by Sharai Lavoie | Jul 15, 2025 | Uncategorized
If you’re preparing to sell your company, the groundwork you lay before the deal closes can impact the valuation and the success of the sale transaction. Particularly as it relates to private equity acquisitions, the sellers who command the highest multiples are the ones who are “platform companies” that are ready for growth and expansion.
Your accounting readiness requires having an infrastructure that can handle acquisitions, sales growth, and new customers, while also ensuring timely and accurate financial reporting.
At Lavoie CPA, we help business owners set the stage for success by building the systems, processes, and insights that private equity buyers value most. When you invest in scalable accounting solutions before you go to market, you’re showing buyers that your company is ready to lead, expand, and become the core of their future acquisitions.
Why A Solid Foundation Can Attain a Higher Valuation
A “platform company” provides the foundation for future acquisitions. Thus, any subsequent acquisitions will “bolt-on” to the platform company and oftentimes depend on the platform company’s infrastructure and systems as the combined companies integrate together.
From the lens of the private equity firm, the platforms consistently command higher valuations than bolt-ons because the former already have the infrastructure to support growth.
Our most forward-thinking clients understand that strong accounting processes are not just a box to check; they are the engine behind sustainable scale. By having the right systems in place before going to market, these companies position themselves for a smoother due diligence process, rapid expansion, and seamless integration with new acquisitions.
Consider this:
Hypothetically, if platform companies can achieve a valuation of 5-6x EBITDA, it would not be unusual to see bolt-on acquisitions attain multiples of 3-4x EBITDA. That 2x difference can mean millions of dollars in additional value for the seller.
The Real ROI: A Practical Example
Let’s say your company generates $8 million in annual EBITDA. You’re preparing for a private equity sale, and you know the market pays a premium for platforms.
- Platform acquisition: 6x EBITDA = $48 million valuation
- Add-on acquisition: 4x EBITDA = $32 million valuation
That’s a $16 million difference, just for having the right infrastructure in place.
Now, what does it cost to get there? If implementing and maintaining a best-in-class accounting system costs $250,000, your return on that investment is 64x. By investing in your accounting foundation up front, you don’t just make life easier for your team; you create tangible, outsized value that private equity buyers are actively seeking.
Beyond Due Diligence: Integration Drives Success
“Start the way you want to finish.”
These words shape how we work with our clients at Lavoie CPA. The most successful transactions are planned from the beginning with the end goal in mind. That means looking past the standard diligence checklist and considering the post-acquisition journey from day one.
We’ve seen acquisitions fail to deliver their promise when integration and system upgrades are treated as afterthoughts. On the other hand, our clients who prioritize scalable infrastructure and integration planning are rewarded with:
- Faster, more efficient due diligence processes
- Higher confidence and smoother transitions for management teams
- Reliable, actionable data for decision-making and reporting
- A reputation as a true “platform company” that investors trust
When you anticipate the need for stronger accounting processes, you can even negotiate improvements as part of the purchase price, or ensure the seller bears the cost of system upgrades. Either way, you control the process and maximize your ROI.
How to Build a Platform Company That Attracts Top Private Equity Buyers
The companies that stand out in today’s market are the ones that take action before the deal is even on the table. Here’s how you can position your business as the platform investors are looking for:
- Upgrade Your Accounting Infrastructure Early: Move beyond basic bookkeeping. Invest in a modern, cloud-based accounting system that can easily scale as your company grows and can support integrations with future acquisitions.
- Deliver Decision-Ready Reporting: Set up automated dashboards and real-time reports that offer clear, actionable insights, not just historical numbers. This gives investors immediate confidence in your data and your management.
- Design for Integration and Growth: Build processes and systems that don’t just work for your current operations, but are robust enough to absorb bolt-on acquisitions without missing a beat. Demonstrate that you’re already thinking ahead to the next phase of growth.
- Align Leadership and Teams for Expansion: Make sure your leadership team is prepared to manage change and scale. Encourage a mindset that prioritizes long-term vision, operational discipline, and readiness for the next opportunity.
By having this foundation in place before approaching the market, you’re not just preparing for due diligence, you’re proving that your company can lead, scale, and deliver real value to private equity partners from day one.
