Friday, August 30, 2013

Scheduling Conflict: Xero and Intuit Hold Events September 4-5

Jason Bramwell for AccountingWeb writes: Two competing small business accounting software providers will be hosting events on the same two days within nearly forty miles of each other in California September 4 and 5, 2013.
 
Xero, a San Francisco-based online accounting software provider that specializes in Cloud-based data management systems for small businesses, is hosting its inaugural Xerocon US event for accounting professionals and the media on September 4 and 5 at Terra Gallery in San Francisco. 
 
Founded in New Zealand in 2006, Xero launched in the United States nineteen months ago, and the event serves as the official launch party for its online platform in the North American market.
 
Also on those two days, Intuit Inc., developer of small business accounting software package QuickBooks, is hosting a VIP Accounting Professionals Summit south of San Francisco at its headquarters in Mountain View. Unlike Xerocon US, Intuit's conference is a private, invitation-only event that will include its top thirty to forty influencers, including accounting professionals, pundits, media, and customers from around the globe.
 
According to a 2012 investor briefing presentation, Xero stated it is now recognized as Intuit's number-one Cloud challenger, and the presentation included a quote from Intuit CEO Brad Smith, saying he "admired" Xero. However, some people within Xero believe Intuit deliberately scheduled its conference on the same two days as Xerocon US. 
 
"We announced our conference on June 27, and then a week later, Intuit sent out a note about their VIP conference to many of the same attendees of our conference. We'll leave it up to people to decide what they think," Xero US President Jamie Sutherland told AccountingWEB.
 
On July 13, Xero CEO Rod Drury tweeted, "Hats off to Intuit for pulling the old event ambush trick."
 
But according to Kim Amsbaugh, senior public relations manager for Intuit's Accounting Professionals Division, Xero's conference has no bearing on Intuit's private event.
 
"We've been planning this meeting for months and, as we always do, schedule our events at a time that works best for our customers and makes the most sense for our business and our executives," she told AccountingWEB. "This event would have been scheduled for the first week of September, regardless of what else was going on in the Bay Area or with any other company. We're flattered that a private company meeting is garnering so much interest, but one really has nothing to do with the other."
 
Guests of the Intuit VIP Accounting Professionals Summit are those whose perspective Intuit values, Amsbaugh said.
 
"The event will enable us to outline our strategy in more detail for our core audience, as we do each year around the beginning of our fiscal year [on August 1] and before tax season begins," she added.
 
More than 400 Xero accounting and technology partners are expected to attend the inaugural Xerocon US event next week. The two-day conference features educational, collaborative, networking, and celebratory activities.
 
"We consider ourselves the leaders in online accounting," Sutherland said. "We built a platform for the web from the ground up and have a pretty interesting story to tell about where the future of accounting is going  for how small businesses and accounting professionals can manage their books."
 
Attendees also have the opportunity to gain CPE credit through multiple sessions presented by Sutherland, Drury, and Xero Chief Technology Officer Craig Walker, among others.
 
"We talk about products that are coming down the pipeline very openly. We want our software to be accessible to any accounting professional or any small business around the world or in the United States," Sutherland said. "At the end of the day, we are building software for small businesses and accountants that makes their lives easier and their businesses more productive and more efficient."
Posted on 11:06 AM | Categories:

Xero sees exponential growth, hits new customer milestone

Xero, the cloud-based accounting software developer, is a fifth of the way toward it vaunted one million customer mark as it makes inroads into the Australian market.
 
The Wellington-based company crossed the 200,000 customer number, adding 7,000 in the last month and doubling its paying clients in 13 months, it said in a statement. Of that, Xero has built up 75,000 customers in Australia, up from 51,000 at the end of March.
 
That implies the software developer has annualised revenue of about $66.3 million, based on its last published revenue figure of $64 million as at July 31. Xero anticipates sales in excess of $70 million in the 2014 financial year.
 
"The second half of FY2014 promises even greater growth as we commence our first advertising campaign in Australia," Xero Australia managing director Chris Ridd said. "We expect to see increased industry adoption and expanded market share."
 
The shares last traded unchanged at $15.80 and have more than doubled this year.
Posted on 11:05 AM | Categories:

So which Cloud software should I get? The top 5, deconstructed./ Xero, Clear Books, Free Agent, Kashflow, Crunch

Over the last few years there has been a trend for small and medium sized businesses to adopt cloud accounting software over longstanding legacy solutions. In simple terms, this allows for business owners to access their accounting data online as opposed to it being stored remotely and/or backed up with an external storage solution.

