The UK’s small businesses have been warned not to cut corners when they implement accounting software programs.
The British Software Alliance said recently that accountants and business-savvy organisations realise how important software is and make it a priority to choose a package that is suitable for the business concerned.
The BSA’s director of compliance marketing, Julian Swan, said that selecting the wrong software package can cause more harm than good. He also pointed out that despite the on-going efforts of the Alliance, software piracy is still an issue in this country.
Between 2009 and 2010 the cost to businesses in the UK of using software that was not licensed doubled to more than £2 million, he added.
Swan went on to call on companies to recognise that computer software should be treated as an important business asset and if they treat it as such it will increase productivity.
The BSA has also recently urged businesses to think carefully about online accounting through the cloud. Cloud computing is here to stay but businesses must ensure that their data remains safe if they adopt the new technology.
Meanwhile, the Cambridge Judge Business School claims that small businesses get a raw deal when it comes to accessing funding for research and development.
Small firms usually only receive 50% of their costs but that is not helpful when the majority of them are cash poor, David Connell, a senior research associate, said. He suggested that the coalition should follow the lead of the US where 100% funding is given to R&D projects.