Synching your mobile payments system with QuickBooks is a smart move for any small business owner. But if you want to be even smarter and more efficient, you should consider doing the same with your inventory management software.
To find out how this benefits small businesses, we asked Robert Lockard of Fishbowl inventory management software for his insights.
Why is it important for QuickBooks to be integrated with inventory management software?
There are three reasons QuickBooks should be integrated with inventory management software:
1. It eliminates double data entry. Entering the same numbers into two software systems is a waste of time.
2. It ensures a company’s records match up. A good inventory management package will automatically update QuickBooks as often as you need, so the accounting and inventory numbers will always be accurate, and match each other in both places.
3. It tells QuickBooks to automatically generate invoices and other important billing documents when orders are placed, received, or shipped. This makes sure all the paperwork happens automatically.
What benefits can inventory management software provide for the small business owner?
A big benefit of using inventory management software is cost savings. The software helps small business owners balance their inventory levels, and only keep the number of parts and products they need on hand. The alternative is to waste money on storing too many products, or running out of stock and losing sales as a result.
Another benefit is time savings. Managing inventory becomes faster with the use of barcode scanners, automatic reorder points for inventory items, and quicker picking, packing, and shipping procedures. Plus, fewer warehouse workers are required to do the same amount of work in a day, freeing up other employees to complete other essential tasks, or reducing workforce requirements.
How can mobile payments be integrated with both QuickBooks and inventory management software?
A good inventory management package will integrate with your online shopping cart. For example, when an order is placed on a website or mobile app, Fishbowl Inventory is instantly updated and informs the seller about the products that need to be picked, packed, and shipped to fulfill the order. With its integration with QuickBooks, Fishbowl Inventory also updates QuickBooks and gets an invoice and anything else it needs from the accounting software.
What can business owners do with mobile payments systems that are integrated with inventory management software that they otherwise couldn’t do?
Business owners can generate detailed reports on customer orders. For example, they can see which products are the most popular sellers in a given timeframe, and which ones are often sold together in the same order. This allows them to optimize their inventory levels at different times of the year, and restructure their warehouse to maximize efficiency in picking.
Having mobile payments systems connected to inventory management software also allows businesses to react to new orders faster and prevent shortages and overstocks. Business owners could potentially do most of this without software integration, of course — but it would be much more difficult and time-consuming and involve more guesswork. The more efficient you make your business, the more profitable it can be.