The main benefit of cloud software for business owners is that they can access their financial data anywhere that has an internet connection. Additionally, some of the cloud accounting software products are also accessible on tablet and mobile devices, and can allow the business owner to carry out tasks such as bank reconciliations whilst they are on the move.
The benefit of accountancy firms adopting cloud software is that both the accountant and business owner can access data in real time. This eliminates a lot of unnecessary data reproduction, and creates an ongoing dialogue between the business owner and accountant. This results in the business owner being more engaged with the financial performance of their business, and allows for accountancy firms to upsell additional services.

Entrepreneurial accounting firms are reacting to these changes in the marketplace by moving away from a compliance based offering, and refocusing their businesses towards adding tangible value to clients.
Below is a snapshot of some of the leading products on the market:
 


Xero

Market Size: 193,000+. Over 22,000 of these are in the UK. Online Filing: VAT. Add Ons: Receipt Bank (converts receipts into data), Vend (inventory management), Wofklow Max (job time and invoice management). The full list can be viewed at www.xero.com/uk/add-ons   Bank Feeds: Direct feeds from HSBC and Yodlee (third party app which allows download of data from most banks) Business Development Features: When a firm signs up more than five clients they achieve “bronze status” and are added to a central repository of accounting firms which use the software. Industry Accreditation: ICAEW
Xero is one of the innovators in the cloud accounting space. The company was founded 2006, and is listed on the New Zealand stock exchange. The software also has a personal finance feature. Their UK office is based in Milton Keynes, and has been undergoing rapid expansion. UK growth has doubled year on year for the last three years.

Clear Books

Market Size: 10,000+, the majority of which are UK based. Around half of these are paying customers. Over 200 users are accounting partners (predominantly sole practitioners and small firms). Online Filing: VAT, RTI (through Clear Books’ Open Payroll software) Add Ons: Receipt Bank, Keebo (receipt and invoicing), Capsule (CRM integration). Bank Feeds: Yodlee. Customers can also manually add bank statements as a CSV file through an easy import feature. Business Development Features: Partner accountants are invited to list themselves in Clear Books’ public directory. SME customers are also encouraged to connect with accountants signed up to the software. Industry Accreditation: ICAEW and ICB (Institute of Chartered Bookkeepers)
The typical profile of customers consists of businesses which are sole traders and startups, with up to £10 million in revenue. The company is working on developing the practice management feature of their software, in order to give accounting partners more control over their businesses. Customers brought in through accounting partners are offered discounted pricing.

FreeAgent

Market Size: 30,000+. Primarily caters to the UK market but the software has users based in over 80 countries globally. Online Filing: VAT and RTI. Add Ons: Receipt Bank, Stripe (payment processing software), Float (online financial forecasting). The full list can be viewed at www.freeagent.com/developers/goodies   Bank Feeds: Direct feeds from Barclays, Yodlee. Business Development Features: FreeAgent accredited practices are added to the company’s centralized repository of qualifying practices. Industry Accreditation: None at present.
FreeAgent’s customer niche is freelancers, contractors and other small service-based businesses. The software is also sold to accountants through IRIS, under the brand name IRIS OpenBooks. The Edinburgh based company have a small US office to cater to the needs of their growing Stateside user base.

Kashflow 

Market Size: Over 20,000 customers, the majority of which are UK based. The software is also popular in South Africa. Online Filing: VAT. CIS filings are due to be introduced soon. Add Ons: Receipt Bank, Stripe, MailChimp (email marketing). The full list can be viewed at www.kashflow.com/add-ons . Bank Feeds: None at present. Duane Jackson (founder and CEO) has been outspoken in his views against them. Business Development Features: Kashflow Orbit acts as a practice management tool. There is also a “Find An Accountant” feature which drives new business to accountants. Around half of all customers signed up are linked to a partner accountant. Industry Accreditation: ICB (pending).
The software’s typical customer is an owner managed business with turnover below £500,000. KashFlow claim to be the first company to come to market with a cloud accounting package. This means that they have a large ecosystem of partners but also that the underlying technology of the software may date faster. They are addressing the latter by refreshing their product over the next few months.

