QuickTips: Tips & Tricks For Bookkeeping Success
Over the years, QuickBooks® has emerged as the most popular accounting software for small- to medium-sized businesses and, as you can imagine, different versions are available to suit a range of different business needs. Specifically, because of the challenges traditionally associated with managing inventory, manufacturing businesses usually need their accounting software to do a bit more.
You already know that tracking inventory can be tricky. Fortunately, QuickBooks Enterprise for Manufacturing and Wholesale with Advanced Inventory provides users access to an entire suite of tools to address these specific challenges.
QuickBooks Enterprise for Manufacturing and Wholesale with Advanced Inventory has all the features and tools of QuickBooks Pro and Premier, plus the ability to store up to 100,000 inventory parts and 100,000 customers, and can be used in multiple locations – all with a more robust user security setup. Additionally, this version of QuickBooks features:
Integrated inventory management. With the advanced inventory add-on, you can easily manage inventory within QuickBooks.
Expanded user access. You can now increase productivity and accomplish tasks faster with the ability to provide access for up to 30 users. Users can simultaneously access your files from anywhere at any time.
Superior data crunching. Users can work in two files at once and tackle supersized data files.
For many, the beginning of the year is a good time to establish business goals, and with the right tools, you are more likely to be successful. In addition to the features outlined above, this version of QuickBooks can also help you:
- Stay on top of your overall sales order status from beginning to end with one, simple-to-use dashboard.
- Keep track of receiving and picking with mobile inventory barcode scanning that syncs with QuickBooks.
- Improve inventory management and reduce stocking errors by providing you with a real-time snapshot of inventory levels with a centralized inventory dashboard.
- Track inventory between locations and transfer items from one place to another.
- Control inventory with serial or lot number tracking and bin location tracking.
- Use average cost or first-in-first-out accounting.
- Manage demand, purchase orders, fulfillment, backorders and assemblies.
- Develop an array of customizable, key reports.
This QuickBooks Enterprise software is available as a desktop version. However, for those who use QuickBooks online, standard operating sheet (SOS) inventory software is available. SOS inventory is geared to help small to medium-sized businesses with better inventory, order management and manufacturing than using just QuickBooks Online alone. This software offers many capabilities such as sales orders, assemblies, serial inventory, multiple locations and more. The software is also flexible enough for use in hundreds of different industries beyond manufacturing.
Move the Needle With KPIs
Reports can help you track your key performance indicators (KPIs), which are vital to gauging the overall health of your business. These tools measure how your business is progressing toward your goals while helping you make better informed and strategic business decisions. Your accounting software can be used to track the following KPIs:
- Revenue
- Cash Flow
- Gross Profit Margin
- Net Profit
- Current Ratio: The ability to pay your bills.
- Cost of Goods Sold: Direct costs incurred from producing products that were sold during a specific timeframe.
- Net Profit Margin: Determine what percentage of your revenue was profit.
- Aging Accounts Receivable: Amount your customers owe you, sorted by date.
- Total Inventory: All of the products your company has: raw materials, work in progress and finished goods that are ready to be sold.
- Profit and Loss Statement: Snapshot of your company’s income (sales and revenue) minus expenses, during a specific period of time.
While the desktop and online software are both user-friendly and offer guides and tutorials, Rea’s team of CPAs, bookkeepers and Certified QuickBooks ProAdvisors are available to help you with the set up and implementation of these programs and can show you how to get the most out of the software. Contact us today to get started.
By Matt Long (Wooster office)