Ready to Build the Platform That Drive Financial Results
At Lavoie CPA, we help clients achieve their vision by designing financial infrastructures that drive value and growth, long before the deal is signed. If you’re ready to start where you want to finish, let’s work together to build your next level of greatness.
Start the conversation with Lavoie CPA today and discover how to elevate your readiness for due diligence, acquisitions and integration, and long-term value.
by Sharai Lavoie | Jul 15, 2025 | Financial Services
You’ve been working on your pitch deck for weeks, refining your story and perfecting your slides. But there’s one piece that keeps giving you anxiety: your financial model. When investors ask to see your projections, do you feel confident in what you’re showing them? Or do you worry that your forecast model might actually hurt your chances of getting funded?
If you’re in the latter camp, you’re not alone. Most founders struggle with building financial models that actually support their fundraising efforts instead of undermining them.
That’s exactly why our VP and Partner, Matt DeWald, recently teamed up with Charlotte Ketelaar from Capwave for an in-depth webinar on “The Financial Model That Gets You Funded.” If you missed the live session, we’ve embedded the full recording below—plus we’re sharing the key insights that can transform how you approach financial modeling for your company.
Why Your Financial Model Can Make or Break Your Fundraising
Here’s what Matt emphasized during the webinar: “Your financial model usually comes in after your pitch deck, but you really need to know your numbers at the time that you’re pitching.”
The problem most founders face isn’t that they don’t have a financial model—it’s that their model doesn’t align with their pitch deck story. When there’s a disconnect between what you’re promising and what your numbers show, investors notice immediately.
As Matt explained, “As soon as an investor sees your financial model and it all makes sense and everything falls into place, that’s when they’re like, ‘Oh yeah, this founder knows exactly what they’re talking about.'”
The reality is simple: Many investors are finance people. They’ve seen hundreds of pitch decks and thousands of financial models. They know what realistic growth looks like, and they can spot unrealistic projections from a mile away.
The Framework That Actually Works: Matt’s Live Demo
During the webinar, Matt didn’t just talk theory—he showed exactly how to build a defensible financial model using a real pre-seed company example. Here’s what made that model work:
Show Your Work
“I think some of the worst case scenarios that I’ve seen are people who just put in revenue numbers without really understanding the drivers of that revenue,” Matt explained during the demo.
The solution? Make your assumptions visible and easily calculable.
In the live example:
- $25 per user subscription fee (clearly visible input)
- Specific trigger dates for when new features would launch
- Growth rates that decreased over time as market penetration increased
- All inputs color-coded so investors could easily identify and modify assumptions
When an investor wants to test what happens if your customer acquisition cost changes from $25 to $35, they should be able to make that change in one cell and see the impact throughout your entire model.
Focus on Real Business Drivers
The demo company built their model around specific, measurable drivers:
- Number of advisors using their platform
- Average transaction volume per advisor ($3,000 monthly)
- Commission rates tied to specific revenue streams
- Technology development milestones that unlocked new revenue
This wasn’t guesswork—each assumption had a logical basis that the founding team could defend to investors.
Plan Your Team Like You Mean It
One of the most valuable parts of Matt’s presentation focused on hiring plans. As he noted, “I’ve seen VCs really hone in on and really drill in on management and ask the question, who’s going to be your first 10 hires?”
The demo model included:
- Specific roles and start dates for each hire
- Salary levels and department allocations
- Payroll-related costs (that 15% for benefits and taxes most people forget)
- Commission structures for sales team members
The model even projected headcount by department and month—exactly what investors want to see when evaluating your use of funds.
Don’t Forget About Cash Flow
Here’s where many founders stumble. They build beautiful income statements but forget that cash flow is what actually matters for survival.
Matt’s model showed monthly cash flow projections, clearly identifying when the company would hit low cash points and need additional funding. “You want to make sure that you’re reconciling your forecast model into cash,” he emphasized.
The Technology Foundation: Start the Way You Want to Finish
One of the most practical insights from the webinar wasn’t about modeling—it was about the systems that support your model. Matt shared Lavoie’s philosophy: “Start the way you want to finish.”
