Sarrah McNall, Operations Analyst at Carlson, explores the advantages of using Sage Intacct rather than QuickBooks. With more robust and user-friendly financial controls, Sage Intacct empowers multi-entity businesses to get the full financial picture. For more information, please visit: Sage Intacct: Best in-class ERP software.
*The user-friendly Sage Intacct interface
In my experience, one of QuickBooks' limitations is how it manages multi-entity companies. When I was at a previous employer, the month end close process was a very stressful time in the office. With a tight timeline, we only had five days to close out the previous month. Additionally, this company had one location with shared resources across four different companies. At the end of every month, we had to download all the Profit and Loss statements (P&Ls) and Balance Sheets into one Excel workbook. The workbook had a series of complicated roll-ups in which we manually determined each company's percentage of resources used, based on the amount of revenue and time the employees spent at each company.
Sage Intacct streamlines this process, making it faster and easier to perform otherwise time-consuming tasks. At the click of a button, I can gather all the information I need. Its helpful Allocation feature eliminates the need to do manual calculations in spreadsheets while reducing the room for error. My allocations are automatically set and selected inside of Sage Intacct.
With the calculations in QuickBooks, we filled in more spreadsheets by distributing the shared expenses among the companies. We then performed the calculations for the massive Journal Entry, which we converted from the Excel file into a format compatible with uploading to QuickBooks. Crossing our fingers every month, we hoped everything aligned, the imports worked correctly, and we didn't lose any data in cyberspace.
As QuickBooks is not able to show more than one company at a time, we manually created a combined P&L statement and Balance Sheet after we uploaded the Journal Entries to each company. If we wanted to drill down when examining the combined P&L, we had to open each company separately to find the information. This involved opening two QuickBooks companies on my desktop computer and two companies in our server to navigate through all of them.
Sage Intacct again saves the day with its streamlining capabilities. When handling multi-entities, I can set parameters that automatically create recurring Journal Entries that apply across the entities. For example, Entity 1 used 60% of the total payroll, Entity 2 used 20%, Entity 3 used 12%, and Entity 4 used 8%. When the payroll was paid through Entity 1, the Journal Entry for Inter-company Expenses distributed it to the other companies. I am also able to control Inter-Entity postings based on account selection. Even better, Sage Intacct's posting solutions are at my fingertips with a simple mouse click.
All in all, Sage Intacct saves me time and money by automating my most important, and historically tedious, processes. I can now view my information all in one place and gain actionable insights that lead to more informed and better business decisions. You can't beat the 140 detail-driven reports that are available in real time that eliminate the need to manipulate data and reduce the human-error element.
Want to explore how Sage Intacct can give your business greater financial and operational visibility? Discover why this cloud accounting solution is built for your success.