#Bank Reconciliation Software for Fintech

[koshaiusa]

Fintech Treasury Management Software: Enhancing Financial Functions

In recent years, the fintech industry has experienced explosive growth and transformation, driven by technological advancements and changing consumer expectations. As financial institutions and startups race to innovate and streamline their operations, effective treasury management is becoming increasingly important. Treasury Management Software for Fintech tailored specifically for fintech companies offers the tools and capabilities needed to optimize cash flow, manage liquidity, and mitigate risks. This article explores the significance of treasury management software in the fintech sector, its key features, benefits, and how it empowers organizations to thrive in a competitive landscape.

Understanding Treasury Management in Fintech

Treasury management encompasses various financial activities aimed at optimizing a company’s liquidity position, managing risk, and ensuring efficient cash flow. For fintech firms, which often operate in a fast-paced and dynamic environment, effective treasury management is critical for maintaining operational efficiency and supporting strategic growth initiatives.

Treasury management software (TMS) designed for fintech focuses on automating and streamlining treasury functions, including cash management, risk assessment, regulatory compliance, and investment strategies. By leveraging technology, these systems enable fintech companies to make informed decisions based on real-time data and analytics.

Importance of Treasury Management Software for Fintech

1. Enhanced Cash Flow Management

Cash flow is the lifeblood of any organization, particularly in the fintech sector where rapid growth can lead to significant cash fluctuations. Treasury management software provides real-time visibility into cash positions, allowing businesses to monitor inflows and outflows effectively. By analyzing historical data and forecasting future cash flows, fintech companies can make informed decisions about spending, investments, and funding needs.

2. Improved Liquidity Management

Liquidity risk is a critical concern for fintech firms, as they must ensure they have enough cash on hand to meet their obligations while pursuing growth opportunities. TMS solutions empower organizations to manage their liquidity efficiently by providing tools for cash forecasting, short-term borrowing, and investment management. This capability allows fintech companies to optimize their working capital and minimize idle cash balances.

3. Risk Mitigation

The fintech industry is inherently exposed to various risks, including market volatility, credit risk, and operational risk. Treasury management software equips firms with the tools necessary to assess and mitigate these risks effectively. By implementing robust risk management frameworks, fintech companies can identify potential threats, assess their impact, and develop strategies to safeguard their financial health.

4. Regulatory Compliance

As the fintech landscape evolves, so too do regulatory requirements. Adhering to regulations such as Anti-Money Laundering (AML), Know Your Customer (KYC), and Payment Services Directive (PSD2) is crucial for maintaining credibility and trust within the industry. Treasury management software helps fintech companies automate compliance processes, track regulatory changes, and generate necessary reports. This ensures that organizations remain compliant while minimizing the risk of penalties and legal issues.

5. Data-Driven Decision Making

In the digital age, data is king. Treasury management software empowers fintech firms to leverage data analytics and reporting capabilities to drive decision-making. By providing insights into cash flow trends, investment performance, and risk exposure, TMS solutions enable finance teams to make strategic choices based on accurate and timely data.

Read more:

Why Real-Time Data is Important in Treasury Management Software

[xettle-technologies]

2024 Guide to Payment Gateway Integration

As we step into 2024, the landscape of payment processing continues to evolve, driven by technological advancements and changing consumer expectations. For businesses looking to enhance their transaction capabilities, integrating a payment gateway is a crucial step. This guide will provide insights into the key considerations for successful payment gateway integration, the importance of payout solutions, and how fintech software can streamline operations.

Understanding Payment Gateways

A payment gateway is a technology that allows businesses to accept online payments by connecting the customer’s payment method with the merchant's bank. It serves as an intermediary, encrypting sensitive information to ensure security during transactions. In 2024, a robust payment gateway is more than just a tool for processing payments; it’s an essential component of the overall customer experience.

Key Features to Look For

When selecting a payment gateway, consider the following key features:

Security: Look for gateways that comply with Payment Card Industry Data Security Standards (PCI DSS). Features like tokenization and encryption are essential to protect customer data.

Ease of Integration: The chosen gateway should integrate seamlessly with your existing systems, including e-commerce platforms and accounting software.

Multiple Payment Options: Consumers expect flexibility. Ensure that the gateway supports various payment methods, including credit/debit cards, digital wallets, and even cryptocurrencies.

Global Reach: If your business plans to operate internationally, select a payment gateway that supports multiple currencies and local payment methods.

Analytics and Reporting: Advanced analytics tools help businesses gain insights into transaction trends and customer behavior, enabling data-driven decisions.

The Role of Fintech Software

Fintech software is revolutionizing how businesses manage their financial operations, particularly in payment processing. By integrating fintech software with your payment gateway, you can enhance operational efficiency and improve the overall payment experience.

Benefits of Fintech Software Integration

Automation: Fintech software can automate tasks such as invoicing, payment reminders, and reconciliation, saving time and reducing errors.

Real-Time Analytics: With integrated analytics tools, businesses can monitor transaction data in real-time, helping them make informed decisions quickly.

Improved Cash Flow Management: Fintech solutions often include tools for cash flow forecasting and management, allowing businesses to stay on top of their finances.

Enhanced Customer Experience: By leveraging fintech capabilities, businesses can offer personalized experiences, such as tailored payment options or loyalty rewards.

Payout Solutions: A Crucial Component

In addition to receiving payments, businesses must manage outgoing transactions efficiently. This is where payout solutions come into play. A payout solution streamlines the process of sending payments to vendors, suppliers, and even employees.

Benefits of Payout Solutions

Speed: Payout solutions facilitate quick payments, ensuring that vendors and suppliers receive their money without delays, which is crucial for maintaining strong business relationships.

Cost Efficiency: Many payout solutions offer lower transaction fees compared to traditional banking methods, helping businesses save money in the long run.

Scalability: As businesses grow, their payment needs can become more complex. Payout solutions can scale alongside the business, accommodating increasing transaction volumes and additional payment methods.

Improved Tracking: With integrated payout solutions, businesses can easily track outgoing payments, making it simpler to manage cash flow and budgeting.

Steps for Successful Payment Gateway Integration

Define Your Needs: Before selecting a payment gateway, assess your business requirements, including transaction volume, types of payments accepted, and customer demographics.

Choose the Right Gateway: Research and compare different payment gateways based on the key features mentioned earlier. Consider user reviews and testimonials for additional insights.

Plan the Integration Process: Collaborate with your technical team to outline a clear integration plan, including timelines and milestones. Ensure that your existing systems are compatible with the new gateway.

Test Thoroughly: Before going live, conduct thorough testing to identify any issues or bugs. This includes testing various payment scenarios and ensuring that all security features function correctly.

Train Your Team: Provide training to your staff on how to use the new system effectively. This includes understanding the reporting tools and customer service protocols.

Monitor and Optimize: After integration, continuously monitor transaction performance and customer feedback. Use analytics tools to assess data and make adjustments as needed to improve the payment experience.

