franchiseIQ has extensive budgeting capability to allow actual results to be measured against your budget.
Budgets are held throughout the system in the same structure as the actual data so that comparisons and variances can be easily produced.
Use Excel to Populate Your Budgets and Import Them
You can extract an Excel file directly from the system pre-populated with your listing of GL Accounts (and departments) along with existing budget or actual values.
You can then update the extracted values as you wish in Excel for later upload back into franchiseIQ. They will then be visible in reports and within the GL Explorer screen.
As an example, you could choose to download all actual values from last year and then apply a simple formula in Excel to adjust these by a certain %.
These values could be then imported and used as the basis for your current year budgets.
Similarly, you could take last year’s budget values and then adjust them by a certain % and re-import those as this year’s budgets.
The following features are available:
Budget details held at GL account level by period by year, but also across the user defined analysis code structures
Using the analysis group structure budgets can be rolled up for locations, departments, lines of business, cost centres, profit centres etc.
Budgets for relevant GL and analysis code combinations can be added at any stage without requiring all combinations to be created in advance
Original and revised budget datasets allow budgets to be revised without loosing the original budget
Ability to combine actuals to date with revised budget for the remaining periods to produce an expected out turn
Budgeted User Defined Statistics can be maintained for reporting non-financial measures and can be combined with financial results to produce meaningful budgeted KPIs for comparison against actual KPIs.
Budgets in individual entities own base currency are translated to common base currency within the consolidation routine for detailed comparison against overall group wide actual results.
Easy to use Excel template can be used to update budgets from an existing financial projections or budget model to franchiseIQ original or revised budget values.
GL Explorer function allows budgets and variances against actual to be interrogated by GL Code, GL Category or via the analysis code and group structure.
Cash Is King
Good cashflow forecasting is of key importance when raising investment, obtaining working capital finance, looking for overdraft facilities and in determining the business’ ability to invest further in assets. Poor cashflow forecasting is one of the core reason businesses get into difficulty and eventually fail.
Many businesses maintain an ongoing, monthly cashflow forecast for the current year, and even an annual forecast for the next 3-5 years based on an overall plan or budget for the business.
More accurate forecasts should be possible on a weekly basis for the next month or two as most of the transactions that will result in cash flow are already known at that stage.
Assess Your Cashflow Position Instantly
To accurately assess the cash position and requirements for the next few months your business must have up to date information on what monies are due to be received by the business and when and what needs to be paid out by the business.
The franchiseIQ Cashflow Forecasting module is designed to give you access to that information from the best source available – your accounts.
It provides a tool with which you can manage the expected payment or receipt dates for outstanding amounts.
The system enables more accurate prediction of your short-term cashflow, based on existing transactions held in the system, historic payment patterns and credit terms actually taken for each customer or vendor.
The Cashflow forecast is prepared from the following:
Balances in selected or all bank accounts
Less all expected and forecasted payments for Vendor invoices, Purchase Orders, Purchases, Overheads and Capital Expenditure held in template journals specifically affecting Bank accounts (e.g. Payroll journal templates) and Budgeted Purchases, Overheads and Capital expenditure held against any GL accounts budgets
Plus all expected and forecasted receipts from outstanding Debtor invoices, Sales orders and quotes, journal templates affecting Bank accounts (e.g. maintenance contract income), Other budgeted receipts from GL accounts e.g. proceeds from the sale of assets of the business or cash sales)
All these elements are extracted and brought into a cashflow model to arrive at a net balance position for each Bank account for the selected date range.
The cashflow for each account is shown on a graph for the period specified.
You can manage this forecast by manipulating the above details to remove/add items and amend the projected payment or receipt date for any of the items listed.
This means the business is on top of the cashflow implications of the business it has done rather than pulling together spreadsheets to try and predict the situation from estimated figures, giving an accurate forecast of cashflow on a day-to-day basis.
franchiseiQ Data Consolidation makes carrying out time consuming & complicated monthly consolidations fast and easy.
You will benefit from real-time access to consolidated results across the franchise and related franchisees from one single system.
Once set up, the process is simple and you will be able to consolidate multiple franchisees with one click. This helps eliminate costly and error prone work flow practices resulting from trying to consolidate data from different systems and spreadsheets.
You can consolidate your data when ready, and as many times as required, in order to obtain the latest results from across the franchise.
