Enterprise accounting software is used by large businesses to cover core accounting processes while including a suite of advanced capabilities to balance your books. These additional tools give your business more insight and control into your financials. In addition to the standard accounts payable, accounts receivable, and general ledger capabilities found in all accounting systems, you’ll also find features such as bank reconciliation, depreciation schedules, advanced billing and invoicing, budgeting and forecasting, and payroll.
Enterprise accounting software differs from small business accounting software due to the robust accounting tools offered. These financial management features provide a larger level of automation to the business, meaning your employees can spend less time doing menial accounting tasks such as recurring invoices/billing/purchases and late payment reminders. These enterprise-level accounting solutions can also allow for multiple users with user permissions, which is important for a bigger company that wants to control their employee’s access to specific parts of the software and monitor audit logs.
Many enterprise resource planning (ERP systems) tools automate business needs on a level that is on par with enterprise accounting options. These management software options will provide all the capabilities of an enterprise accounting option while also providing access to non-financial capabilities such as inventory control, e-commerce integration, and supply chain management.
Despite the name, enterprise accounting software is not exclusively for larger businesses. Many small and midsize companies looking for enterprise-level features can benefit from using an enterprise accounting system. Some of the top benefits of enterprise accounting programs include:
A general rule of thumb is that the more advanced an accounting system, the more easily it can handle multiple subsidiaries within your organization. Your business may operate different departments or divisions under different names, and without the proper accounting system, it can make keeping financials separate a messy process. It can also give headaches when it comes to limiting user access so that only members of specific divisions can edit fields related to their division.
A more robust accounting system will help you support multiple divisions within the same company. Any sort of transactions between related companies (intercompany transactions) can easily be handled, and users will only be able to access files necessary to them.
Enterprise accounting software will usually have a modular design, meaning the software can be bought in bits and pieces. For example, if you only required AP, AR, and a GL to begin, you could purchase the software at an appropriate price. Down the road, you can add on the advanced invoicing or budgeting/forecasting tool and simply pay the difference in cost.
This level of flexibility means enterprise accounting software can offer broad capabilities without forcing you to begin using, (or worse, pay for) features you have no interest in. Likewise, you can continue to use existing systems side-by-side with your newer enterprise option if your staff is reluctant to give up a solution it likes. For example, many companies use a separate solution for customer relationship management (CRM). While your new enterprise accounting system may have its own CRM module, if it doesn’t force you to use or purchase the CRM module, the transition to the new software might go over better with your staff.
Prebuilt reports, dashboards, data visualizations, and more can all be created with the advanced reporting capabilities found within most enterprise accounting software. These reports can be used for both internal uses or for any regulatory compliance required by your organization. The goal of these reports is to help interpret the results of your company’s financial performance and anticipate future performance and gains.
The cost of enterprise accounting software starts between $100-$400 per user per month. These solutions come in at a higher price point due to the level of use, the number of users needed, the number of applications needed, and integrations with other systems. Many enterprise accounting solutions may allow you to purchase a base package and add on additional capabilities as your business gets used to the software or as your company begins to grow.
Additional features such as advanced budgeting and forecasting, as well as payroll, will almost always include an added cost onto the base package. Functionality such as payroll requires constant updates in order to provide tax calculations, tax filings, and tax payments. Payroll modules will almost always incur ongoing monthly/yearly costs on a per-user basis.
Compared to normal accounting software, enterprise accounting packages will typically always cost more due to an increased need for additional features. These features include multi-currency support, multi-entity accounting, order management, and recurring invoicing.
QuickBooks Enterprise is Intuit’s answer for businesses who enjoy the ease of use and familiarity of QuickBooks Pro or QuickBooks Online but have simply outgrown the solutions. The Enterprise option is the most advanced version of QuickBooks on the market, with more industry-specific features for businesses in the manufacturing/wholesale, construction, nonprofit, professional services, or retail industries.
Compared to lesser versions of QuickBooks, the Enterprise version has 6x the storage capacity and can give access for up to 30 users. Features uniquely available in QuickBooks Enterprise include advanced inventory management, in-depth job costing, nonprofit workflows, end-to-end project management, automated pricing, and industry-specific reports.
The cost of QuickBooks Enterprise starts at $1,039.50 for the first year. This price reflects locally installed versions of QuickBooks where data is stored locally and users won’t be able to access data remotely. Hosted options can be accessed from anywhere, anytime, with any device (including Macs) and start at $130.40/month. Roughly speaking, the more users and features required, the higher the monthly or yearly cost. Features such as payroll and advanced inventory will require a more robust level of the solution.