Conclusion

As we embrace 2024, businesses must prioritize payment gateway integration to remain competitive in the ever-changing digital landscape. By selecting the right gateway, leveraging fintech software, and implementing efficient payout solutions, companies can streamline their payment processes, enhance customer satisfaction, and drive growth.

The integration process may seem daunting, but with careful planning and execution, businesses can unlock the full potential of their payment systems. By staying ahead of industry trends and continuously optimizing operations, businesses will be well-equipped to navigate the challenges and opportunities that lie ahead in the world of payment processing.

[figle45984]

Revolutionizing Banking Sales: Exploring the Benefits of Commission Automation Software

In the dynamic landscape of banking sales, the efficient management of sales commissions is crucial for motivating sales teams, driving revenue growth, and ensuring compliance with regulatory standards. Banking Sales Commission Automation Software (BSCAS) has emerged as a transformative solution, streamlining the complex process of calculating, tracking, and distributing sales commissions within banking institutions. In this article, we delve into the myriad benefits of adopting BSCAS and how it revolutionizes banking sales commission management.

Accuracy and Precision: One of the primary benefits of Banking Sales Commission Automation Software is its ability to ensure accuracy and precision in commission calculations. BSCAS eliminates the potential for errors, discrepancies,fintech sales commission automation software and miscalculations associated with manual commission processing methods. By leveraging advanced algorithms and data analytics, BSCAS delivers precise commission calculations, enhancing transparency and trust among sales teams and stakeholders.

Time and Cost Savings: BSCAS significantly reduces the time and resources required to manage banking sales commissions, offering substantial time and cost savings for institutions. By automating repetitive tasks, such as data entry, calculation, and reconciliation, BSCAS streamlines commission processes and minimizes administrative overhead. With intuitive dashboards, reporting tools, and workflow automation features, BSCAS empowers banking administrators to focus on strategic initiatives and value-added activities that drive business growth.

Compliance and Regulatory Adherence: In the heavily regulated banking industry, compliance with regulatory standards and legal requirements is paramount. BSCAS helps banking institutions maintain compliance and regulatory adherence by ensuring transparency, accountability, and auditability in commission processes. By generating comprehensive audit trails, documentation, and reporting capabilities, BSCAS enables institutions to demonstrate compliance with regulatory standards and mitigate compliance risks effectively.

Scalability and Flexibility: As banking institutions grow and expand their operations, BSCAS offers scalability and flexibility to adapt to changing organizational needs and sales structures. Whether it's expanding into new markets, launching new products, or restructuring sales territories, BSCAS can accommodate diverse commission structures, incentive models, and payout schedules with ease. Scalability ensures that institutions can scale their sales operations efficiently and effectively to meet growing demand and capitalize on new opportunities.

Enhanced Sales Team Motivation and Engagement: Effective commission management is instrumental in motivating and engaging sales teams, driving performance, and fostering a culture of excellence within banking institutions. BSCAS celebrates individual and team achievements, acknowledges top performers, and rewards success in a timely and transparent manner. By offering real-time visibility into commission earnings, performance metrics, and incentive opportunities, BSCAS boosts morale, incentivizes goal attainment, and enhances overall job satisfaction among banking sales professionals.

Integration with Banking Systems: BSCAS seamlessly integrates with existing banking systems, including core banking platforms, customer relationship management (CRM) software, and sales management tools. Integration with banking systems ensures data consistency, accuracy, and synchronization across the organization. By centralizing commission data and automating data exchange processes, BSCAS enhances collaboration, streamlines workflows, and facilitates informed decision-making across banking departments.

Conclusion: In conclusion, Banking Sales Commission Automation Software is a strategic investment that empowers banking institutions to optimize commission management processes, drive performance, and achieve business objectives. With its ability to ensure accuracy, save time and costs, maintain compliance, motivate sales teams, and integrate with existing systems, BSCAS revolutionizes banking sales commission management and sets the stage for sustainable growth and success. By embracing the power of BSCAS, banking institutions can streamline operations, enhance productivity, and maximize profitability in today's competitive marketplace.

[asifishaq]

Discovering the Power of Free Bookkeeping Software: A Fintech Revolution 

Small business owners and entrepreneurs in today's fast-paced corporate world have a lot on their plates, including managing operations and finances. At this point, bookkeeper software free with fintech platforms changed the game in the United States and worldwide. 

The Rise of Free Bookkeeper Software 

Bookkeeping has grown more accessible and affordable with the rise of fintech or financial technology. Businesses and entrepreneurs can now simplify their financial operations using free bookkeeping software. These platforms offer tools and features that simplify expense tracking, invoicing, and financial reporting. 

Fintech's Perfect Fit for Entrepreneurs 

Fintech platforms perfectly match entrepreneurs seeking efficient and accessible bookkeeping solutions. These platforms provide various benefits, including real-time financial data, customizable reports, and automated transaction categorization. Moreover, they offer cloud-based accessibility, allowing users to manage their finances from anywhere, anytime. 

Key Features of Fintech Bookkeeping Software 

Fintech bookkeeping software goes beyond traditional bookkeeping methods. Here are some of the key features that make these platforms indispensable for entrepreneurs: 

Expense Tracking: Fintech bookkeeping software simplifies expense tracking by allowing users to capture receipts digitally. This feature helps in maintaining a comprehensive record of business expenses. 

Invoicing: Entrepreneurs can create and send professional invoices to clients with ease. Automated invoice reminders ensure timely payments, improving cash flow. 

Bank Reconciliation: Fintech platforms facilitate effortless bank reconciliation, helping users match transactions and ensure financial accuracy. 

Financial Reporting: Access to real-time financial reports provides valuable insights into business performance, aiding in informed decision-making. 

Tax Preparation: Many fintech bookkeeping solutions offer tax preparation features, simplifying the tax filing process for entrepreneurs. 

Integration: These platforms often integrate with other financial tools, such as payment gateways and payroll services, creating a holistic financial ecosystem. 

Global Accessibility 

One of the most significant advantages of fintech-based bookkeeping software is its global accessibility. These tools are designed to help entrepreneurs in the US and worldwide efficiently manage their finances. 

Conclusion 

In conclusion, small business owners and entrepreneurs across the globe are experiencing a dramatic shift due to the proliferation of free bookkeeping software in fintech. These platforms offer impressive features that simplify financial management, from expense tracking to tax preparation. Accessibility and ease of use make fintech bookkeeping software an essential tool for anyone looking to take control of their finances. Embrace the fintech revolution and experience the power of free bookkeeping software today! 

[forex4life]

ForexBrokerageSetup Fintech Solution

Financial technology, or fintech, has gained popularity in the commercial sector. It alludes to the application of technology to enhance and increase the usability, effectiveness, and affordability of financial services. 

ForexBrokerageSetup is now adopting fintech innovations to obtain a competitive edge in the market. As these innovations are transforming how firms function.

