| Analytics Push Ahead in Tax and Accounting |
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| Written by Bob Scott | |||
| Wednesday, 22 February 2012 14:25 | |||
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Last week, the discussion in this space was about the role of CPAs in business intelligence. While it is not clear how interested accountants are in doing that or how adept they might be, the interest of companies that sell products and services to tax and accounting firms is growing in providing analytical tools. And why not, the vendors have all that customer data.
What that means is that Avalara is going to be drawing in a growing amount of data. Similarly, the company's executives and managers did not provide specific plans of how they might go about this task. But it's an obvious step. It's an obvious step for many vendors. For one thing, they have the data and it can be turned to other uses. Another factor is that since most preparers have tax software and most companies are using accounting applications, there is not much growth potential in selling to new customers in the United States That is also shown by Wolters Kluwer's moves to grow its international business, which has been predominately an American operation until recently. So companies will turn to analytics because it is a new field for them with revenue growth potential. And also, customers would prefer to get more out of their existing applications and analytical tools are the logical devices for accomplishing that. | |||
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About the Author: Brett Owens is CEO and Co-Founder of Chrometa, a Sacramento, Calif.-based provider of software that records activity in real time. Previously marketed to the legal community, Chrometa is branching out to accounting prospects; gains include the ability to discover previously undocumented billable time, save time on billing reconciliation and improve personal productivity. Brett is also blogger and founder at CommodityBullMarket.com and ContraryInvesting.com, as well as a regular contributor to two leading financial media sites, SeekingAlpha.com and BeforeItsNews.com. |