Quickbooks for Manufacturers and Distributors

The manufacturing and wholesale version of QuickBooks can be a very valuable asset. Especially when it comes to tracking your finances and creating financial reports.

But Is The Manufacturing Edition Of Quickbooks Right For You?

QuickBooks Premier Manufacturing

Can you count on it to take care of all the needs of a manufacturing or distribution businesses like yours? Is it even reasonable to think QuickBooks for Manufacturing can handle everything?

To make good decisions, it is essential to “look under the hood” and understand some of the key differences in the Pro, Premier and Enterprise versions of QuickBooks desktop software.

Let’s take a closer look…

What You Need To Know – A Quick Review

QuickBooks Pro – this is the entry level version of QuickBooks. It will handle basic financial tasks like invoicing, bill payment, and financial reports.

Reasons why QuickBooks Pro may not work for some manufacturing and distribution businesses:

  • It does not have any sales order/backorder functionality
  • It does not have the ability to create inventory assemblies
  • It maxes out at 3 users

QuickBooks Premier: Manufacturing and Wholesale Edition (aka QuickBooks Manufacturing Edition) – this version has all of the features and tools in the Pro version. Plus, it also has the ability to use sales orders and inventory assemblies

Reasons why QuickBooks Premier may not work for some manufacturing and distribution businesses:

  • It can only handle up to 14,500 parts (inventory and non-inventory)
  • It has limited user security
  • Higher transaction volume businesses can max out the database size quickly

QuickBooks Enterprise: Manufacturing and Wholesale Edition (aka QuickBooks Enterprise Manufacturing Edition) – this version has all of the features and tools of the Premier: Manufacturing edition. Plus, it has the ability to store up to 100,000 inventory parts, 100,000 customers, has a much more robust user security setup and can be used in multiple locations.

Reasons why QuickBooks Enterprise may not work for some manufacturing and distribution businesses:

  • It only uses average cost (FIFO cost is available, but extra fees apply)
  • It does not support any type of landed cost
  • It has no clue about shop floor planning, production scheduling, economic order quantities, or advanced bill of materials

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What Solution Is Best For You?

Many businesses choose one of the three versions of QuickBooks listed above and shoehorn their needs into the functionality that is available. They usually do a lot of outside supporting work in Excel too! At the end of the day, this approach works for them – and that’s good.

On the other hand…

Others choose to go a “hybrid” route – they’ll choose one of the QuickBooks editions listed above and pair that with an add-on for QuickBooks such as ACCTivate, FishBowl Inventory or HandiFox. They use the add-on for the front end of the business (i.e. sales orders, purchasing, inventory management) and then use QuickBooks for the back end of the business (i.e. invoicing, paying bills and creating financial reports).

Get Help Sorting It All Out… Contact Scott Today!

Set up a consultation with Scott to help you make the RIGHT decisions when it comes to QuickBooks in your manufacturing or distribution business.

He has over 20,000 hours of hands-on field experience with QuickBooks, and has over ten years of experience as the CFO for a $15 million manufacturing firm, including the management of $4 million in inventory. All of that knowledge comes in handy when it comes to ensuring you’re on the right path.

Whether you’ve been using QuickBooks for a while and need a fresh set of eyes on things or you’re looking to move into the manufacturing editions of QuickBooks, connect with Scott. Your return on investment will be unparalleled.

Contact Scott Today!