As you may already know, starting a new business for the first time can be a real challenge for some people. Some people have always dreamed of making a living by doing what they love and they expect to take the world by storm the moment their target customers hear about their new ventures. And this is where Xero comes into play! For detailed instructions, see in-depth guide on how to use Xero.
When it comes to web-based accounting systems that have been designed with both small and fast-growing businesses in mind, there is no doubt that Xero is one of the best ones that you can find these days. Often described as affordable professional-level accounting software for small businesses, it is no surprise that Xero is being used by more than a million people from all around the world. Xero accounting Singapore is also a primary accounting solution for more than 16,000 accounting firms.
Although your business is all about doing what you love, you need to understand that building a business involves some stuff that not that many people enjoy, including finding IT solutions, hiring staff, and dealing with all those uncomfortable bookkeeping and tax tasks. The good news is that you can get some help with those last two things from Xero. Keep in mind that Xero was once a startup, just like your business is right now.
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Xero is one of the most flexible business platforms available today. It is safe to say that just about any startup out there needs tools that can help the business grow and the Xero ecosystem is just the tool that your startup needs right now. Xero’s core accounting package allows you to bolt on other programs to integrate with Xero as you grow your business.
As you grow your business, you can quickly add and customize flexible reporting tools to generate departmental reports, KPI reports, or just about any other type of report that you can think of. And if a particular add-on no longer meets your business needs, you can simply unsubscribe from it and find another one that does.
When it comes to setting up Xero for your business, it is a pretty straightforward process. Here is the 13 simple steps on how to use Xero.
The very first thing that just about any new Xero user should do is watch one of the Getting Started With Xero videos that can easily be found on the Internet. And that is pretty much the entire first step.
Setting Up Your Bank Account Fees
The next thing that you should do is set up your bank account fees. This includes both your credit card accounts and your PayPal accounts, but only if you have them, of course.
Setting Up Your Chart of Accounts
If you have been using some other accounting software up to this point, you can easily import your chart of accounts into Xero – either that or modify the existing chart of accounts. If you have an accountant, feel free to discuss this with them. However, if you do not have an accountant and you do all the bookkeeping tasks yourself, then using Xero’s default chart of accounts might be your best option. If necessary, you can add, customize, or delete these accounts.
Regular Bank Reconciliation
When you are using Xero, bank reconciliation is one of the easiest things in the world. Spending just a few minutes every week approving pre-matched items is all you need to do to ensure that your data stays up-to-date at all times. Since Xero is connected to your bank account, transactions are pulled through automatically.
Setting Up Your Organization Details
If you are the owner of a limited company, be sure that your business has a registration number and registered office address. This piece of information needs to be visible on any invoices you issue.
Setting Up Your Financial Settings
Setting up your Xero financial settings is a really simple process. You just need to go to Settings, then General Settings, and then Financial settings. Then, you just need to enter your company details in there.
If you would like to add more users to your account, you just need to go to Settings, then General Settings, and then Users. You can add your personal accountant, bookkeeper, and any other necessary stakeholders to your account.
Adding Your Company’s Branding
Nailing down your terms of payment can help improve your cash flow. Having shorter payment terms can help you get paid earlier. If you would like to set up your branding schemes, you just need to go to Settings, then General Settings, and then Invoice Settings.
Adding Payment Services
Be sure to link any active payment services to your Xero account. When you have several different payment options on your account, it is easier for your customers to pay for your services. You just need to go to Settings, then General Settings, then Invoice Settings, and then Payment Services to set up your payment options.
Setting Up Payment Reminders
Getting paid quickly is the key to success for just about any business out there. Organizing your credit control systems and setting up payment reminders can help you get paid faster. To do this, go to Settings, then General Settings, then Invoice Settings, and then Invoice Reminders and set it up.
Learning Basic Reports
Learning how basic reports work is one of the most important things that you should do when it comes to running a business. To see what options are available to you, just go to Reports and then All Reports.
Setting Up Your Xero Payroll
Your Xero Payroll can help you keep track of your staff costs. When it comes to transferring payroll from another system during the financial year, don’t forget about the opening balances. Simply go to Payroll and then Payroll Overview to see what you can do.
Using Xero’s apps and add-ons is a great way to save yourself some time when it comes to dealing with repetitive processes. Be sure to check the official Xero marketplace to see what options are available for download.