Fitzgerald.
Despite the significant benefits, small and mid-sized businesses (SMBs) are slow to embrace cloud computing.
Kevin Fitzgerald, FCCA, Regional Director for Asia at cloud accounting software provider Xero, noted that cloud adoption remains a hurdle, particularly in accounting. Speaking at the recent Accounting & Finance Show Asia 2018 in Singapore, Fitzgerald shared that Xero’s potential clients often express concerns about security and privacy.
He pointed out the irony, stating, “They don’t realize they are already in the cloud if they use a banking app or an email server.”
Another obstacle for SMBs is the cloud subscription model. Accustomed to one-time purchases of static products, they hesitate at monthly fees for a continuously updated service. “We don’t charge extra for updates,” Fitzgerald emphasized. “Last year, we rolled out over 2,000 (improvements). You don’t get that with desktops.”
Nevertheless, over a million businesses globally have embraced cloud-based accounting. Fitzgerald revealed that, as of March 2018, Xero had 1.4 million business users.
“Our mission is to help SMBs,” he stated. “They don’t need a US$20,000 experience with very heavy software.”
Xero’s premium accounting service, excluding payroll, costs US$40 per company per month for unlimited users.
Beyond cost-effectiveness, Xero’s strength lies in its integration capabilities. With over 700 add-ons, Xero customers can significantly enhance their experience.
Fitzgerald highlighted the platform’s user-friendliness, designed initially for business owners rather than accountants. Compared to the often clunky and slow interfaces of desktop accounting software, Xero feels intuitive and agile.
“You can understand it and navigate it very quickly,” he affirmed. The Xero dashboard, in particular, proves valuable for SMBs by displaying cash flow insights, pending bills, and receivables.
Xero, with 25 offices globally, including locations in New Zealand, Australia, Singapore, and Hong Kong, is actively expanding. In Singapore, for instance, they aim to increase their staff from 26 to 36.
Fitzgerald praised Singapore’s business environment, stating, “There is great talent here, the understanding of accounting, of SMBs and of the cloud market is powerful here,” and acknowledging the attractive government grants.
“It is a great place to do business,” he declared.
Even without a physical presence in some Asian markets, Xero’s cloud-based accessibility facilitates active business operations. Fitzgerald mentioned significant activity in Malaysia, Vietnam, and the Philippines.
To foster a safe and inclusive workplace, Xero recently enhanced its leave policies for its 2,000+ global employees. Introduced on World Mental Health Day, October 10th, the new Wellbeing Leave allows Xero employees to take paid time off for physical or mental health reasons, medical procedures, caregiving for a partner or dependent, and personal well-being.
In addition to annual leave, Singapore employees now receive 14 days of paid leave for personal well-being, without requiring medical documentation. Additionally, the Employee Assistance Programme provides confidential support and guidance through a dedicated helpline for employees facing challenging life events, such as chronic illnesses or the loss of a loved one.
Rachael Powell, Chief Customer and People Officer at Xero, emphasized, “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.”
She further added, “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.”
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*The Australian premium service includes payroll, and costs US$100 a month.