FranchiseIQ Data Consolidation Features
franchiseiQ is packed with lots of great features for data consolidation. For example, our system can:
Consolidate Sales and Purchases Data to track results and perform benchmarking
Handle foreign currency consolidations
Report on Budgets & Variances at overall franchise level
Use non-financial statistics to build industry-specific KPIs such as revenue per customer for hotels, or sales per square foot for retail businesses to better measure your business performance over time.
The dashboard provides a set interactive charts, graphs and tables which display relevant and timely information about the health of your business.
These can be refreshed at any time to show the latest information and you can choose from a variety of selection criteria to focus on specific timelines and datasets.
You can personalise the dashboard to suit your business and the needs of particular users.
This short video provides an introduction to this function.
Add Dashboard Pages to Organise Your Reports
Dashboard pages simply group similar reports together.
For example, you may wish to create separate pages for ‘Cash and Bank’, ‘Profit and Loss’, ‘Accounts Payable’ and ‘Accounts Receivable’.
You can then select the reports you wish to see by selecting them from a catalog of available dashboard ‘widgets’.
For example you can view:
Bank Accounts: Track your bank balances over time
Aged Debtors (Accounts Receivable): Show the total debt based on age and drill down into the underlying customer data
Sales By Period: View total sales by period and compare to last year
Who owes me money
Who do I owe money to
Profit and Loss (Income Statement)
Daily Cash Receipts and Payments
Positioning Dashboard Objects
After you have added dashboard reports to your page you can then make some further changes to the layout by re-positioning objects.
You can re-position objects by dragging and dropping them to the required position. You can therefore choose to display your dashboard objects in whatever position or sequence you wish.
Export Your Dashboard Objects to another Company
A useful feature is the facility to import or export an existing dashboard set up. You can access these options from the drop down beside the ‘Dashboard’ tab at the top.
For example, if you have created a dashboard for a specific user (eg Company Owner), you can export these settings to a file and then import these settings for another user. This saves time and eliminates the need to set up the same dashboard configuration for each user.
Clicking ‘Export’ will allow you to download a (xml) file containing these settings.
You can save this to your hard-drive and then import this file into another company or for another user log in to retain those dashboard settings.
Unlike most other Cloud Accounting systems, franchiseIQ provides fully integrated Inventory Management in the EnterpriseIQ edition for managing your company’s products and services.
Product Groups for Better Analysis & Reporting
It allows you to categorise products into groups and sub-groups for analysis and reporting purposes.
Multi-Location – Warehouses and Locations
Specify the areas (e.g. warehouses, stockrooms, bins, etc.) in which products are stored by setting up inventory locations and sub-locations. These locations/sub-locations could also be used for ‘put away’ and ‘picking’. Inventory levels and reserved quantities can then be tracked at these locations.
Manage Your Price Lists with Ease
franchiseIQ provides comprehensive price list facilities which enable you to set up a range of prices per product (price categories) and a range of customer-specific pricing based on sales quantities and applicable price dates (price lists).
You can also update your prices of selected items using our powerful Bulk Price Update feature which is handy if you need to quickly implement price changes across selected lines.
Of course, you can also set prices when you are inputting a sales or purchase transaction.
Suits Service-Based Companies Too
If your company is purely service-based and does not track inventory levels, you can ignore it altogether and simply use the ‘batch invoice’ options in both Sales and Purchases to record transactions (these do no require any product details).
However, even if your company is service-based, the following are some of the reasons why you might want to use the inventory system:
If you want to use the general invoicing options, you can set up your services (as products) and then specify that they are non-inventory and that the system should not maintain inventory levels.
Setting up your services (as products) gives you the added benefit of being able to apply various pricing structures based on service categories and/or customers.
Although you may not sell ‘products’, it is more than likely that your company buys ‘products’ from time to time. These could be anything from ‘pens’ to ‘laptop batteries’. For those products that are not actually assets, you can keep track of them by setting them up as items or, even if you do not ‘store’ them, you could use the system simply as a price control mechanism by setting them up as non-inventory
Value Your Inventory More Accurately and Obtain More Up to Date Reports
When you sell something in the system by posting a Sales Product Invoice, it posts Cost of Sales and Inventory Control transactions with the sales transaction so that the GL is always up-to-date.
