 |
| Fitzgerald. |
Small and medium sized businesses (SMBs) are still hesitant to get on the cloud, despite the large advantages that await them.
Kevin Fitzgerald, FCCA, Regional Director, Asia at Xero, which provides cloud-based accounting software, said that adoption of cloud is still a barrier when it comes down to accounting. Xero's potential customers often have security and privacy concerns, he said at the recent Accounting & Finance Show Asia 2018 in Singapore.
"They don't realise that they are already in the cloud if they use a banking app or an email server," he noted.
The cloud subscription model can also put SMBs off as they are more used to buying a static product for a one-off cost, as opposed to paying monthly for a service which is continually updated over the course of the subscription. "We don't charge extra for updates," he explained. "Last year, we rolled out over 2,000 (improvements). You don't get that with desktops."
Over a million businesses around the world have seen the light. As of March 2018, 1.4 million business are using Xero, Fitzgerald shared.
"Our mission is to help SMBs," he said. "They don't need a US$20,000 experience with very heavy software."
Xero charges US$40 a month* per company for premium accounting services excluding payroll, covering any number of users.
Besides the cost, another Xero strength is the number of third party software which talk to the Xero system. There are over 700 add-ons that Xero customers can take advantage of to enrich their experience.
As the service was built originally for business owners rather than for accountants, it is extremely intuitive, Fitzgerald added. When Xero is contrasted with desktop accounting software, the desktop alternative tends to look clunkier, with a slower user interface, he said.
"You can understand it and navigate it very quickly," he said. Xero's dashboard is particularly helpful for SMBs, as it displays details on cashflow, what bills need to be paid, and the money which is due to them.
The company has 25 offices around the world, including in New Zealand, Australia, Singapore and Hong Kong, and is planning to expand. Xero hopes to add 10 more people to the 26 in the Singapore office, for instance.
"There is great talent here, the understanding of accounting, of SMBs and of the cloud market is powerful here," he said, adding that the government grants available are also a draw.
"It is a great place to do business," he said.
With Xero's cloud-based service accessible from anywhere in the world, Xero's Asian business is very active even where it has yet to have a direct presence. The company is particularly busy in Malaysia, Vietnam and the Philippines, he said.
The company recently introduced changes to leave entitlements for its more than 2,000 global staff to promote and encourage a safe and inclusive environment for everyone at the company. Introduced on World Mental Health Day, 10 October, the new Wellbeing Leave means Xero staff can take leave for physical or mental illness, to cover medical procedures, when a partner or dependent requires care, but also for their own personal wellbeing.
Employees in Singapore will receive 14 days paid leave in addition to annual leave to care for their personal wellbeing, without the need for medical certification. Employees also have access to the Employee Assistance Programme which allows those who are undergoing a traumatic life experience such as chronic illnesses or the loss of a loved one to reach out to a dedicated helpline committed to providing guidance and help through a difficult process.
“People come to Xero to do the best work of their lives, which is why it’s vital we support not only their physical wellbeing, but their mental wellbeing as well,” said Rachael Powell, Chief Customer and People Officer at Xero.
“Mental illness and poor wellbeing is something that affects many people, including small businesses; most people will encounter it in themselves or someone they love during their lifetime. We cannot afford to ignore it.
“When we get this right, our people go from functioning to flourishing, which means that everyone inside Xero is set up to play to their strengths and do their best work.”
Explore:
Try a Xero trial
*The Australian premium service includes payroll, and costs US$100 a month.
