Editor's Note: The following is a guest blog post from one of our integration partners, Compeat Restaurant Management Software, featuring quotes from restaurant owners about the POS integration.
One back office and accounting system, one set of numbers, and one data entry process from your restaurant POS, through operations, and onto accounting. Sounds like utopia right?
Most restaurants are still using two different systems for back office management and accounting because they are not aware of the significant benefits provided by an integrated POS, back office, and accounting solution.
Below are five key benefits to be aware of when choosing a restaurant POS with a fully-fledged back office and accounting integration, as well as exclusive quotes from restaurant owners who use restaurant accounting software in their day-to-day operations.
1. Ensure Operational and Financial Data is Always in Balance
An integrated restaurant POS, back office and accounting system means all operational and accounting information is in one common database, always available and always in balance. No waiting for financial reports after period end. No questioning whether the data the accounting department is seeing is the same as the data the managers are seeing. With an integrated system, everybody is looking at the same information, at the same time, from POS through accounting.
“Everybody’s looking at the same reports and speaking the same language from POS through accounting. We are more creative and have more valuable conversations,” said Shaughn Larisey of Larkburger.
2. Eliminate Redundant Data Entry in a Financial System
Anyone who works in multiple systems knows what a headache it is to enter data twice. Not only does it take twice the time, but it increases the possibility of manual errors. However, when you tightly integrate your POS, back office and accounting system you will be more confident in your data and you will more rapidly audit a potential problem.
“Anytime you can eliminate one piece of software, you eliminate all of the headaches of trying to keep them working together,” said Paul Hutson with Taste Buds Management.
3. Improve Audit Capability
With an integrated system, restaurant POS information is captured, reported, reconciled and posted to the General Ledger and to banking in one easy process, with a complete audit trail from source to destination. Therefore, audit is perfect. For example, a profit and loss revenue line item can be drilled down to the original POS transaction. A cost of goods line item can be drilled down to the inventory receipt.
“I can ask any manager at any time to look at a P&L and pull out details of any category. I can obtain the information I need in a fast and efficient manner,” says Nick Sarillo with Nick’s Pizza and Pub.
4. Expedite POS Reconciliation and Update to the General Ledger
Standard accounting systems require all POS information to be reconciled and posted to General Ledger manually. With an integrated back office and accounting system, cash and sales information automatically polls from the POS system into a Daily Sales balancing/reporting module for reconciliation. It is then posted, with balancing credit and debit entries, to General Ledger and to bank accounts in minutes.
“We love that our POS information pulls directly into our DSR and Accounting, saving us time and improving efficiency,” said Rachael Williams with Torchy’s Tacos.
5. Reduce Administrative Requirements – Improve Efficiency
Improved integration and flow of information results in reduced administrative hours, increased accuracy, and improved timeliness. These efficiencies make it possible to reduce staff, or perhaps more common, to expand without adding as much staff. Put your integrated back office and accounting software to work instead of hiring another person!
“We’ve reduced daily bookkeeping time by 25%, allowing our accounting department more time to analyze financial performance and accurately project cash flow requirements,” said Paul Coniglio with Colony Grill.
In summary, the benefits of an integrated restaurant POS, back office, and accounting system may not always be obvious, but they are substantial when you know where to look.