Running both GAAP-and cash-based financial statements is effortless with Multi-book Accounting. The simplicity of entering financial transactions once and having them created for both accrual and cash basis gives you the ability to quickly see a true picture of business performance while still closely monitoring money coming in and going out.
When deciding the right accounting method for your business, questions to ask include:
While it’s important to stay focused on cash flow, there are many advantages to being able to view financials in both cash and accrual to understand the true performance of your business.
Why choose between Cash and Accrual Basis Accounting, when you can do both? With Multi-book Accounting from Accounting Seed, it’s easy to use the method—or methods!—that best suit your organization.
Whether it makes sense to track financial transactions under Cash, Accrual, or both depends on each business. In Cash Basis Accounting, income is generally recorded when customer payments are received, and expenses recorded when payments are made. While in Accrual Basis Accounting, income is generally recorded in the period in which it’s earned and expenses recorded in the period they are incurred—regardless of when payment is received or paid out.
Whether you need Cash Basis to keep a close eye on money coming in and going out, Accrual Basis to get a true picture of business performance, or both; Accounting Seed gives you the option to track on either or both so you can generate the reports you need to satisfy your CFO, auditor, or the bank.