Xero & Hubdoc for SMEs

Technology is evolving at a very rapid speed that changed the way we do things. For some, it can be a great help to streamline the process, but for others, they might find it difficult to embrace technology. Nevertheless, businesses have to quickly adapt or rather adopting these technologies in order to be competitive and stay sustainable.

To prevent the Covid-19 virus from spreading, the Singapore government are encouraging their citizen to stay indoors and also imposed circuit breaker to ban dining in for a limited period. As such, businesses have no choice but to pivot their business model quickly so as to maintain operation during the lockdown. And one way to keep business going is to move online. Besides having a presence on the online platform, streamlining the business process by adopting digital solutions is critical.

Xero 

Xero is a cloud accounting software that has gain popularity in Singapore as well as the rest of Asia due to its intuitive platform and automation features. Business owners in Singapore can access the software directly from their devices such as laptops, IPad and even mobile phones. With an internet connection, users can view the business financials and even raise an invoice anytime, anywhere.

Besides having the convenience to access the software, Xero also has a world-class, 24/7 support team to assist with any issues or queries. Having a responsive support center is important to end-users where most of us don’t like to be left hanging without getting an answer.

Xero also allows third-party vendors to integrate into the system. Such as complementary apps like inventory management, point of sales system, and project management. To date, there are over 1000 apps that can be connected to Xero, which allow the data to flow seamlessly into Xero without having the need to manually input the data.

Some of Xero’s key features are:

• Bank Reconciliation with the auto-matching capability
• Bank Feeds Connection (OCBC, DBS, UOB, HSBC)
• Attached files to Invoices
• Payment Reminder
• Payment service gateway integration
• Extensive reporting formats
• Multi currencies
• Multi-users access

You can imagine that having cloud accounting software like Xero will increase the efficiency of the accounting process. On top of that, you are able to make a sound business decision with the full overview of the business cash flow and financial performance from the reports in Xero. With no restriction to the number of users, you can collaborate with your accountant more effectively within the same platform.

Xero has updated its new Singapore dollar pricing:

• Starter Plan – $33/month
• Standard Plan – $50/month
• Premium Plan – $65/month

Do note that this pricing is inclusive of 7% GST.

Hubdoc

Hubdoc is an interesting data capture tool that aims to replace manual data entry. Typically the most time-consuming part of accounting is repetitive data entry to the accounting system. With the optical character reading (OCR) + machine learning technology, it claims to have up to 98% accuracy. In 2018, Xero acquired Hubdoc for $70 million and has since being a part of the Xero subscription plan.

Similar to Receipt Bank or now known as DEXT, it can capture key information like:

• Supplier Name
• Invoice date
• Invoice/Reference number
• Invoice amount
• GST amount
• Currency

3 ways to upload the receipts to Hubdoc.

• Scan the receipts into your computer and upload directly to Hubdoc via the drag and drop function or by selecting the files through browse.
• Download the mobile app and use it to snap a photo of the receipts which will be posted to your Hubdoc account directly.
• Send the files to a unique email ID.

Once Hubdoc has processed the uploaded receipts, you can select the relevant chart of accounts to post the transaction directly into Xero. Hubdoc will also learn which chart of accounts you have posted for this transaction and will suggest it in future similar transactions. All you need to do is to ensure the data accuracy and click publish.

Another interesting feature is that Hubdoc is able to detect duplicates from the files. When you uploaded the same files to Hubdoc, it will detect it and display an icon that shows duplicate. This will prevent you from processing the same receipts to Xero that will cause double entry.

Ultimately, this improves the data collection and processing of the receipts without manual data entry. Accountants and business owners can change the way they perform accounting tasks, and focus on more productive work.

Although Xero provides Hubdoc as part of the subscription plans, the retail price for Hubdoc is USD12 per month when you integrate with other cloud accounting system

Conclusion

When it comes to scaling your business, it is essential to have a seamless business process that replaces unnecessary work. Having a cloud accounting system with data automation tools can help you to achieve a more effective accounting workflow. Consistently, you are able to get up-to-date financial reports which give you real-time data of your business.

As part of the SME Go Digital Program, adopting digital solutions will be supported by IMDA. And when you subscribe to Xero from any PSG pre-approved vendor, you are able to get up to 80% subsidy from IMDA. Besides that, Xero also partners with local banks like OCBC, DBS, and UOB to be the cloud accounting solution that can be supported by Start digital packs.

Do reach out to us if you are keen to understand more about how you can tap on this support when you adopt digital solutions. Thank you.