Online Accounting Solutions

Presentation for the Evenlode Network on

10th October 2013

Presented by Ray Mathew Koshy

of

Koshy & Co

It’s here to stay – for now!

What is Cloud Accounting?

Cloud Computing or something being in the cloud, is a colloquial expression used to

describe a variety of different types of computing concepts that involve a large

number of computers connected through a real-time communication network such as the

Internet.

Accounting, Tax and related services in the cloud!

Advantages

• More efficient processes than traditional book-keeping.

• Lower capital cost – when compared to many traditional accounting packages. Absorb or charge.

• Software updates itself – very little chance of system crash.

• Data will always be backed up – in the cloud.

• Move your processing from desktop to tablet or any other device - works on any medium.

• It looks good – the modern savvy client may not just like an app, they may expect it.

Disadvantages

• May lack power of more traditional accounting.

• Currently only as good as your broadband.

• Where is your data? Who knows?!

• Security.

• More likely to be tied in to one supplier:

– Fee increases.

– Company may not do so well – could disappear?

• Cost per client, on rolling monthly contracts.

Suggested Suppliers

• Brightbooks

• Clearbooks

• Freshbooks

• Kashoo

• Kashflow

• The ‘Megabucks’ - Sage & Intuit and . . .

• Xero

Brightbook

• Free Online Solution.

• Developed for very small businesses.

• Easy to use.

• Accountant can be added as a user.

• No bespoke client management interface.

Brightbook – Free?

'We have two additional paid extras which quite a number of our customers use, which make it pay it's way. The first enables you to send all invoices from your own email address and have no mention of Brightbook - and the second is custom invoices which also send from your own email address. We're going to be adding to that list in the future...' Warwick Leicester (Director)

Clearbooks

This company has grand ambitions. It is currently seeking a listing as a PLC.

Man behind the company is Tim Fouracre – a Chartered Accountant who trained with KPMG.

Software is designed with the accountant very much in mind.

Allows for online collaboration between book-keeper and accountant.

Clearbooks Partner

Becoming a Clearbooks partners has several benefits. Partners can update any client, by way of a

dashboard. Access to free listing on find-a-uk-accountant.com

with the opportunity to buy leads that come through. Cost of each addition client is provided at a reduced

rate to the advertised price. Co-branding of the book-keeping system is

possible, at no extra cost.

Pricing

Pricing etc. continued . . .

Accountants pay £7.50 (+VAT) to be a partner. Each client is put onto the expansion product at

£7.50 (+VAT) each. Cost can be absorbed in full, or partially or

passed on to the client (at a premium too). A 30 day free trial is available to the accountant

and also to any prospective client. Apple & Google mobile apps available.

Freshbooks

The story behind the company is quite special and inspiring.

5 million customers have used Freshbooks 30 day free trial Company based in Canada. They have a UK

contact number that works. Support is free via phone or email. No accountant login as of yet – future plan to. Good reporting function.

Kashoo – from Wikipedia

Kashoo places emphasis on simplicity, integration, and accessibility for users and includes double-entry accounting among other features.

Kashoo’s 13-person team, led by CEO Jim Secord,[4] is headquartered in Vancouver, British Columbia, Canada. The team also includes CTO Chuck Clark, a former Orbitz Chief Architect who joined the team in 2011.[5] Kashoo recently welcomed former FreshBooks accounting ambassador Kasey Bayne as its new director of business development.[6] Kashoo is funded by private investment from FBC, a small business tax preparation and planning firm.[7]

Kashoo claims to be used by over 51,000 small business owners, startups, entrepreneurs, freelancers, bookkeepers, and accountants in over 180 countries. The company also boasts the title of most downloaded iPad accounting app in the Apple App Store.[8]

Kashoo

No UK based support. Any support calls to be made to Canada between 6am-5pm pacific time, or by email.

Payment for the product in US Dollars by VISA or Mastercard.

You can obviously set the software up to operate in pounds.

Free trial is available.

Kashflow

Headed up by award winning entrepreneur Dwane Jackson.

Company has won numerous awards including: 2012 Software Satisfaction Awards – Best SME

Accounting and Finance 2011 Software Satisfaction Awards – Best SME

Accounting and Finance 2009 Software Satisfaction Awards – Double

WINNER! And so on . . .

Kashflow

UK Based success story helped along with money from the Princes Trust.

Award winning free support 24/7 Accountants can use the Orbit platform to

manage the client base. Orbit is very powerful and incorporate control

functions. Co-Branding is available – login via your own

website. <1m – owner managed - less than 5 employees

Kashflow - Pricing

£16.99 + VAT for each orbit client. 10% of the revenue for six clients and above. After 27 clients 20% revenue share. After 100 clients – negotiable. Contact Ketan Mistry if interested

ketan@kashflow.com 0777 134 6792

Others – the Megabucks & Xero

Quickbooks Sage

And finally – the beautiful one - Xero.

Sage

• Sage One accountants edition – dashboard.

• No compatibility with Sage Line 50

• 24/7 telephone support for clients

• Trial of software – 30 days.

• £10 + VAT per month for accounts edition

• Free access to accountants dashboard

• Online Payroll solution – RTI – linked to accounts.

Intuit

• QuickBooks Online.

• Online Accountant Edition

– Synchronise with the client data.

– Accountant has full privileges to the data.

• Aimed at typical small – medium client who may be familiar with QuickBooks.

• Not compatible with QuickBooks desktop version.

Pricing

QuickBooks Online Simple Start

£9 + VAT per month

Online Essentials

£19 + VAT per month

Online Plus

£29 + VAT per month

No financial incentive for accountants whatsoever.

Xero

• Software house from New Zealand• The most powerful solution trialled.• Heavy on features including powerful reporting.• This may be the accountants choice – due to

functionality.• Xero are active in the UK market – not just via

the website and online advertising.• Free trial is available from the website• Pricing for accountants should be discussed

with Xero.

Final Thought . .

Have a nice day . . .