5 Telltale Signs Your Nonprofit Has Outgrown Sage 50
Sage 50 has been a popular accounting software for many years. The number in its name comes from the original British version, designed for small businesses with 50 or fewer employers. It has proven to be a great fit for small nonprofits that can manage their accounting operations with basic software.
As these organizations grow in size and complexity, however, Sage 50’s limitations have an impact on operations, making accounting, financial, and other processes time-consuming, error-prone, and inadequate. The good news is that cloud technology has sparked the development of a new generation of robust financial solutions that enable nonprofits to increase their funding, strengthen their stewardship, and accomplish their missions.
Let’s take a look at the 5 telltale signs your nonprofit has outgrown Sage 50.
5 Signs That You’ve Outgrown Sage 50
If your nonprofit uses Sage 50, it’s vital to take a closer look at your operations to determine whether the software’s functionality continues to meet your needs. Here are five common signs that Sage 50 is hindering your organization:
1. You lack adequate visibility into your operations.
If you’re experiencing complications and inefficiencies in gathering data, exporting data into spreadsheets, or straining to make informed decisions because you lack a comprehensive view of your organization’s finances, your accounting solution is letting you down. Having a real-time view of financial performance is essential for nonprofits to carry out their unique reporting needs. A robust accounting solution will provide you instant access to real-time performance data to create reports efficiently and to surface insights quickly.
>> Click to view Sage Software’s “The Essential Reporting Checklist” (12pg pdf).
2. You rely on manual processes.
If you’re struggling with time-consuming manual processes, juggling unwieldy spreadsheets, and slogging through multiple workarounds in Sage 50, these are signs that it’s time for a change. A more full-featured financial solution will streamline multiple entries and other complex processes, automate billing and other processes, and eliminate redundant data entry.
>> Click to view Sage Software’s “4 Signs manual Processes Are Costing You Time and Money” (16pg pdf).
3. You have information silos.
If you haven’t fully integrated Sage 50 with your other systems, you’re likely relying on manual processes to integrate information. Manual integration becomes increasingly time-consuming and error-prone as an organization grows, resulting in a disjointed, incomplete understanding of your organization’s finances. Full data integration provides decision-makers and other stakeholders with a complete view of your organization’s operations and programs.
4. Your audit trail is inadequate.
Nonprofits must have a full audit trail to ensure accountability. When nonprofits transition to multiple funding sources, audits and monthly closes become more complex and time-consuming due to unorganized transactions and multiple data sources. If your audit process is not running smoothly, upgrading to a cloud financial system will provide a clear, well-documented audit trail, enabling auditors to accurately review your organization’s accounting processes and financial health.
5. Your accounting system is restricting growth.
Sage 50 was not built to manage the complex processes of a growing organization. Because it lacks advanced features and controls, you may be experiencing system crashes, data losses, and compliance issues. Cloud solutions offer a scalable architecture that enables your organization to manage increases in transaction volume, add new entities and ledgers, and streamline financial processes across the board.
If it’s time to replace Sage 50, view the 18-minute video below that shows how Sage Intacct has made a big impact on the financial health of growing companies.
The Next Step
If your nonprofit is hindered by one or more of these signs, the time has come to retire Sage 50 and adopt a more robust, cloud-based financial management solution. Designed specifically for nonprofit accounting, Sage Intacct can help you automate your processes and scale your organization. Nonprofits have enjoyed significant real-life results with Sage Intacct, including:
- 50% shorter close
- 80% efficiency gains
- $80,000 savings in administrative costs
- 53% revenue growth.
Sage Intacct is AICPA’s preferred provider of cloud financial applications, helping nonprofits and faith-based organizations of all types. Its rich features and open APIs streamline grant, fund, project, and donor accounting while delivering real-time visibility into essential metrics. Increased data transparency helps nonprofits foster good stewardship, keep stakeholders informed, and ensure compliance.
For a deeper dive into the signs that your organization needs to switch to a new financial accounting solution, download the 5 Telltale Signs Your Nonprofit Has Outgrown Sage 50 e-book today.