I use Xero and recommend it to my clients. There are many cloud accounting software solutions for you to consider but I find Xero easy to navigate, reasonable and trustworthy.
Learn more about how Xero can help your business below and get in touch if you would like support with both setting up and getting the most from this cloud-based accounting solution.
What is Xero?
Xero is cloud-based accounting software that enables you to track your incomings and outgoings; supports you with payroll and paying bills, as well as helping with practical tasks, such as sending out quotes and invoices.
Because it is cloud-based, it is accessible both via your desktop computer, as well as a mobile, as an app.
Why use accounting software?
Why use Xero?
Rather than managing multiple spreadsheets and constantly referring to your bank statement, Xero allows you to easily track your money.
It’s a specially designed piece of software. The company has an established reputation and takes security of your data very seriously. This is further evidenced through their collaboration and, therefore, integration with other apps and banks, which you can ‘link together’.
Xero is working with HMRC in preparation for the new Making Tax Digital rules, testing elements, and will be an approved provider.
Xero also seems committed to continual improvement, listening to what customers want and need to help them run their business with ease. Furthermore, the training offered, in terms of written resources, help sections and videos are really helpful, free to use and readily available.
Personally, I find the usability and navigation logical too and have managed to teach sole traders the basics within an hour.
What can you do with Xero?
There is so much you can do through Xero and depending on what ‘plan’ you pay for, you can access more and functionality. Specifically, you can ‘add’ certain elements, so that you only pay for what you use.
Some of the highlights include:
- Recurring invoices
- Quotes that you can turn in to invoices
- Running payroll
- Easy to do reconciliations
- Run Profit and Loss reports
- Tracking of specific products or categories
- Storing of contact information, good for recording suppliers and customers
- Bespoke reports – telling you what you want to know.
You can create a bespoke dashboard so that, when you open Xero, key information that you are most interested in is displayed. You can easily link your bank account for ‘real time figures’.
How much is Xero?
How can I use Xero to help with my self-assessment, VAT returns, etc?
For self-assessment and year end information, Xero allows you to easily run reports to give you the numbers you need. It makes it very simple for you, as well as your accountant, as everything should be accurately recorded and is easily accessible when you need it.
Xero helps to eliminate mistakes and identify any gaps well in advance of assessments and returns being due. It is so much more efficient and accurate than a spreadsheet, for example.
VAT returns can also be prepared and reviewed. There is a checklist to follow and then you can submit them directly – making life a lot easier.
If you give your accountant access to your Xero account – which can be done securely – then working on your accounts and any bookkeeping can be done together. There is no need for lost emails, confusing offline conversations and laborious paperwork trails.
How can I learn more about Xero?
Is Xero right for me?
Book a session with me. We can discuss how Xero may be a good option for you and how I can support you to get set up.
Let’s move away from spreadsheets and lost information and towards a more efficient digital solution.
While this blog aims to provide helpful information, it’s important to remember that every business and person is unique. So, before making any decisions, we highly recommend seeking professional advice. We want to ensure that you have all the support you need to make the best choices for your situation!