Accounting SystemBusiness owners often forget that their companies change. Like children, they can go through periods of stable growth, followed by a growth spurt that makes it hard to keep up with them. Business processes, systems, and software that once fit your needs no longer fit, but you may not notice it at first. This type of growth sneaks up on you, like waistbands that are too tight or the hemlines of a child’s pants creeping higher and higher.

One area where you may notice the pinch is in your accounting software. Many companies track their accounting on spreadsheets, catching receipts in baskets or bins and entering them when they remember to do so. Others have already moved beyond spreadsheets and into the realm of small business accounting software, but it’s no longer adequate to handle the complexities of your business model and finances. It’s starting to pinch, like shoes that are too tight.

If you aren’t sure whether or not your business has outgrown its current accounting system, then the following five questions can help you decide for yourself if it’s time to search for new software. Accounting Systems Inc. provides solutions for business owners that match software to company needs. We help you find that “perfect fit” so you can grow without feeling a pinch.

Five Signs It’s Time for New Accounting Software

  1. System Slowdown

Slow systems can be caused by many things, but one common cause is too many people trying to log into one system at the same time. Older systems may not have the bandwidth to accommodate more than a set number of users. Screens freeze, systems crash, and the IT department gets more calls than they wish for system problems, errors, and glitches.

  1. Spreadsheet Redux

It’s like deja vu all over again—the spreadsheets are back. You notice that department managers and even staff accountants are using spreadsheets because the current accounting system isn’t giving them what they need. They may be writing their budgets on spreadsheets because your current system doesn’t have a budgeting feature or the features are out of date. Or, they may be working on budgets and other accounting projects at home, and can’t access company systems away from the office because your software is site-based. Just when you thought you had retired formulas and macros, they’re back in the form of spreadsheet redux.

  1. Manual Report Preparation

Like the reappearance of the spreadsheet, manually prepared reports are now back in style at the office. People complain that they can’t get the reports that they need from your current accounting system. The reporting menu is limited or requires custom programming every time you want to make a simple tweak. The reports that you can run are inadequate, inaccurate, or difficult to interpret. They no longer suit your needs.

  1. Does Not Integrate with New Systems

Businesses add new systems to accommodate growth. CRM, HRMS, and other systems help sales, marketing, communications, and human resources personnel do their jobs more effectively. Acquisitions demand that you incorporate the newly acquired company’s budgets, payroll, and other important records into your system. But you find that the new system does not integrate with your current accounting system. The only way to integrate the two is through expensive, time-consuming custom programming or manual data entry.

  1. No Longer Supports Your Current Business Model

As your company grows, you may add new businesses, departments, product lines, warehouse capacity and more. Many of these segments need their own P & L, but your current software cannot accommodate multiple business units in one package. Even if it can record data for separate P & Ls, it’s difficult to extract exactly what you need to make sound business decisions.

Time for New Software? Call ASI

There are many other good reasons to purchase new accounting and finance software. ERP software, or enterprise resource planning software, helps you manage multiple business needs in one package. Accounting and finance are included in basic ERP packages, but additional information from inventory management, warehouse and distribution, manufacturing plants, sales and marketing, customer service and human resources can also be included.

Business intelligence software, either as part of an ERP package or added onto a package, provides robust, easy to understand reports that offer useful information. Many systems enable some custom programming by the user. Custom dashboards, for example, provide you with the exact view that you need to get the information you need. CEOs need different information than Marketing Managers, and customized dashboards and reports give you that information.

Lastly, cloud-based ERP provides you with ample opportunity for expansion. You can easily add more people to the system without hiccups or slowdowns. People can access systems from home, work, travel or a client’s offices through any internet-based device. It improves data access, timeliness and security for your business.

Growing pains don’t have to be so painful that they hurt your business. With the right software, your business can flourish. Accounting Systems Incorporated (ASI). Software such as Acumatica ERP and Sage 100 can provide the time-saving information that you need to grow your company. For more information, visit our website, or call us at 803-252-6154.