27 June 2022
TOPIC: Tax Software
This is one of many guides that review tax and accounting software. These guides discuss the pros, cons, and everything in between to save you time and money.
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In this blog, we will dive deep into a software called NetSuite. We will discuss the pros and cons of using the software. Is it worth your money?
Keep reading to find out!
What is NetSuite?
Netsuite is an ERP (Enterprise resource planning) system that businesses use to manage day-to-day business activities such as accounting, risk management, supply chain operations, and customer relations.
Oracle bought the cloud business management software in 2016 for $9.3 billion.
Pros Of Using NetSuite
First, we will start this blog by listing the pros of using the software.
There are a lot of incredible benefits of using this software. It’s great for accounting and can increase your business performance overall.
Time Tested Maturity
Netsuite has been around for a while. For the longest time, it was the go-to cloud software for people to use before cloud software became popular in our industry.
Naturally, you can expect some maturity for something that has been around for such a long time.
Some key benefits of using this software:
Seamless experience. This software has received many updates and tweaks over the past 24 years. Hence, there are fewer bugs, and easier to use than newer software.
Easy integration. Having the software up and running for your business does not take long.
Superb functionality. The software is good at what it was built to do. It is very approachable and easy to use. You can perform numerous customizations and automation without you being very tech-savvy.
Made For Businesses Of All Size
The 2nd Pro about this software is that it’s affordable for small to mid-size companies.
With this software, you won’t need to use more expensive software like Apero Solutions, Abas Software, or Geneva Systems (All good ERPs in their own right).
Some larger companies are using Netsuite within the organizations. So it’s handy no matter how many clients, employees, or offices you have.
It Has a Support Team
The software is pretty simple to use for most people familiar with ERPs.
However, there are a lot of features this software offers, and it can get pretty daunting.
So to help combat that learning curve, Oracle formed a support team to help you become more familiar with all the key features you’ll need in your business.
There have been complaints about the support team being slow or taking several days to reach back with a solution.
There have also been business owners who praise the support team. So your experience with this service will vary.
The good news is that Netsuite has plenty of channels for you to reach out to them. For example, NetSuite offers 24/7, real-time support via phone, email, and a built-in chatbot on its website.
It’s Great For Accounting
This accounting software comes with a handful of features that are great for people like us in the accounting profession.
Some features:
Billing Management
Tax Management
A General Ledger
Accounts Payable
Accounts Receivable
Financial Reporting
Financial Planning
Revenue Recognition Management
Warehouse and Fulfillment
Cash Management
Human Capital Management
Production Management
Order Management
Fixed Assets Management
Supply Chain Management
With this system, you can combine its finance and accounting features with strong compliance management. It complies with our accounting standards like ASC 605, 606, and IFRS 15.
It also doesn’t matter if your business operates on a transaction, usage-based, subscription, or hybrid model. This software can manage all your billing operations.
The best thing about these features is that you’ll get real-time information. So all the information you will receive will be accurate and not based on an analysis you ran yesterday.
It Looks Good On Your Resume
There are a lot of companies out there who want to hire people with Netsuite experience.
This software has been out for years and has become a central piece to many small to mid-size businesses.
Some businesses can’t live without it. So knowing how to use the software makes you attractive to HR managers, VPs, and small business owners nationwide.
Not to mention, some employers demand you have years of experience using the software. Of course, this requirement varies based on the industry you are working in and the employer.
Cons Of Using NetSuite
Here we will list the cons of using the software. Fortunately, this online cloud software is very reliable, so there are not too many cons to list.
That said, there are some important things you should know before proceeding to purchase the Netsuite.
Not Made For Every Business Model
The more complicated your business model, the more gaps you’ll find within the software. The software can complete tasks like recurring billing and fixed asset management all in one.
However, you’ll start running into problems with complicated intercompany transactions, a high amount of SKUs, or complicated recurring billing.
Keeping all of these modules current isn’t something NetSuite does well.
So, you need to ask yourself: How complicated is my business?
If it’s something with a lot of moving parts and data, then NetSuite might not be for you.
Subscription Cost
While this cloud service is not the most expensive ERSP in the market, it’s definitely not the cheapest.
The software’s price has increased since it started 24 years ago.
If you’re looking to use the software, you’re looking at paying $500-$999 a month, plus $99 a month per user.
Unfortunately, this price can prevent many startups from using the software.
With so many alternatives to Netsuite, it makes sense for small businesses to try something else more affordable.
You’re Not Getting The Full Package
Despite paying a thousand-dollar monthly subscription, you’re still not getting everything Netsuite has to offer.
Every year Netsuite has two feature enhancement updates to its software. However, you will have to pay extra to use these advanced features.
Note: To some business owners, these advanced features are not necessary to their business. Depending on your business model, you might get by without needing to pay extra.
Overall Summary
NetSuite is one of the best ERPs for accounting. It can help your company manage its finances, inventory, logistics, streamline employee onboarding, and more.
If your business can afford to pay for the software per month, it’s definitely worth the investment.
Move On To The Next Blog!
While having the right accounting software for your firm is essential, you can also help your clients by finding new ways to deliver value to them.
One of the best ways to do that is by becoming more valuable as an accountant.
How can you do that?
We wrote an article that lists several ways you can become more valuable as an accountant.
Click Here to start learning more today.