Still Using Excel for Accounting? You Might Want to Read This….

Still Using Excel for Accounting? You Might Want to Read This….

On March 1, 2018, Posted by , In Quickbooks, By ,,, , With Comments Off on Still Using Excel for Accounting? You Might Want to Read This….

For many small businesses, Excel is the default choice for bookkeeping. Excel absolutely has great purposes in the workplace and does many things very well. However, as your business and customer base grows, the risk of broken formulas, misplaced data, and lost files grow with it. Here’s why it is crucial to use the appropriate accounting software, such as QuickBooks, for all of your accounting needs.

Backups             

When you use cloud-based accounting software, you don’t have to remember to frequently save your file or verify “auto-save” is on. No fear of a hard drive crashing, losing internet connection along with the two past hours of work, or spending an absorbent amount of money to have your IT person come out and backup your files on a regular basis.

Cost

You’re probably trying to figure out how in the world using excel is more expensive than using QuickBooks. The true cost is all about how much time it requires to manage. A great deal of time goes into small business accounting, especially when the individual doing it is untrained or if there are mistakes that need correcting during crunch time. There are no Excel accounting templates, which means someone will have to take the time to create the templates and formulas that will work for your business. QuickBooks, on the other hand, was specifically developed by individuals who know the ins and outs of accounting, ensuring it is able to benefit nearly every business scenario without the user having to do all the formulating.

Cash Flow

Many failed businesses site financial difficulties as their downfall. Surprisingly, it isn’t the lack of income causing these pitfalls, but the lack of forecasting. In the beginning, it will be simple to track how much money you will have down the line, but as you grow cash flow will get more complex which will make it much more difficult to make major decisions. With QuickBooks, a brief glance can inform you of your accounts payable and receivable. If using Excel, you would have to spend hours building reports that already come with QuickBooks- and take mere seconds to generate.

Errors

Errors in excel tend to have a domino effect, often leading to huge repercussions. You spend all this time formulating the “perfect” template and then you misplace a decimal point or enter the wrong digit and it’s now using that to miscalculate other computations. In 2012 JP Morgan Chase lost at least $6 billion in the “London Whale” incident due to copying and pasting incorrect information that was then fed into other calculations. While your small business may not be gambling with losing $6 billion, human error costs businesses revenue day in and day out. For a small business this kind of loss, albeit on a smaller scale, could be devastating.

Expertise and Skill

Have you ever tried calling Microsoft for an accounting obstacle in Excel? Of course not because that is not Microsoft Excels primary function. On the other hand, QuickBooks has been created with functionality and accounting principles in mind. As QuickBooks Pro Advisors, BOSS has free 24/7 access to the most knowledgeable support tier at the QuickBooks call center. The power of Excel is in no way comparable to the benefits of using an efficient, user-friendly accounting software alongside a team of accounting professionals that know the ins and outs of your specific case.

Excel is a great business tool, but grass shears can be considered a great lawn tool. Does that mean you would use grass shears to cut your entire yard, or would you go buy a lawnmower? Using the right tool for the job from the beginning will save time and money. Don’t put the financial integrity of your business at risk. Excel was not created to replace accounting software, so let the BOSS team show you how switching to QuickBooks will give your business the ability to grow and succeed.

 

Are you ready to make the switch to QuickBooks? Then It’s Time to Start With the BOSS!

The BOSS team provides professional, responsive support for startups and small to medium businesses that need to outsource services including tax preparation, bookkeeping, sales tax processing, and payroll processing.

For more information, or to schedule your FREE 30 minute consultation, email info@startwiththeboss.com, or call us (Monday – Friday) at (910) 338-1198.

We look forward to hearing from you!

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