Crunch 

Market Size: 4,000+ clients. Crunch differs to other pieces of cloud accounting software in that the company acts as an all in one accounting solution by providing clients with software, as well access to their accounting staff. Online Filing: Corporation tax, VAT and RTI. Add Ons: Receipt Bank, Tripcatcher (expenses). The company are in the process of building out their API so more services are due to be integrated soon. Bank Feeds: Clients can pull in their data through Crunch’s Bankbolt service. The service is does not require clients to hand in their log in details to a third-party service, which arguably makes it more secure than other solutions market. Business Development Features: None. The software’s end user is small business owners who are seeking an all in one accounting solution. Industry Accreditation: None. Crunch’s accounting firm is AAT, ACCA and PCG accredited.
The client base has a heavy focus towards freelancers, IT contractors and SMEs up to ten people. Crunch is directly in competition with accounting firms by providing a one stop outsourced finance function to clients. The company view this as one of their strengths as it allows them to not be beholden to a third party development road map, and means that they can tailor their software to the needs of their clients.
Over the last few years there has been a trend for small and medium sized businesses to adopt cloud accounting software over longstanding legacy solutions. In simple terms, this allows for business owners to access their accounting data online as opposed to it being stored remotely and/or backed up with an external storage solution
We investigate the leading products on the market in cloud accounting software

The main benefit of cloud software for business owners is that they can access their financial data anywhere that has an internet connection. Additionally, some of the cloud accounting software products are also accessible on tablet and mobile devices, and can allow the business owner to carry out tasks such as bank reconciliations whilst they are on the move.

The benefit of accountancy firms adopting cloud software is that both the accountant and business owner can access data in real time. This eliminates a lot of unnecessary data reproduction, and creates an ongoing dialogue between the business owner and accountant. This results in the business owner being more engaged with the financial performance of their business, and allows for accountancy firms to upsell additional services.

Entrepreneurial accounting firms are reacting to these changes in the marketplace by moving away from a compliance based offering, and refocusing their businesses towards adding tangible value to clients.

Below is a snapshot of some of the leading products on the market:


Xero

Market Size: 193,000+. Over 22,000 of these are in the UK.
Online Filing: VAT.
Add Ons: Receipt Bank (converts receipts into data), Vend (inventory management), Wofklow Max (job time and invoice management). The full list can be viewed at www.xero.com/uk/add-ons
Bank Feeds: Direct feeds from HSBC and Yodlee (third party app which allows download of data from most banks)
Business Development Features: When a firm signs up more than five clients they achieve “bronze status” and are added to a central repository of accounting firms which use the software.
Industry Accreditation: ICAEW

Xero is one of the innovators in the cloud accounting space. The company was founded 2006, and is listed on the New Zealand stock exchange. The software also has a personal finance feature. Their UK office is based in Milton Keynes, and has been undergoing rapid expansion. UK growth has doubled year on year for the last three years.

Clear Books

Market Size: 10,000+, the majority of which are UK based. Around half of these are paying customers. Over 200 users are accounting partners (predominantly sole practitioners and small firms).
Online Filing: VAT, RTI (through Clear Books’ Open Payroll software)
Add Ons: Receipt Bank, Keebo (receipt and invoicing), Capsule (CRM integration).
Bank Feeds: Yodlee. Customers can also manually add bank statements as a CSV file through an easy import feature.
Business Development Features: Partner accountants are invited to list themselves in Clear Books’ public directory. SME customers are also encouraged to connect with accountants signed up to the software.
Industry Accreditation: ICAEW and ICB (Institute of Chartered Bookkeepers)

The typical profile of customers consists of businesses which are sole traders and startups, with up to £10 million in revenue. The company is working on developing the practice management feature of their software, in order to give accounting partners more control over their businesses. Customers brought in through accounting partners are offered discounted pricing.

FreeAgent

Market Size: 30,000+. Primarily caters to the UK market but the software has users based in over 80 countries globally.
Online Filing: VAT and RTI.
Add Ons: Receipt Bank, Stripe (payment processing software), Float (online financial forecasting). The full list can be viewed at www.freeagent.com/developers/goodies
Bank Feeds: Direct feeds from Barclays, Yodlee.
Business Development Features: FreeAgent accredited practices are added to the company’s centralized repository of qualifying practices.
Industry Accreditation: None at present.

FreeAgent’s customer niche is freelancers, contractors and other small service-based businesses. The software is also sold to accountants through IRIS, under the brand name IRIS OpenBooks. The Edinburgh based company have a small US office to cater to the needs of their growing Stateside user base.

Kashflow 

Market Size: Over 20,000 customers, the majority of which are UK based. The software is also popular in South Africa.
Online Filing: VAT. CIS filings are due to be introduced soon.
Add Ons: Receipt Bank, Stripe, MailChimp (email marketing). The full list can be viewed at www.kashflow.com/add-ons .
Bank Feeds: None at present. Duane Jackson (founder and CEO) has been outspoken in his views against them. Business Development Features: Kashflow Orbit acts as a practice management tool. There is also a “Find An Accountant” feature which drives new business to accountants. Around half of all customers signed up are linked to a partner accountant.
Industry Accreditation: ICB (pending).

