{"id":536,"date":"2018-03-26T11:38:36","date_gmt":"2018-03-26T09:38:36","guid":{"rendered":"https:\/\/sage-new-clone.local\/en-za\/blog\/?p=420"},"modified":"2026-02-04T16:52:04","modified_gmt":"2026-02-04T14:52:04","slug":"5-sme-accounting-habits-to-break","status":"publish","type":"post","link":"https:\/\/www.sage.com\/en-za\/blog\/5-sme-accounting-habits-to-break\/","title":{"rendered":"5 accounting habits SMEs should break"},"content":{"rendered":"
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\n\t\t\t\t\t\t\tMoney Matters<\/a>\t\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t
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\n\t\t\t\t\t\t5 accounting habits SMEs should break\t\t\t\t\t<\/h1>\n\t\t\t\t<\/div>\n\n\t\t\t\t\t\t\t\t\t

\n\t\t\t\t\t\t\t\t\t\t\t<\/p>\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n\t\t

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\n\t\t\t\n\t\t\t\t\"\"\t\t\t\tViresh Harduth<\/span>\n\t\t\t<\/a>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n<\/div>\n\n\n\n

When you first started your business, you probably didn\u2019t anticipate how much time it would take to balance your books and manage your cash flow \u2013 a major stumbling block for most small businesses.<\/p>\n\n\n\n

\u2018Accountant\u2019 is one of the many hats you wear as a small business owner<\/a>, even if you\u2019ve had no formal training and don\u2019t enjoy number crunching. But your business\u2019s survival depends on a solid financial strategy, which involves efficient record-keeping, financial analysis and ensuring there\u2019s always more money coming in than there is going out.<\/p>\n\n\n\n

The problem with doing something you\u2019re not trained in, however, is that you\u2019re probably wasting a lot of time and effort doing things the \u201cold way\u201d.<\/p>\n\n\n\n

I\u2019ve highlighted five of these \u201cold\u201d tasks and suggested new ways to make your accounting faster, more accurate and more efficient, freeing up your time to focus on what you do well: building your business.<\/mark><\/p>\n\n\n\n

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  1. You still use spreadsheets<\/strong>. As a manual solution, there\u2019s a good chance that errors can slip into your spreadsheet \u2013 and finding that error when you realise there is one, could force you to start all over again. Cloud-based solutions integrate with your invoicing system and bank accounts, automating much of the data capturing and drastically reducing errors. Sage\u2019s\u00a0Practice of Now<\/a>\u00a0research found that 49% of accountants would like to automate number crunching, data entry, email and diary management, and 66% say they would invest in AI to automate repetitive and time-consuming tasks.<\/li>\n\n\n\n
  2. You don\u2019t do it regularly<\/strong>. It\u2019s tempting to put off financial admin until month-end or tax season, but this means a rushed job and a chance that you\u2019ll exclude important transactions. Set aside 15 minutes a day or an hour a week to properly record income and expenses and follow up on unpaid invoices. This is a surefire way to improve your cash flow \u2013 and to spot problems.<\/li>\n\n\n\n
  3. You outsource too much<\/strong>. Outsourcing your entire financial management function when you\u2019re just starting out could end up costing a lot more than if you\u2019d done it yourself. Solutions like\u00a0Sage Business Cloud Accounting<\/a>\u00a0are built for business owners, like you. It\u2019s easy to use and automatically complies with tax laws, as and when they\u2019re announced, helping you stay compliant. In fact, our research found that 67% of accountants say cloud technology is improving client interactions and service offerings, and 53% have adopted a cloud practice management solution.<\/li>\n\n\n\n
  4. You don\u2019t outsource enough<\/strong>. While modern solutions simplify much of the accounting process, some tasks \u2013 like tax \u2013 are best left to the experts.<\/li>\n\n\n\n
  5. You don\u2019t have proper systems and processes<\/strong>. A shoebox filing system is effortless but it\u2019s not exactly efficient, especially if you\u2019re audited.<\/li>\n<\/ol>\n\n\n\n

    Tips<\/h2>\n\n\n\n