Cloud Accounting in Nepal
Digital transformation at current times has been an inevitable phenomenon and Nepal is also in the verge of digital transformation. While, it has been widely adopted in banking and financial services industries, it is now making its way in accounting and taxations services also. Traditionally, accounting was viewed as manual iterative job in business. But today, the stakeholders are beginning to understand key roles of accounting in growth of business. Proper and timely accounting and reporting helps owners in making effective business decision, devising proper pricing structure, timely debt collection, revising business models just to name a few. In developed economies, the accounting services has reached to a new level of robotic automation and Cloud Based Accounting is just a tip of the iceberg now.
Cloud Accounting, as the name suggests, is process of recording all accounting transactions in cloud-based platform where one can easily access the information anytime from any part of the world if you have internet connection. The benefit from cloud accounting is enormous- real time accounting, instant reporting, aid in effective debt collection, low chance of non-recording of transaction, efficiency in operations etc. With the evolution of digitization, various applications have been developed which helps to eliminate manual and time-consuming tasks such as invoicing, making and receiving payments, bank entries and reconciliation.
Just to give you a clear picture of how it works let me give you an example – I run a trading business and when I sell goods to customer, I can immediately issue invoice from my mobile which will be mailed to my client, as per terms of payment automatic email reminder is sent to clients for payment and once payment is received the same will be notified and instantly recorded. Bank accounts can be linked to the cloud and the system automatically reconciles the transaction. So, my basic accounting is effortless and completed within seconds, the same if done manually will take significant time and resources. Now businesspeople can solely focus on their business without sweating on daily transactions. This has also led to cost minimization.
Global Trend
Cloud accounting and digitization is rapidly increasing in developed economies. And now due to COVID -19 this process has accelerated further at rapid pace. Accounting in desktop based applications and manual ledgers are all being replaced if not eradicated. In places like Hong Kong government has even provided grants for accounts digitization. This is a clear indication of what the future of industry lies ahead. Cloud Accounting Software such as Xero, QuickBooks, Sage is inventing further processes and partnering with various service providers to make accounting even more effortless and cost efficient. Hence, we can fairly conclude that Cloud accounting is the future.
Challenges in Nepal
Nepal is still in infancy in terms of digitization. There is a great challenge in making the stakeholders aware of the benefits of digitization. International software is not freely available and thus needs to be imported which can be costly. Businessperson even if they desire to go for it, there is shortage of skilled manpower with prior experience. However, this process can be accelerated if government devises policies and various incentives such as tax holidays, grants or subsidies. Local software developers are utilizing this opportunity to introduce their own cloud software and lately this is growing rapidly. Nonetheless, many businesses are trying to adopt this and have seen surge in demand of such service.
We at Four Symmetrons Business Consulting Pvt. Ltd. have been at forefront for advocating the seamless cloud-based accounting solutions for our clients. We have been proudly serving our clients locally as well as at international level with greater efficiency and accuracy for the bookkeeping and accounting services. And, that doesn’t limit our ability to provide other outsourcing services such as data cleansing, digital marketing services and market research services to our clients.
For inquiry please reach to us at foursymmetrons@gmail.com
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