Today in this blog post we'll talk about some of the most well-liked fintech products used by ForexBrokerageSetup.

Mobile Payments

In places where cellphones are extensively used, mobile payments are becoming more and more common. These technologies make it easier for customers to complete transactions without using cash or credit cards by enabling businesses to accept payments via mobile devices. 

Smartphone payments are secure, convenient, and fast, which is why they are increasingly being embraced by numerous organizations, including merchants, restaurants, and service providers.

Square is a well-known mobile payment solution that enables companies to take credit card payments using a smartphone or tablet. Square is a cost-effective option for small businesses who wish to give their consumers a simple payment option, while it does charge a tiny transaction fee.

Online Loans

Internet lending services have emerged as a desirable alternative for companies that require quick access to capital. 

These platforms make it possible for businesses to apply for loans online and obtain cash within a short period of time, making them the perfect choice for those that need to pay for unforeseen bills or invest in expansion chances.LendingClub is a well-known online lending platform that provides business loans up to $500,000. 

Peer-to-peer lending is the method used by LendingClub, which means that rather than a typical bank, private investors fund the loans. Because of this, companies can obtain financing at a lesser cost than they might from a bank.

Digital Accounting

Cloud accounting solutions are a game-changer for small firms that need to handle their money properly. With the help of these technologies, businesses can collaborate in real-time with their accountants and have access to their financial data whenever and from wherever. 

In addition to being more cost-effective than conventional accounting software, cloud accounting solutions also require less IT infrastructure. Zero is a well-known cloud accounting programm that provides a number of functions like bill payment, invoicing, bank reconciliations, and financial reporting. 

Zero is a great option for companies who need to automate their accounting procedures because it is simple to use and interfaces with so many different third-party applications.

Electronic wallets

Businesses may easily and securely manage their payments and costs with the help of digital wallets. With the help of these solutions, businesses may safely store customer credit card information and use it for both online and in-person transactions. 

Due to the fact that they offer a thorough record of each transaction, digital wallets are also perfect for companies that need to keep track of their spending.Apple Pay, which enables companies to accept payments using an iPhone or iPad, is one well-known digital wallet system. 

Apple Pay is an appealing choice for companies that want to provide their consumers with a convenient payment option because it is safe, quick, and simple to use.

Robo-Advisors

Robo-consultants are a new breed of financial advisors who give organizations customized investment advice using artificial intelligence. Small businesses who wish to invest their money but lack the resources or knowledge to manage their investments themselves are increasingly turning to these alternatives.

Betterment is a well-known robo-advisor service that provides a variety of investing options, such as stocks, bonds, and ETFs. Based on the financial objectives, risk tolerance, and time horizon of each firm, Betterment employs algorithms to suggest investing solutions.

In summary, fintech technologies are revolutionizing how businesses run. And then ForexBrokerageSetup who adopt them to gain a competitive edge in the marketplace.

[ibrinfotech]

Fintech Is an Effective Way to Boost Your Business

How we live and conduct business is being fundamentally altered by financial technology or fintech. I personally witness every day, as the founder of a fintech company, how financial technology is enhancing the lives of business owners and giving them a competitive edge. Fintech offers a wide range of advantages, but at its foundation, it always prioritizes enhanced accessibility and speed. Fortunately, technology has greatly simplified business management.

New developments in financial technology are assisting small businesses in starting up, growing, and succeeding. Small businesses now have more alternatives than ever for funding, payment processing, money transfers, and other services thanks to fintech. According to CNBC, global funding for fintech reached a new high in 2018, rising to $39 billion, an increase of 100% from the previous year. Here are some examples of how fintech is assisting small businesses.

Let’s know what is FinTech first.

FinTech software solutions, which stands for “financial technology,” is an acronym. FinTech was once perceived as a techpreneur counterculture movement meant to overthrow the rigid restrictions and significant resistance to change in traditional banking and lending. It made reference to the backend procedures used by conventional banking organizations to set up their servers and software programs. Making it simpler to transmit and receive money was the aim.

Here are some ways that fintech can benefit businesses.

Streamlining Complex Procedures

According to Bain & Company, one impact of the epidemic has been a decrease in corporate productivity. Additionally, spend reconciliation, an area where innovation has lagged, is one method for finance teams to improve efficiency. Spend reconciliation and payment authorization are still labor-intensive processes in many businesses that take up a significant amount of accounting time.

Financial processing made easier

Online payment options are essential for opening online stores. Many processing companies have been collaborating with small businesses like Paypal to aid in their digital transformation. Customers and clients can transact with the company much more easily by using cards, whether they are debit or credit cards. Without the usage of fintech solutions, this would not be possible. It’s also a good idea to have shipping choices for small businesses that are affordable and suitable for the demands of the enterprise available.

Improved Efficiency

The main goal of a fintech solution provider is to speed up and streamline conventional financial procedures. This is accomplished by cutting out the middleman and automating everything, which reduces costs, makes staff happy, and improves the customer experience. One misunderstanding about fintech applications is that they solely help financial institutions. That’s not really accurate. Fintech is now being used by small enterprises in addition to banks and lenders.

Lower Price

According to market research, costs have historically been the biggest obstacle to entry into the banking sector. The Fintech effect on business has enhanced the PoS (Point of Sales) system, reduced costs for businesses, and given them access to sophisticated analytics data to better engage their audience by making financial services available on smartphones, which millions of consumers own.

Maximizing profits

The infrastructure surrounding capital markets has experienced fast changes as a result of the growth of fintech, particularly in the way technologically enabled platforms have emerged in conventional over-the-counter exchanges. The legal framework created in the wake of the financial crisis and the potential benefits of economies of scale has both contributed to the “electronification” of previously OTC products. Regardless of the sector or type of business, the latter typically lowers costs and occasionally raises revenues and profits.

Cloud Accounting

Data and software may now be accessed online from any device at any time, anywhere thanks to the cloud. Business owners can maintain contact with their data and accountants thanks to online accounting. Real-time comparisons between your progress and your predicted cash flow are possible. This makes it possible for you to immediately and accurately anticipate the future cash position. Cloud accounting software is a great investment if you want to help your company operate more quickly and intelligently.

Customer engagement and privacy

Invasion of privacy due to data breaches is one of the main risks that businesses face. Small businesses need to be vigilant every day to protect their data, especially financial and customer data. Fintech eliminates this worry because it offers a variety of security packages that give companies a line of protection against cyberattacks. Customers who subscribe to the business and make purchases from it may feel more at rest as a result of this guarantee. Fintech can provide business owners more than just increased security and secure transactions; it may also deliver insightful data.

Conclusion

Fintech has provided the business sector with a host of new opportunities, enabling them to offer more cutting-edge services and generate higher profits while spending a fraction of the money they were previously investing. You need a trustworthy app developer to turn your concept into reality once you’ve decided how your financial app would assist business owners and entrepreneurs. IBR Infotech is the ideal partner for you because of its significant experience in designing mobile financial apps. Call IBR Infotech right now.

