In definition, a reconciliation software is that which basically compares bank statements of a business with the general ledger. It does this by checking two data sets from which it is able to determine cleared transactions as well as those entries that still need reconciliation. For all this to work, the program must first be compatible with existing financial systems and the general ledger.
SAS No. 70 or in full Statement on Auditing Standards was created by an American CPA institute and is one of the key terms used when it comes to this program. Its mainly used in the establishment of controlled objectives and controlled activities mostly reconciliational activities and also in data storage.
The other key term used is the Sarbanes Oxley compliance. The purpose for this is to set extensive recordkeeping and reporting requirements especially on all publicly traded companies. Security and extensive reporting is necessary for this system to be Sarbanes Oxley compliant.
This systems main advantage is that it saves time because it greatly reduces the time spent making manual calculations. This also means that there will be no need making of spreadsheets anymore since the element of manual book keeping is taken out of the picture. Also among those things that are no longer required with this system is redundant data entry, which includes things like entering addresses, work order and quotes.
This program works best for small businesses with stock solid clientele base and loyal employees. Industrial specific systems are those that are customized to fit the needs of a certain business. The good news is, even the most specific of businesses get catered for by this kind of system and it upgrades business operations.
It is advisable not to rush into choosing the system you would like to operate in your line of business. Some research is warranted, by sourcing information especially from those that run a similar business are you. This is necessary because there are many options to choose from and it would be best if one chose reconciliation software that works best for the business in question.
Someone that had a job in Accounts Receivable/Payable knows how the monthly reconciliation process can be a very strenuous task. Avoid the stress of performing manual accounting procedures and invest in data matching software at www.AdraMatch.com! They offer packages that are simple and effective, and they will speed up the various accounting practices of your business.