Accounting processes takes up a lot of time, effort, and resources—more so than any other business processes. The scope of modern accountancy is no longer confined to just bookkeeping.
As a small business, you need to make use of your accounting data to generate meaningful insights. Accounting data tells you about where you stand compared to competitors and what you need to do to improve. It helps you identify areas where you should cut costs and areas where you can spend a little more for better benefits.
In short, accounting helps you analyze profitability, but at the same time, it’s a driver of profitability. So if your data is not processed accurately, you end up losing huge sums of money—both with regard to opportunity costs and even fines.
We have a better proposition—using QuickBooks!
Here’s how this software can turn around your accounting processes:
Accurate financial reporting
A financial report (income statement, balance sheet, cash flow statement, or bank reconciliation statement) reflects how good your business has been doing in terms of revenue, expenses, and profitability.
In order to draft these reports, businesses need to use specific methodologies and formats that are overseen by the IFRS and GAAP. The reports take hundreds of accounting figures into account, including sales, depreciation, amortization, etc. In a nutshell, preparing accurate financial reports is no easy feat.
This is where QuickBooks comes in. You can generate a profit and loss report, balance sheet, and statement of cash flows whenever you wish to. The process only takes a few minutes and a couple of clicks. You can choose the information you want the report to consider. These reports can be generated on a quarterly, monthly, and weekly basis.
If you have QuickBooks Enterprise, you can also add extra columns and rows of data in these reports and customize them. Most companies prefer generating industry-specific financial reports—QuickBooks Enterprise caters to that aspect too.
Payroll is an accountancy process that needs to be as accurate as possible. If you mistakenly understate your employees’ monthly salary, they’ll be unhappy and demotivated. Payroll accuracy is also important from the perspective of employee taxation.
With QuickBooks, you don’t have to put in too much effort into generating the payroll. The software comes with a built-in payroll module that calculates, records, and facilitates all the payroll related transactions.
You don’t have to go extra lengths to pay employees via direct deposits. Luckily, QuickBooks also allows you to choose whether you want to pay your employees via a check or a direct deposit.
In addition, you don’t have to worry about payroll taxes either. QuickBooks will not only fill out all tax forms for you, but will also calculate tax expense as per federal and state requirements.
In addition, QuickBooks will also send you reminders about unpaid taxes and looming deadlines.
Automated data entry
Most businesses manually enter data into accounting systems, and the process takes ages. Here’s are the major disadvantages of manual data entry:
- Time and effort-intensive
- Prone to errors and miscalculations
- Difficult to track
- It’s not easy to keep too many paper-based receipts safe for data backup purposes.
Here’s how QuickBooks does it better: all you have to do is take a snapshot of a receipt and scan it. QuickBooks will not only interpret the data, but will also categorize and store it in the system. This way, your receipts will not only be more organized, but can also be accessed when needed. QuickBooks matches the data in these receipts with the corresponding bank transactions and groups them accordingly.
Since QuickBooks is cloud-based, there’s no limit to the number of receipts you can scan and save. Plus, the process hardly takes up a few minutes.
QuickBooks has helped most businesses and their accounting processes go paperless. Yours can also be on the same list. Get in touch with one of the best QuickBooks hosting providers like gotomyerp to discuss your accounting needs. Our consultants will guide you about the QuickBooks version that suits your needs the best. Some of our best-sellers include QuickBooks Premier, Pro, and Enterprise. Other than that, we also offer Sage Cloud hosting services. Get started now.