The software’s typical customer is an owner managed business with turnover below £500,000. KashFlow claim to be the first company to come to market with a cloud accounting package. This means that they have a large ecosystem of partners but also that the underlying technology of the software may date faster. They are addressing the latter by refreshing their product over the next few months.

Crunch 

Market Size: 4,000+ clients. Crunch differs to other pieces of cloud accounting software in that the company acts as an all in one accounting solution by providing clients with software, as well access to their accounting staff.
Online Filing: Corporation tax, VAT and RTI.
Add Ons: Receipt Bank, Tripcatcher (expenses). The company are in the process of building out their API so more services are due to be integrated soon.
Bank Feeds: Clients can pull in their data through Crunch’s Bankbolt service. The service is does not require clients to hand in their log in details to a third-party service, which arguably makes it more secure than other solutions market.
Business Development Features: None. The software’s end user is small business owners who are seeking an all in one accounting solution.
Industry Accreditation: None. Crunch’s accounting firm is AAT, ACCA and PCG accredited.

The client base has a heavy focus towards freelancers, IT contractors and SMEs up to ten people. Crunch is directly in competition with accounting firms by providing a one stop outsourced finance function to clients. The company view this as one of their strengths as it allows them to not be beholden to a third party development road map, and means that they can tailor their software to the needs of their clients.
Nick Levine
- See more at: http://economia.icaew.com/business/august2013/cloud-pleaser#sthash.BgxBJi83.oDwXpT7W.dpuf
Over the last few years there has been a trend for small and medium sized businesses to adopt cloud accounting software over longstanding legacy solutions. In simple terms, this allows for business owners to access their accounting data online as opposed to it being stored remotely and/or backed up with an external storage solution
We investigate the leading products on the market in cloud accounting software

The main benefit of cloud software for business owners is that they can access their financial data anywhere that has an internet connection. Additionally, some of the cloud accounting software products are also accessible on tablet and mobile devices, and can allow the business owner to carry out tasks such as bank reconciliations whilst they are on the move.

The benefit of accountancy firms adopting cloud software is that both the accountant and business owner can access data in real time. This eliminates a lot of unnecessary data reproduction, and creates an ongoing dialogue between the business owner and accountant. This results in the business owner being more engaged with the financial performance of their business, and allows for accountancy firms to upsell additional services.

Entrepreneurial accounting firms are reacting to these changes in the marketplace by moving away from a compliance based offering, and refocusing their businesses towards adding tangible value to clients.

Below is a snapshot of some of the leading products on the market:


Xero

Market Size: 193,000+. Over 22,000 of these are in the UK.
Online Filing: VAT.
Add Ons: Receipt Bank (converts receipts into data), Vend (inventory management), Wofklow Max (job time and invoice management). The full list can be viewed at www.xero.com/uk/add-ons
Bank Feeds: Direct feeds from HSBC and Yodlee (third party app which allows download of data from most banks)
Business Development Features: When a firm signs up more than five clients they achieve “bronze status” and are added to a central repository of accounting firms which use the software.
Industry Accreditation: ICAEW

Xero is one of the innovators in the cloud accounting space. The company was founded 2006, and is listed on the New Zealand stock exchange. The software also has a personal finance feature. Their UK office is based in Milton Keynes, and has been undergoing rapid expansion. UK growth has doubled year on year for the last three years.

Clear Books

Market Size: 10,000+, the majority of which are UK based. Around half of these are paying customers. Over 200 users are accounting partners (predominantly sole practitioners and small firms).
Online Filing: VAT, RTI (through Clear Books’ Open Payroll software)
Add Ons: Receipt Bank, Keebo (receipt and invoicing), Capsule (CRM integration).
Bank Feeds: Yodlee. Customers can also manually add bank statements as a CSV file through an easy import feature.
Business Development Features: Partner accountants are invited to list themselves in Clear Books’ public directory. SME customers are also encouraged to connect with accountants signed up to the software.
Industry Accreditation: ICAEW and ICB (Institute of Chartered Bookkeepers)

The typical profile of customers consists of businesses which are sole traders and startups, with up to £10 million in revenue. The company is working on developing the practice management feature of their software, in order to give accounting partners more control over their businesses. Customers brought in through accounting partners are offered discounted pricing.

