How to use Xero to help run your business

JACK MOORE, Partner at Page Kirk, explains why there's more to Xero than meets the eye. With its integrations, credit control and oversight of cash balances, it can become an invaluable tool in the running of a more effective business.

Xero is one of the world's leading cloud-based accounting software platforms and it's suitable for small to medium-sized businesses. If you're looking to embrace new technologies and use your accounting software to help run your business, Xero will help do just that.

Integrations

Xero has a wide range of different functions you can use to minimise time spent on laborious accounting procedures; however, all businesses are different, and many require modernised solutions for contemporary demands. Xero has over 1,000 innovative third-party software integrations. With this many options available. you can be sure that there is a plethora of useful connections to be had, which are tailored to your business and will revolutionise the way that you oversee your company. Whether we're talking about payroll, stock management, time tracking, job costing, credit control or CRM, Xero can help strengthen any function of your business.

One function that works particularly well for our e-commerce business clients is that Xero can help consolidate your transactional data from all of the e-commerce platforms which you make sales on, ready for import. This is usually a pain of a task, especially when most e-commerce platforms' sales reports are formatted differently, which lends itself to inaccurate reporting.

Credit control

It's so important as a business to get the cash you're owed into your pocket. All too often, keeping tabs on your customers can be extremely time-consuming and tedious. Instead, think about utilising Xero's credit control functionality. The software will do the heavy lifting for you, saving you heaps of time which you can use elsewhere in your business, and bringing in the revenue you're owed. One of Xero's most useful credit control functions is automated payment reminders for outstanding invoices, No longer will you need to waste your time chasing late payments.

You could go one step further and really nail your credit control by integrating one of Xero's partnered apps, Chaser. You may be wary that using a third-party credit control app may cause your customers to question your impersonal approach, but Chaser has a clear emphasis on maintaining a personal approach to help build relations with your customers, not fracture them.

Use Chaser to create automatic payment reminders from your own personal email address with your own email signature. There is also the option to customise messages from customer to customer. In a different vein, Chaser has a built-in credit checker tool, which can be used to gain valuable insights into your new and current customer's payment behaviours. Opt to receive updates in real-time to hear about any changes to your customer's recommended credit limit, payment score and credit score.

Reliable oversight of cash balances

Cash is king, and the importance of knowing how much of it your business has at any one time cannot be overstated. Use Xero to help reconcile your bank accounts on a regular basis so that you have real-time oversight of your cash position. Xero has countless tools at your disposal to make this quicker and easier. One of the most helpful tools within Xero is its bank rules. Bank rules can be set to automatically reconcile certain transactions based upon their wording, which means that you won't have to work your way through every single transaction. Of course, you can also link your business account with Xero, removing the need to import bank statements or type out transactions line-by-line.

Page Kirk are proud to be certified Xero advisers. If you want to know more about how we can help you, please email enquiries@pagekirk.co.uk or call 0115 955 5500.