Much is said about going digital in business. But exactly why should you use digital record keeping? Here we will look specifically at how digital record keeping can really benefit your property business.
What exactly does going digital mean?
In simple terms going digital is about collecting data effectively and using it to run your business better.
Ways that digital record keeping can really benefit your property business
It’s sometimes said that going digital is about saving paper. While that’s a valid enough reason there are so many more benefits than that.
You only need to enter each piece of information or data once. Not many times in many different places. Once it’s entered it can benefit every single area of your business.
For example, once entered your rent receipts, maintenance expenses and mortgage cost data can be used to ensure every property is viable. And can be used to automatically prepare your accounts.
You won’t even need to spend time entering some information at all. For example, using tools like Open Banking rent payments can be automatically lifted from your bank account and recorded in your accounts.
Digital record keeping is much more accurate. There’s less or even no potential to make expensive and time-wasting mistakes.
Everything is always up to date. Every time you enter data all your records are updated instantly. You never have to rely on out of date information.
Many functions are automated. Calculations are done and many forms are filled for you automatically.
You can import and export data easily. You can exchange financial information with partners, investors or professional advisers easily.
You can create, handle and store documents digitally. For example, you can create, send, sign and receive tenancy documents and compliance certificates quickly and easily.
Digital record keeping helps you manage your time better. And do more in less time.
You can manage your workflow better. You can manage tasks and projects better. You can get automatic reminders to do important tasks, so nothing gets overlooked.
You can work anywhere, at any time. You can retrieve all your information from anywhere at any time you need it.
You will never lose anything ever again. Everything is always where it should be. And can be backed up securely and confidentially.
You can analyse information and ‘crunch numbers’ easily. You can get valuable financial information anytime you want it.
You can present important information in whatever format suits you best. You can produce financial reports using the data of your choice. You can create tables, charts and graphs to help you understand your data more easily.
You can get powerful performance insights. You can see how your business is performing overall, and drill down to see how a particular property is performing. You can spot things that are working well. And you can spot things that aren’t working well. (And rectify them before they lose you money.)
You can get insights on your financial position and your tax position.
You can prepare your financial accounts much more easily and quickly. Using information you have entered over the year you can produce your annual accounts in minutes – rather than spending days (or even weeks) doing it at the end of the financial year.
Digital record keeping automatically provides an audit trail. You can easily see what an amount is made up of, and where that information has come from.
You can prepare your tax returns much more easily and quickly. Using information you have entered over the year you can obtain the information you need for your tax returns in minutes – rather than spending days (or even weeks) before deadline day.
When you use digital record keeping you will also be able to file your tax returns digitally too. You will be able to adapt to the upcoming Making Tax Digital or MTD regime quickly and easily.
As you can see, the benefits of digital record keeping are many. But at the end of the day digital record keeping makes you more efficient and more productive. It makes running your business easier and saves you time and money. Ultimately it can help make your property business much more profitable.
How can you really benefit from digital record keeping?
Needless to say to go digital you need a digital method for collecting and managing your financial information in the first place.
Spreadsheets have been popular for many years and are a way of working digitally to some extent. But, today, they are quite a dated form of digital technology and also very limited in the functionality they offer.
To go digital and fully benefit from digital record keeping you need a suitable software package.
PaTMa offers digital record keeping that is specifically designed for the property business. It is a powerful way to collect, record and above all benefit from the data in your property business.
Here are just a few of the benefits it offers you: PaTMa Property Manager can record and keep track of all your expenses and rents, manage your maintenance and maintenance costs, and prepare and manage your tenancies. It can prepare your accounts and provide the information you need for your tax return. It is compatible with digital programmes such as Open Banking and Making Tax Digital.
PaTMa Property Manager can save you time and money and provide powerful financial insights to help make your property business more successful and profitable.