By Aaron Patrick, Head of Accounts, Boffix
As the pace of digital transformation grows, small and medium-sized businesses are grappling with both unprecedented challenges and opportunities. From navigating economic uncertainty to meeting evolving customer expectations, the ability to adapt quickly has never been more critical. Technology is at the heart of this transformation, with financial management systems (FMS) emerging as essential tools for enhancing efficiency and resilience. Yet, despite the clear benefits, many SMEs remain hesitant to adopt these solutions.
The 2024 Intuit QuickBooks Accountant Technology Survey underscores this urgency by revealing a striking contrast: despite a significant share (63%) of respondents weighing clients’ use of technology in assessing whether they’d be a good fit for their business, half of SMEs are still not utilising FMS. This reluctance persists even though 82% of businesses recognise that those leveraging FMS are better equipped to weather economic storms. By championing the adoption of digital tools like accounting software, accountants can play a pivotal role in helping SMEs harness technology to secure their future.
There are some practical strategies for SMEs that I’ve used to help them get tech savvy, such as offering demonstrations and providing tailored solutions for certain sectors. I believe accountants have a crucial role in guiding SMEs through digital transformation, demonstrating the long-term benefits of FMS in enhancing efficiency, reducing errors, and providing a clearer picture of their financial health.
- Addressing Cost Concerns
One of the primary roles accountants can play is in demystifying technology for SMEs. Many business owners feel overwhelmed by the prospect of integrating new systems into their operations. Accountants can provide clear, step-by-step guidance on how to implement FMS, breaking down the process into manageable stages. This approach not only makes the transition smoother but also helps build confidence among SME owners and their teams.
Accountants can help businesses understand the long-term financial benefits of investing in technology. By conducting cost-benefit analyses, they can demonstrate how FMS can lead to significant savings through improved efficiency and reduced errors. Additionally, by introducing solutions like QuickBooks Online, which offers user-friendly interfaces and scalable plans, accountants can simplify decisions for SMEs, tailoring systems to their needs.
- Simplifying Complexity
Many SMEs may find FMS too complex or not user-friendly. Accountants can bridge this gap by providing demonstrations and training sessions tailored to the specific needs of the business. By breaking down complex processes into manageable steps, accountants can make the transition to FMS smoother and less intimidating for business owners and their staff.
FMS adoption brings tangible benefits, such as automating routine tasks and enhancing financial visibility. Accountants help SMEs streamline operations by recommending tools for invoicing, reconciliation, and tax calculations, saving time and reducing errors. Cloud-based FMS allows access to up-to-date financial data anytime, supporting informed decisions. With routine tasks automated, accountants can focus on strategic guidance, helping SMEs identify growth opportunities and navigate challenges.
- Building a Future Ready Business
AI and advanced technologies in FMS are redefining the accountant’s role. Accountants can help SMEs stay competitive by recommending AI-driven systems for automating data entry, processing invoices, and analysing financial trends. Tools like QuickBooks Advanced, for larger SMEs, offer AI features for predictive insights and proactive issue identification. By overseeing these technologies, accountants ensure alignment with business processes, fostering resilience and growth.
- Overcoming Fear of Change
Change can be daunting, especially for businesses that have been operating in the same way for many years. Accountants can help SMEs overcome their fear of change by providing ongoing support and reassurance throughout the implementation process. By being available to answer questions, troubleshoot issues, and offer guidance, accountants can build trust and confidence in the new system.
Lack of awareness is another significant driver to the fear of change. Accountants can play a crucial role in educating SMEs about the benefits of FMS. Through regular consultations, accountants can highlight how FMS can improve business operations, enhance financial visibility, and support better decision-making.
- Demonstrating Long-Term Benefits
The long-term benefits of FMS are substantial. By automating routine tasks, FMS can free up valuable time for business owners and their staff to focus on strategic activities. Improved accuracy and real-time financial data can lead to better decision-making and more effective financial planning. Additionally, FMS can enhance compliance with regulatory requirements, reducing the risk of costly errors and penalties.
Accountants have a pivotal role to play in helping SMEs navigate the challenges of technology adoption. By addressing cost concerns, simplifying complexity, raising awareness, overcoming fear of change, and demonstrating long-term benefits, accountants can guide businesses through the digital transformation process.