FreeAgent

Market Size: 30,000+. Primarily caters to the UK market but the software has users based in over 80 countries globally.
Online Filing: VAT and RTI.
Add Ons: Receipt Bank, Stripe (payment processing software), Float (online financial forecasting). The full list can be viewed at www.freeagent.com/developers/goodies
Bank Feeds: Direct feeds from Barclays, Yodlee.
Business Development Features: FreeAgent accredited practices are added to the company’s centralized repository of qualifying practices.
Industry Accreditation: None at present.

FreeAgent’s customer niche is freelancers, contractors and other small service-based businesses. The software is also sold to accountants through IRIS, under the brand name IRIS OpenBooks. The Edinburgh based company have a small US office to cater to the needs of their growing Stateside user base.

Kashflow 

Market Size: Over 20,000 customers, the majority of which are UK based. The software is also popular in South Africa.
Online Filing: VAT. CIS filings are due to be introduced soon.
Add Ons: Receipt Bank, Stripe, MailChimp (email marketing). The full list can be viewed at www.kashflow.com/add-ons .
Bank Feeds: None at present. Duane Jackson (founder and CEO) has been outspoken in his views against them. Business Development Features: Kashflow Orbit acts as a practice management tool. There is also a “Find An Accountant” feature which drives new business to accountants. Around half of all customers signed up are linked to a partner accountant.
Industry Accreditation: ICB (pending).

The software’s typical customer is an owner managed business with turnover below £500,000. KashFlow claim to be the first company to come to market with a cloud accounting package. This means that they have a large ecosystem of partners but also that the underlying technology of the software may date faster. They are addressing the latter by refreshing their product over the next few months.

Crunch 

Market Size: 4,000+ clients. Crunch differs to other pieces of cloud accounting software in that the company acts as an all in one accounting solution by providing clients with software, as well access to their accounting staff.
Online Filing: Corporation tax, VAT and RTI.
Add Ons: Receipt Bank, Tripcatcher (expenses). The company are in the process of building out their API so more services are due to be integrated soon.
Bank Feeds: Clients can pull in their data through Crunch’s Bankbolt service. The service is does not require clients to hand in their log in details to a third-party service, which arguably makes it more secure than other solutions market.
Business Development Features: None. The software’s end user is small business owners who are seeking an all in one accounting solution.
Industry Accreditation: None. Crunch’s accounting firm is AAT, ACCA and PCG accredited.

The client base has a heavy focus towards freelancers, IT contractors and SMEs up to ten people. Crunch is directly in competition with accounting firms by providing a one stop outsourced finance function to clients. The company view this as one of their strengths as it allows them to not be beholden to a third party development road map, and means that they can tailor their software to the needs of their clients.
Nick Levine
- See more at: http://economia.icaew.com/business/august2013/cloud-pleaser#sthash.BgxBJi83.oDwXpT7W.dpuf
Over the last few years there has been a trend for small and medium sized businesses to adopt cloud accounting software over longstanding legacy solutions. In simple terms, this allows for business owners to access their accounting data online as opposed to it being stored remotely and/or backed up with an external storage solution
We investigate the leading products on the market in cloud accounting software

The main benefit of cloud software for business owners is that they can access their financial data anywhere that has an internet connection. Additionally, some of the cloud accounting software products are also accessible on tablet and mobile devices, and can allow the business owner to carry out tasks such as bank reconciliations whilst they are on the move.

The benefit of accountancy firms adopting cloud software is that both the accountant and business owner can access data in real time. This eliminates a lot of unnecessary data reproduction, and creates an ongoing dialogue between the business owner and accountant. This results in the business owner being more engaged with the financial performance of their business, and allows for accountancy firms to upsell additional services.

Entrepreneurial accounting firms are reacting to these changes in the marketplace by moving away from a compliance based offering, and refocusing their businesses towards adding tangible value to clients.

Below is a snapshot of some of the leading products on the market:


Xero

Market Size: 193,000+. Over 22,000 of these are in the UK.
Online Filing: VAT.
Add Ons: Receipt Bank (converts receipts into data), Vend (inventory management), Wofklow Max (job time and invoice management). The full list can be viewed at www.xero.com/uk/add-ons
Bank Feeds: Direct feeds from HSBC and Yodlee (third party app which allows download of data from most banks)
Business Development Features: When a firm signs up more than five clients they achieve “bronze status” and are added to a central repository of accounting firms which use the software.
Industry Accreditation: ICAEW

Xero is one of the innovators in the cloud accounting space. The company was founded 2006, and is listed on the New Zealand stock exchange. The software also has a personal finance feature. Their UK office is based in Milton Keynes, and has been undergoing rapid expansion. UK growth has doubled year on year for the last three years.

