If Open Source Business Software for SME’s is currently a niche market then Open Source Accounting Software must be a super-niche market. Although uptake of Open Source Accounting Software is small (especially compared to a Sage or a Quickbooks) there may be many more businesses and organisations who could take advantage of solution that are available if there was a greater awareness the software and its possible benefits.

To try and explain the current market for accounting software and some of the possible benefits of open source I have drafted a white paper. Producing this white paper for download has also given me the opportunity to try out a few different ways to make a document available.

The document embedded below is using edocr, flickr for documents which is a start up from a team including Manoj Ranaweera. Manoj also kindly submitted the edocr link to Digg and to Stumpleupon.

As well as hosting and embedding the document on sites like edocr and scribd I have also made it available for download on the Outserve website where we are using the Docman an open source component for Joomla. Docman is a great Joomla component for managing downloads (and uploads) which has good functionality and even downloadable themes. If you want to require signup/login to get access to a download then docman combines with the standard Joomla site registration to give access control although may not be the slickest solution.

If the format is useful then I intend to write other white papers on other areas that I think require further investigation and explaination

I am giving a short workshop at the upcoming IAAITC’s Business Continuity and Risk Management Summit where I will be talking about open source security software. As I have only got a short time and I think it is quite topical I will be basing the workshop on open source encryption software. It appears that not a week goes by without a story in the newspaper about a laptop/hard drive/CD/USB stick containing sensitive and confidential data being lost or left in a train/taxi/car park. Events like this are inevitable as data becomes more and more portable. Of course we should continually work towards minimising these situations but one of the best practical steps a practice can take to protect data is to ensure that any ‘at risk’ confidential information is encrypted. The latest saw a USB RAM stick of confidential Government information found in a car park in Cannock, Staffordshire. Link to the news story here.

It was noted that the USB was encrypted so at least that was something but as detailed below many of the ‘proprietary’ encryption systems on USB sticks have been compromised.

At this stage it is worth defining what encryption is:

‘Encryption is the process of transforming information using an algorithm called a cipher. Once data has been encrypted then it can only be read by users who have the encryption key.’

Using software to encrypt data has been used for a long time by governments and large organisations. Today it is becoming common place, often being found on the better quality USB RAM sticks. The problem with a lot of the software supplied with such devices is that it is often ‘proprietary’ meaning that the source code of the software is in itself a secret. At first this may appear to be the best approach, after all does the code being a secret not make the solution more secure?

What has actually been proven time and time again is that security through obscurity is no security. Good security software’s source code should be available for all to see to ensure that it is secure. The science of encryption is well documented and any software implementation should be made available for checking. Many of the proprietary systems have been compromised by attacks and often it is a case of ‘when’ not ‘if’ they will be compromised.

Truecrypt (www.truecrypt.org) is one of the best known and well trusted encryption software programs available today. Truecrypt, as recommended above, is free and open source, meaning that anybody can see the source code. Truecrypt will work on Windows, Apple Mac and Linux operating systems and can be setup to encrypt a whole drive, a single folder or a portable device like a USB Flash RAM stick.

The one possible downside of Truecrypt is that it requires a client install to read a an external drive like a USB or portable drive. If it is required to be able to use a portable devise on a machine that would not have Truecrypt installed then for Windows users there is FreeOTFE (www.freeotfe.org) which is free and open source encryption software that can also be installed on a USB stick and does not require a client install. FreeOTFE can also be used on a Microsoft PDA.

As well as other open source security software the latest version of Linux Ubuntu 8.10 comes with encryption built in making it even easier to keep you laptop data secure.

Looking through gapingvoid last night for inspiration for business cards I re-found one of my all time favourites:

And Dennis Howlett also wrote the The “Nobody Cares” Manifesto For Accountants which I liked as well:

* It’s important to remember debits are on the left and credits on the right - nobody cares. Probably because the system was invented in 1494 and hasn’t changed since.

* We work hard to earn letters behind our names - nobody cares. Importance isn’t derived from academic achievement but what you do for others.

* ROI is an important concept - nobody cares. ROI calculations are something you do when you really don’t want to help your client but to demonstrate to him/her how important you are. For which read 2.

* It’s important to keep good records - nobody cares. Clients aren’t in business to be administrators. If you can’t figure out how to help clients then expect to be outsourced. Probably the day after tomorrow.

* A tidy office implies a tidy mind - nobody cares. A tidy mind is often compartmentalised to the point of tunnel vision. You don’t see tidy at the edge of innovation. Which is where you should be when your clients come up with great ideas.

* Professionals should always wear top quality suits - nobody cares. How you look may be important if your name’s Anina but it sure as heck doesn’t matter when you’re traipsing around a pig farm. You do that occasionally don’t you?

* Your professional status among the community demonstrates integrity - nobody believes you. Professional status is over-rated. Those schmuks from KPMG in court on fraud charges sorted that one out once and for all.

* Adding value is the most important thing you have to do - nobody believes you. Clients can read a 1,000 websites and see that same vacuuous statement. Stuff your website with client stories, preferably written by clients and not some PR outfit.

Tags: funcartoon accountants