Resources and funding have always been limited for non-profit organizations and charities. Therefore, managing everything, including accounting, can be a big problem for them. However, tracking finances and maintaining cash flow is more critical for them.
To achieve the goal efficiently, Xero accounting software can be the most suitable service for them. It is an excellent way to keep the whole system transparent.
If you own such an organization, keep reading the article. It will shed light on the prominent benefits of Xero accounting software for charities and non-profits.
6 Perks of Using Xero for Charities and Non-profits
Since its launch, Xero has been playing a significant role in helping various industries, corporations, and companies. Now, you can also leverage this incredible accounting software for charities and non-profits and enjoy the following benefits:
1. Feasibly Handle Your Finances
Handling finances can be a daunting task for charities and NGOs. With a limited number of available resources, ensuring transparency in the organization can be difficult for them.
However, Xero accounting software can provide them with the necessary features and tools to automate all their financial operations. What is more amazing is that it does so at affordable prices.
From cash flow to bank transactions, it keeps a record of everything, which can be very beneficial for these organizations in managing finances. You can consider Xero migration service to replace your exhausting traditional accounting system with Xero and manage finances more effectively.
2. Track and Monitor Cash Flow Effectively
Having accurate stats about cash flow is the most crucial aspect of running a non-profit organization or charity. It ensures trustworthiness, clarity, and integrity.
If you keep an authentic track of cash flowing out or coming in, you will be able to run the organization more efficiently. However, traditional accounting systems have failed to help such organizations in managing and tracking cash flow.
On the other hand, with the implementation of Xero, you can attain the goal more productively. Xero automates all your operations to make tracking reports more comprehensively.
3. Circulate Reports for Stakeholder Review
Non-profit organizations do not run on their own. They have a number of stakeholders to share financial reports with. They need to circulate reports for donors, board members, volunteers, and other individuals.
Using a traditional accounting system can make the task more intricate and challenging. Conversely, if you use Xero for the same purpose, it offers a number of features that can make report-sharing tasks feasible for you.
These services include:
- Staying up-to-date with reports all the time
- Customizing reports according to the requirements of recipients
- Using formulas to calculate and compare budgets
Consequently, you can circulate all the financial reports at any time and in any format.
4. Leverage Technology
Technology versus the traditional ways has always been a topic of discussion. Now, it has become clear that technology is playing the leading role, leaving the custom methods of doing business behind.
This is another reason why your NGO must opt to use Xero accounting software. Many non-profits and charities are already implementing technology like Xero in their systems to manage finances.
The time has come for you to leverage such an advanced technology in your organization, too. This would help you:
- Increase the efficiency and effectiveness of your team
- Keep all your data organized
- Increasing productivity and transparency in your NGO
Moreover, the implementation of state-of-the-art technology like Xero will also assist you in enhancing campaign outcomes and increasing accountability.
5. Ensure Timely and Online Payment to Employees
Payroll can be another challenging task for non-profit organizations and charities. It is vital to keep your employees happy by paying them timely. Long gone are the times when staff were paid in the form of checks or cash.
Today, almost every organization is using online payment methods for this purpose. So, if you are going traditional, it’s time to adapt to modern methods with Xero. This incredible accounting software can help you manage payroll more efficiently.
By replacing your old methods of paying with Xero, you can achieve the following milestones:
- Simplifying pay runs by using an online payroll approach
- Using batch payment method effectively
Moreover, if you need to, you can also connect another payroll app with Xero to increase the practicality of the system further.
6. Always Stay Connected
You cannot always ensure your presence in the workplace. You might have to travel to run campaigns or personal issues. In such situations, maintaining and managing important businesses in your organization can be difficult.
But now, there is a way to do so. By using Xero accounting software, you can always keep in touch with your employees and manage the core financial tasks. Xero accounting helps you run your NGO from remote places using only a mobile device.
You can easily reconcile transactions, track your organization’s financial health, and execute other activities. You can contact a professional service provider to substitute old methods of managing finances with Xero accounting software, increasing effectiveness and efficiency.
Do You Want to Use Xero for Your NGO?
Replacing the old accounting approach with Xero is crucial for non-profits and charities. It can handle your financial tasks without creating any issues. Contact a reliable accounting service provider now to replace your existing finance-managing methods with Xero and minimize the risks of unexpected problems.
