5 Benefits of an Online Accountant for Small Business Canada

January 6, 2024
Gurdeep Sangha
online accountant for small business benefits

The main benefits of working with an online accountant for small business may surprise you. Here’s everything you need to know Canada!

Table of Contents

What is an online accountant for small business?

An online accountant for small businesses refers to a professional accountant who provides accounting services through digital platforms and the internet. These accountants leverage cloud-based accounting software and other online tools to assist small businesses with their financial management needs.

Keep on reading to learn more about some of the key benefits of an online accountant for small businesses.

What are the benefits of working with online accountants?

Online accountants offer small businesses digital accessibility, enabling owners to access financial data from anywhere. Real-time updates and cloud-based software ensure up-to-date information and cost-effective collaboration. Automation features streamline tasks, saving time, while virtual communication enhances flexibility in interactions.

1. Digital Accessibility

Online accountants make use of cloud accounting software that allows business owners to access their financial data from anywhere with an internet connection. This accessibility makes it convenient for both the accountant and the business owner to collaborate and manage financial information remotely.

Furthermore, the use of cloud accounting software not only provides accessibility but also ensures real-time synchronization of financial data. This means that any updates, changes, or entries made by either the accountant or the business owner are instantly reflected in the system. This real-time feature enhances accuracy and transparency, allowing both parties to have an immediate and comprehensive understanding of the financial status.

Additionally, the cloud-based nature of these tools ensures secure data storage, reducing the risk of data loss and providing a reliable and centralized platform for all financial transactions and records.

2. Real Time Updates

With online accounting services, financial data is updated in real-time. This helps small businesses to have an accurate and up-to-date view of their financial health, enabling better decision-making.

Moreover, real-time updates in online accounting services empower small businesses with timely insights into their financial performance. This instantaneous access to accurate data allows business owners to make informed decisions swiftly, responding promptly to market changes or emerging opportunities. The immediacy of financial information is crucial for strategic planning, budgeting, and forecasting, as it eliminates the lag associated with traditional accounting processes.

This agile approach to financial management not only enhances decision-making but also contributes to the overall agility and adaptability of the business in a dynamic and competitive landscape.

3. Cloud Based Software

Cloud-Based Software: Online accountants typically use cloud-based accounting software, such as QuickBooks Online, Xero, or other similar platforms. These tools allow for easy collaboration, data sharing, and secure storage of financial information.

Furthermore, the adoption of cloud-based accounting software goes beyond ease of access, fostering seamless collaboration between accountants and small business owners. These platforms facilitate real-time sharing of financial data, documents, and reports, creating a collaborative environment where both parties can work simultaneously on the same set of information. The cloud-based approach enhances efficiency, as it eliminates the need for manual data transfers or physical document exchanges.

Additionally, the secure storage capabilities of these platforms ensure that sensitive financial information is protected through encryption and robust security measures, providing a reliable and compliant solution for managing and safeguarding financial records.

4. Cost effective accounting services

Online accounting services often provide a cost-effective solution for small businesses compared to traditional in-person accounting services. Businesses can pay for the services they need without the overhead costs associated with maintaining a physical office.

Moreover, the cost-effectiveness of online accounting services extends beyond just the absence of physical office expenses.

The elimination of geographical constraints enables businesses to access a broader pool of skilled accountants without being limited to local expertise, further contributing to cost savings.

The result is a leaner, more adaptable accounting solution that aligns with the budgetary constraints of small enterprises.

5. Reliable online communication

Online accountants communicate with their clients through virtual channels, such as emails, video calls, or messaging apps. This eliminates the need for face-to-face meetings, making the collaboration more flexible and efficient. 
 

Sansar Solutions employs virtual communication channels such as phone calls, emails, WhatsApp, and text messages to seamlessly connect with clients during regular business hours.

This approach not only eliminates the necessity for face-to-face meetings but also enhances collaboration and flexibility in client interactions. The use of diverse communication tools enables quick and efficient exchanges of information, updates, and clarifications.

This flexibility is especially advantageous for busy small business owners and allows for a more responsive and dynamic collaboration between Sansar Solutions and its clients. The integration of various virtual communication channels reflects a commitment to meeting clients’ preferences and streamlining the communication process for optimal efficiency.

Is an online accountant for small business worth it?

Whether an online accountant for a small business is worth it depends on various factors, including the specific needs and circumstances of the business.

Here are some considerations:

Cost vs. Benefit: Online accountants often provide cost-effective solutions compared to traditional in-person accountants. Evaluate the fees charged by online accounting services against the potential time and cost savings they can bring to your business.

Time and Convenience: Online accountants offer the convenience of remote collaboration, saving time on travel and in-person meetings. If flexibility and time-saving are crucial for your business, an online accountant may be a worthwhile investment.

Access to Expertise: Small businesses might not have the resources for a full-time, in-house accountant. Engaging an online accountant provides access to professional expertise without the need for a permanent hire, making it a practical solution for businesses with budget constraints.

Technology Adoption: If your business is comfortable with using digital tools and cloud-based software, an online accountant can leverage these technologies efficiently. Ensure that your business is ready to embrace the digital aspect of online accounting for a smoother collaboration.

The value of hiring an online accountant depends on the unique needs, budget, and technological readiness of the small business. Many businesses find the convenience, cost-effectiveness, and expertise provided by online accountants to be highly beneficial, but it’s essential to assess these factors in the context of your specific business requirements.

How to choose the best online accountant Canada

Choosing the best online accountant in Canada involves considering several factors to ensure they align with your business needs.

Here’s some tips to help you make an informed decision:

Technology Proficiency: Confirm that the accountant is proficient in using popular accounting software and online tools. This ensures seamless collaboration and efficient management of financial data.

Client Reviews and References: Check for client reviews or ask for references from businesses with similar needs. Feedback from other clients can provide insights into the accountant’s reliability and competence.

Service Offerings and Pricing: Clearly understand the services offered by the online accountant and ensure they align with your business requirements. Compare pricing structures to determine if they are transparent and fit within your budget.

Response Time and Availability: Assess the accountant’s responsiveness and availability. Timely communication and support are crucial, especially during peak financial periods or when urgent issues arise.

Trial Period or Initial Consultation: Some online accountants offer initial consultations. Take advantage of these opportunities to assess their expertise, communication style, and compatibility with your business. Here at Sansar Solutions, you may book a free 15-minute call to chat with one of our advisors about online accounting for small business.

Online accountant for small business Canada Frequently Asked Questions

 Hiring an online accountant in Canada offers several benefits, including cost-effectiveness, real-time collaboration, and access to professional expertise without geographical limitations.

Online accountants may use email, phone calls, video conferencing, or messaging apps. Choose an accountant whose communication methods align with your preferences and convenience.

Ask about the accounting software they use and their experience with popular tools like QuickBooks or Xero. Their proficiency in technology is crucial for efficient collaboration.

It’s important to choose an online accountant who can accommodate the growth of your business. Inquire about their scalability and flexibility in adapting to your evolving needs.

Some online accountants may provide a free initial consultation. Take advantage of these opportunities to assess their expertise and compatibility with your business before committing.

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