10 Sure Signs Your Accounting System is Holding Your Business Back

Most companies start out with accounting software designed specifically for small businesses. But as businesses grow and become more complex, entry-level accounting systems and ad-hoc processes can become a deterrent to growth and profitability.

Change isn’t easy, and it’s common for businesses to become so immersed in the processes that run their operations that they may not notice that the accounting system isn’t as useful as it was when first installed. Cost and downtime concerns add to the tendency to put off upgrading and try to “get by” with current inefficient systems.

Financials are the most critical data that a business can track and analyze. All major business decisions, from hiring to expansions, are based on accurate, up-to-date financial data. If you want to grow your business, whether it’s by the number of employees or product lines and services, then it’s inevitable that you will outgrow entry level accounting software.

Take a step back and evaluate whether your business is showing any of these signs that you may need to upgrade to a more powerful ERP system:

1. Transaction volume is increasing and regular business processes are eating up more and more staff time.

2. You have to wait for employees to audit the data and close the books to get the information you need.

3. You need to ask your IT department to build reports or software add-ons.

4. You are planning to add locations or facilities.

5. Employees are reconciling accounts outside of the accounting system, or are creating other workarounds.

6. Data entry and reporting errors are increasing.

7. Reports don’t include the level of detail needed to make important business decisions.

8. The number of transactions and accounts is impeding system performance.

9. The number of users who can access your accounting system is limited.

10. Employees need to access data from mobile devices to be more productive.

Businesses are finding that robust business intelligence software such as Microsoft Dynamics GP is more affordable than entry level accounting software. Improving the efficiency of employees in every department by automating and streamlining processes will equate to greater productivity and profitability – which leads to a healthier bottom line in the long run.

For more information on how upgrading your accounting system can impact your business, view the on-demand webcast, “Outgrowing Your Entry-Level Accounting Solution? Microsoft Dynamics GP Can Help.”