[careerkenyan]

Frank Vacancies Payables Accountant Job

Payables Accountant Summary As the Accountant Payable, you will be responsible for responsible for receiving, processing, and verifying invoices related to accounts payables. You will maintain accurate records and files, process and mail invoices and payments, submit reports, and key data into the general ledger Job Description •       Updating Internal and external suppliers on their account status, responding to daily queries on their invoice payments, and progress and reconciling their statements. •       Submission of accurate monthly supplier reconciliations by 3rd of every month •       Booking all Invoices, Credit notes, Debit notes and prepayments into Supplier accounts and ensuring that all expense invoices are matched to respective purchase orders. •       Processing and ensuring remittance of VAT, Withholding VAT and any other professional services charged by suppliers and capturing them in the System correctly. •       Making follow up on payments to suppliers through cheque, EFT, RTGS or any other bank transfer methods •       Assist with month-end closure and posting of month-end journals to ensure accuracy of financial statements and overall reporting by 5th of every month. •       Clarifying and flagging any questionable invoice items, prices, or receiving signatures. ���       Maintain an accounts payable database on accurate historical records and provide supporting documentation for audits. •       Maintain confidentiality of organizational information •       Review and research on any invoice discrepancies and raise immediately. •       Efficiency in handling supplier queries including that of employees. •       Preparing analysis of payables accounts and producing weekly ageing reports on amounts outstanding •       Perform other related duties as assigned. Qualifications •       Bachelor’s degree in accounting, finance, business administration or other related fields •       CPA/ACCA certified •       Minimum 2-4 years of relevant experience in Accountant Payable position •       Proven knowledge of accounting using leading accounting software •       You have strong written and verbal communication skills. •       Functional knowledge of database and spreadsheet tools, such as MySQL and Excel •       Ability to work either independently or collaboratively as needed •       Distinctly self-motivated and cable of handling multiple tasks in a high-pressure environment •       Experience in Financial Services, FinTech. How to Apply Send us your resume to careers@frank-mgt.com CC frank.vacancies@yahoo.com Read the full article

[koshaiusa]

Automated Account Reconciliation: Streamlining Financial Processes for Businesses

In today’s fast-paced business environment, efficiency and accuracy in financial processes are essential. One critical function that often plagues organizations is account reconciliation—a task traditionally viewed as tedious and time-consuming. However, with the advent of automated account reconciliation solutions, businesses can now streamline this process, reduce errors, and save valuable time and resources. In this article, we will explore the significance of automated account reconciliation, how it works, its benefits, and some key considerations for implementation.

Understanding Account Reconciliation

Automated account reconciliation is the process of ensuring that two sets of records (usually the balances of two accounts) are in agreement. This process typically involves comparing internal records (like a company’s general ledger) against external statements (such as bank statements or vendor invoices). Discrepancies may arise due to various factors, including errors, timing differences, or fraudulent activities.

Historically, account reconciliation has been a manual process requiring substantial effort from accounting teams to identify and resolve discrepancies. Consequently, businesses often face challenges such as high labor costs, increased risk of errors, and delayed financial reporting.

What is Automated Account Reconciliation?

Automated account reconciliation leverages technology to simplify and expedite the reconciliation process. Using specialized software, companies can automatically match transactions and balances across different accounts, significantly reducing the need for manual intervention. These systems can integrate with existing financial software, aggregating data from various sources to provide real-time insights into financial health.

How Automated Account Reconciliation Works

1. Data Integration: Automated reconciliation systems pull data from various sources, including bank statements, payment processing systems, and accounting software. This integration allows for a holistic view of financial transactions.

2. Transaction Matching: The software uses algorithms to match transactions automatically. It identifies corresponding entries based on predetermined criteria, such as date, amount, and transaction type.

3. Discrepancy Identification: When the system finds discrepancies, it flags them for review. This can include missing transactions, mismatched amounts, or unusual patterns.

4. Reporting and Analysis: Automated systems can generate reports that provide insights into the reconciliation process, highlighting trends, exceptions, and overall performance metrics.

5. Continuous Learning: Advanced systems use machine learning to refine their matching algorithms, improving accuracy over time by learning from past reconciliation efforts.

Benefits of Automated Account Reconciliation

1. Increased Efficiency

Automated account reconciliation significantly reduces the time required to complete reconciliations. With less manual work needed, finance teams can focus on analysis, strategy, and decision-making rather than routine tasks.

2. Enhanced Accuracy

Automation minimizes human error, which is common in manual reconciliation processes. Improved matching capabilities mean discrepancies are identified more quickly and accurately, leading to more reliable financial records.

3. Real-Time Insights

With automated reconciliation, businesses can gain real-time visibility into their financial status. This timely information enables better cash flow management and informed strategic planning.

4. Cost Savings

By automating reconciliation processes, companies can reduce labor costs associated with manual reconciliations. The efficiency gained can also lead to fewer compliance issues and penalties related to inaccuracies.

5. Scalability

As businesses grow, their financial transactions increase in volume and complexity. Automated reconciliation systems can scale with the organization’s needs, accommodating larger datasets without a corresponding increase in manual effort.

6. Improved Compliance

Automated reconciliation enhances audit trails and documentation, making compliance with regulations easier to maintain. The system provides a clear record of reconciliations, which is invaluable during audits.

Read more :

The Impact of Regulatory Changes on Reconciliation Processes and the Need for Automation

[careerkenyan]

Frank Vacancies Accounts Receivables Job

Accounts Receivables Job, Latest Accounting Jobs In Kenya 2022, Title: Accounts Receivables Industry: FinTech / Financial Services / Banking  Summary  As the Accounts Receivables, you will ensure the company receives payments for goods and services and records these transactions accordingly. You will be required to keep a precise record and accurately account for all incoming payments ensuring no payment in outstanding. Job Description •       Perform daily cash management duties, including the recording of bank deposits, updating and distribution of cash receipt logs, and posting of cash to the accounts receivable sub-ledger. •       Prepare a weekly analytical and ratio analysis in relation to A/R for management to gain a better understanding of how collection efforts are progressing. •       Assisting in other accounts-related activities (i.e., supplying information for audits, generating receivables reports, analysis for management reporting, etc.) and general, administrative duties as required. •       Assist with overdue debts and liaise with internal stakeholders and external customers to facilitate collection. An aging report will be shared for the same. •       Review & send customer statements so that customers are kept informed of current outstanding balances •       Contribute to the ongoing improvement of Accounts Receivable processes, procedures, and systems, including active participation in projects and assistance with testing as required. •       Maintain accounts receivable records & systems, identifying and escalating errors found and reporting them to relevant personnel. •       Assist with month-end tasks & reconciliations due by 5th of every month. •       Provide Backup & ad hoc assistance with generating, verifying, and distributing customer invoices •       Perform other related duties as assigned. Qualifications •       Bachelor’s degree in accounting, finance, business administration or other related fields •       CPA/ACCA certified •       2-4 years of relevant experience in Accounts Receivable Position •       Proven knowledge of accounting by use of leading accounting software •       Strong written and verbal communication skills. •       Functional knowledge of database and spreadsheet tools, such as MySQL and Excel •       Ability to work either independently or collaboratively as needed •       Distinctly self-motivated and cable of handling multiple tasks in a high-pressure environment •       Experience in Financial Services, FinTech, or Banking industry. Read the full article

