Codestone

Category: Accounting software

Investing in high-quality accounting software could be one way to keep a business on the right track and to stave off threats such as insolvency.

Such a possibility is raised after AAP reported that there was a 21.1 per cent increase in the number of Australian firms that hit financial meltdown in June, compared with the same month last year.

Accountancy firm Taylor Woodings, which conducted the research, added that it expects the number to rise further over the coming months.

What has become clear is that such problems build up over time, with Michael Ryan, managing partner at the firm, stating: "Most of them are where there's been a problem for a number of years. It's not indicative of the current economic climate."

Splashing out on accounting software such as SAP Business One could tackle financial issues before they become a major obstacle.

Kevin Wright, a partner at chartered accountant Leftley Rowe, told SMEWeb recently that small businesses can benefit from adopting accounting software.

Posted by Lara Ward