When you first start your small business, you might not need accounting software. Tracking your expenses and income on a spreadsheet might suffice just fine. But, there will come a point when you need to spend less time on your finances and more time running your company. That’s when you might consider looking through Sonary accounting software reviews for a product that meets your needs. But how do you tell if you’re at that point? Here are some signs that you’re ready for accounting software.
Your Company Is Growing
Businesses are supposed to grow. After all, that’s the point of starting a company in the first place. So, if you’re experiencing success and growing rapidly, accounting software will become necessary to keep your finances in order. This is particularly true if you’re hiring employees who will be handling the books for you. A spreadsheet will quickly become uncontrollable if multiple people access it.
Even if you hire an outside accountant, software will make their job (and ultimately your job) easier. For example, with software, you can grant your accountant access to your books or send them a file of your financial information on a thumb drive or disc. If you don’t have software, the sharing process becomes much more difficult and could possibly result in accounting errors.
You Are Needed Elsewhere In The Company
Chances are you didn’t start a company to be an accountant. When you find yourself performing more accounting tasks than actual business-related tasks, it’s time to automate your accounting process as much as possible. Duties like tracking inventory, invoicing customers, processing payments, and monitoring expenses are necessary for all companies, but they can be a huge time suck.
Most accounting software products automate these tasks and many more. As a result, you can get your accounting tasks done in less than half the time it takes to do them manually, giving you hours per week to get other things done. You’ll be amazed at how productive you become once you use technology to perform your most mundane accounting jobs.
You See An Increase In Errors
Manual data entry has a high risk of human error, which means you could end up with a major accounting mistake that costs you hundreds or even thousands of dollars. Of course, small errors will happen, even with software, but when you automate processes, you eliminate many chances for mistakes to occur.
If you haven’t made a lot of errors yet, the odds are that you will start making mistakes as your business grows. You might have less time to do the tasks you need to do, which will cause you to rush through the accounting process. Or, you have to pass the manual tasks off to someone who isn’t as careful as you are. Either way, errors indicate that it’s time to automate and lower your risk of mistakes.
If you’ve been hesitant to buy accounting software up until now but are experiencing any of these signs listed here, you’re ready to pull the trigger and start shopping for a product that will take your company to the next level.