Quickbooks is a great piece of accounting software for small startups that want to focus on their core competencies in pursuit of growth. But once that growth kicks into gear, Quickbooks begins to lose its utility. And shortly after that it becomes ineffective altogether.
Relying on incapable or incomplete accounting tools puts any company in a precarious position, but particularly companies still striving to gain a foothold in the market. That is why it’s so important to recognize when you’re starting to outgrow Quickbooks as early as possible and begin transitioning to something bigger and better immediately.
Here are five leading indicators that suggest it’s time to switch:
Manual Processes Dominate Your Workflows
Growing companies can’t spend their time managing spreadsheets. Unfortunately, Quickbooks is largely dependent on manual inputs, which is unsustainable as ledgers get larger. Moving to a system that automates more things like billing and order entry frees up accountants to focus their efforts elsewhere.
Reporting is Cumbersome and Confusing
Reporting should be driving your decision making, especially if you’re on the cusp of major expansion efforts. Quickbooks has reporting tools, but once again they require a lot of upfront input and only deliver shallow insights. Companies that are ready to make a leap will want reports to be based on the best and most data possible.
Data is Lacking Form and Function
The amount of data that SMEs deal with can multiple seemingly overnight. Even though Quickbooks is designed to keep this data orderly and organized, it’s easy for a patchwork approach to develop and send the entire system into disarray. At that point it takes too long to find the right info. And even when it appears, there are questions about its accuracy. Switching to a system that can seamlessly scale upwards is essential.
Multiple Locations are Disconnected
Opening up second and third locations is a sign of your success. But if those locations are not instantly sharing all data in real-time that success will quickly become an obstacle. Quickbooks has limited functionality when it comes to multiple entry points, and at a certain point it becomes entirely inadequate. Companies will want to have a more expansive system in place before investing in new locations.
Systems are Difficult to Adapt
With growth comes change, and a company’s ability to adapt with speed and flexibility often drives its next success. Quickbooks is great for its out-of-the-box functionality. But as your business grows and develops more unique needs, those functions may prove inadequate. And trying to evolve them is a slow and often unsuccessful process. A system that can keep pace with growth runs less risk of inhibiting it.
If your company exhibits any of these leading indicators, it’s time to think about upgrading to an upper-echelon solution. The financial management software from Sage Intacct is a natural fit. Contact InCloud360 before you outgrow Quickbooks even more.