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Ben Kepes is a technology evangelist, an investor, a commentator and a business adviser. His business interests include a diverse range of industries from manufacturing to property to technology. As a technology commentator he has a broad presence both in the traditional media and extensively online. Ben covers the convergence of technology, mobile, ubiquity and agility, all enabled by the Cloud. His areas of interest extend to enterprise software, software integration, financial/accounting software, platforms and infrastructure as well as articulating technology simply for everyday users.

More about Ben here.

3 responses to “It’s Multi-Currency Month”

  1. David Turner

    Multicurrency is a fundamental part of an accounting system. It seems the numerous small cloud players entering this space are already on the back foot with this. For example:
    - Calculating gains/losses on the payable line only considers the balance sheet rather than providing revaluation capability for the income statement.
    - Posting and calculating realised and unrealised currency gain/loss on a daily basis would lead to clutter in the GL and could obscure rather than help.
    - Using the currency master to calculate unrealised values can cause problems.

    Our multicurrency functionality has been born out of decades of heavy duty international accounting experience. See a longer response at http://blog.financialforce.com

  2. Mike McDerment

    Hey Ben – thanks for the mention. Couple things about our approach to multicurrency here at FreshBooks I thought I’d expand upon.

    First up, we use the average exchange rate from yesterday. We figure an average is better than some more volatile amount right *this second*. When you run your profit and loss, we don’t use today’s rates because we offer an historical account of your billings – not a live look at your bank account. In this situation, we offer an average exchange rate over the period of time you are looking at.

    For example, if you are looking at your 2008 Profit and Loss, we give you an average exchange rate of 2008, not today’s currency. In fact, each month’s column in the P&L is calculated using that month’s average exchange rate. Why? Well…again these are historical accounts…if you want to know what your receivables were worth in 2008, it makes more sense to have an average of that year, rather than today’s rate.

    With respect to “separate reporting by currency”, that is exactly right. FreshBooks’ mission is to GET YOU PAID. We are the leader in billing and bookkeeping, and for those businesses who need a full blown accounting (of which there are many) then we make certain you get the accurate untransformed data out of FreshBooks so that your accounting system can do the heavy lifting. For those businesses who just need FreshBooks for all their accounting (again, there are many) then we offer everything you need.

    Finally, with respect to the roadmap, we don’t share our roadmap as we like to under promise and over deliver. So…we don’t talk about what we’re going to offer until it’s in the product and you can use it. For more on our thoughts here, check out this post:

    http://www.freshbooks.com/blog/2008/11/11/5-reasons-why-sharing-your-product-roadmap-is-a-bad-idea/

  3. Ben Kepes

    Mike – many thanks for the comment – all sound arguments…

    David – watch this space… some thoughts coming up….