The Problem with Basic Systems: Most startups begin with QuickBooks because it’s familiar and inexpensive. But as Matt revealed, “9 out of 10, maybe even 19 out of 20” of Lavoie’s new clients need immediate migration to more sophisticated systems.
The Better Approach: “Don’t wait for the wheels to fall off your accounting systems before you turn around and say, ‘Oh, I should have done this a while ago,'” Matt warned.
Almost all seed and pre-seed companies that work with Lavoie get migrated to Sage Intacct because it:
- Handles the volume and complexity of scaling companies
- Integrates KPIs directly into the accounting system
- Provides real-time dashboards for investor reporting
- Aligns with the detailed forecasting models that actually work
Real-World Application: What the Demo Revealed
During the live demonstration, Matt showed a complete financial model for a pre-seed software company. What made this model compelling wasn’t complexity—it was clarity and logic.
Revenue Model Highlights:
- Three distinct revenue streams launching at different times
- Clear trigger dates tied to technology development milestones
- Simple calculations that investors could easily understand and modify
Expense Planning That Makes Sense:
- Detailed hiring plan broken down by department (General & Administrative, Technology, Sales & Marketing)
- Specific start dates and salary levels for each role
- Automated commission calculations tied to revenue performance
Cash Flow Reality:
- Monthly projections showing exactly when funding would be needed
- Working capital considerations for accounts receivable timing
- Clear runway calculations based on actual burn rates
As Matt noted, “You want to keep this maintained as time goes on,” which is why the model was built to easily incorporate actual results alongside forecasts.
The Trust Factor: What We’re Really Selling
One of the most honest moments in the webinar came when Matt talked about Lavoie’s approach: “What we are selling at the end of the day is trust.”
That trust comes from understanding both the startup journey and investor expectations. Lavoie regularly helps companies scale from pre-revenue to over $3,000,000 in monthly revenue while maintaining streamlined financial processes.
Lavoie’s Partnership Approach:
- Lavoie becomes part of the team, not just a service provider
- Focus on building financial infrastructure that scales with growth
- Support throughout the entire fundraising and scaling journey
Key Takeaways for Building Your Financial Model
Whether you’re preparing for pre-seed or Series B, here are the critical principles Matt shared:
- Make assumptions visible and testable – Color-code inputs so investors can easily modify and understand them
- Link drivers to financial outcomes – Show exactly how your key metrics (conversion rates, CAC, churn) impact revenue and costs
- Plan expenses strategically – Your hiring plan should be more than “we’ll hire 10 people next year”
- Reconcile everything to cash – Income statements don’t keep you alive; cash flow does
- Keep it simple and defendable – Complexity doesn’t impress investors; clarity does
What Happens Next
The webinar made one thing clear: the founders who get funded are the ones who can clearly articulate how their ideas translate into sustainable, profitable businesses.
If you watched the webinar and realized your financial model needs work:
Start with an honest assessment – Can an investor easily understand your key assumptions and test different scenarios?
Focus on your real drivers – What specific metrics actually drive your revenue and costs?
Plan your systems – Are you building financial infrastructure that can scale with your ambitions?
Ready to build a financial model that actually gets you funded?
Matt emphasized during the webinar that building an effective model starts with understanding your business deeply. As he noted, “I probably spend two hours understanding the business, talking to them, understanding how it works, to one hour building the actual model.”
Start the Conversation to discuss your financial modeling needs and learn how Lavoie can support your fundraising journey. Whether you’re building your first model or preparing for Series B, we’ll help you create financial projections that tell your story convincingly.
Connect with Matt DeWald on LinkedIn for ongoing insights about financial management and fundraising best practices.
The right financial model doesn’t just help you raise money—it helps you build a business that’s actually worth investing in.
by Sharai Lavoie | Mar 14, 2025 | Small Business
Every business aspires to grow exponentially, but only a few unlock the formula to multiply their valuation by 10x. At Lavoie CPA, we specialize in transforming financial operations into engines of hyper growth. Achieving a 10x increase in valuation isn’t just about scaling revenue; it’s about building a foundation of efficiency, accuracy, and strategic foresight.
Here’s how modern financial systems, disciplined processes, and advanced accounting tools like Sage Intacct can help your company achieve this ambitious goal.
