Accountants and bookkeepers play a vital role in helping their clients understand what is going on in their business.
However, in order to provide this service to a high standard, it is essential that practices keep track of their own efficiency. That means monitoring your bookkeeping business KPIs.
NO MORE BOTTLENECKS
Cloud accounting software gives accountants and bookkeepers a whole range of new tools. These allow information to be gathered and analysed much more efficiently than before.
Data can now be collected and processed in mere moments, allowing small business owners to keep track of the financial health of their business in near real-time. This is largely thanks to advances in OCR software.
Smart tools can now scan the data on a receipt or invoice quickly and accurately. At the same time, new technology such as Receipt Bank allows this data collection and extraction to be almost entirely automated.
The one element that can slow down this process is the accountant or bookkeeper.
NEW BOOKKEEPING BUSINESS KPIS
We have already discussed how automation is changing the accountancy and bookkeeping industry, and that applies to the KPIs as well.
Some old indicators are now much less useful. Where once hours billed gave a healthy indication of the revenue being generated in a business, new technology is radically reducing the manual time that is spent on bookkeeping. That means value is no longer measured by time spent.
There are also new metrics to consider. Now that technology has drastically increased the number of clients that can be serviced by a single bookkeeper, that client number becomes itself a measure of their productivity.
It’s a new data frontier and bookkeepers need to stay on top of the new information.
THE POWER OF KNOWING
We’ve picked out six essential KPIs that are essential for efficient cloud bookkeeping. Find out the difference they make to a bookkeeping business in our handy factsheet “The Power of KPIs” here.