Nedbank’s direct feed to Xero accounting software makes life easier for small businesses

Hailed as the first of its kind in South Africa, Nedbank’s all-digital direct banking flow between a business owner’s bank account and their Xero accounting software account aims to make things easier for small businesses.

The digital banking flow between Nedbank and Xero allows business owners to import their banking transactions directly from their Nedbank business account into Xero, eliminating the time and effort required to manually capture and update each transaction.

“The new relationship between Nedbank and Xero makes the accounting process more efficient by making financial data more reliable, available and secure,” says Alan Shannon, Head of Professional and Small Business Client Engagement at Nedbank.

“It makes life easier for business owners and provides them with up-to-date data to run their business more efficiently.”

Nedbank launched the fully automated banking workflow in South Africa just a few weeks ago, adding it to the services its customers can access through the Nedbank Online Banking offering.

“Customers can enable – or disable – secure data flow to their Xero account in minutes,” says Shannon, noting that the service gives business owners a range of tools to not only improve their accounting, but also their business.

While Xero is considered cloud-based accounting software, Colin Timmis, Xero County Manager for SA, says Xero is also a business management tool.

He says a small business can perform better if it tracks its finances properly and uses connected technology to automate time-consuming processes.

“Companies that were traditional at their core are discovering that digital processes provide far greater scalability and resilience for the future,” he adds.

“The new Nedbank feed was designed for Xero’s secure API [application programming interface]says Shannon. “It’s just as secure as any of the data protocols people use every day when doing online or mobile banking.”

Shannon says Nedbank has partnered with Xero on the strength of Xero’s global leadership in direct banking flows over the past decade. Xero has banking feeds with major financial providers around the world, including NatWest, Wells Fargo, Barclays and Westpac. The new flow between Nedbank and Xero business accounts differs from the flows that were available in South Africa in that it is a direct, fully digital secure flow.

Previously, business owners or accountants who wanted to import transactions into accounting software packages often had to upload account statements to a separate application to transpose the data into a compatible format.

This rather cumbersome step – which could lead to errors – has been removed.

Additionally, Nedbank reminds its customers that the live feed is available at no additional cost to their customers with business accounts, while Xero is offering Nedbank customers who want to try Xero a discounted four-month subscription.

Nedbank customers will be able to fund all business accounts linked to their profile and visible on the Money app or in online banking to Xero, including the following:

  • Current account;
  • Credit card;
  • Savings and investment deposit accounts;
  • Loan accounts; and
  • Mortgages.

Xero allows businesses and their accountants to track specific parts of their business, ranging from transactions and sales to contacts, cash flow, and overdue debtors and creditors.

The Nedbank Direct Feed means that a company’s finances are kept up to date so that the company can more easily do things through the Xero platform, such as:

  • Stay on top of cash flow;
  • View all bank account and credit card information in one place;
  • Track late payments;
  • Proactively follow up on unpaid invoices;
  • Sales and expense tracking; and
  • Project cash flow and financial performance into the future.

The Xero Dashboard gives businesses the tools to track unpaid invoices with a summary of what’s outstanding.

Businesses can filter invoices by due date, amount due, and how long accounts have been outstanding. Xero also has a marketplace of over 800 connected apps to help small businesses run more efficiently.

Timmis and Shannon both say that one of the biggest benefits of the direct feed between Nedbank and Xero is that it will save business owners a lot of time and effort, freeing them up to focus on the most important areas of their business.

“Setting up the stream only takes a few minutes. Everything can be done digitally from the Nedbank Money app or the online banking platform,” says Shannon.

To learn more and get 50% off your new Xero subscription for the first four months, click here.

Brought to you by Nedbank and Xero.

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