When we talk solutions there is always the “next best thing”. You may also hear of software companies coming and going or have lost their edge because they changed or stopped their focus on a particular part of the market. In the Accounting World, we aren’t overly spoiled for choice in the cloud space.
We could probably list this out like bullets, if too wordy with their logos perhaps?
Okay..there might be a few out there…and some that have subsidiary products beneath them too.
Comparable to CRM Solutions, Inventory Solutions – Accounting solutions are lesser in the number of choices. Out of these accounting solutions, one very popular solution that has taken the world by storm and loved by many is NZ based Cloud Accounting Solution – Xero. So why would you ever change from a solution you love? When you begin to hit your limits with a system, you very quickly begin to part ways with the love of it. The same may apply to many things but here we are talking about Accounting Systems.
Small or even in some instances medium size businesses prefer Xero by default because it is easy to use, intuitive. Now there are a lot of different ways you can outgrow a system, but with Xero the issue arises when you are working with transactions, for example; Trade or Business to Business customers, that are specifically On Account and need to bring transactions through line by line, this can be seen as a limiting factor because Xero has a soft limit of 1000 orders PER MONTH (Shhh I didn’t say soft I meant a hard limit). SO, You do have the ability to push the limits on this, I know clients that are doing about 6000 in sales order transactions, but these are mostly from online orders which can be sent through as a single batch by payment method, rather than a line by line transaction.
The implication of this, where you are truly pushing the boundary is that it can slow down the system, crash or even provide reporting information that will not make sense.
6 indicators: you are outgrowing Xero:
- When you are generating more invoices/sales orders, purchase orders and banking transactions which is above the system limit
- You have a large number of addon applications it can be a challenge to keep them all talking to each other
- If you are spending too much time in a system just to keep it running (this is not just Xero it could be other systems too) then maybe time to switch
- You need to work a lot more in excel, which defeats the purpose of your system
- Reports are slowing down and timing out on you
- You need to expand into new markets where language, tax, and regulation becomes a focus
Where should you go?
I will let you in on something, even Xero has outgrown itself from its own market and is working with a financial solution to manage their business performance.
This is actually a great thing if you have made it this far successfully, where you have outgrown Xero, don’t feel worried about it, certainly a good problem to have and rest assured that there is an answer.
As I said right at the beginning, people are always looking for the next best thing, so this might be the time to do just that. People are often screaming at the name “Oracle Netsuite” because they associate this name with huge cost and run in the opposite direction. If you were to buy the full suite of functions within Netsuite, yes there would be some serious costs to consider and the return on investment would be a serious factor too.
However, Netsuite Financials could be a great solution and often misunderstood as being the whole package, especially for those who are embarking on it for the first time. If you have a specific industry focus, Netsuite has pre-bundled editions to help you find the most appropriate one to suit. Their base price license costs start out at $999 plus $99 per user per month. They may have longer-term contracts than you may be used to with other cloud software solutions you have come across. Needless to say, Netsuite is not the only answer and it will largely depend on what you are trying to achieve for your business.
Another solution that is worth looking at and will provide you with the financial stability, that you may like to consider:
This is an ERP Solution, without Netsuite Pricing and has it’s own built-in an accounting solution. A successful New Zealand established a business, in the cloud space for the last 12 years. Very focused on the omnichannel space with customers who intend on selling online through (Shopify) or can provide a bespoke platform to sell online with, An added feature of a POS environment, suitable for businesses looking to manage everything in one system. They can connect you with Big Box Retailers, for example, Coles, Woolworths & enables you to close the loop by connecting you with 3rd party logistics solutions as required. So definitely worth finding out more about them.
If you aren’t sure, talk to WhichAddOn and we will work through this with you to find the appropriate solution for your needs. This is what we do all day every day, so have a chat and let the experts figure it out with you.