As an organization grows and expands the processes used to run the business may need to evolve. Many small businesses begin to struggle with their accounting process as they grow. These struggles may be an indicator of the need to move on to a more expandable accounting system. Although introducing a new system may seem daunting, upgrading could prove to be a significant stress reliever and your bookkeeper or Accountant can be a great help in this expansion. Our team is available to help Orange County businesses to thrive.
There are many indicators that can justify upgrading to an accounting system that offers more functionality and scalability for the future. We’ve listed a few here.
When a “parent” company gives birth to a subsidiary, accounting can get complicated quickly. The accounting system may require that data for multiple companies be available simultaneously. More sophisticated software allows users to open multiple companies at the same time. These expanded accounting programs also allow for the creation of separate or combined reports and consolidated financial statements.
Client and Vendor Lists
Each accounting program has a limit on the number of “lists” available. Growing businesses quickly reach these limits with the number of customers or vendors increasing with growth. It is wise to research the limitations of your system and keep track of your listings to upgrade before your limits are exceeded. Your bookkeeping service can help with monitoring software capacity.
Size and Performance Limitations
Limitations can also apply to file sizes. A high volume of transactions or years of history can exceed file size limits. Computer performance can also become an issue. If your accounting system is running slowly the program may be outdated, overcapacity or merely in need of updated preferences. Our team can help improve your system’s performance by condensing files or updating preferences.
As an organization expands, inventory increases. Tracking inventory, managing lots and serial numbers, or tracking multiple locations may require an upgrade. Keeping accurate counts may be vital to optimal cash flow and accurate ordering processes. Inventory tracking glitches may be an indicator of the need to upgrade.
Each business entity acquires unique needs with growth. An accounting system must to customizable to fill these unique needs. An adequate accounting program will provide the ability to customize lists and fields, offer improved reporting capabilities and supply customizable business forms.
Updated accounting programs allow for more simultaneous users. Depending upon your present and forecasted needs, accounting systems can allow for up to 30 users to be logged in simultaneously. If your team is expanding and multiple players need to access the system at the same time, production can be slowed and revenue lost if anyone is unable to log on. We can help you access your current license limitations.
With multiple users, many organizations need certain players to have access to specific accounting functions while restricting other areas, possible only to their accounting service. With expanded options an accounting program can allow for multiple users with specific permissions, only allowing access to the functionality necessary to each job description.
If any of these stumbling blocks are currently causing issues with productivity, call today for upgrade options. Upgrading today could keep a stumbling block from evolving into a brick wall. Make an appointment with an Orange County Accountant & Bookkeeper today.