Regardless of the size and nature of your business, selecting the right technology to capture your core business transactions is key to being able to accurately measure financial performance.
The following 3 tips can be helpful in your decision making:
Tip 1 – Size Matters
If you are a start-up or small business, your accounting system requirements will differ compared to medium-large companies. Due to lower volume transactions, smaller number of employees, creditors and debtors, an off-the shelf accounting system can provide a practical solution. As your company experiences, a more customised accounting software solution will become more relevant to be able to handle an increase in capacity and any added complexity.
Tip 2 – Its All About The Cloud
Cloud based software and systems are the ‘in thing’ at the moment. Everything seems to be stored somewhere in a cloud! So what is this cloud based accounting and why should you get on board?
Cloud based accounting gives you the flexibility as a business owner or your management team to access your financials anytime and from anywhere. Its real-time financial data at your finger tips to help fast track decision making and monitor performance.
Tip 3 –Know Your Budget
Allocating a realistic budget towards your accounting system and budget can help eliminate expensive choices. When determining the budget amount you are prepared to allocate, the following considerations can be helpful:
• Installation setup costs and ongoing maintenance/licence fees
• Training costs (initial and potentially on-going)
• Consider your existing technology infrastructure and its compatibility
Overall, the important thing is to keep the selection process simple and align your selection with your strategic business objectives.