Why Use QuickBooks Over Sending Statements to Accountants?
Question: I send my bank and credit card statements to my accountant at year end to do my taxes. What benefits are there to using something like QuickBooks instead?
Answer: There are lots of reasons. First, in QuickBooks, you are able to write and submit orders to customers and suppliers. From there, you can track the orders, invoice the client directly from the software, and record receipt of payment by clients as well as your payment to suppliers. Every time you record such a transaction in QuickBooks, it is automatically entered into your accounting system. With this, you avoid missing a payment that is due from a client or double paying a supplier (a pretty common occurrence). At year end, you simply send your reports to your accountant—perhaps saving on tax preparation fees.
QuickBooks is by far the most used accounting software for small to medium sized businesses, so finding bookkeepers and CPA’s familiar with it is simpler. Also, because the software is so widely used, it is more trusted should you apply for a loan or try to sell your business.
Please email your questions to Harriet at Ask The Accountant.
QuickBooks Premier and Enterprise can be modified to better serve ad specialty distributors. Harriet Gatter is a QuickBooks ProAdvisor, a former accounting professor and a former ad specialty distributor. She advises ad specialty distributors to use QuickBooks Premier and Enterprise, often in conjunction with other industry-specific software, to manage the complexities of the ad specialty business, with the results being time saved, errors eliminated and an overall accurate accounting of your business. Contact her at email@example.com.