One of Singapore's big three local banks, United Overseas Bank (UOB) has announced an integration with cloud-based accounting software provider Xero. The deployment is expected to allow the bank’s SMB customers to connect their bank accounts with their Xero subscriptions, with the aim of enhancing cashflow management.
According to a survey commissioned by UOB earlier this year, 80% of their SME spend more than four days in a month doing backend tasks, one of which inevitable is bank reconciliation. With UOB's partnership with Xero, the financial giant aims to help business owners effectively reduce time spent on administrative work by more than 50%.
With this integration, small business customers can choose to have their bank transactions sent automatically from UOB to Xero everyday through a secure connection.
The small businesses will be able to manage cashflow from within Xero, allowing them to check which customers have paid their bills overnight, and which bills from suppliers they need to pay. This is expected to save small businesses the time and inconvenience of having to manually download statements and import them into their Xero subscription.
Xero and UOB’s integration is expected to provide a boost to the thousands of small businesses who already use Xero in Singapore.
Xero has been integrated into more 80 financial institution integrations around the world. Many banks globally are connected to Xero’s cloud platform in a bid to offer small businesses the financial services they need in a cost-effective and scalable manner that provides businesses with greater visibility over the state of their finances.
“As the cost of business increases and competition becomes more intense, productivity enhancements have become a priority for small businesses to achieve sustainable growth,” said UOB’s country head of business banking Mervyn Koh. “Through an integration with Xero, UOB’s customers will be the first in the market to harness the efficiency of Xero’s latest productivity software to help them save time, cut costs, and make better use of their resources.”
Namita Sethi, CPA, CEO at Futurebooks a partner of Xero, describes the step taken by UOB to integrate bank feeds into Xero is a game changer. “This move addresses a dreaded chore by the business owners and accountants, and comes at a time when Singapore has a shortage of skilled accountants and finance personnel. We expect more financial institutions to follow suit.”