Having a 10x Mindset
To drive scale and efficiency, business owners must focus on sustainable growth, optimize financial operations, and build infrastructure that can support a rapidly increasing number of transactions and data. This hinges on four pillars:
- Connected Financial Systems
- Data-Driven Decision-Making
- Operational Discipline
- Investor-Grade Reporting
By integrating these elements, businesses position themselves for scalable growth and reporting, which are key traits that attract premium valuations, similar to companies like Zoom and Airbnb. To better understand what attracts investors, consider exploring The Top 10 Traits That Attract Investors To Your Startup.
1. Connected Accounting and Budgeting: The Backbone of 10x Growth
Disconnected financial systems create inefficiencies that stifle growth. Modern accounting ERPs like Sage Intacct unify accounting, budgeting, and forecasting into a single source of truth.
How It Supports Growth:
- Real-Time Visibility: Automate data flow with other systems (e.g., payroll, accounts payable, revenue systems) to eliminate manual errors and delays.
- Scenario Planning: Use predictive analytics to model growth scenarios and allocate resources strategically.
- Scalability: Cloud-based platforms adapt seamlessly as your business expands.
2. KPI Metrics and Tracking: Turning Data Into Action
Growth without measurement is guesswork. To achieve 10x growth, companies must track KPIs that align with valuation drivers, such as:
- Lifetime Value (LTV) to Customer Acquisition Cost (CAC) Ratio
- Cash Burn Rate vs. Revenue Growth
- Gross Margin Efficiency
- Revenue Per Customer/Patient
By monitoring these metrics, leadership teams can pivot quickly and double down on high-impact initiatives. For instance, Airbnb achieved significant valuation milestones through effective KPI tracking. In fact, Airbnb’s remarkable journey demonstrates how strategic funding and operational metrics can lead to impressive valuations, as detailed in Airbnb Takes New Funding At A $10 Billion Valuation.
3. Discipline in Transactional Processing: The Silent Multiplier
Investors scrutinize operational rigor. Inefficiently or inaccurately processed accounts payable (AP), accounts receivable (AR), or payroll transactions signal risk.
How to Automate These Tasks:
- AP Automation: A tool like Bill streamlines invoice approvals and payments, reducing cycle times by 70%.
- AR Automation: Connect your CRM (such as Salesforce or HubSpot) to your accounting system to automate recurring revenue invoices, price increases, and other contractual terms.
- Payroll Accuracy: Platforms like Paycom and Gusto streamline recruiting, benefits, payroll, and payroll taxes, which are foundational for building employee trust and staying compliant.
- Expense Management: Ramp automates receipt tracking and can enforce budget controls, which limits the company’s financial exposure to errant or fraudulent charges.
- Transactional Interfaces: Datablend automates and simplifies transactional sorting and transformation by using a set of rules to post information to your accounting system.
- Contract and Lease Management: FinQuery helps companies manage and monitor leases, including complicated lease accounting requirements.
4. High-Quality Reporting: Winning Investor Confidence
Achieving a 10x increase in your company’s valuation demands investor-grade reporting. Tools like Sage Intacct enable:
- Real-Time Financial Statements: Deliver accurate P&L, balance sheets, and cash flow reports on demand.
- Audit Readiness: Maintain a clean audit trail with automated reconciliations through Blackline.
- Board-Level Insights: Use Workday Adaptive Planning to create forward-looking reports that highlight growth potential.
Transparent, data-rich reporting reassures investors that your growth is sustainable, and worth paying a premium for, as evidenced by companies like Uber. The volatility surrounding Uber’s IPO highlights the importance of maintaining investor confidence and operational transparency, as discussed in How the Promise of a $120 Billion Uber I.P.O. Evaporated.
Advantages of Leveraging Technology to Support Growth
- Faster Fundraising: Investors trust businesses with mature financial systems.
- Higher Margins: Automation reduces operational costs by 30 – 50%.
- Strategic Agility: Real-time data empowers proactive decisions.
Strategies to Implement Automation Effectively
- Adopt a Unified Tech Stack: Integrate tools like Sage Intacct, Bill, and BlackLine to close books 50% faster and with higher accuracy.
