Until the 1980s when technology and computer software development really progressed, accounting was a long and laborious task, requiring all notations and financial data to be analysed, recorded and stored by hand. Accounting software introduced a quick and reliable method of tracking accounts that has revolutionised the industry.
What is a Sage accounting system?
A Sage accounting system is a computerised package that has numerous facilities to process your financial information. The system collects your information, classifies it and then summarises the data in an accessible way to allow the user to view their financial information in simplistic terms. Just some of the many capabilities of a Sage system include:
- Ability to print out invoices
- Updating customer and supplier records
- Making payments
- Automatic update of the general ledger
- Automatic altering of stock levels
- Automatic calculation of payroll
- Summarises customer accounts with overdue balances
- Valuation of stock
- Analyse sales
- VAT returns
Due to its early beginnings and market dominance, Sage managed to attract accountants before other packages had the chance. It’s an aging industry, full of traditionalists so those who started with Sage have mostly stayed with Sage.
90% of accountants in the UK recognise the Sage format because of this, either using it in the past or still use it today, passing it on to their employees and the next generation of accountants. Sage have concentrated on providing users with solutions which benefit them, they include features requested by their clients and have remained loyal to the small and medium sized businesses instead of going to what is more likely to be the more profitable option of the corporates.
Sage understand what their customers need, the industries they work in and advancements in a quickly changing technology. This allows them to improve their package to retain their current users whilst attracting new ones.
Rule out human error
By having a completely computerised method of storing all of your financial information, you rule out the risk of human error, such as jotting down the wrong figures or misplacing information. These seemingly small errors can have a catastrophic effect on a business’s financial standing, so having an accurate system is hugely beneficial to the user.
Real time financial information
You can access your account and see all the transactions and your cash flow to date as the system is updated in real time. This is handy if you need to check you can afford unforeseen costs or to confirm which transactions have been processed.
Less time consuming
Data entry can be carried out much quicker than if it were done manually, and the information only has to be entered into the system once, even if it’s to be used for many purposes.
Keep things simple
When businesses grow and develop, accountancy becomes much more complex. Computerised accounting systems sift through all of the data easily and make the process much more straightforward than manual accountancy.
Sage accounting systems are quick and efficient, which makes them much more cost effective than paper based accounting as the work requires less hourly paid work. Furthermore, the systems are usually issued at a very low monthly subscription cost.
So, what next?
If you are interested in finding out more about Sage accounting software, call us on 0191 500 8150 or email [email protected] and one of our Business Software Consultants will be more than happy to have a chat with you regarding this.
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