Crabby Office Lady

For a small business, struggling with finances is just part of the fun. However, with Small Business Accounting 2006, you can make your financial tasks a lot easier than you ever imagined.

Today, I'm coming clean with you: I'm admitting a lack of knowledge. But also, I'm here to rectify that situation and offer you a bit of assistance in the process.

As you may or may not have noticed, in my weekly columns, I usually cover the basic Office programs (and, frankly, the ones I'm most adept at): Outlook, Word, Excel, and PowerPoint. I toss in some info here and there about OneNote, Publisher, InfoPath, Visio, FrontPage, Access, and Project. You see, I do what I can with the skill set I have, but more importantly, I cater to my audience (that would be you).

As you know (or should know by now), I read all the comments and e-mails you send to me, and most of them have to do with the first four programs I mentioned above. And so, being the obedient assistance columnist that I am, I accommodate you.

But let's stretch our brains a bit today and talk about something new for us: Small Business Accounting 2006 (also known as SBA). "But why?" you may be wondering. "Why not stick to the usual stuff we get together to discuss?" Well, April 15th — with its sly grin and groping, greedy hands — is just around the corner, and words and phrases such as "taxes," "accounting," and "balance sheets" are seeping into the corners of your consciousness.

And so, this column and next week's column are dedicated to dealing with tax season. And if you glean some information that may help this year, great. If you're already set and are just awaiting your big fat check from the IRS, so be it. But if it's too late to take advantage of the tips I'm offering you here this year, bookmark the columns and refer to them during the coming year. And note that SBA isn't just for taxes; it's for accounting in general. Here, let me explain.

What is Small Business Accounting 2006?

In a nutshell, SBA is a financial management program, and it works in tandem with Office in addition to some other, third-party services. For small business owners and managers, SBA is a great tool to integrate your business processes, data, and information. And, of course, this will lead you to make better business decisions, increase efficiency, and better connect with your customers. (Which, in turn, will free up your time to do the things you like to do.) And, as you know, that's the general purpose of my columns: To help you get better at the tools you use in the office so you can get on with your life outside the office.

Before I get to the text portion of our message today (and, most likely, lose some of you), why don't you sit back, relax, and let your eyes feast on a demo about SBA 2006.

Are you still with me? Let's look at some of the things you can do with SBA and its add-on services:

• Manage accounting tasks  You can create quotes, invoices, and purchase orders easily; manage inventory; track payroll and time sheets; and forecast cash flow. As well, online banking tools help you manage multiple bank accounts and stay on top of customer billing and payments. You can automatically download online account balances and transactions and match downloaded transactions with entries in the account register. (Talk about saving time....)
• Process payroll online  Microsoft has partnered with ADP (the leading provider of payroll solutions to small businesses for more than 50 years) to provide a range of integrated payroll services. ADP offers to help you manage employee data, calculate payroll, print checks, run payroll reports, and file your payroll taxes. ADP also offers payroll services that handle all facets of the payroll process.
• Forecast business financials  With more than 60 easily customizable lists and reports, you can forecast and track cash flow, inventory, and sales. The Cash Flow Management tool allows you to plan for multiple scenarios, view numbers for a designated time period, and change data to conduct "what if" scenarios.
• Process credit cards  Reach new customers that want to pay by credit card or debit card, and accept phone orders from customers. Save hundreds of dollars a year because you don't need a stand-alone credit card terminal or dedicated phone line. Capture transactions directly in Small Business Accounting, saving time and reducing data entry errors.

Rather than go on ad nauseam, I think you get the idea. I'm not a numbers person; I send my taxes to a talented certified public accountant. I also don't own my own business, and therefore I don't deal with payroll processing. But if any of the above tasks are part of your routine, consider getting on board with SBA.

 Note   For more information about SBA add-on services visit Add-on services for SBA 2006

Compare SBA to other accounting software

Perhaps you're already scoffing; perhaps you already use QuickBooks Pro 2006, QuickBooks Simple Start 2006, or Peachtree Complete Accounting 2006 and you are just not inclined to deal with the ramp-up time to learn a new program.

I've taken a look at these other products and I've read some comparisons. I can tell you, with complete honesty, that in many ways they just don't measure up. Here are a few examples:

• General accounting features  Sure, when it comes to the basic features you expect from accounting software (creating general ledgers, generating basic financial reports, and customizing key financial reports), all four programs do this. But what about cash flow forecasting tools and reports, accounts receivable/accounts payable, and audit trails (yikes, that sounds ominous)? While both SBA 2006 and QuickBooks Pro 2006 can do this, SBA is about $50 less than QuickBooks plus.
• Tracking finances and customers in one place  SBA is the only accounting software that will let you access customer financial information, submit sales orders, invoices, and billable time, and track sales data, sales opportunities, and customer jobs through Outlook 2003 with Business Contact Manager.

 Note   If you want a more in-depth comparison of SBA 2006, QuickBooks Pro 2006, QuickBooks Simple Start 2006, and Peachtree Complete Accounting 2006, take a look at the Small Business Accounting 2006 Comparison Chart.

I'm on board —  now what?

So little old me (OK, I'm not that old), in my limited knowledge of SBA, has convinced you to consider switching. That's great. So now what? Or, if you're already using SBA, where can you get help and support from people who really know what they're doing with this program? Lucky for you (and, frankly, for me), there is a wealth of assistance, professionals eager to help you, and newsgroups designed to answer your thorniest issues about topics ranging from invoices gone wild to tax preparations that are keeping you up at night.

• SBA Online communities Ask (or it you're an expert, answer) any question you have about SBA, such as "How do I pass on an expense to a customer?" or "How do I get invoice numbers to print on check stubs?"
• Accounting professionals Take advantage of the benefits of the Microsoft Professional Accountants' Network, where you can get tips for using SBA, figure out which SBA add-ons are right for your company, and learn how to make good use of Office collaboration tools such as Live Meeting and SharePoint Services.
• Meet Stan Snyder Stan is not just a certified public accountant — he also is a regular Office Online columnist who regularly consults with small business owners who use accounting software of all types. (I've linked to two of Stan's columns in the See also box at the top of this column. And in fact, Stan provided me with my quotation this week.)

Taxes in general

Now you have the basic idea of what SBA is, how it works, and where you can get help in learning to use it to its fullest abilities. Yes, it can be about payroll, about accounting, and about sales and inventory. But it's also about preparing for tax season.

Next week I'll cover issues specific to year-end taxes that don't necessarily have to do with SBA:

• Getting — and staying — organized throughout the year so that you don't find yourself burning the midnight oil (and trying to write that fuel usage off) on April 14th.
• How to deal with communication to the IRS (and staying cool about it) with professional templates designed just for this purpose.
• MSN Money and Microsoft Money (the program, not the green stuff) articles ranging from how to avoid an audit to making sure you're getting the tax breaks you deserve.

"Abraham Lincoln's Gettysburg Address, which defined the character of the nation, is all of 268 words. The Declaration of Independence runs about 1,300 words. The Constitution, which has served us for more than two centuries, comes to some 5,000 words. The Holy Bible has 773,000 words. The Federal Income Tax Code and all its attendant rules and regulations: 9 million words and rising." — Steve Forbes

About the author

Annik Stahl, the Crabby Office Lady columnist, takes all of your complaints, compliments, and knee-jerk reactions to heart. Therefore, she graciously asks that you let her know whether this column was useful to you — or not — by entering your feedback using the Was this information helpful? tool below. And remember: If you don't vote, you can't complain.