- Prioritize Automation: Start with high-volume tasks (e.g., accounts payable via Bill.com) to streamline work efforts and generate time savings.
- Train Teams on Data Literacy: Ensure finance and operations teams leverage dashboards effectively. Sage Intacct provides an excellent platform to share live reporting data with your company’s managers and executives.
- Evaluate Automation Opportunities: At least quarterly, evaluate where manual processes can be automated. Set up an action plan to automate time-wasting activities that can be converted into data-collection opportunities.
Exploring Business Models for Growth
Understanding various business models can significantly enhance your strategic approach. A scalable business model allows a company to increase its productivity and revenue without a corresponding increase in costs. This is vital for achieving sustainable growth as it helps in adapting to market demands efficiently. For more information on what makes a business model scalable, refer to What is a Scalable Business Model?. Additionally, for insights into different business models that can help increase profitability, check out 12 Successful Business Models to Help Make a Profit.
Final Thoughts
To achieve big results in your business, you need to think big. This includes having an integrated, cloud-based accounting environment that provides the foundation and infrastructure to support high growth. As we like to say, “Start the Way You Want to Finish.”
At Lavoie CPA, we partner with small- and medium-sized businesses to design tailored accounting systems that support their success.
Start the Conversation
by Sharai Lavoie | Mar 5, 2025 | Planning, Technology
In the evolving world of accounting, teams are inundated with transactional data, compliance demands, and the pressure to deliver real-time insights. At Lavoie CPA, we’ve turned these challenges into opportunities by harnessing Ramp, a spend management platform that automates workflows, enhances accuracy, and empowers strategic decision-making. In this detailed guide, we explore how our team maximizes Ramp’s capabilities, sharing actionable strategies, lessons learned, and best practices to help your organization achieve similar success.
1. Automating Data Syncs: The Backbone of Efficiency
Modern finance hinges on seamless integration between systems. Ramp’s ability to sync with accounting platforms like Sage Intacct eliminates manual data entry and ensures consistency across platforms.
How It Works:
- Two-Way Sync for Precision: Ramp pulls critical data dimensions (e.g., departments, projects, vendors) directly from Sage Intacct. This two-way flow prevents overwrites and ensures that coding rules, and location tags remain aligned.
- Tailored Data Views: With 15+ dimensions available, a team can easily drown in data noise. Our solution? Customizable dashboards. By filtering out non-essential information (e.g., focusing on core dimensions like department, project, and employee), we’ve reduced clutter and accelerated review cycles and transaction processing.
Real-World Impact:
For a client managing multi-location operations, syncing location codes from Sage Intacct to Ramp automated expense allocation across sites. This eliminates hours of manual tagging and reduces coding errors.
Implementation Tips:
- Start with a pilot: Sync only essential dimensions (e.g., department and project) before expanding.
- Use Ramp’s “Saved Views” feature to create role-specific dashboards (e.g., accounts payable team members should have a different view than department heads).
2. Ensuring Data Consistency Through Dimension Syncing
When managing financial systems like Sage Intacct and Ramp, data consistency and mapping are critical to ensuring visibility of expenses. We find that ensuring synchronization between key data points, such as departments, projects, and general ledger codes, can streamline and reporting and reconciliation processes.
Are Your Data Dimensions in Sync?
Proper dimension syncing between platforms ensures that critical data points flow effortlessly across systems.
Specifically, finance teams should ensure department and project codes are timely syncing from Sage Intacct to Ramp. This allows accurate coding in Ramp in order to achieve at least weekly loading of transactions from Ramp into Sage Intacct. By breaking down this sync process into weekly increments, companies can complete their month-end closes more timely and accurately.
Key Benefits of Timely Syncing:
- Accurate Reporting: Dimension syncing ensures that data across all reports remains consistent, providing real-time insights without second-guessing.
- Error Reduction: Proper synchronization reduces errors caused by missing or incorrect codes, minimizing delays during month-end close.
- Increased Efficiency: Teams can spend less time on repetitive tasks and more on high-value analysis.
