I’m sure you’ve heard of Xero, right? Beautiful accounting software in the cloud? But why should you be interested and why should your agency be using it?
Using cloud-based accounting software gives you the freedom to work from anywhere, at any time and on any device. You now don’t need a redundant old machine sat in the corner of Creative Agency’s office, just to run accounts. As it’s cloud-based, there’s no need for backups or worry over version control.
It’s also really easy to share financial information with your team, or with your accountant. As Creative Agency accountants, we spend a large part of our day on the phone with clients discussing their businesses. To be able to look at the same information at the same time massively enhances the value of the conversations we can have.
Having these integrations means that you can follow the development of a lead, right through quoting and right into invoicing. All in one integrated system. WorkflowMax has a great timesheet function, so if you are billing by time, you can quickly convert your time into an invoice and push it out right through Xero.
Makes Life Easy
Xero has many great functions that make your accounting life really easy. We are massive fans of having retainer income in Creative Agencies, wherever possible. Xero simplifies the billing process for such customers as you can automate the production and sending of invoices. How much time will that save you when it comes to renewing annual hosting bills?
There’s also a massive reduction in paperwork through using great addons such as Receipt Bank. All our agency clients get full access to Receipt Bank. It allows them to photograph receipts for upload to Xero. No more receipts in the back of your wallet or in the glove box. Take a photo and bin it!
Get Paid Faster
It’s so easy to raise and send an invoice in Xero that it will speed up your invoicing process, no end. You can raise invoices as soon as you finish a job and get it emailed straight to the customer from right inside Xero. Your customer can view and pay the bill online (with the help of Go Cardless or Stripe).
You have an up to date snapshot of who owes you money on your mobile phone. Have a quick check before heading into that next client meeting and you’ll know right where you are.
Xero has also introduced an automated email reminder system which sends emails to customers reminding them of overdue debt. Warning though…if you use this, you’ll need to be on top of that bookkeeping! No more waiting until the end of the VAT quarter!
Better Financial Decision Making
This, for me, is the biggie!
How much better would your financial decision making be if you had track of all the key financials in your agency. As Creative Agency specialist accountants, we’ve worked with hundreds of agencies over the years and one of the biggest factors in the most successful is that they knew their numbers…all the time!
Xero helps you understand your customer spend and how reliant you are on key customers. It also has an awesome project tracking function. You’ll be able to see at a glance, not just how much each client spends, but how profitable each project is.
As you can see, we are huge Xero fans for Creative Agency accounting. It makes your life easier and most importantly gives you much better decision making ability. Check out our Xero page for more information on Xero and how we can support you in adopting it.
If you’d like to trial Xero or want to discuss more how it could help your agency, please contact us and we’ll be happy to give you the guided tour