Clear Books

Market Size: 10,000+, the majority of which are UK based. Around half of these are paying customers. Over 200 users are accounting partners (predominantly sole practitioners and small firms).
Online Filing: VAT, RTI (through Clear Books’ Open Payroll software)
Add Ons: Receipt Bank, Keebo (receipt and invoicing), Capsule (CRM integration).
Bank Feeds: Yodlee. Customers can also manually add bank statements as a CSV file through an easy import feature.
Business Development Features: Partner accountants are invited to list themselves in Clear Books’ public directory. SME customers are also encouraged to connect with accountants signed up to the software.
Industry Accreditation: ICAEW and ICB (Institute of Chartered Bookkeepers)

The typical profile of customers consists of businesses which are sole traders and startups, with up to £10 million in revenue. The company is working on developing the practice management feature of their software, in order to give accounting partners more control over their businesses. Customers brought in through accounting partners are offered discounted pricing.

FreeAgent

Market Size: 30,000+. Primarily caters to the UK market but the software has users based in over 80 countries globally.
Online Filing: VAT and RTI.
Add Ons: Receipt Bank, Stripe (payment processing software), Float (online financial forecasting). The full list can be viewed at www.freeagent.com/developers/goodies
Bank Feeds: Direct feeds from Barclays, Yodlee.
Business Development Features: FreeAgent accredited practices are added to the company’s centralized repository of qualifying practices.
Industry Accreditation: None at present.

FreeAgent’s customer niche is freelancers, contractors and other small service-based businesses. The software is also sold to accountants through IRIS, under the brand name IRIS OpenBooks. The Edinburgh based company have a small US office to cater to the needs of their growing Stateside user base.

Kashflow 

Market Size: Over 20,000 customers, the majority of which are UK based. The software is also popular in South Africa.
Online Filing: VAT. CIS filings are due to be introduced soon.
Add Ons: Receipt Bank, Stripe, MailChimp (email marketing). The full list can be viewed at www.kashflow.com/add-ons .
Bank Feeds: None at present. Duane Jackson (founder and CEO) has been outspoken in his views against them. Business Development Features: Kashflow Orbit acts as a practice management tool. There is also a “Find An Accountant” feature which drives new business to accountants. Around half of all customers signed up are linked to a partner accountant.
Industry Accreditation: ICB (pending).

The software’s typical customer is an owner managed business with turnover below £500,000. KashFlow claim to be the first company to come to market with a cloud accounting package. This means that they have a large ecosystem of partners but also that the underlying technology of the software may date faster. They are addressing the latter by refreshing their product over the next few months.

Crunch 

Market Size: 4,000+ clients. Crunch differs to other pieces of cloud accounting software in that the company acts as an all in one accounting solution by providing clients with software, as well access to their accounting staff.
Online Filing: Corporation tax, VAT and RTI.
Add Ons: Receipt Bank, Tripcatcher (expenses). The company are in the process of building out their API so more services are due to be integrated soon.
Bank Feeds: Clients can pull in their data through Crunch’s Bankbolt service. The service is does not require clients to hand in their log in details to a third-party service, which arguably makes it more secure than other solutions market.
Business Development Features: None. The software’s end user is small business owners who are seeking an all in one accounting solution.
Industry Accreditation: None. Crunch’s accounting firm is AAT, ACCA and PCG accredited.

The client base has a heavy focus towards freelancers, IT contractors and SMEs up to ten people. Crunch is directly in competition with accounting firms by providing a one stop outsourced finance function to clients. The company view this as one of their strengths as it allows them to not be beholden to a third party development road map, and means that they can tailor their software to the needs of their clients.
Nick Levine
- See more at: http://economia.icaew.com/business/august2013/cloud-pleaser#sthash.BgxBJi83.oDwXpT7W.dpuf
Posted on 11:05 AM | Categories:

Xero will shutter Personal, the world yells foul

Economia/NewStatesman write: Xero is shutting down Xero Personal – in 14 months’ time. It was a move that was clearly a nasty surprise to many of the 6o commenters on Rod Drury, CEO Xero’s blog about the topic.  The reasons given were basically:
  1. Low level of uptake meant that line of business was at best marginally profitable
  2. The cost of bank feeds to Xero is higher than the company believes it is able to recoup in subscription fees
Among the few who see the bigger picture, Bob Harper commented:

Well done….big, bold and brave; when you know it the only option is to kill something off and hold your hands up and say you made a mistake.
Investors will like this and so will accounting partners because you can now get some features sorted on the business edition that the user base has been screaming for.
That’s a fair assessment given the cards Xero believes it holds on this topic. Curiously though, many of those bemoaning the demise of this service said they would be prepared to pay more for what the service delivers because they see value, especially in the bank feeds. As Ryan said: 

…I’m happy to pay for bank feeds. If $50 per annum isn’t enough then I’m happy for that to increase – obviously within reason.
I won’t enumerate the ‘I feel let down and am bitterly disappointed’ set of responses – you can read those for yourself. Unfortunately, most add very little of substance. However, I do see a couple of major issues that seem intractable.