3. Daily Financial Hygiene: Proactive Oversight Saves Month-End Headaches
Waiting until month-end to review transactions is a recipe for chaos. At Lavoie CPA, we advocate for daily financial check-ins, a practice that transforms reactive firefighting into proactive control.
Why Daily Reviews Matter:
- Catch Syncing Delays: Adding a vendor or employee in Sage Intacct can take up to an hour to reflect in Ramp. Daily checks ensure discrepancies (e.g., a missing vendor code) are flagged and resolved before they cascade.
- Rule-Driven Automation: While Ramp applies rules at the department level (e.g., auto-coding all finance team meals as “Travel & Entertainment”), employee-specific cases still require manual input. Daily reviews keep these exceptions manageable.
Case in Point:
A client’s finance team accidentally charged a software subscription to the wrong project code. Because the error was caught within 24 hours (thanks to daily review of Ramp transactions), the correction took minutes, not days.
Best Practices:
Assign a team member to spend 10–15 minutes daily reviewing:
- New vendors, employees, and other data dimensions are synced from Sage Intacct
- Transactions lacking rules or requiring manual coding
- Ramp’s AI-generated coding suggestions
- Use Ramp’s “Notes” feature to document unresolved items for follow-up.
4. Decoding Ambiguity: Strategies for “Mystery Transactions”
Even with automation, some transactions defy easy categorization. Here’s how we tackle ambiguity:
- Leverage Ramp’s AI Suggestions: Ramp analyzes vendor names, amounts, and historical patterns to propose categories.
- Proactive Research: A 30-second Google search for the vendor name often reveals the nature of the expense.
- Client Follow-Up: For recurring ambiguities, we collaborate with clients to establish biweekly check-ins. This ensures expenses like client dinners or event costs are clarified before coding.
- Refine Rules Over Time: When a previously ambiguous vendor becomes a recurring expense, we create a new Ramp rule to auto-code future transactions.
Fraud Prevention in Action:
Ramp’s outlier detection flagged a $748 restaurant charge for a client with a $100 per-meal policy. The transaction was traced to a hotel stay during a conference and was approved after proper documentation. Without automation, this could have easily slipped through unnoticed.
5. Streamlining Month-End: From Chaos to Calm
Month-end close is often synonymous with stress, but Ramp’s tools transform it into a structured and scalable process.
Our Month-End Playbook:
Finalize Transactions (Weekly):
- Sync all fully coded, approved transactions to Sage Intacct throughout the month. We use weekly checkpoints to identify unapproved or unknown transactions and reach out to our clients.
- Leading up to month end, ensure all transactions are accounted for within 2-3 days prior to the last day of the month.
Address Exceptions (Day 1 of month end close):
- Immaterial unresolved items are moved to a “Pending” ledger for next month.
- Any material unresolved items are immediately followed up with our clients.
Final month end reconciliation (Day 2 of month end close):
- Ensure all transactions are synced from Ramp into the accounting system.
- Complete month-end reconciliation of the Ramp balance to the balance sheet.
6. Ramp’s Strengths and Strategic Workarounds
Where Ramp Excels:
- Real-Time Fraud Detection: Customizable thresholds flag outliers (e.g., expenses exceeding department budgets).
- Scalable Rule Engine: Rules adapt as teams grow, new departments inherit coding logic without manual setup.
Areas to Optimize:
- Employee-Level Rules: Currently, rules apply to departments, not individuals. For now, we use manual entries for employee-specific cases (e.g., a new hire with unique expense needs).
- Vendor Sync Speed: While most data syncs instantly, vendor additions can take up to an hour. We mitigate this by batching new vendor setups midday.
Why Ramp is a Game-Changer for Modern Finance Teams
Ramp isn’t just about automation, it’s about elevating the accounting team from a cost center to a strategic partner. By implementing the strategies above, Lavoie CPA clients have:
- Reduced manual reconciliation time
- Eliminating coding errors through rule-driven workflows
- Improved compliance with real-time fraud alerts
Unlock the Full Potential of Ramp
Whether you’re new to Ramp or seeking to optimize its use, Lavoie CPA’s professionals can help you design a tailored integration strategy. Start the Conversation and discover how to turn financial complexity into clarity.
