The Receipt Bank Blog

With the accounting media (and this blog) brimming with positive content on the cloud, it can sometimes feel like the profession has no concerns about making the leap from desktop to cloud-based practice. However, certain cloud accounting myths persist and can cause concern among accountants considering moving their firm onto a cloud solution.

On the one hand, that’s to be expected – the cloud is causing huge upheaval in the accounting and bookkeeping industry. A degree of skepticism is useful before taking any big plunge.

The problem comes when those myths are holding your firm back.
Cloud-based practices add five times more clients that traditional ones, and you don’t want to fall behind.

Assessing the degree of truth in these myths is crucial, as being well-informed enables you to make astute decisions about the role of the cloud in your practice and to grasp the opportunities it offers for innovation and development.

Here are four key cloud myths it’s worth reconsidering in 2017:

Myth 1: The cloud is still in its infancy

Busted: Whilst it’s understandable not to embrace every new trend in the accounting industry, the evidence shows that the cloud is no longer in it’s infancy, nor is it a fad.

AccountingWEB estimates that over 50% of their members now use some form of cloud accounting software and that number is only set to rise.

With that proportion of the profession heading to the cloud it’s crucial to take its impact on the industry, and the future of your practice, into account. After all, the cloud makes it easier than ever for your clients to switch accountants, so it can also make it easier to gain new ones.

Myth 2. My firm’s data isn’t secure in the cloud

Busted: Concerns about the security of your clients’ data being stored with a cloud provider are reasonable, and show appropriate consideration for the wellbeing of your clients.
So it’s good to know that the cloud is one of the most secure ways to store information, with most providers operating similar or higher standards to Fortune 500 companies and government agencies.

With your data continuously backed up on cloud software, opposed to a hard drive, the risk of losing your data due to theft, fire, or any other unfortunate circumstances is significantly reduced.

Not only that, but now that tax authorities worldwide are coming around to accepting digital copies of receipts and invoices you have the chance to do some serious office decluttering.

Myth 3. Transitioning to the cloud will be too time-consuming

Busted: It would be misleading to suggest that changing your practice’s internal systems and processes doesn’t take time, but this has to be considered alongside the consequent time-savings.

For example, Receipt Bank Partner and Xero WA Bookkeeping Partner of the Year Digitbooks used to spend 60% of their time per client just doing data entry. By moving to Receipt Bank and automating their receipt submission and data extraction they were able to cut their bookkeeping time in half.

By doing your research and selecting a trusted cloud vendor with an established record for customer service and expertise, migrating to the cloud should be a relatively smooth operation.

Working together you can make the changeover as quick and seamless as possible, causing minimal disruption to your firm’s everyday operations.

Myth 4. My clients won’t want to move to the cloud

Busted: If current accounting trends continue, Accountex predicts that by the end of 2017, more than 90% of small and medium-sized businesses will be using cloud accounting software.

If you ignore cloud software, you risk missing out on nearly the entire market. That said, it doesn’t every single one of your clients will rush headlong into the cloud-based future.

It’s key that they know you appreciate their concerns and have a clear vision of how transitioning to the cloud will benefit them. For example, using cloud technology such as Receipt Bank enables you to offer them time and space-saving benefits, plus faster reporting on their financial situation.

Many accountants test out new cloud applications within their firm first to get used to the software, before passing the benefits onto their clients. That’s why every Receipt Bank partner also receives an account for their own practice free for life. For Cornish Accounting, using our software in their own practice cut down their admin time by a third. This allowed them to put their money where their mouths were when it came to pitching the software to clients.

Beyond The Cloud Accounting Myths: Your guide to the future of cloud accounting and bookkeeping

With more clients moving to the cloud of their own accord it is undoubtedly worth taking some time to assess how it could fit into your firm.

To make sure you’re ready for this seismic shift, we put together an exclusive guide to cloud accounting automation in the industry “How automation is transforming accountancy: And why you need a friendly robot on your team”.

Download our eBook ‘How Automation is Transforming Accountancy” to find out:

• How to unlock extra time by automating low-level processes
• Why add-ons are the secret to expanding your service offering
• How to go beyond the cloud accounting myths and secure the future of your firm