The Peter Principle states that employees keep getting promoted until they reach a level of incompetence. What many folks do not realize is that the same may apply to your bookkeeping and accounting software! Your business plan was good. You worked hard and were successful. Now you have operations in several locations and some of them are separate business entities. Our question, as it relates to a bookkeeping and accounting “Peter Principle,” is this. Can your accounting software track more than one company? In this regard, we are going to look at QuickBooks versus Gravity Software for a company that makes the transition to a multi-location and multi-entity business. When does accounting software fit your needs and what can you do when it no longer does what you need?
QuickBooks Desktop and QuickBooks Online both have excellent features that are ideal for a small and growing business. Businesses use QuickBooks to manage expenses, track sales, and record all daily transactions. QuickBooks is great for invoicing customers, paying bills, tax filing, doing payroll, and generating custom reports that provide important business insights. If you need to manage inventory, QuickBooks is excellent. And, because you can get a 30-day free trial, you can experience this great software for real before making a purchase of a desktop version or signing up to lease the online version by the month.
Because both QuickBooks Desktop and QuickBooks Online come in several versions, this software is very scalable as your business grows and more bookkeeping services are required. QuickBooks Online works in the cloud so you can access the system from anywhere with an internet connection, collaborate with employees in different buildings and different parts of the world.
QuickBooks is a very intuitive system that always has more than one way to do a task. You can easily get help and you will receive monthly newsletters highlighting the various features. To the extent that you want to take full advantage of one or more of the great tools within this system, contact us at Exigo Business Solutions for targeted QuickBooks training.
QuickBooks not only does a great job of generating insightful and actionable reports but it also works with other business software solutions to produce what is commonly referred to as “business intelligence.” You can use QuickBooks and add the extra power of tools like Microsoft Power BI, Spotlight Reports, QBAR, QQube, and many others. If you are interested in knowing how these programs might be useful for your business, contact us at Exigo Business Solutions in the Kansas City area.
As you can see, QuickBooks is great software for doing your books and so much more. The online version lets you work from anywhere in the world. However, you may find that you are taxing this software beyond its capabilities if you working out of many locations and especially if you own and operate several business entities. At this point, it is useful to recall that while the “Peter Principle” is responsible for promoting people (and software) to a point beyond their competence, the people and software function great within their intended job descriptions. When you find that you have to read more than one report in order to get a picture of your business, it may be time for a change. Or when the accounting process to pull information from many business locations comes excessively tedious and costly, this also may be a cue. Your choices will also include outsourcing your accounting to keep up with the expanding needs of your business.
Gravity Software offers two advantages over other accounting software packages such as QuickBooks. First of all, it handles all of your business entities and business locations from one database. This allows for efficient recall of information across multiple platforms and one report of business operations instead of several. The second impressive feature of Gravity Software is that it is built on the Microsoft Dynamics 365 platform which allows for complete integration of financial and customer relations management (CRM). This powerful software provides financial, marketing, customer interaction, and pure business intelligence insights from throughout your entire range of businesses. And, because all of the data is within a single database, its business intelligence software can make deductions and provide actionable insights across the entire range of business entities.
Managing a growing business empire has its own distinctive set of problems. You need to keep your original business plan in mind and then modify it to fit each separate location and financially separate business entity. When your accounting of these separate entities is piecemeal, turf battles win out over cooperation. A good place to start to keep control over this phenomenon is by having software that lets you see everything and all relationships in one set of reports and from one office and one computer. This is what Gravity Software was designed to do. Gravity Software also creates synergies between the sales, marketing, and financial aspects of your business but working across traditional accounting line and into CRM areas.
If you are thinking of an upgrade to Gravity Software for your business, you will want to know what features it offers. Here is the list:
Gravity Software provides all of these features and applies them across all of your business entities at all of your business locations. Can your accounting software track more than one company at more than one location? Gravity Software can and does the job very well.
Gravity Software has one more rather impressive thing going for it. It works much better for many businesses in the tech sector than most other accounting software. Because tech companies have to bill for SaaS or “Software as a Service,” managed services, and employee time on multiple projects, they have special accounting needs. Just handling revenue recognition rules may be beyond the capabilities of the software you currently have. What many tech companies end up doing is combining several systems and then trying to correlate the results. This sounds like having businesses in several locations, doesn’t it? The answer to this dilemma (like the multi-company problem) is putting everything in one database. With Gravity Software’s inclusive system, tech companies get a one-system and 360-degree view of their customers, work in progress, and all records. When you use this approach, all of the Band-Aid fixes and their time and cost go away! You will start to recover lost revenue and quit losing any more. You will simpler and more streamlined business systems that integrate your CRM and financial functions and speed up closing out of the books at month’s end!
This was our original question. If you are currently using QuickBooks for your bookkeeping and accounting, you may or may not have outgrown the program that served you well for years. Contact us at Exigo Business Solutions in the Kansas City area for help determining if you simply need an upgrade of your QuickBooks, the integration of a business intelligence solution, or a switch to the likes of Gravity Software.