The ‘cloud’ is most likely a common topic that comes up in conversations with other accountants, and some of you might have questions revolving around the ‘cloud’ and its capability.
Wing Siang, Managing Partner of Neutral Consulting, was unsure of the ‘cloud’ too until he got to know Xero. Neutral Consulting PLT is a consultancy company that provides accountancy, immigration and tax incentive advisory services to both local and international companies looking to set up their business in Malaysia. In a business environment that requires communication and connectivity with clients from around the world, Wing Siang recognised the importance of going paperless. He also saw the opportunity that digital technology can bring to his team. They need to be online and they need to be in the cloud.
The ‘A-ha’ moment knowing that Xero is the one
To him, Xero is an opportunity to enable and educate his clients to access and understand financial information easily, especially within the Xero dashboard. He wants business owners to take a different perspective when it comes to accounting – it’s not a cost purely associated with compliance. Accounting can be a powerful and informative tool that businesses use to make informed business decisions.
Besides seeing it as a valuable tool for his external stakeholders, he believes that the adoption of cloud technology can be beneficial for his team too. Based on Xero’s 2020 Singapore Accounting Industry Benchmarking report, practices that adopt the effective use of cloud technology were able to lower their costs by 240 hours per client per year. Practices are also 10% more likely to retain their staff when they embrace technology and invest in staff training.
Since implementing Xero, Wing Siang and his team have saved at least 30% of their time previously spent on manual data entry and bank reconciliation. They now spend the extra time saved to deliver detailed analysis for their clients or turn it into an opportunity for staff to upskill themselves personally and professionally.
“I see Xero as a breakthrough for accounting software technology and believe that they are heading towards the right direction,” says Ng Wing Siang.
Delivering greater value with cloud accounting
Despite the implementation of the movement control order (MCO) in Malaysia for approximately two months, Neutral Consulting has observed a revenue growth of 30%. This is in line with what was observed among the pacesetting firms who participated in our 2020 Singapore Accounting Industry Benchmarking report. Those who fully embrace technology were able to grow their revenue three times faster than the other firms who had not yet. Businesses are starting to see the need to move online as they face difficulties in getting the company’s latest financial information. With businesses working remotely with their accountants, it’s challenging for those who are still using desktop software and requiring physical document filing.
Cloud accounting software is the perfect tool that enables advisors to connect and collaborate with their clients seamlessly. Being a Xero certified advisor, Neutral Consulting’s clients have been able to benefit from the switch to cloud accounting. They now have access to real-time financial data and can achieve automation in various aspects. This includes the use of Hubdoc to automatically capture data from uploaded documents and extract these information to publish into Xero as accurately coded transactions for reconciliations. – Read more