Which Cloud Based ERP Software is Right for You?

 

When it comes to accounting, there are a great many armchair enthusiasts out there. This is true even of cloud based accounting software. The type of software that looks really good to you, the business owner, because it has all the bells and whistles and promises you one thing or another or your money back. But, the truth is that only you and your business know exactly what you need in terms of financial accounting. That's why you have to take a very careful look at all of the cloud based accounting software packages available to you.

Making the best decision for what is right for you and your business is hard. Do you need separate payroll accounting for executives, managers, and the floor? Do you need separate accounting for different departments within your organization such that the money passes from one to another in some logical sense? Maybe you do, and maybe you don't. Either way, we can help you determine the best cloud based accounting software for your business needs.

There are lots of different cloud based accounting software packages out there in the world. You can go from a Tier 1 ERP software like Intuit's QuickBooks Online, to Tier 2 ERP software like Microsoft Dynamics, to a Tier 3 ERP software like SAP. A quick internet search will produce dozens of potential cloud based accounting software packages. However, there are only a few like Microsoft Dynamics ERP that can fit the needs of many different types of companies in all the various industries that are out there.

A Tier 1 cloud accounting software like QuickBooks is great for startups and small mom & pop stores. However if you are a business with over 20 employees or plan to grow at any point, QuickBooks has serious limitations. You can only store so many inventory products, the chart of accounts is limited, can only handle a certain number of transactions per month and investors hate QuickBooks since you can make changes to tables which normal Tier 1 and Tier 2 ERP systems would NEVER allow. As J. Carlton Collins notes in his research article:

“QuickBooks does not support serial number tracking, multiple warehouse locations, or customer-specific pricing. You know you're beginning to outgrow QuickBooks when you notice unacceptable menu and screen delays occurring as you navigate through the product. Another clear indication you’re outgrowing QuickBooks occurs when your reports begin taking an unacceptable amount of time to print.”

A Tier 3 ERP product like SAP is usually overkill for a lot of companies unless you are a Fortune 500 company with thousands of employees across the globe. Usually these are multi-year and multi-million dollar implementations.

However, a Tier 2 ERP software like Microsoft Dynamics can cater to the small startups that want to set up their company correctly from day 1 and will be attractive to investors who are looking for a stable company/product to invest in that is SOX compliant. As this article by CompuData notes:

“More horizontal Tier 2 ERP systems tend to be financially stable and often have third-party enhancements that make up for missing complexity out of the box. These systems tend to be the most popular for the mid-size company. They can be installed and supported by local partners and offer a lower TCO.”

Contact us to learn more. Or take our free Solutions Assessment to find out which Microsoft Dynamics product is best for your company

Written by B.H (Sales Team)