Start the Conversation.
by Sharai Lavoie | Mar 1, 2025 | SaaS
In the world of accounting, efficiency and accuracy are non-negotiable. But as businesses grow and their financial operations become more complex, achieving these goals can feel like an uphill battle. The solution? A harmonious blend of automation and human expertise.
At Lavoie CPA, we’ve seen firsthand how this balance can transform accounting processes. Let’s explore how you can leverage technology to streamline your workflows while empowering your team to focus on what truly matters.
Step 1: Start with Seamless Integrations
Imagine this: Your accounts payable team is drowning in paper invoices, manually entering data into your accounting system, and chasing approvals via email. Sound familiar? This is where seamless integrations come in.
By using APIs (Application Programming Interfaces), you can connect your accounting software with other tools, such as Bill.com for accounts payable and your bank feeds for real-time transaction updates. The result?
- Faster Processes: Invoices are automatically uploaded and matched to purchase orders.
- Fewer Errors: No more manual data entry means fewer mistakes.
- Real-Time Insights: Your financial data is always up-to-date, giving you a clear picture of your cash flow.
For example, one of our clients, a mid-sized software company, reduced their invoice processing time by 90% and requires less than 5 hours of review time per week after integrating Bill.com with Sage Intacct.
Exploring the right software solutions is key to achieving these efficiencies. Learn more about how our tailored software solutions can transform your accounting processes.
Step 2: Streamline Approvals with Transactional Source Systems
Approvals are a necessary part of accounting, but they don’t have to be a bottleneck. With transactional source systems like Bill.com, Ramp, Salesforce, Hubspot, Paycom, Gusto, and Trinet, you can manage approvals outside of your ERP system, reducing the need for multiple users to access your ERP directly.
Here’s how it works, using Bill.com as an example:
- Invoices are emailed by vendors directly into Bill.com.
- A junior accountant reviews and processes the invoices in Bill.com, including GL and departmental coding.
- Approvers receive notifications and can review and approve invoices on the go.
- Once approved, the data flows seamlessly into your accounting system.
This approach not only speeds up the process but also enhances security by limiting ERP access to essential personnel, a strategy proven to reduce operational costs by minimizing errors and administrative overhead. Discover how transactional systems can lower your operational costs while optimizing workflows.
Step 3: Adopt Weekly Reconciliations
The end of the month is often a stressful time for accounting teams. But what if you could spread the workload throughout the month? Enter weekly reconciliations.
By reconciling transactions weekly, you can:
- Catch Errors Early: Identify discrepancies before they snowball into bigger issues.
- Simplify Month-End Closing: With most of the work already done, closing the books becomes a breeze.
- Improve Accuracy: Your financial statements will be more reliable.
For instance, a healthcare client of ours switched to weekly reconciliations and reduced their month-end close time from 10 days to just 3.
Step 4: Delegate to Empower Your Team
Automation handles repetitive tasks, but your team’s expertise drives strategic decisions. The key is effective delegation:
- Automate Routine Tasks: Use tools like Sage Intacct to automate report generation and data entry.
- Delegate Appropriately: Assign reconciliations or invoice processing to junior staff.
- Consider Outsourcing: Free up your team’s bandwidth by leveraging specialized support for non-core tasks.
For example, one client delegated daily entries to a staff accountant, allowing their controller to focus on forecasting, resulting in a 20% productivity boost. For businesses needing deeper support, our outsourced accounting services provide strategic relief, enabling your team to prioritize high-impact work.
Why Lavoie CPA?
At Lavoie CPA, we specialize in harmonizing automation and human proficiency. Our approach includes:
- Implementing Integrated Systems: Connect tools like Sage Intacct for seamless data flow
- Optimizing Workflows: Streamline approvals, reconciliations, and cost-saving strategies.
Empowering Teams: Training, delegation frameworks, and scalable outsourcing options.
Conclusion
Balancing automation with human insight is no longer optional, it’s essential for growth. By integrating systems, streamlining approvals, reconciling proactively, and delegating strategically, you’ll unlock efficiency and accuracy.
Ready to transform your accounting processes? Explore our software solutions, learn how to reduce operational costs, or discover the benefits of outsourced accounting.
Start the conversation today!