[seedfinance]

Why Credit Cards Could Be The Next Big Opportunity In B2B Payments

Posted by Rick Fletcher With the advent of widespread teleworking, companies have made impressive strides in eliminating checks and adopting electronic supplier payments. These changes primarily resulted in an increase in the number of ACH or direct deposit payments made. According to Nacha – the governing body of the ACH network – business-to-business payments for supply chains, supplier payments, invoices, and other remittances rose nearly 11% in 2020. But as companies adopt electronic payment processes, there is another strategic opportunity for AP to consider: electronic credit card.

Most companies pay through their accounts payable department, but few accounts payable departments today take full advantage of credit cards. Historically, companies have used credit cards as a decentralized way to manage expenses. To get their job done, employees need to spend money efficiently without going through a bureaucratic process. Traditional commercial programs have focused on companies giving employees purchase cards (P cards) or travel and entertainment (T&E cards) cards that they can use for supplies, meals, or departmental expenses such as software subscriptions and marketing expenses – items that are classified as indirect expenses get ranked. While the benefits of these programs are obvious, even in a difficult travel environment, the full potential of full credit card use falls short.

Old vs. new

Companies can set guidelines for spending on these cards. You can add controls to limit employees’ spending or only allow them to spend in specific locations. There are also mechanisms in place for performing post-transaction reviews and redressing inappropriate expenses. Because of the combination of convenience and control, finance departments often view cards as employee productivity tools with customizable spending controls.

However, this only affects one aspect of corporate spending. Businesses spend much more of their budget on traditional purchase orders and invoices on direct expenses like materials, components, freight, and labor. The idea that AP could use a card for direct spending was still not widely accepted.

The story goes on

Cards provide easy access to working capital and offer rewards such as cashback or points. Many companies know that cards are a better electronic payment option because of these advantages. The question then is: How do you build a successful card program in accounts payable? In general, organizations need to ensure that card processes work within their pre-existing AP infrastructure, which usually includes a supplier interaction component and a technical component that traditional actors (banking institutions) are not fully equipped for.

For example, banks view credit cards primarily as another form of lending. They offer lines of credit that their customers spend and repay. Paying the supplier by card usually enables companies to reach their top 10 or 20 suppliers. This is usually viewed as a successful lending program, but to interact with more suppliers, integrate with an ERP, or offer advanced reconciliation data, banks typically do not have the technical resources as this goes beyond their traditional lending model.

Include the new

Banks’ business models typically focus on building and maintaining a huge dealer acceptance network. You can walk to tens of millions of locations around the world and if they have the Mastercard or Visa logo you can use your credit card there with no further questions. But when it comes to payments for suppliers, the acceptance network is inconsistent. Some vendors don’t accept card payments or only accept them from certain customers depending on payment speed, margins, and the type of product they are selling. Because of these factors, paying with a bank-issued card requires that the vendor engagement process include finding suppliers who already accept certain types of cards, ensuring that they accept that type of payment from other customers, and finding new card-accepting suppliers.

This is where fintechs really shine, because their business models are designed around a supplier loyalty process that aims to generate more spending on cards. Where banks generally look for the top 10 to 20 suppliers that make up 70 percent of your total spending, fintechs follow – that 30 percent of the expenses that probably make up more than 60 percent of your suppliers and that require more work to get on board. Essentially, they are building a B2B acceptance network within the credit card acceptance network.

Climb the mountain towards change

Operationalized re-engagement models are a particularly important part of this business model, as most companies churn 10 to 20 percent of their suppliers every year. Within two years, the companies’ supplier pools differ by 20 percent from their beginnings, so that they constantly have to pay attention to compliance with certain payment acceptances. Banks may not always have the capacity to offer supplier acceptance maintenance, but fintechs thrive when they integrate these services into their business model.

There are several advantages to tracking card expenses. For example, this opens the door to paying more suppliers electronically, giving companies more working capital and higher discount potential. Virtual cards provide security and controls that plastic cards normally don’t have, including one-time numbers that are tied to individual vendors and payment amounts. Tick ​​reconciliation dates options and the system becomes something that accounts receivable benefit as much as accounts payable. This opens up the possibility for more providers to accept electronic means of payment.

Fintechs – technology-oriented by nature – build their systems with a holistic point of view and prefer to develop software that does not sacrifice the operation of one company for that of another. The end-to-end expansion of the system has increased the willingness and interest of the previously hesitant accounts receivable teams, who felt they were well armed to abandon outdated payment processes, in electronic alternatives. Rick Fletcher is Comdata’s President of Corporate Payments, where he specializes in sales, marketing and product strategy, operations and customer service.

See more from Benzinga

© 2021 Benzinga.com. Benzinga does not offer investment advice. All rights reserved.

source https://seedfinance.net/2021/06/24/why-credit-cards-could-be-the-next-big-opportunity-in-b2b-payments/

[koshaiusa]

Streamlining Financial Accuracy: The Rise of Automated Reconciliation

In an era where financial accuracy and efficiency are paramount, automated reconciliation has emerged as a transformative solution for businesses across the globe. This innovative approach simplifies the complex process of verifying financial data by leveraging advanced technology to match internal records with external statements automatically. This article delves into the concept of automated reconciliation, its benefits, implementation strategies, and how it revolutionizes financial management.

What is Automated Reconciliation?

Automated reconciliation refers to the use of specialized software that automatically compares and matches financial records from different sources, such as bank statements, accounts receivable, and accounts payable. By automating this process, organizations can significantly reduce the manual workload associated with traditional reconciliation methods, minimize errors, and ensure more accurate financial reporting.

Why Automated Reconciliation is Essential

 1. Enhanced Accuracy

One of the primary advantages of automated reconciliation is its ability to enhance accuracy. Manual reconciliation processes are prone to human error, often leading to discrepancies that can skew financial statements. Automated systems use algorithms to match transactions systematically, ensuring that any inconsistencies are flagged for review. This level of precision minimizes the risk of financial misstatements, which can have serious consequences for organizations, including regulatory fines and reputational damage.

2. Increased Efficiency

The reconciliation process can be time-consuming, especially for large organizations with high transaction volumes. Automated reconciliation dramatically accelerates this process by performing tasks in real-time, allowing finance teams to focus on more strategic initiatives rather than mundane data entry and comparison tasks. As a result, organizations can close their books faster each month, providing timely insights into financial performance.

