We have seen a significant growth in accounting and financial compliance domain in the last few years. Companies are in need to have the ability to monitor compliances in real-time, devoid of worries about the consequence of non-compliance which comes to light only during audits or finalization of accounts. Keeping this as a bottom line, there is an increased focus on building internal controls into accounting processes in the SMB (small and medium business) segment. Company Law in India has also undergone revisions and there is increased focus on internal controls and internal audit. Understanding the need of the hour, our cloud based accounting and compliance software product IDOS, is focused on accounting & audit industry. We were incubated at Microsoft Ventures Accelerator program.
SaaS and cloud based applications add value to business by driving down costs and increasing operational efficiency. There is a slow growth of SaaS products in the accounting and audit industry which is traditionally considered slow in adopting new technologies. The applications require acceptance of professionals like CPA's/CA's and book keeping/accounting community, which initially seems slow, but will have a viral effect thereafter.
We should not forget that the current scenario where internet penetration is increasing day by day, cloud based applications like IDOS can really change the way business is done. There are about 400 million SMB businesses across the world which will be key drivers of growth for SaaS and cloud based applications in the days to come. This will result in not only innovation in the segment, but will even lead to price optimization. SMB companies are very price sensitive in all countries and entrepreneurs need high volume of sales and early adopters to succeed in this area. The adoption of newer technologies in the SMB market is very challenging, unless we can balance both the product value additions as well as the price.
Keeping in mind that most of the statutory returns are now filed online and there is increased awareness and acceptance of cloud based technologies, the future is bright for companies involved in providing products in the areas of SaaS and Cloud based applications which provide real-time processing/monitoring capability.