Literally, when someone talks about bookkeeping in front of anyone images of various accounting files appears in front of your eyes with an accountant making entries of all transactions in those files and making the calculations to assess the percentage of profit or loss earned by the business group during the course of period. This, however was the scene of almost two decades back, because in later years with increasing use of computers in day-to-day activities the process of bookkeeping an easy task with help of specific software determined for the purpose.
Interestingly, in today’s scenario, both these methods of bookkeeping have almost become the folklore or used by people of the orthodox school. Today with the intensive entrance of internet in out day-to-day activities, bookkeeping has also undergone wide changes and now the business operators have wide options of online bookkeeping techniques that sometimes it becomes difficult for them to rely on which technique. This is mainly because of a user-friendly process of bookkeeping techniques offered by the accounting experts which makes it easier for business operators to access the financial condition of their business without being present in their office.
Xero Bookkeeping is one such process of bookkeeping which in recent years has emerged as the latest mode of bookkeeping by the business operators of generation next. The beginning of this bookkeeping process for the first time was initiated in New Zealand and later in the Australia, but going to various benefits enjoyed by it, especially by small business owners, the method was highly adopted in the United States and Western European markets.
What is Xero Bookkeeping: In simple words Xero Bookkeeping may be defined as an online accounting process which allows the storing of the customer data on the web server rather than on the hard drive of computer system. The storing of data facilitates the business operators to go through their accounting system, while they are miles ahead from their office in some other city busy in meeting their new client. The only they require to enjoy this process of bookkeeping is an access to the internet and login details of their account.
Benefits of Using Xero Bookkeeping:
1. As the process of bookkeeping is totally web-based the business owners and clients are free to look after the details of accounts without any help of an accountant or the person looking after the accounts work;
2. Another interesting feature of this bookkeeping process is that if the business of a group is expanded in different locations with huge staff working in different offices. The accountants of different locations are able to access the accounting details of all branches any time without any concern of their location and time;
3. If the business owner has any question regarding any entry or transaction, he can get his doubts cleared from his accountant directly without discussing the same personally in office.
4. The Xero bookkeeping also sports the feature of presenting the graphical presentation of financial statements according to requirement of business owners. This makes it easier for everyone to understand the financial growth of business group without staring the accounting details.
5. In today’s era, when internet banking has explored its roots across the world, Xero Bookkeeping gets the account of business group interlinked with the website of the Bank from which the business group conducts it financial activities. Thus, the entries made in books of bands are automatically updated.
6. The accounting software used a couple of years back were not secured and therefore with little knowledge of hacking it was easier for hackers to make a suspicious entrance in the accounts of business group. But Xero bookkeeping protects the accounts of business group from any kind of such intruders.
7. One more interesting feature which highly differentiates this method of bookkeeping from bookkeeping packages is as the data is stored on web servers, there are less chances of data lost due to any crash in the computer system.