My point of view
Opportunity cost is a word known too well by the masses in the commerce world and by those who take interest in knowing. It is a phrase that reflects the sacrifice of one thing over another. Well the harsh reality of life is that you cannot have it all, something needs to be given up to have the other. That is what I am on about when I am referring to opportunity cost.
I know I have used the word “opportunity cost” as a word known in the commercial world, but it can be applied in the general activities of life as well. As an accountant I prefer to always go the route known too well to me and that is commerce and finance. So I shall apply it to a field well known to me.Maybe i am being bias,thats a topic for another day.
I took some time out to learn about the different accounting systems and what they services they offer. What I found interesting was that prices vary as per perceived quality and consistency of a particular system. There are some that I did not know existed and would like to think I am not alone. I always knew of pastel(my tried and tested). As I and my boss had a discussion last Friday, he alerted me of the default mindset I keep as I had closed out the opportunity of learning about other systems that are available out there. I suppose I am only human, weird enough I did not realize that I held on to a default mindset until it was said to me.
My research has proved to me that there are too many accounting systems,way too many to mention.I am not going to bore you by exploring all of them.Lets look at only 3 which are Pastel,Instant Accounting and SAP.
Is a home brewed(South African) accounting system that is designed for small and startup businesses and it allows a user to manage the business from anywhere and anytime.It is not a free accounting system like instant accounting,but it does not limit one to membership of any kind.
To read more visit:
It is an FNB accounting system designed to assist small business with the accounting records.The only downfall about the system is that you need to be banking with fnb to can be able to use it.Well depending on how you look at it,it was a wise move on FNB’s part as they continuously encourage the growth of the businesses and the community is serves. To top it off it is free,which is a great thing for companies,as accounting services can be a costly expense for the company.To read more visit : https://www.fnb.co.za/commercial-banking/transact/instant-accounting/instant-accounting.html
Is a German accounting system engineered for small to medium sized entreprises with multiple offices in different locations. Even though engineered in Germany,it does not only operate in Germany only but all around the world.Unlike fnb you do not have to have some form of membership to use it,but it is not not free. To read more:
It is important to know that accounting systems are important for the management of the company,they help with accountability and in determining the growth of the business. They help with the efficiency and effective management of the company’s finances.
If you still don’t have a system to assist,it is time you invest in one.
The opportunity cost is in whether you want a free or paid system? In the next blog I will go deeper into the advantages and disadvantages of each of the three systems.
INVEST IN WHAT PUTS BREAD AND BUTTER ON THE TABLE,NO MATTER THE COSTS,SUCH AN INVESTMENT WILL SUSTAIN YOUR BUSINESS FOR LIFE.