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How To Choose A Suitable Accounting Software For Your Business?

How To Choose A Suitable Accounting Software For Your Business?

It is necessary to have accounting software to monitor the cash movement and financial health of your business. The application of choice will ultimately help you manage projects and monitor bills. However, choosing the right accounting software can be challenging. Different software offers different features and specifications at different prices. Here are the three basic things to keep in mind when choosing an effective accounting software.

  • Usability: The number of users involved will affect your choice of an accounting software. Usability also includes the preferred access to the system – from anywhere or from desktop only. The option of having an additional mobile app to facilitate use or access to real-time information should also be considered.
  • Cost: It is a trade between advanced features and cost-efficiency. You have the option to get either basic inexpensive or advanced and dynamic accounting software. The more sophisticated software will offer more features, great support and better usability, which will also cost more.
  • Features: The more advanced software offers more features, while the basic software generally provides the minimum applications and features. Your choice will depend on how and what applications you need for your company. What reports do you need the software to generate? Do you want to have both account payable and receivable tools?

 Support and Accessibility

To choose the best software for your company, its intended use should be carefully considered. How, when, what and where? Here are some important factors to consider:

  • Multiple business support: A software that can support multiple small businesses under one account is convenient and cost-effective too. Otherwise, the handling of several different accounts can be complicated and costly.
  • Multiple user access: How many users need or have access to the business accounts? Yourself, your partner, bookkeeper, procurement managers, sales managers and more. An accounting software that allows multiple users to access with different permission rights is ideal. Some systems provide this function at no additional cost.
  • Cloud software and mobile access: A cloud accounting software will let you access the accounts anytime from anywhere, provided that you have a computer and active internet connection. This allows you to run the business from home or on vacations.

 Are you familiar with Million Accounting System? Check out this article, The 5 Advantages of Using Million Accounting System for SME’s in Singapore.

After a choice is taken, necessary set-up must be properly completed so that the product can function, as mentioned by the vendor.  Feel free to contact Mighty Glory for a meeting in person (free of charge) so that we can understand your expectation(s) or requirement(s) to assist further.

Eight Ways Technological Innovations Changed Small And Medium Business Accounting

Eight Ways Technological Innovations Changed Small And Medium Business Accounting

The forward-thinking accounting firms in Singapore advocate cloud computing and the use of an accounting software. The benefits of using a software ideal for the needs of the company far exceed the costs and temporary disruption it might cause. The migration of files, adaption of the new system, recruitment of the right people and installation of the applications could be a hassle. But you also have the option not to go through all these! They can be delegated to the experts in the accounting firms in Singapore.

Here are eight of the top changes and benefits brought about by technological advancements to small and medium business organizations:

1. The Paperless Office

Modern business technologies shrunk the office spaces. We no longer need the bulky filing drawers, the stacks of office documents, and most of the quintessential office equipment like fax machines and photocopiers. The use of paper has gone down to the minimum. The modern and more environmental-friendly office setup only needs computers, internet connection, desks and chairs. Thus, offices are more space-efficient, clutter-free, and productive.

2. Cloud Processing

Instead of the extensive office filing and storage system that includes filing cabinets, drawers, paper files, and complex access and safekeeping management, we now have cloud computing. This is the digitized equivalent of the paper-based filing system. All office files, documents, and reports are digitized and uploaded to a central server where access is efficiently managed and security is optimized through an off-site storage facility.

3. Real-Time Postings

Cloud computing and the use of accounting software can provide real-time updates and reports. As most accounting software can now be integrated with bank accounts, payroll and productivity software, billing, and collection, users can generate financial reports that are updated and accurate. Updated reports and financial statements can be generated whenever required, any day of the year. This leads to better decision-making, forecasting and auditing processes.

Related: Why Companies Outsource Their Payroll?

4. Work Anywhere

The most significant change in business technology has impacted how we work today is the freedom to choose how, when, and where we work. Connectivity and accessibility enable us to work anywhere and anytime we prefer. Through cloud computing, work files can be accessed and shared from anywhere around the world. Thus, you can still check on your company numbers while on vacation, during your commute, or from home.

5. Simplified Work

Most accounting software, used by outsourcing firms in Singapore, already features integration with other business accounts like bank accounts, payroll features, billing and collection functions, and even inventory. Any updates are automatically posted, and the system is updated real-time. Thus, reporting is streamlined, accuracy and correctness are guaranteed, and staffing need is reduced.

6. Enhanced Securities

One key element of cloud computing is its off-site, third-party storage facility. This removes the physical files from your office and care. Everything is stored in the clouds, where access can be restricted, and file management is easily regulated by passwords and permissions. With the sophisticated security protocols in place, file loss due to thief, fire, and unauthorized access are prevented.

7. Cost Efficiency

Accounting services in Singapore are at the most affordable today. Business innovations and technological advancements allow small and medium enterprises to enjoy the best and expert services from accredited corporate service providers in Singapore. Whereas before where you need to buy the entire software, build your technical infrastructure and hire professionals, the company only needs a stable internet connection, subscribes to an accounting app service, and assign an external accounting firm to do the work.

8. Effective Delegation

The latest state-of-the-art business apps and platforms enable businesses to efficiently delegate tasks, reduce the worry. This allows the busy startup entrepreneur to focus on growing his or her company, or the team to concentrate on innovations and creative endeavors. Why go through accounting books when you can hire the best corporate service provider in Singapore? Learn more about cloud computing – its benefits, challenges, risks and your options. Choosing the right software for your business is key to a successful migration to the clouds.