Problems, problems

The personal financial management market has been a tough row to plough with much turbulence in the market and many exits. Xero was brave in offering this service as both a low cost add on (in effect) for existing business users and those who might be subsequently tempted to use the business version. But as Drury points out – it doesn’t work as a viable line of business for the charging model they operate. And advertising support was just not something he is prepared to do – understandably in my view.

That aside, the whole bank feed topic is fraught with problems. As Xero found to its cost when coming to the UK, catering for many proprietary methods of exposing data for consumption in accounting solutions is not just tough, it’s a royal PITA. It reminds me of the 1990′s UNIX days when one of the business applications’ tick boxes was ‘How many flavors of UNIX do you support?’ Why? There were so many that if you didn’t cover all the bases you could not address the market. The same goes for those pesky bank feeds.

The sad facts of life are that those proprietary methods are not going to go away any time soon, largely because the banking fraternity are way too myopic in their thinking. They seem to believe that their individual formats are in some way a business differentiator when in reality they are a major hurdle. If they think that operating on single standards will kill them then perhaps they should think more about their service differentiation first rather than relying on an arcane lock in mechanism that stifles the market.

At last year’s UK Xerocon, Drury stood on stage and said in response to ‘Why aren’t you supporting XXX banks yet?’ that the UK is so tough, Xero might have to become a bank. It was a semi serious quip but one that could (just) have been applied to XP. The question is whether it would have reduced cost and even if it did would that be something a ‘personal’ user would trust? And that’s before you start worrying about marketing that as a service.

Verdict

Xero is absolutely right to shutter a service where there is little to no prospect of making a return. No-one who is invested in the business service would thank them for draining resources away from the core. They’ve done the best they can to communicate the issues. The lead time at 14 months is incredibly generous. But as always in these circumstances, some people get upset and overheated.  Xero will just have to suck that one up. The banks on the other hand might wish to think about what it says about their attitude towards fostering innovation. In my view, they stand condemned of archaic thinking.
Image credit: The Weird Worder, Featured image via Xero
Posted on 11:05 AM | Categories:

Intellitec Solutions Announces Intacct Cloud Accounting Webinar Series / Series of events to focus on best practices and industry specific uses for Intacct cloud ERP Solutions

Intellitec Solutions, based in Wilmington, DE, has announced a series of webinars and product tours to be conducted by Intacct product specialists. This series of more than 3 dozen webinars over the next 2 months will cover the different types of cloud options for finance and accounting solutions, and examine what will work for different organizations. There will be a specific focus on information that businesses considering purchasing a cloud solution will want to hear.

The webinars will feature separate tracks, one featuring general tours of Intacct features while another will focus on how a specific industry can benefit from a cloud based solution. Particular focus will be given to businesses that have project accounting needs, as well as non-profit and faith based organizations.
Businesses using or interested in learning more about Intacct can sign up for these webinars by contacting Intellitec solutions at 866-504-4357, or visiting the registration page.
http://www.intellitecsolutions or call 866-504-4357.
Posted on 11:04 AM | Categories:

Three Tax Scams to Beware of This Summer

Are you thinking about taxes while you’re enjoying the warm summer months? Not likely! But the IRS wants you to know that scammers ARE thinking about taxes and ways to dupe you out of your money.
 
Tax scams can happen anytime of the year, not just during tax season. Three common year-round scams are identity theft, phishing and return preparer fraud. These schemes are on the top of the IRS’s “Dirty Dozen” list of scams this year. They’re illegal and can lead to significant penalties and interest, even criminal prosecution.

Here’s more information about these scams that every taxpayer should know.
 