These postings are generated based on the calculated average cost of the items sold and posted to the GL along with the normal sales postings.
This means that you do not need to worry about period end inventory postings and your sales margin reporting figures are always up to date.
Inventory Management Summarized
In summary, the following features are available:
50 character alpha numeric product coding
Handles both inventory product and non-inventory items/services
Multi-part invoicing of same order/delivery
Multiple locations and sub-locations inventory balances, including inventory traceability by location/sub-location
Location and sub-location inventory (on hand, reserved and on-order levels)
Inventory count adjustments postings with adjustment to GL stock
Auto Posting of Cost of Sales for each sale for Margin analysis and GL reporting
Adjustment of cost value of inventory and posting of related GL adjustment
Supports last cost & average cost valuation methods which is useful if the cost of your items are subject to a fair degree fluctuation
Roll-up of transport (landed) and related costs to item average costs
Price management with multi-level price lists and bulk update facilities
Discount structure with quantity and value based discount break points
Inventory reports to track inventory levels across multiple locations, inventory movements, items to be reordered
franchiseIQ provides a number of system features to enable it to become a truly virtual paperless office environment no longer tied to a physical office with physical filing cabinets.
The Paperless Office functionality includes:
Document management – almost all SME documents relate to customers, vendors, bank accounts or transactions. franchiseIQ allows scanned or electronic documents to be stored against any transaction or account or indeed user defined folder in the system. franchiseIQ provides a natural indexing to retrieve such documents by searching the account or transaction to which it relates. Examples include sales contracts against customers, price lists against vendors, Proof of Deliveries against sales invoices, specific order details against sales orders, invoice images against vendors, bank statements against bank accounts, product specs against items, etc.
Secure document storage – documents are stored in encrypted format against transactions or accounts in each individual clients database, with user access only through the secure system login.
Email Directly from franchiseIQ – sending original business documents (e.g. quotes, orders, invoices, statements, remittances) straight from franchiseIQ using the direct email option will reduce the need for both you and your clients to print, post, and send paper documents. Documents can be generated in one go rather than individually using the bulk e-mail feature of franchiseIQ, not only reducing paper, but saving time and expense in collating and posting individual paper documents.
Sharing information – anytime-anywhere online access to real-time information via franchiseIQ means sharing of business information requires far less printouts. Reports for colleagues and other stakeholders no longer require the production and gathering of paper reports as they can be given direct access to franchiseIQ or emailed in electronic format, including PDF or Excel.
eBanking – the electronic banking features of franchiseIQ can add to your paperless office in two ways. First, the automated bank reconciliation will reduce the need for printed bank statements. Second, the bulk vendor payment feature will allow you prepare and process payments to multiple vendors electronically, saving considerable time and costs in generating and posting manual checks.
Integrated Handhelds - as franchiseIQ is available over the Internet it can be connected to via any Internet enabled or Windows mobile device. This enables field sales staff or field sales engineers to access information or record transactions to franchiseIQ directly from their mobiles. This avoids the need for printouts and recording manual forms for orders or invoices that need to be keyed in, generated and posted from the office later.
Electronic storage of documents and moving to paperless or less-paper office is particularly relevant to the multiple-entity environments (accountants and clients, franchises and franchisees etc) that franchiseIQ is designed for, where a physical filing cabinet in one location is not practical. That is why we added paperless office functionality to franchiseIQ.
Electronic Banking is now well established with almost all banks offering customers access via the Internet in one form or another.
Indeed banks have been encouraging its adoption to move people off labour intensive processes by charging significantly lower fees for electronic transactions.
Yet many SME’s have been slow to adopt it fully, making individual payments or collected bank Statements online, but few have fully automated the process to take full advantage.
Embracing the eBanking Revolution
franchiseIQ has embraced what eBanking has to offer by integrating with the standard offerings of many banks. The main eBanking functions facilitated by franchiseIQ are:
Suggested payment process as well as Cashflow forecasting to plan payments easily
Generating electronic payment files to automate vendor payment processing
Importing electronic Bank Statements and Auto reconciling them
There are substantial savings for an SME in both actual transaction costs and productivity gains from moving to process all payments electronically.
Check Payments - The cost via traditional means includes stamp duty, bank charges, check printing, envelopes, postal charges etc totalling €170 or €1.70 per payment. When the labor cost of selecting and deciding what vendors to pay, authorization, enveloping/posting, manually reconciling to Bank statements etc (estimated at 6 hours) is added this conservatively increases to about €350 or €3.50 per payment.
