full swing in the financial industry and the businesses and professions that revolve around it. It’s high time for entrepreneurs, accounting firms, and accounting professionals to explore the benefits of upgrading their systems and tools to ones that are more suited to the times. Otherwise, they risk getting left behind by their competitors.