Using QuickBooks can be helpful to a company in multiple ways. QuickBooks will help improve your company’s cash flow, customer relationships, and inventory readiness. Its bookkeeping abilities can have a good impact on all your company accounting operations.
QuickBooks will save you time, which will save you money as well as reducing bookkeeping errors. How? If a customer/vendor has questions or if you need to find critical details to solve an issue, you will be able to find the solutions faster. When you put to use everything that QuickBooks has to offer, you'll soon find that it’s more than just getting the numbers right, it has many exciting features to assist you with your accounting needs.
QuickBooks can help you to maximize the effectiveness of your accounting time so that your company has more time to:
* Balance between income and expenses.
QuickBooks Online provides fast, real-time overviews of the company sales status.
It’s important that you understand where your financial bottlenecks are before you can begin to improve your company cash flow. QuickBooks provides this information for both income and expenses in a variety of ways. For example: As you can see in the image above, there are seven past-due invoices. When you click on the orange bar you will see a list of the past-due invoices and you can send reminders automatically. QuickBooks also allows you to automatically use the process of sending statements.
By running accounts receivable and accounts payable reports you can see where you stand with your customers and vendors. For example: Open Invoices, Un-invoiced Time, Unpaid Bills, as well as Accounts Payable Aging Detail. If it’s determined that a consistent problem with cash flow is that customer payments are late, you have the ability to set up a merchant account through QuickBooks to support credit card payments and bank transfers.
* Increased repeat business due to improved customer interaction.
Customers are gold to your company. You need to build the best relationship possible with your customers. You must also have a clear, updated image of their transactions, payment details, and history, as well as your interaction with the customer. In QuickBooks you'll find a template for Customer information records that will provide things such as customer contact information, real-time updates on customer invoices and payments, estimates, and time activities in the form of an interactive list with links to immediate actions you can take.
* An increased stable and profitable inventory of products.
It's important to be smart about inventory levels when your company has products for sale. When your inventory levels are too high you'll have too much money unnecessarily tied up. When your inventory levels are too low, you risk turning away current or potential customers and possibly losing business from these customers in the future. Utilizing the QuickBooks inventory-tracking tools will help you to achieve and maintain balanced levels of inventory by letting you know when and how much inventory to reorder.
Evaluate your inventory status very quickly with ease to in QuickBooks Online.
QuickBooks also offers multiple inventory reports such as, Inventory Valuation Detail, Physical Inventory Worksheet, and Sales by Product/Service Detail.
* Growth readiness.
Will you be ready if an opportunity presents itself that requires additional capital? What if you decided you want to purchase another business, hire multiple employees, or even just move into a larger office space? Most companies want to be in the position to grow.
Would you know what format to use or how much financial information you would need to provide if you want to attract new investors or apply for a business loan? Your potential lenders or investors will want to see very specific reports such as your standard financial statements. QuickBooks includes templates for these statements that include; a Balance Sheet, Profit and Loss, and Statement of Cash Flows.Thanks to customizable templates, these reports are easily generated in QuickBooks. However, analyzing these reports to ensure they are ready to be seen by a third-party takes the expertise of a professional. At Summit CPA we offer QuickBooks consultation. If you would like further information on how we can assist you with your bookkeeping needs, contact our office at (866) 497-9761 to schedule an appointment with our advisors.