Electronic Payment – involves considerably less processing and cost. franchiseIQ suggests what is due for payment, which can be modified and authorised online (including viewing original invoices online), an electronic payments file is generated and uploaded to your Bank via the Internet, remittances are emailed and statement auto reconciled via franchiseIQ. 100 payment can be processed at a cost of about €6, adding the labor cost (estimated at 1 hour) the cost would be about €35 or 35 cents per payment – roughly 10% of the cost of a check. Savings Just Waiting to be Made With eBanking
An SME making approximately 100 payments per month would save around €4,000 per annum by moving to electronic payments alone!
franchiseIQ has fully integrated these processes for many banks, particularly those that follow EMTS, BACS, ABA or AFI standards. However we are happy to integrate to any bank’s eBanking solution which is in a different format – so if your bank isn’t covered just ask!
We’ve worked with our partners and client companies in the US and Australia to handle US Sales Tax and Australian GST and other tax rates including consolidated tax rates.
Reports are also available upon which you can base your Australian BAS Returns.
Integration with Avalara
We now have a facility to enable our US based customers to check local State and Federal taxes via an US-based portal that’s integrated with franchiseIQ via their API (Avalara.com).
When inputting a sales invoice, franchiseIQ sends the customer’s address and the item product code to this API and it returns the correct sales tax rate based on the type of item being sold and the location of the customer in the US.
There are several hundred tax rates used in the US and traditionally this can be a major headache when inputting sales transactions. This information often needs to be maintained offline in spreadsheets etc. Now it’s automated and the tax rate look up takes less than a second! With our software, tax returns needn’t cost you any more valuable time.
Tax Return In Europe
For those companies/sole traders resident in Europe, the VAT return is an essential part of the financial calendar which must, in general, be returned by a specific date on a bi-monthly basis if heavy penalties and interest are to be avoided.
In other countries similar rules apply but the returns may have slightly different time frames or return rules.
In a number of accounting packages the VAT return is simply produced by the system, without any intervention, based on a number of pre-defined rules based on transactions dates, whether or not the company makes its returns on a ‘cash’ or invoice’ basis, etc.
However, franchiseIQ provides a fully interactive VAT return function which allows you a much larger degree of flexibility while still maintaining the integrity of the return itself.
franchiseIQ also lets you ‘save’ the VAT Return at any stage without actually completing it. This allows you to re-open it at any stage and make amendments without losing any of your previous work. This is especially useful if you are dealing with a large number of taxable transactions in any one return.
You can select transactions for inclusion on a return and view full details of the transaction from the screen.
Handles EC purchases and sales tax reports.
Facilitates reporting of tax on ‘cash and bank transactions’, together with any tax posted through the GL.
Handles Cash Based (Receipts and/or Payments) and Accruals (Invoice Based) returns for the UK and Ireland.
You can choose which accounting method (cash or accruals) when completing each return.
Produces VAT100 and VAT3 reports for UK and Irish Returns.
Produces a detailed Audit Trail of taxable transactions for your records.
Auto generates VAT return journals which flush the sales and purchases VAT accounts and post to the overall VAT Liability account.
INTRASTAT reporting available.
Sales & Purchase Order Management
Unlike most other Cloud Accounting systems, franchiseiQ provides fully integrated Sales and Purchase Order management in our EnterpriseIQ edition.
Full Quotation to Invoice Workflow
franchiseiQ provides the full Quote to Invoice workflow so that you can start by entering a Sales Quotation and eventually convert it to a Sales Invoice with very little additional keying except where amendments are required to the original details.
The Sales Cycle is very flexible so that if you don’t wish to use the Quotation module you can bypass it and enter your Sales Orders directly. If you don’t want to use the Sales Ordering module you can bypass that too and simply enter your Sales Invoices. Inventory Movements for invoices entered directly are tracked even if you don’t create an order first.
Data Entry Made Easy
Because of the unique ‘default’ facility in franchiseIQ, you will find that the data entry options can be very quick and easy to use with minimum mouse clicks or keystrokes required to get the data into the system.
Handle Partial Deliveries & Invoicing
The system enables you to part deliver/receive orders and create invoices on partially delivered/received orders. This helps reduce order lead times and enables you to invoice your customers faster.
