Since Luca Pacioli developed the first accounting strategies and practices in 1494, accounting and bookkeeping have come a long, long way. Nowadays most accountants and CPAs rely on cloud hosted accounting software for their accounting practices rather than the archaic manual accounting practices. Cloud accounting solutions like hosted QuickBooks and others have helped take traditional accounting practices and make them more efficient and streamlined.
Gone are the days when CPAs and accountants had to stay glued to their desks with a huge pile of bills and receipts, which they had to painstakingly sort through. With all the benefits of cloud accounting solutions, CPAs and accountants are now able to avoid the manual data entry tasks and automate them to be quicker, better, and error free.
This also lets them focus better on providing better and more intrinsic services that the clients wants or requires. This is absolutely necessary for CPAs and accountants nowadays to stay relevant in the uber-competitive accounting industry and take upon a more strategic advisory role for the clients.
The Rise Of Cloud Accounting
According to Jennifer Moore of Moore Details Bookkeeping, cloud accounting tools and services may change the way accounting is done nowadays but it can never replace accountants and diminish or deny the value of their expertise and knowledge.
With that being said, we all can now agree that accounting and accountants are still a necessity for every business, but with cloud accounting services and tools, they now have to change the way they do what they do. This is simply because clients are now demanding more microscopic and bespoke services, which have significant business value or have the potential to create a better operation and increase revenue. They are now looking for sound business advisors who are can also manage all accounting processes and tasks. They are looking for someone who can provide feedback and create a mutually beneficial relationship with the client.
Modern accountants and CPA firms have risen to the occasion and have welcomed cloud accounting services gladly. They now offer services which compliment the client’s business and helps them increase revenue and utilize their entire resource pool with greater efficiency. Many CPA firms and accountants have also started to bundle relevant services together for more cost-effective and streamlined operations.
However, there are many accountants still out there who are reluctant to tweak their services and profiles, due to fear. There are numerous mentors forums and videos on the internet to guide them and make their transition into modern accounting practices smoother.
CPAs Becoming ‘Trusted Advisors’
According to multiple market surveys, the role of accountants has evolved from money managers to business advisors in the last few years. Companies and businesses which previously relied on traditional accounting practices found that by implementing cloud hosted accounting tools, they can significantly minimize the time wasted on manual data entry tasks. This time can now be utilized elsewhere to improve the existing business process and clean out any wrinkles and discrepancies which may or might hamper the business in the future.
CPA firms and accountant who use cloud hosted accounting tools can provide the same for their clients. This all because of the apparent and non-apparent benefits of the cloud, which includes, anytime and anywhere access, unprecedented collaborative opportunities, and real time data updates to name a few. This has enabled them to study and understand their client’s businesses better and offer intrinsic advisory services which generally have profound business value apart from the general accounting services. This not only increases the value of accountants and CPAs, but also helps them to stay relevant in this ultra competitive industry.
The basic profile of accountants and CPAs has seen many changes ever since the early days of the industry. But with cloud computing and its plethora of application in the accounting industry has drastically changed bookkeeping practices and for the better too. Clients are now demanding custom services from accountants and CPAs which has led to a drastic changes in their work profiles.
The future of the accounting industry has been forever changed as client demands become more important which calls for accountants who can also act as business advisors.