Inngrain Furniture Limited manufacture bespoke contract furniture for Pub and Restaurant chains and use Xero for their business accounting.
Their business has grown steadily over the last 3 years as demand for their products has increased particularly in the themed pub chains.
When Inngrain Furniture Limited’s Managing Director Ralph Hardman was first introduced to Accware Limited, all their accounting was done manually. As a result, the only financial information the directors received was their Annual Accounts, which were prepared and finalised a number of months after the Year End. Another major problem was the preparation of the quarterly VAT Returns; being prepared manually, they took the best part of three days to finalise and submit to HMRC. As the business grew, Ralph knew a better solution was required to reduce the manual effort and deliver more frequent and timely financial information & reporting.
Approach & Recommendations
Accware Limited met with Ralph to understand the business operations and then to see how they could help as the business continued to grow. The accounting requirements, at this stage, were fairly straightforward and could be controlled using a number of leading applications, although in time, a Stock Management system may be required. Accware Limited suggested that either Xero or Sage 50 Accounts could be used to deliver an immediate improvement in the accounting processes. However, due to limited accounting skills and a requirement to access the accounting information from at least two locations, Xero was the recommended option. Ralph agreed to the migration of their manual system to Xero with immediate effect. Accware quickly brought the financial data up-to-date on Xero, including preparing an outstanding Year End and delivered training to the staff. Initially the support was intensive but gradually Inngrain took over more of the day-to-day work to allow a more expansive accounting service to be delivered by Accware Limited.
Benefits of Xero
By using Xero, Accware Limited could deliver a pro-active accounting service remotely by providing support to generate the quarterly VAT Return and by generating management accounts. Inngrain Furniture Limited benefited by reduced manual effort in raising and controlling invoicing, completing the bank reconciliation using the Xero Bank Feed, the faster generation of VAT Returns and importantly, reduced accounting fees. Xero links to a number of other cloud solutions, including Stock Management, through Web services.
The benefits of using Xero can be summarised as:-
- Simplified bank reconciliation with automated ‘feeds’ of data from your Bank
- Professional looking invoices quickly printed or emailed (through the Xero network)
- Effortless creation of quarterly VAT Returns
- Multi-user access from any location there is an internet connection.
- Simplified accounting processes with customised and repeating invoicing.
- Real-time, flexible reporting so the Company’s financial data is now up-to-date with minimal effort
- The benefits of Cloud computing, through a secure hosted application, regularly backed up by the hosting providers.
Xero is rented on a monthly basis, with no long term commitment, accessible from anywhere there is Internet access and no worries about security or disaster recovery requirements. Accware Limited provides regular support, management information, Year End Accounts and Taxation services for a fixed monthly fee.
Ralph Hardman – Managing Director said:
Using Xero has transformed the way we do our internal accounting. Our accounting processes are now simpler and we are always up-to-date with much less effort. We even get regular management accounts as well as Year End accounts for less money than we paid our previous accountants. The service and support we get from Accware Limited is second to none and I urge any small business owner to speak to Berwyn at Accware Limited to see how they may be able to help you benefit from adopting Xero to run your business.