Monday, August 28, 2017

IT Setup for SMEs of about 5 employees (Part 4-1)

IT Setup for SMEs (Selecting Accounting and Sales Solutions)

We are active advocate of accounting solutions (including MYOB, Moneyworks and Xero) as most of the time we want control over our business. And the most important control is in the area of finance. However, many businesses believe that their focus is in sales, and finance should be left to accountants who will be engaged for year end for statutory tax reporting purposes. This also means most SME bosses will know real results of their business at the end of the year. What then can you do if you find your results are bad at the end of the year?

Fortunately the new era accounting solutions has evolved into simple operations software. Instead of you keying in MS Excel or MS Word to generate your invoice or purchase orders, you are using accounting software to enter those as it will help you remember customer and supplier details and simplify your administrative task. 

What are the selection criteria when you look for a business solution that solves your accounting and sales problems? Some of the important considerations when choosing such solutions include:

  1. Easy of use - try out to see if you understand by just clicking around
  2. Specific needs - inventory with multi-warehouse, multi-currency trading, serial number tracking, project costing and departmental costing etc
  3. On-premise or On-cloud - choose to pay once or subscribe monthly
  4. Future extension - allow integration with other solutions
We do have articles written for you with regards to On-premise or On-cloud and also comparison between MYOB and Moneyworks which will help you understand the differences.

Below are top 5 simple reasons we have gathered from our customers on why they are looking for accounting solutions:
  1. We want to know at any point of time (not just year-end or month-end) our cash and performance position to make important and on-going strategic business decisions
  2. We want to track our projects to know if each project is profitable
  3. We need to track our profit and loss every month so that we will not be late to be notified
  4. Our business has grown and is hard to track via Excel formulas
  5. Our existing accounting software cannot track batch or serial number, but is statutory requirements in our trade (common among pharmaceutical and mobile phone trade)
We should start planning to reinvest and/or re-align our business with relevant software solutions that will bring us to the next level in this digital age.

We hope this helps simplify your thoughts on considering accounting and sales solutions.

For further clarifications and assistance, please feel free to contact us now.

William Tan

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