3. Cost Savings

Automating the reconciliation process leads to substantial cost savings. Fewer manual hours spent on reconciliation translate to lower labor costs. Moreover, by reducing the likelihood of errors, organizations can avoid the expenses associated with corrections, audits, and compliance issues. Investing in automated reconciliation software can pay for itself over time through these savings.

4. Improved Compliance and Risk Management

With increasing regulatory scrutiny in the financial sector, maintaining compliance has never been more critical. Automated reconciliation solutions help organizations adhere to regulatory requirements by ensuring accurate reporting and maintaining detailed audit trails. These tools not only simplify compliance efforts but also enhance overall risk management by identifying potential discrepancies before they escalate into more significant issues.

5. Real-Time Insights

Automated reconciliation provides businesses with real-time insights into their financial positions. As transactions are matched and reconciled automatically, organizations can access up-to-date information that informs decision-making. This capability allows finance teams to identify trends, monitor cash flow, and address potential issues proactively, contributing to more informed business strategies.

Key Features of Automated Reconciliation Software

When considering automated reconciliation software, look for the following essential features:

Intelligent Matching Algorithms: Advanced software utilizes intelligent algorithms to match transactions accurately, considering various attributes (e.g., amounts, dates) to ensure precision.

Integration Capabilities: Ensure the software integrates seamlessly with existing accounting systems, ERP platforms, and bank feeds, facilitating smooth data flow and reducing manual input.

User-Friendly Interface: A simple, intuitive interface allows users to navigate the software easily, minimizing training time and enhancing overall productivity.

Customizable Workflows: The ability to tailor workflows according to specific business needs ensures that the software aligns with existing processes.

Robust Reporting Tools: Effective reporting capabilities enable organizations to generate detailed reports on reconciliation statuses, exceptions, and historical data for analysis and decision-making.

For more details, visit us:

Advanced Financial Automation Tools Every CFO Should Know About

[jacobcole008]

Who are the leading blockchain-as-a-service (BAAS) service providers?

We wouldn't be mistaken if we said that Blockchain is a panacea for overcoming traditional technology's bottlenecks. Blockchain is a peer-to-peer networking-focused distributed ledger platform. Apps and other business processes are being created using blockchain technology, such as SaaS (Software as a Service). As a result, a new business model called Blockchain-as-a-Service has evolved (BaaS). It's a controlled Blockchain platform that allows users to create applications and digital services on the network, with the provider providing the basic framework and development tools.

Businesses can build applications with less effort using Blockchain as a Service. This should aid in the adoption of Blockchain technology. The popularity of Blockchain is increasing, and we're seeing increased adoption of this technology across a wide range of industries.

The following are the main characteristics of Blockchain as a Service:

1. Blockchain network management

2. It's easy to set up and use, resulting in a more efficient workflow.

3. A network and technology are already in operation.

4. It is simple to examine all of the records on this website.

5. The dashboard and software design are also simple to use.

Many new businesses are entering the Blockchain space as a result of its increasing success. We'll look at some of the big players in the field of BaaS in the next section.

Providers of Blockchain as a Service (BaaS) include:

1.IBM Blockchain Platform is a company that has made a name for itself as a pioneer in Blockchain growth. Hyperledger Fabric is used by the IBM Blockchain Platform. It is available 24 hours a day, seven days a week.

2. Dragnchain is a US-based company that provides a forum for complete data and business asset protection. This organisation uses cloud computing to improve privacy and Blockchain interoperability.

3. Bloq is a Blockchain-as-a-Service company that specialises in reconciliation, encryption, and authentication. BaaS, according to the company, can also be customised to meet specific business requirements. A smart wallet, decentralised cloud, and smart contract platform are among the company's most common products.

4. Symbiont – This firm specialises in fintech firms. Symbiont's BaaS platform is used by banks and Fintech companies that lend money and loans to scan documents and record all payments on the ledger.

5. Tzero- This company offers a Blockchain network that allows for transparent and real-time financial transactions.

There are a lot more. These are only a handful of the well-known providers of Baas.

Last but not least, but definitely not least

The increasing demand for Blockchain professionals who can deliver this technology and help develop the Blockchain ecosystem demonstrates the technology's acceptance throughout industries. In the field of blockchain, experts and developers are in high demand. As a result, it is one of the most financially lucrative professions. If you want to serve as a Blockchain specialist, now is the time to enrol in the Blockchain Council's certification programme. It's an online learning network that offers a Blockchain and cryptocurrency certification course. This is a Blockchain-specific course that will teach you what you need to know about the technology. Contact the Blockchain Council today for more details.

[milescpareview]

AI to Amplify Productivity for BFSI Functions

In today’s digital universe, AI promises $140 Billion productivity gains for financial service firms. As a result, augmenting is the key upgrade of financial institutions to stay at par with the industry standards.  According to the recent study by Accenture, it was found that in the face of changing workforce that disruptive technologies have become more prevalent in companies around the world. In yet another survey by a top consulting firm revealed that 48% of the tasks could be augmented with technology by 2025 which promises a huge increase in productivity. 

From real-time stock monitoring to functions like anti-money laundering to underwriting loans to improve risk mitigation, AI has become a savior for banking operations. Thanks to AI, for which the banks are gaining an upper hand in customizing the financial services for clients of the most diverse demographics. In the coming years, banks are expected to collect 59 billion USD from increased productivity after augmenting skills with the technology back-up. On the other hand, the insurance companies expect to generate 37 billion USD in gains, and capital markets companies are forecasting accordingly to realize 21 billion USD in productivity increase.

When financial institutions are experiencing a big boost in productivity & efficiency after automating data entry, processing, and account reconciliation - this reverts with a plus sign to work on improvements. As predicted by Accenture about 7% to 10% of tasks within banks, insurers, and capital market firms could be automated savings banks 12 billion USD, insurers 7 billion USD, and investment firms 4 billion USD.  Here are few mentions about how the BFSI sectors are optimizing their operations to walk augmentation to absolute success. 

AI-banking to aid the end-users

Adding on to the competitive advantage to convert the customer experience and more efficient customer services consistent with statistics, AI applications are accepted by 36% of the end-users - with refinement it soon will win the hearts of another percentage of the users. Plus it had been estimated that by 2035 it’s getting to touch the 1 trillion dollar mark with the support of technology. Among the organizations which tried to be tech-savvy 70 percent more organizations announced that they're preparing for automation. The fast teach uptakes resulted in faster clearance, reduced turnaround time, promises better security and accuracy over back-end work. Having AI for the operations doesn't require heavy coding applications, with a really simple interface, automation is often launched through new-found technologies like data captures, lowering processing times in manual data filling and documentation, which may both derive inputs and conclude insights.

AI-tech touch-points in banking operations

Gradually over time, AI has evolved in parallel to other digital applications.

