6 Tools Accountants Need in an ERP

Posted by Lauren Verner on 10/5/16 2:30 PM

When looking to upgrade to an ERP system, make sure to keep your accounting needs in mind. There are tools that ERP software can offer that can help you (or your in-house accountant) to keep the numbers in order and prevent any costly or time-consuming problems.

Single Area for Customer Ledger: Being able to manage customer’s sales orders, invoices, cash receipts, payment history, finance charges and more instantly in one screen is a huge advantage and time saver. If you can also find one that has the ability to drill-down into details of all your customers’ transactions, you can avoid time-consuming workflows.

Tools for Collections Monitoring:  Finding an ERP that sends lists of customers with overdue balances automatically to your collection team on a daily basis makes it easy for them to prevent even the smallest open balances from slipping through the cracks. Monitor A/R collection issues with automatic, real-time aging and credit limit checks. Credit limit checks performed during order entry allow you to instantly identify customers becoming credit risks, saving you a headache later.

Ability to Manage Vendor Rebates – Some ERP systems have a specific tool just for vendor rebates. You can consolidate your purchases to help you maximize your rebate earning potential. An ERP that will allow you to enter formulas for your vendor rebates also permits for more precise control - and you don’t lose out on cost savings.

Customizable Accounts and General Ledger – Seek out the flexibility to customize your chart of accounts and general ledger to fit your company’s specific needs. Find an ERP that is readily expandable to accommodate your business growth, so you don’t have to struggle with switching software systems while opening new branches.

Demand Real-Time Information – In today’s modern environment, you require information in real time. An ERP that lets you review the most current data to manage your cash flow allows you to make faster and smarter decisions based on current company data instead of waiting for end of month, quarter, or yearly reports.

Bank Reconciliation Tool – You’ll be able to automate and simplify your monthly reconciliation processes if you can find an ERP that has a detailed reconciliation screen. Certain ERP systems have segmented or color-coded bank balance updates as you check off transactions, making it easy to match to your bank statements. You'll also want to see detailed transactions for every entry, and be able to save your work to go back and make adjustments later if necessary.

One software that has all of these great accounting tools in one software is Inform ERP. Learn more about Inform ERP's accounting tools and how it can help your distribution business »

Topics: Tips & Tricks for Distributors

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