Put Your Accounting on the Fast Track

Submitted by: Sarah Day - Founder, Managing Director

Choose your accounting software wisely to speed up bookkeeping.

Define your needs.
Make a list of all your accounting needs and their importance to your business. Some of the many functions to consider are: invoicing, accounts receivable and payable, budgeting, reporting, inventory, time tracking, point of sales, and payroll. If you’re selling products, inventory and point of sales features are likely to be more important to you than tracking your time, a feature very important to a service provider. 

Set a budget range.
Ask yourself what you can afford to spend, and consider what you might need to spend in order to best suit your needs. There are many reasonably priced programs to fit small business budgets. Don’t pay more than you have to, but don’t try to save money by purchasing an inadequate program. It may cost you more money, and time.

Compare brands.
Once you have your needs prioritized, compare accounting programs. How well does each program match your needs? Is your current computer equipped to handle the software program? How do the programs stack up against your budget? What kind of support do they offer? Three top accounting programs that are used by many small to mid-range businesses are Quick Books, Peachtree, and MYOB. Be sure that the program you choose meets your needs and leaves room for growth. Many programs offer a free trial. 

Take a potential program for a test drive first.
Check in with your accountant. Your accountant knows your business well, so ask for his or her recommendation. It might be beneficial to use the same
program your accountant uses to make transferring business information easier. You may want to pay your accountant or other knowledgeable professional to help you set up your new program. 

Make sure everyone gets along.
If you rely on other specialty software, such as database management software, and need to funnel information from that program to your accounting software or vice versa, be sure to check for compatibility issues. 

Converting from One Accounting Program to Another?
While there’s nothing like thinking positive, you should always expect to deal with some conversion issues when moving from one software program to another. To make the conversion go more smoothly:

• If possible, convert after the end of your fiscal year or during a time when business is slow. 
• Ask software providers for information that can help you make a smooth and relatively seamless transition and how they can support you during the transition. 
• If the vendor does not provide assistance, consider turning to online user groups, an experienced friend, or someone with expertise using that program. 
• Before you convert, clean up and update your current database information. 
• Take time to print and review reports. Look for and correct any potential problems. 
• Back-up your existing data prior to converting to a new program and keep your original program accessible on your computer.
  

Specialty Accounting Software
If the standard mainstream accounting programs seem inadequate for your needs, research industry-specific software programs and ask other industry members what software they have used. Ask the software provider for a trial package, and phone client references.

Sarah Day is the founder and managing director of Day One Business Services, a general management consultancy for small to medium sized businesses. Every day Sarah helps guide small enterprises through the process of change - whether that be through the start up process, rapid business growth or a turnaround situation. She does this using a wealth of management experience gathered during a twenty-year career managing a variety of functions in both small businesses and large corporations.

Sarah holds a BA from Marquette University and an MBA in Marketing from the University of Minnesota. She is also an accredited executive associate of the Institute for Independent Business, a nonprofit research, training, and accreditation organization established in 1984 to give independent businesses direct access to top management advice. She continues to work with a variety of small businesses on resolving their key issues and sits on the board of a local non-profit agency.

Sarah DayDay One Business Services
952-938-3435
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