AI itself has rolled-in advancements to bail-over its challenges, checking the boxes of reliance, efficacy, and security in elevating the banking experience of the purchasers. Viewing the advantage of implementing AI applications, finance & banking institutions started tracing a broader perimeter of applications. Let’s run through the segments of banking and finance touched by AI and deep learning-

Asset Management

Customer support & Helpdesk

Back Officer Operation

Financial Analytics

Document Management

Customer Relationship Management

Risk Management

Fraud detection

Sectoral changes observed after AI-integration 

Humanoid chatbots for customer support or help desk is one of the various uses of AI in finance. In finance, AI is the most reliable partner for Mastercard fraud detection and anti-money laundering. It takes milliseconds to crack even the foremost complex patterns and solve the redundant fraudulence within the digitized banking systems. Because the method is evolving, time-on-time automation has appropriated Log Analytics with deep learning algorithms. Matching up with the financial institutions each AI software is often re-engineered and customized with the necessity of the organization to seamlessly hunt, prevent, and predict security breaches more efficiently.

Moving onto the opposite benefits in banking, AI features a large impact on the wealth management sector. Because the tech-savvy generation prefers digital touch-points -  personal portfolios are now managed by bot advisors. In shaping wealth management they will effectively poach-in information from social networking sites, bank statements, savings charts, and assets to return with unbiased advice managing wealth. Well, this is often not the top, AI can give excellent performance in risk management which might eliminate mundane errors and false alarms. Now, are we prepared to successfully enjoy automation?

AI - A Profit-Earner for BFSIs

Enabling automation is a huge positive drive for the banking organization. The market that grew twice its size since 2018 is yet to scavenge the raging issue of unemployment. In a survey conducted by an ed-tech company, over 4000 AI jobs go vacant due to a prominent skill gap. Considering remuneration, from entry-level to senior professionals the monthly salary ranges from Rs. 6-12 lakhs per annum. With an AI institution, a savvy financer can opt for a futuristic job like- Fintech headhunter/liaison, Self-driving finance engineer, Sustainable wealth manager, Crypto Forecaster, Trust officer, Cross-company cybersecurity liaison, and others.

To ‘win the war of skills’ Indian Institute of Technology-Roorkee in collaboration with WileyNXT has launched the Artificial Intelligence in BFSI program.  India’s first-of-its-kind online program made for BFSI professionals.

For over 200 years, Wiley has been helping people and organizations develop the skills and knowledge they need to succeed. They are dedicated to developing efficient learning products, digital transformation education, learning, assessment, and certification solutions to help universities, businesses, and individuals move between education and employment and achieve their ambitions In becoming a key player in the market, the course is a boon to the emerging product managers in today’s date.

Miles Education is always committed to your career success and brings to you new-age certifications in Finance and Emerging Technologies. We have partnered with WileyNXT to offer PG Certifications in AI from top IITs/IIMs in AI, ML, Deep Learning, and Analytics. 

To know more, please visit Miles Education

[kajolvijay]

An open talk on crypto-assets benefits to the P2P lending and the risks involved in the process!

Cryptocurrencies and blockchain technology are shaking things in every industry and the way it’s being operated. The major impact of blockchain and cryptocurrencies is seen in the fintech industry at a fast pace. Right from KYC verification to year-end reconciliation processes can be seamlessly surpassed with appropriate blockchain solutions with transparency and legitimacy. 

Blockchain changes the way the banking, insurance sectors with decentralized data management, consensus governance, smart contracts, immutable and traceable records. Incorporating blockchain solutions in the fintech processes makes it more reliable for the entire community wheel. Many new-age investors are showing interest in purchasing white-label P2P crypto lending software and launching their platform to run a hassle-free business.  

Now, let’s get deeper into the benefits of P2P crypto lending and the risks involved in these platforms!

Benefits of P2P crypto lending platform- A brief!

Equality of compliances

In traditional centralized banking systems, the poor people are expected to pay double or triple the amount of interest for the money lent in banks; whereas the privileged high-profile consumers are charged with minimal interests. These sort of norms seem unfair, but these culture of leveraging the banking systems continue even in developed countries due to the centralization of processes. 

Blockchain incorporated crypto P2P lending platforms vanish this chaos and bring out equality of norms among every consumer, regardless of their profile and other factors. Similarly, crypto investors can access the global lending market and could potentially reduce the risks involved in centralized systems. Decentralization of P2P lending platform reduces the transaction and operational costs; thereby, the investor earns high returns. 

Banking for everyone

Researches reveal that around 39% of the world’s population remains unbanked or underbanked. Blockchain-based P2P crypto lending platform opens the economy to all grades of people with loans, and other banking benefits. The centralized banking systems will never open these amenities to the average-scale people. 

Risks involved in crypto lending- An open & crisp talk!

Blockchain-based P2P crypto lending has its own risks and regulations. However, these market risks in implementing P2P crypto lending platforms are minimal and could be negotiated with some measures. Let’s look at the things you need to look after while getting into crypto lending!

Lending platform security

It’s best to have a background check on the white-label P2P crypto lending software about the security threats and bugs before purchasing it and you could possibly create a negative scenario and check on its behavior. Crypto business platforms are often hit with potential counterfeit attacks, hence it’s best to choose a tech partner who is stringent to security policies. 

Market volatility

The volatility of cryptocurrencies can cost you losses in conversions to fiat and vice versa during the lending transactions. Investors can face depreciated crypto values due to market volatility and the borrower can be pushed to pay more. In such cases, it’s best to default the crypto values while repaying the loan principals. 

Wrapping up!

Blockchain P2P crypto lending is the kick-start to the generation at which every common people could experience banking services with complete potential. Soon our financial systems would be decentralized with equality of norms, legitimacy, and transparency of transactions with blockchain P2P transactions!

[videokyccelusion]

Financial API gateway services by Celusion Technologies provides you Integrations for Credit Bureaus, Facilitate Aadhaar based digital signatures, Verify bank accounts using penny drop along with Real Time Monitoring and Billing Reconciliation.

[joeyrob1]

Rapid Growth of SaaS Accounting Software Xero and QuickbookOnline

Rapid Growth of SaaS Accounting Software Xero and QuickbookOnline

(No Ratings Yet) Loading...

– High growth potential for SaaS Accounting software of 4.9% CAGR to $4.04 billion in  2019

– Xero & QuickbookOnline are the 2 established players in the field with growing subscribers.

– Main features, pricing and drawback are introduced and explained. Growing acceptance with accounting firms that are built around them in Singapore.

  SaaS Accounting Potential

According to recent research by technology consulting firm IDC, the market for payroll accounting would grow at 4.9% CAGR to reach $4.04 billion by 2019. This is driven by demand for Software as a Service (SaaS) market of 16.4% CAGR growth as compared to 0.4% CAGR growth for the on-premise market. The on-premise market is essentially bleeding out to the SaaS cloud computing market.

