Is your current accounting software platform helping you make informed decisions to run your business successfully? If not, it may be time to explore whether your current platform is the right package for you. Before making this monumental decision, a proper assessment should be conducted with the support of the end users to determine if your current accounting software package is adequate or if it is time to upgrade. Consider these four key factors when assessing your accounting software:

1. Functionality. It is necessary to identify your accounting system’s functionality and compare it to the accounting requirements of the company. For example, if your company has multiple subsidiaries and operates in various countries, then you are likely required to report on a consolidated-basis with multi-currency reporting capabilities. Does your accounting system have an automated consolidation functionality? Does it have multi-currency reporting?

For some small businesses, the answer may be no. The next step would be to assess the cost over benefit from automating these functions. In addition, consider whether there would be a significant increase in reporting accuracy as a result of automation. Lastly, other functionality considerations might include user-friendly interface experience and scalability to meet the company’s future needs.

2. Compatibility. Is your accounting system compatible with other key computer programs and applications used in the day-to-day operations? It is beneficial to conduct this process of the assessment with an IT personnel or consultant. They can assist in identifying which computer programs and applications are compatible with your current system or whether some customization will result in a seamless connection. Another factor to consider is the personnel cost to capture accounting data from these non-compatible system(s) into your accounting system.

3. Accessibility. Where is your accounting system hosted? On a local server or on the cloud? This is important when determining if remote access is available or efficient. Consider the time it takes to access the system, who needs to gain access, and the location in which they are trying to log in. These factors will assist in assessing whether your current access is adequate in meeting the needs of the company. Lastly, consider consulting with an internal or external IT specialist on the internet speed requirements to ensure the internet bandwidth is adequate.

4. Customer Support. It is important to assess your current accounting software vendor’s customer support. Do you receive timely responses and customer service from the vendor? Are the accounting system updates automatic with little or no interruption? Consider if there is efficient technical support available through the helpdesk line and/or online support desk. Also, explore whether your system has training videos and how-to tutorials readily available for users.

While there are several other factors business owners should consider, these four key areas can most help you identify whether your current accounting system is adequate or it’s time to explore other options, such as Sage Intacct. This innovative cloud-based accounting system includes functionality features such as multicurrency management tools, automated multi-entity consolidation, user-friendly interface experience, purchase order automation, customizable dashboards and more. Doeren Mayhew’s dedicated Business Advisory Group works closely with business owners to help them better understand their accounting software and use it to their business advantage. If you would like assistance in the assessment process and/or to explore an accounting system that best fits your needs, contact us today.