Today, let’s fix a date with us to have an initial meeting. We are very glad to help you in identifying a suitable cloud computing system that will best fit your business needs.

Return of Data Register Pte Ltd

Return of Data Register Pte Ltd

Overview

Data Register Pte Ltd, a Singapore-registered company and previously known as the Company Register Pte Ltd was back again in 2018. The company sent fraudulent business letters to innocent business owners, demanding payments. Their letters were crafted to look legally official and even included the recipient companies’ details, which are registered with the Accounting and Corporate Regulatory Authority (ACRA).

Local organizations, which had unwittingly signed up to be part of its database, were subsequently asked to pay a yearly subscription fee of $490 for using the services. This resulted in 21,780 recipients inadvertently subscribing to the company’s services and paying the subscription fee. According to the authorities’ portals, Data Register is GST-registered with a live company status.  

Starting from January 2014, ACRA investigated and found Data Register guilty of 500 charges of scamming and malicious practices, with another 604 charges taken into consideration. Even after ACRA started investigating the scam company, Data Register continued sending out payment letters to new subscribers and demanding payments from the previous subscribers. This elicited controversies that affected ACRA’s public standing and reputation. In June 2016, the company was ultimately fined with $200,000.

Received by our Founder

Data Register is Back

Data Register is apparently back after two years and a massive fine of $200,000. A sole proprietor reported her predicament with Data Register when the company returned in 2018.

She first received a letter and an email from the scam company in November 2013. The design, logo, and content of letter led her to believe that it was something official from ACRA. Hence, she followed the instructions, as printed on the scam letter.

After Data Register was punished in 2016, no correspondence was received. In July 2018, the sole proprietor got a new letter which demanded for the new subscription fee together with the past overdue. The modes of payments include cash, cheque and PayPal. The letter instructed to make the cheques payable to another entity called Singapore Data Register Pte Ltd. The Unique Entity Number (UEN) and registered office addresses for both companies, Data Register Pte Ltd and Singapore Data Register Pte Ltd, are different.

Business owners who were entangled with the scam company are advised to remain calm and ignore all correspondences from them.

The scam company also has its own registered domain.

Sole Proprietorship And Private Limited Company

Sole Proprietorship And Private Limited Company

Sole Proprietorship is the simplest business structure that can be formed easily with minimal cost and legal formalities.  A single person operates this form of business and the owner is responsible for all the business obligations and losses.  Owner has the entire hold on the business and can run it according to the desired plans without being answerable to anyone.  Owner, being the sole decision maker, is responsible for every decision that may affect the business in both positive and negative manner.  There is no boundary between personal assets and business liabilities.  If owner fails to pay the business debts, the creditor may recover it by consuming the personal assets of the owner, hence leading to unlimited liability.  Owner may face difficulties in raising the capital in such form of business.  There is no difference between the owner and the business because Sole Proprietorship is not a separate legal entity.  Therefore, the business gains are added together with the owner’s income from other sources and taxed at progressive individual income tax rates, with the current highest personal income tax rate at 22%.

Private Limited Company is another business structure that a single entrepreneur can also opt for. The form of business that can be established with minimum 1 shareholder. Unlike Sole Proprietorship, it follows the concept of limited liability that restricts the contribution of shareholders, in paying the business debts, to the investment of the shareholder. Contrary to the Sole Proprietorship, this form of business offers ease of raising capital by adding a new shareholder or issuing shares to the existing shareholders that allows the inflow of capital for business expansion.  Corporate tax is levied at a fixed rate (currently, 17%) on the profits earned, resulting in reduced personal income tax rates.  Dividends distributed, to the shareholders, from the profits (net of taxes) are not taxable in their individual income tax returns.  Certain government incentives or claims, available for Private Limited Company, are not applicable in Sole Proprietorship.  Private Limited Company has statutory responsibilities, including but not limited to maintain registers of company officers, conduct annual meetings with minutes and financial statements prepared for submission to statutory bodies.  Unlike Sole Proprietorship, there is no single authority to make final decisions for the business.  Every shareholder has the right to vote in the decision making during the general meetings.

Might Glory Corporate Solutions is one of the leading Corporate Service Provider companies in Singapore. We specialise in company incorporation, corporate secretarial, nominee directorship, accounting and bookkeeping, corporate and individual tax services, financial reporting, and administrative support services. Contact us today for any clarification between Sole Proprietroship and Private Limited Company matters or any related to your business needs.

PayNow Corporate – Its Pros And Cons

PayNow Corporate – Its Pros And Cons

PayNow Corporate, a new paradigm in the world of cashless transaction. The fund transfer service uses an innovative technology that links a bank account with an entity’s Unique Entity Number (UEN). This enables corporate businesses and Singapore Government agencies to make instant fund transfers without prompting the sender for the recipient’s bank name or account number.

The advantages in using PayNow Corporate include:

1. This feature reduces the transaction time, cost, and hassle in processing the transaction.
2. The method does not only allow greater convenience, but also uses the established security standards to ensure secure fund transfers.
3. Unlike in mobile wallets, the sender does not have to recharge the wallet for transferring the money, making it more user-friendly.
4. Users also have the option to process transactions using the mobile app or through internet banking.
5. Transfers are processed instantly.

Challenges to using PayNow Corporate include:

1. The availability of an active internet connection and the use of appropriate devices are required for users to enjoy the benefits of PayNow Corporate.
2. The app could appear too complex and confusing for tech-challenged people.
3. While bank account details are shrouded in the transaction processing, pre-registration of bank accounts is a pre-requisite to using the service. This requirement could scare off traditionalists from taking the initial step in joining the cashless society.