As a business owner, you probably remember when you first purchased your accounting software, and quite confident it would be with you for the duration: it was affordable and simple to use.
Eventually, the company stakeholders all agreed that it was time to move on to another, more powerful accounting package—the business had outgrown QuickBooks.
The Entrepreneur website offers insight on when, exactly, a “business has outgrown Quickbooks (QB).” Surprisingly, the key is not the size of the company, but how efficient QB is in handling the log jam of tasks linked to growth.
As the report’s author, Joe Worth, points out:
There’s no one answer to how big a company must be before it outgrows the software, though. I’ve worked with two $25 million companies: a software firm for which QuickBooks worked just fine, and one that needed a more robust platform to track hundreds of invoices and payments per day, something the program wasn’t built to handle.
A company may add a new branch office, or warehouse. However, QB shows limitations in tracking financials for each facility, let alone delivering consolidated reports in an efficient manner.
Then, as the sales force expands QB fails to handle the ensuing “complex revenue-recognition programs.” This includes the range of sales commissions, or bonuses, something QB finds “difficult to manage.”
The demand for ‘compliance’ and ‘quality.’
For companies working with government contracts, the focus is on a getting invoicing right and any reporting requirements when it comes to vendors or sub contractors.
Often, ‘growth’ brings more users logging transactions in QB all at the same time. This can cause inaccurate data entries, and a whole range of reporting problems.
Companies on the verge of replacing QB should contact us. We offer a range of accounting solutions from Microsoft Dynamics software that offer advanced accounting and CRM/ERP capabilities that Quickbooks simply cannot offer its customers.