SAP Business One: Focusing on the Fixed Assets Feature for Further Efficiency
The What and Why of Fixed Assets:
Fixed or non-current assets are the tangible tools and properties utilized by a business over the course of a fiscal or financial year. Note, that these are terms used in accounting to refer to anything that couldn’t be easily turned in cash or “liquid, current assets”, such as bank accounts. It can also be understood as anything that isn’t sold to your customers. For example, if you own a bakery it might include everything from your apron to the oven and all the inventory in between including any credit owed to you from debtors. The total cost of a single fixed asset, such as a baker’s oven includes the initial purchase, import, shipping and installation costs, as well as any necessary repair costs down the line. That’s quite a bit of data to keep track of for just one piece of equipment. Multiply it by every tool your company owns and you’ll have plenty to stress over for days. Furthermore, there’s no getting around that in many jurisdictions, there are strict laws which mandate that businesses supply a report for this at least once a year for tax purposes. Poor management of fixed assets can keep your business fixed in a weak position next to competitors.
Cornerstone Consulting, Inc. has been serving entrepreneurs and small to midsized business leaders nationwide with high quality software consulting services for over 30 years. Our perfectly dedicated and skilled team, located in Tampa, FL is prepared to help your business grow by utilizing the fastest selling enterprise resource planning software system on the market, SAP Business One. SAP B1 includes a feature specifically designed for fixed asset management. So you and your staff can spend less time on routine data-entry tasks and focus fully on fresh product or service designs and implementation of innovative sales strategies that drive profits.
Benefit From SAP B1’s Fixed Asset Management Feature:
Sound business management includes diligent care in applying “matching” or comparisons of your company’s expenses against revenues for a period of time. This is critical for financial success because it allows wise leaders to track gains and losses. Without it there’s no way to know if you’re failing, breaking even or performing to the best of your ability with the tools you have available for your company. There’s even a simple equation for this, called fixed asset turnover: net sales divided by average net fixed assets. High ratio results indicate high performance. You could liken it to a student’s report card for a semester and then ask yourself, ‘does my corporate equipment hinder or help me in the long run’? You need to know the answer to this question to generate sales effectively. SAP B1’s fixed asset management feature is also instrumental in both preventative maintenance and theft deterrence.
Asset tracking software allows you to see what assets you already own, total cost and depreciation, exact location, who is using what, when things are checked out, when they’re due back to the place of origin and crucial maintenance or repair schedules. Plus, reporting options are built into SAP B1’s asset tracking solution. So, you’ll have pre-built reports that enable you to keep track of the usefulness of equipment, tools, etc. All of this information is captured in one program and used to prevent loss, maintain equipment, cut expenses such as unnecessary equipment purchases and perhaps most significantly quickly provide accurate tax calculations. Demo’s and snapshots of this program are available through contact with specialists right here at Cornerstone Consulting, Inc.
So here’s what you know now:
- Fixed asset management is an important legal aspect for effective business operations and profit tracking.
- SAP Business One’s fixed asset feature affords business leaders the opportunity to quickly and easily organize all tangible assets in a single software system.
- The Tampa Cornerstone Consulting team is ready to help apply SAP B1 to save you and your staff time and energy for greater generation of sales and creative concepts that appeal to customers.
SAP: Small and Midsize Business Management Software Solutions
If you have any questions about SAP Business One’s Fixed Asset Management feature, please contact Cornerstone Consulting at 813-321-1300.