All businesses currently using a eurozone currency must convert their accounts to the euro by 31 December 2001.
If a business is trading in the countries that have accepted the euro – including Austria, Belgium, Finland, France, Germany and Ireland – there is no avoiding a conversion.
However, if a business is based in a European country that has not yet accepted the euro – such as in the UK, Denmark or Sweden and trades with businesses in the eurozone, it must deal in euros to stay competitive.
The launch follows recent concerns expressed by BASDA of low take-up rates.
Dennis Keeling, chief executive of business software developer trade association BASDA recently revealed the EC was very concerned of the low numbers and expressed a wish to find out whether there were any problems with software.
‘Many of our global clients are starting to realise that the deadline for converting their accounting systems to support the euro is getting closer, and they should plan now to avoid taking any risks,’ said Steve Humble, Scala’s senior vice president of client solutions.
‘By forming a ‘hit-team’ to co-ordinate euro conversions across borders and share expert knowledge, we are assuring our clients who trade in or with European markets that they will be ready in time.’
The Euro Hit Team includes consultants from Europeancountries – in the Eurozone and outside – with experience ofimplementing changing business processes.
According to Humble, changing to the euro is not just about software.
‘Knowing how to deal with business issues is vital,’ he said. ‘Some issues are obvious, like pricing, cash flow and profitability. Others have more subtle effects like changing competitive markets and new opportunities for buying and selling.
‘Changing from national currency units to the Euro may affect your existing internal business processes like cost bands for discounts and authorisation levels for credit. As a result of the currency change by a supplier, your trading operations may also be affected.’
The second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from Begbies Traynor
Just one half of UK practices have implemented a pricing structure around auto enrolment implementation and advice - with many suffering increased costs
Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Accountants should alter their perspective on auto-enrolment to maximise business opportunities, according to Eric Clapton.