Bulk Emailing Orders and Invoices Saves Time
Orders, Invoices and Statements can be sent in bulk from the system by email saving you time and improving turnaround.
Integrate Seamlessly with Other Systems
If you need to link franchiseIQ to your own order fulfilment, EPOS or e-commerce site, we have a full Web services API that makes integration a cinch.
Once integrated, order and inventory transactions can be sent between franchiseIQ and third party systems eliminating any need for rekeying or data importing.
Our API methods support the transmission of transactions in bulk enabling large transfer of data.
Analyse Your Sales Results with Ease
franchiseiQ has an internal datawarehouse that summarizes all sales (and purchases) data by reporting period.
This is really useful for producing reports that track sales results by product, group, area, region etc. In terms of metrics, sales quantities, volume and costs (with gross margins calculated) are tracked. A selection of system reports are provided to display these results.
Handle Sales Rep Commission Calculations
The system has the capability to calculate commissions earned by your sales rep employees as part of the sales process and can then be reported on afterwards.
Commissions are calculated based on a set of rules that can be set up beforehand and can be:
Fixed Percentage: The sales commission is a fixed percentage of the total discounted net sales (i.e. invoiced) value. Therefore, if the net sales value is €100, you can specify that the sales rep would earn a certain percentage of that value
Margin Based: The sales commission is a percentage of the gross profit margin earned on the sale. This means that it is calculated based on the discounted sales value less the cost of the item before taxes. If you choose this option you can set up different commission rates to apply for different margin bands. This allows you to scale the commissions earned relative to the size of the margin achieved. The gross margin is calculated from net (discounted) sales value less cost and the commission amount is calculated from that based on the commission rate applied.
Sales Order Cycle Features Summary
Full product pricing and discount management based on effective dates
Quantity and value breaks on pricing and discounts
Special pricing by customer by product and time frame
Bulk price update routines to manage multiple price lists
Sales quotation processing, supporting online trading if required
Multi-part invoicing of same order/delivery
Location and sub-location ordering by item
Order picking lists with separate delivery address
Sales and margin analysis reporting by customer, product, product group, department, referral source, region, area, rep, etc.
Sales Rep commission calculation and management
Sales Analysis Reporting by product, product group showing quantities, sales values and gross margins
Purchase Orders Cycle Features Summary
Receipting/delivery of orders & reporting of Goods Received Not Invoiced
Invoice matching against purchase orders/goods received
Bulk discounts and price management
Purchase analysis reporting by vendor, product, product group, department, etc.
Not all business processes can be measured in pure financial terms. Some important business drivers which have measurable impacts on key business objectives and overall business performance, cannot be measured in $s or €s.
Likewise some business drivers which can be measured in $s, need to be related to other measures to make them more meaningful (e.g. Increasing Support costs per call serviced tell a different story than reducing Total Support costs).
Measures such as these are often called Key Performance Indicators (KPIs) and give management real Business Intelligence “BI” that helps them make better informed decisions on how to improve performance.
franchiseIQ’s BI Approach
To compete effectively, a business needs an edge to keep it sharp and focussed.
franchiseiQ gives this edge through its BI features. In addition to a full suite of accounting and commercial modules, franchiseiQ incorporates an extensive business analytics capability including:
All transactions are coded to a GL code, but in addition can be analysed up to 6 levels of user-defined analysis - by business line, location, cost center, department, project, job, profit center or whatever way is important to your business
The analysis codes and analysis groups can be labelled specifically to your naming conventions
This analysis can be added at any stage by simply flagging the GL accounts that need further analysis
For GL codes not flagged the user is not asked for an analysis code
Budgets can be maintained at the same level of analysis
The financial data can then be combined with user defined statistics that are analysed in the same way to produce Key Performance Indicators (KPIs)
Key Performance Indicators
KPIs are any combination of these financial results and statistical measures
All financial results, statistics and KPIs can be extracted in reports or dashboard graphs or tables
They can be benchmarked against budget, revised budget/forecast or historic results
This enables franchiseiQ to be a full repository for all Business Intelligence including:
KPIs based on Statistics, financials or both
SLA performance measures
Customer satisfaction measures
All this can be accessible in real time on a user definable Dashboard or extracted to Excel for further analysis.