The majority of the SaaS demand came from small and medium businesses as they are attracted to the low entry fee of cloud computing. Cloud computing allows the vendors to bundle the cost of hardware and software and scale it to out to businesses online. Large businesses have the scale to support on premise software which requires large upfront investments and for the time being, they have chosen to support their existing system instead of taking the risk of business disruption.

This rapid growth highlights the game changing impact of SaaS accounting. Payroll is a function of accounting which essentially moves funds between bank accounts periodically. The current industry practice of leading SaaS accounting software vendors would be to combine payroll services with inventory, budgeting, invoicing, time tracking and reporting functions. They provide tiered pricing which allows you to choose the bundle of accounting services required.

Leading SaaS Vendors

The SaaS accounting industry is a competitive and packed industry as it has low barriers to entry. Softwareadvice has a long list of 59 software for you to consider. For this article, we will just focus on 2 leading vendors. Xero and QuickbookOnline.

Source: Scoop

Xero started in 2006 and was listed on the New Zealand stock market in June 2007. As we can see, Xero had experienced high growth rate since its listing.

QuickbookOnline is developed by Intuit and it has both the desktop and cloud version. As we can see on the chart below, its online version (QBO) had also seen steady growth.

Source: Market Realist

As you see, both companies are riding on the rapid growth of SaaS accounting services. We would be looking at some of the features of their products which attracted scores of companies to them like bees to honey.

Feature – Chart of Account

Both are developed for small business users and they got their basics right. The basics of any accounting system would be the double entry system and all the major accounting functions from payroll, accounts payable, accounts receivable and inventory management are covered. These are presented in a Chart of Account as shown below.

Source: Streamtime (Xero Chart of Accounts)

Source: SageWeddingPros (QuickbookOnline Chart of Accounts)

Both QuickbookOnline and Xero understand that users of the system may not be trained accountants. This is why they have special access for accountants to look through the accounts to ensure that they conform with traditional accounting standards. It should be noted that both software provides full audit trail automatically.

Feature – Reconciliation

The next worth feature would be reconciliation of accounts. As mentioned earlier, reconciliation can be a very time consuming activity but absolutely vital for proper accounting. Both companies allow for full integration with your bank account, PayPal and credit cards.

Source: Jetbookeeping for Xero

As you can see, if the accounts match, you would just have to click ‘ok’. If not you can create a new record or transfer the funds away. If you are unsure, you can even leave a comment behind for your accountant. For regular payments, you can also create a rule to reconcile automatically.

Source: QuickbookOnline

For QuickbookOnline, they allow you to reconcile by each account (checking account in the example above) and when the difference is $0, then it is considered fully reconciled. You can then just click Finish Now.

Feature – Invoicing & Billing

Invoicing is a repetitive feature that can be streamlined especially for repeat customers. The same details do not need to be repeated twice and this applies for when you receive a bill from your suppliers. For bills, they might require different levels of approvals and this can be done.

Source: Xero

For Xero, if the customer is not a Xero client, they will get a free account that allows them to view all the bill that you have sent to them. If they are a Xero client, they save it in their own account and pay from their account. Alternatively, they can choose to batch pay.

Source: QuickbookOnline

For both, you can actually see the unpaid amount for your clients and the invoice can be automatically sent to their email address.

Feature – Reports

  After all your accounting efforts, it all boils down to your profit and loss statement.

Source: Google

QuickbookOnline provides a detailed report as seen above that shows the sources of your income and expenses.

Source: Xero

This is Xero’s version of the profit and loss report which allows you to switch for different periods. It can also be exported and saved.

Similarities & Pricing

If you look at the 4 main features that were introduced, you will realize that both Xero and QuickbookOnline are quite similar in terms of functionality. The only difference is in terms of style and this is due to the intense competition between the 2 of them. When Xero burst into the US scene in 2012, they took away substantial business from QuickbookOnline which forced them to play catch up.

It should be noted that pricing always change over time. This pricing is extracted from both companies as of January 2016.

Xero (in USD) QuickbookOnline (in USD) QuickbookOnline (Singapore Version) Independent Contractor: $7.99/month for 12 months (after $9.99/month) Starter: $20/month Simple Start: $10.36/month for 12 months (after $12.95/month) Simple Start: $15/month Standard: $30/month Essentials: $18.86/month for 6 months (after $26.95/month) Essentials: $16.10/month for 12 months (after $23/month) Premium: $40/month Plus: $23.97/month for 6 months

(after $39.95/month)

Plus: $18.60/month for 12 months

(after $31/month)

The price of the products are listed above for easy comparison and they are all priced in USD. As you can see, QuickbookOnline had made it a point to price themselves below Xero due to the intense competition between the 2 of them. QuickbookOnline has a Singapore version that is IRAS compliant and eligible for the $200 Productivity and Innovation Credit Scheme.

For Xero, the pricing for each tiered package is straightforward as seen above. For quickbookonline, they have a lower price for a period of 6-12 months before the normal price is applied. Note that all prices are charged in USD.

Outage Drawbacks

While it is much cheaper to use cloud services, one of the major drawbacks is that you are entirely dependent on the service provider to keep its service online. For example, Intuit QuickbookOnline was not available for 6 hours in February 2009 due to ‘network issues’, for 12 hours in June 2010 and 36 hours in July 2010 due to power failure.

For Xero, they had their major outage in June 2009 ‘for hours’ when their host Rackspace was hit by power failure at its Dallas centre. These are just the major outages that last for hours that are widely reported and noted. There are many smaller outages that are ignored by the media. Just like Singapore’s MRT trains, you would have to accept imperfections in an otherwise perfect system.

So while the SaaS prides itself as being the service that is on demand and that you pay for what you consume, sometimes the problem is that you may not be able to get access when you need it the most. Once there is a power outage, it will affect a wide cross section of companies. Not only is availability an issue, your data might be corrupted and so it is always a good idea to backup your data periodically.

Conclusion

Nothing is perfect. The good thing is that these companies have learn their lessons and there are no major disruption in the past 5 years. Improvements have been made such as mobile access on your phones and iPAD for you, your accountants, investors and anyone that matters. These are incremental improvements so they are not written about in detail.

The main benefit of SaaS accounting software is that their low monthly cost and no upfront investments had allowed small businesses to gain access to high quality acccounting services. There are entire accounting firms in Singapore that package their services around Xero (e.g J-Accounting) and QuickbookOnline (e.g. Chiew-Accounting) for a comprehensive accounting package.

Hence it is clear that SaaS accounting is slowly but steadily gaining acceptance. While there might be a new notable entrant or an existing player that might improve their services to gain notice, for now Xero and QuickbookOnline are the 2 leading vendors.

Brought to you by RobustTechHouse. We provide Fintech Development services.

Rapid Growth of SaaS Accounting Software Xero and QuickbookOnline was originally published on RobustTechHouse - Mobile App Development Singapore