Hey Fred,
Until now, I have not paid much attention to my company’s
accounting and bookkeeping issues. We have an experienced bookkeeper
who uses a generic accounting package to manage our books. Because it
doesn’t do everything we need, she runs some reports and billing
through spreadsheets. Unfortunately, she recently gave notice, and now
I am panicked with the thought of replacing her. Should I hire someone
who knows these systems or bring in someone who can run a more
sophisticated job cost accounting system, as my accountant suggests? - Carl
Hey Carl,
Let’s look at it this way: no matter which path you choose, you
will undoubtedly experience some down time and a learning curve. So why
not bite the bullet and upgrade to a true job cost accounting system?
The fact that your accountant has recommended a change — not to mention
the disjointed use of spreadsheets for reporting and billing tasks —
tells me that you have many needs that are not being addressed.
The question I have Carl, is why aren’t you paying close
attention to your company’s financials? A good construction accounting
system can handle far more than just bookkeeping tasks; it’s designed
to help you understand your job costs and take control of your
business. But no technology will do everything for you. If you don’t
have a firm grasp of your company’s financial data, especially in
today’s competitive economic climate, your business won’t survive in
the long term. Instead of worrying about the loss of your bookkeeper,
maybe you should look at this as an opportunity to understand the
numbers behind your business and help it grow. - Fred