We often talk about centralizing your information in order to become a centralized brewery. Why wouldn’t you want all your infomation to be accessible (to appropriate employees) when they need it most? Managing complex brewing processes can get pretty complicated when you start interfacing with multiple pieces of software – especially on the accounting side. A true ERP system is one that is built upon a GAAP compliant accounting platform without having to purchase additional accounting software. Consider the following when searching for a scalable solution for your brewery:
1. Is the solution compliant with Generally Accepted Accounting Principles? (GAAP)
Most craft breweries intend to remain small, but be mindful of having some sort of GAAP compliant solution in place in case you have potential investors or buyers interested in your brewery. They’ll most likely want to see historical financial reports and take a look at your general ledger from previous years to make sure the numbers are solid. Having a true ERP solution automating your journal entries will provide peace of mind for potential buyers and investors and streamline this process.
Quickbooks is a GREAT temporary solution for any small business or craft brewery. Unfortunately, Quickbooks is not GAAP compliant, nor is it a scalable long-term solution. A GAAP compliant accounting system provides a papertrail throughout every process involved in your brewery. Employees will no longer be able to delete invoices or records, which may be a hassle for employees but you’ll be glad you had a papertrail in the case of an audit or aquisition.
2. Does your solution have a complete chart of accounts?
This is important if you have a brewery and brewpub or you brew in multiple locations. A brewery ERP solution like OrchestratedBEER will allow you to manage financials, inventory or other information in a segmented chart of accounts, allowing you to manage by warehouse, by tank, or by location.
3. Are your accounting transactions automated?
Some solutions advertise the functionality of an ERP system but don’t actually automate your transactions in the background. The whole point of brewery management software is to make things easier for you by automating time consuming processes. Make sure your brewery management software automatically creates journal entries with every transaction, otherwise you’re just doing the same dual entry work you did with your old book keeping and spreadsheet system.
4. Complete Financial Reporting
Your ERP brewery managment software system should come standard with a variety of print-ready financial reports and statements available on a daily, weekly or monthly basis. You need to be able to see what’s profitable and where you’re losing money. OrchestratedBEER handles reporting using Crystal Reports, which is available out of the box. You also have the ability to create custom queries of any item or material in the database
Additional features to look for:
- Banking management
- GL and journal entries
- Basic Cost accounting
- Budget management
- Bank statement processing
- Payment Processing
- Production variance costs