1. Identity Theft.  Tax fraud by identity theft tops this year’s Dirty Dozen list. Identity thieves use personal information, such as your name, Social Security number or other identifying information without your permission to commit fraud or other crimes. An identity thief may also use another person’s identity to fraudulently file a tax return and claim a refund.
The IRS has a special identity protection page on IRS.gov dedicated to identity theft issues. It has helpful links to information, such as how victims can contact the IRS Identity Theft Protection Specialized Unit, and how you can protect yourself against identity theft.
2. Phishing.  Scam artists use phishing to trick unsuspecting victims into revealing personal or financial information. Phishing scammers may pose as the IRS and send bogus emails, set up phony websites or make phone calls. These contacts usually offer a fictitious refund or threaten an audit or investigation to lure victims into revealing personal information. Phishers then use the information they obtain to steal the victim’s identity, access their bank accounts and credit cards or apply for loans. The IRS does not initiate contact with taxpayers by email to request personal or financial information. Please forward suspicious scams to the IRS at phishing@irs.gov. You can also visit IRS.gov and select the link “Reporting Phishing” at the bottom of the page.
3. Return Preparer Fraud.  Most tax professionals file honest and accurate returns for their clients. However, some dishonest tax return preparers skim a portion of the client’s refund or charge inflated fees for tax preparation. Some try to attract new clients by promising refunds that are too good to be true.
Choose carefully when hiring an individual or firm to prepare your return. All paid tax preparers must sign the return they prepare and enter their IRS Preparer Tax Identification Number (PTIN). The IRS created a webpage to assist taxpayers when choosing a tax preparer. It includes red flags to look for and information on how and when to make a complaint. Visit www.irs.gov/chooseataxpro.
For the full list of 2013 Dirty Dozen tax scams, or to find out how to report suspected tax fraud, visit IRS.gov.

Additional IRS Resources:
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Posted on 11:04 AM | Categories:

IRS Will Recognize All Legal Same-Sex Marriages / Treasury Department, Internal Revenue Service to recognize same-sex marriages even when couples have moved to states that do not allow such unions

Eyder Peralta for NPR writes:   The U.S. Department of the Treasury and the Internal Revenue Service that when it comes to federal tax purposes, same-sex couples who have legally married will be treated the same as straight married couples, no matter what state they reside in now.
The move is one in a series from the Obama administration to come in compliance with .
"Today's ruling provides certainty and clear, coherent tax filing guidance for all legally married same-sex couples nationwide," Treasury Secretary Jacob Lew said in a statement. "It provides access to benefits, responsibilities and protections under federal tax law that all Americans deserve. This ruling also assures legally married same-sex couples that they can move freely throughout the country knowing that their federal filing status will not change."
The IRS says couples can begin filing taxes as married in 2013, and generally, same-sex couples could file amended returns for 2010, 2011 and 2012.
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 Richard Wolf for USA Today writes:  Married same-sex couples will be treated the same as opposite-sex couples for tax purposes, the Obama administration announced Thursday, regardless of where they live now.

The Treasury Department, following up on the Supreme Court's ruling in June striking down a key section of the 1996 Defense of Marriage Act, announced that gay and lesbian married couples can file joint federal tax returns.

Importantly, the government said those couples can do so even if they have moved to states that do not permit same-sex marriages — although they may have to file their state tax returns as if they were not married, depending on state laws. The same is not true for Social Security, which will only recognize couples living in states that allow same-sex marriages.

Thirteen states and the District of Columbia permit same-sex couples to marry. The states are California, Connecticut, Delaware, Iowa, Maine, Maryland, Massachusetts, Minnesota, New Hampshire, New York, Rhode Island, Vermont and Washington.

Treasury Secretary Jacob Lew said the new rules, which take effect Sept. 16, will provide "clear, coherent tax-filing guidance for all legally married same-sex couples nationwide."

Not all same-sex couples will benefit from the decision; some may pay higher income taxes as a result of the "marriage penalty." All will have the opportunity to amend their tax returns from 2010-12 — but only if they choose.
The high court ruling came in a case filed by Edie Windsor, an octogenarian from New York who was forced to pay $363,000 in federal estate taxes after the death of her lesbian spouse, Thea Spyer. The court upheld lower courts in justifying her claim against the law passed by Congress during the Clinton administration.

The new Treasury-Internal Revenue Service guidelines will apply to all federal taxes, including income, gift and estate taxes. They affect personal and dependent exemptions and deductions, employee benefits, IRA contributions and tax credits.

The biggest financial bonanza for some couples will be the tax exclusion for employer-paid health insurance, which many same-sex spouses previously bought on an after-tax basis. That could be worth more than $1,000 per couple.

"This is uniformly good for everybody," said Todd Solomon, a lawyer who specializes in pension plans and benefits. "Their health benefits just went from taxable to non-taxable."
Chad Griffin, president of the Human Rights Campaign, the nation's largest gay-rights group, said same-sex families "finally have access to crucial tax benefits and protections previously denied to them under the discriminatory Defense of Marriage Act."

The new guidelines will not affect couples who are in civil unions or domestic partnerships rather than legal marriages.

Posted on 11:04 AM | Categories: