If you’re a small business owner, you will undoubtedly have more information on complying with the new Making Tax Digital for VAT rules than you know what to do with. But what about dealing with the knock-on effect that the changes might have made on your business processes?
Many businesses have, quite rightly, invested in new accounting software to help them comply with Making Tax Digital, to store records affected by VAT digitally and maintain a digital link between their accounting records and HMRC’s systems.
The MTD legislation prompted a plethora of accounting software providers to ensure that their software was MTD compliant, and this has proven a great selling point for them. These solutions include QuickBooks, Xero, Sage, NetSuite and many more.
Many businesses are now storing more data digitally than ever before. While this is by and large a positive step, for some it also means that data is being input to yet another place, and that effort is being duplicated more than ever.
Your new software will likely have many benefits in terms of compliance, security and real-time access to financials, but the key to making the most of the technology you’ve invested in, from a business development point of view, is to make the goal integration, rather than duplication.
If you’re selling online using Amazon, don’t duplicate data entry or manually transfer data to QuickBooks – integrate the systems.
If your customer information is on Salesforce, don’t duplicate data entry or manually transfer data into Xero – integrate the systems.
This applies to any number of combinations between ecommerce platforms such as Amazon, eBay, Shopify, WooCommerce and Magento, integrating with accounting software such as Xero, QuickBooks, Sage or NetSuite.
It applies equally to CRMs such as Salesforce integrating with Xero, QuickBooks, Sage or NetSuite, for example.
You might even want to take this opportunity to integrate all three elements – your CRM, your accounting software and your ecommerce platform – and make life even more straight-forward.
Keeping your integrations simple is the key – allowing your business to work smarter, not harder, as a result of your Making Tax Digital compliant software.
More and more businesses are turning to Cloud Data Exchange as the answer. It offers simplicity and flexibility backed by one of the UK’s most well-established and well thought of software integration specialists, Eureka Solutions.
Cloud Data Exchange is a cloud-based integration tool that brings integration technology to the SME community at a realistic, affordable price, rather than adding yet more expense to businesses that have invested in new accounting software for Making Tax Digital compliance.
The product consists of ready to use, smart plug-ins that integrate commonly used accounting, ecommerce, ERP and CRM platforms for as little as £25 per month. You can integrate two systems or several, depending on the platforms you use.
Integrating systems not only reduces time spent manually transferring data it also ensures consistency, real-time visibility and reduces the chance of human errors.
Use this as an opportunity to think about how you want you and your team to spend their time. Free them up to focus on growing your business and serving your customers.