Batch accounting and Real-time accounting the Spire Way

For a long time now, real-time accounting versus batch-based accounting has been a subject of debate. In this blog, we explore the benefits of each. We will also explain how Spire offers batches in some places and real-time accounting in others.


Batch-based processing has several advantages. In classifying entries to ensure accuracy, having better internal controls allowing a review before posting, and  in preserving the audit trail’s integrity. Batch-based accounting also makes sense for organizations processing large numbers of transactions. In some ways, batches are more efficient and easier to perform. Batches make sense when accumulating employee time and processing payroll altogether. This process allows for time saved in payroll. In the AR, depositing one cheque (or payment) at a time can be rather cumbersome. Unless it’s one big cheque, we are not likely to see bookkeepers making one deposit at a time, but rather a batch of many deposits at once. For organizations with no immediate need for information, it is reasonable to delay data processing by using batch-based accounting.


While in some cases, batch-based may allow for a more efficient and audit-tight way of processing accounting data, it also presents some disadvantages.  More and more businesses need the ability to take immediate action on items that are crucial to their business. For example, purchasing managers at the mercy of a batch-based system would find it counter-productive to wait until batches post to provide inventory reports. Knowing that the need for real-time data isn’t just for the finance people, these businesses end up spending more of their budget for add-ons to increase access to their data in real-time. In this scenario, real-time accounting is better suited.

Keeping track of every transaction as they happen gives department heads an instant view of their overall financial status. Thus enabling decision makers to make more accurate projections. Being able to filter and compare using real-time data means companies can keep a close eye on margins and identify areas that need improvement. We see this in adjusting product prices like landed costs (duties, shipping, etc.). This fucntionality ensures accuracy of margins and profits per item, empowering an organization and keeping them one step ahead of the competition.

Which process is right for your business?

Accessing and understanding the data that makes up your debits and credits is critical to growing a business. Data isn’t just a way to analyze numbers; it’s a helpful way to react to growth potential when the opportunity arises. It also potentially prevent risks that have yet to happen.  Mining meaningful data contributes to the company’s success, however when data isn’t processed the best way, it can be destructive. Especially when attempting to achieve your reporting requirements.

To summarize, with batch-based processes we analyze data over time:  weeks, months, quarters, or years; for some, that process works just fine and is preferred.  Real-time data is crucial for those needing to make fast decisions in fiannce and that extend beyond the accounting department.

The Spire Way

Spire offers batches in some places where it makes sense. In Sales Orders, you can choose to batch or live post when invoicing.  With batching, the invoices are held in a closed state until a supervisor reviews, makes any needed changes and then creates a batch.  Next, they would close the batch to post to AR and the GL.  With live posting, the invoices are posted to AR and the GL right away.  If changes are needed then a credit and rebill has to be done. Batch and Live processing in Spire are also available in Accounts Payables and Accounts Receivables and Payroll Timecards.

You can easily manage batch-based vs. live posting in Spire’s company settings. Learn more about Spire’s company and user settings by watching this webinar, where we also many other cool features.

Bottom line: Spire allows you to run your business the way you want – whether that be live posting or batch accounting, we can accommodate your process.

For more information on how Spire offers your choice of batch-based accounting or real-time accounting along with business intelligence reporting, click here. We’ll be happy to provide you with a free demo and help you further discover the power of Spire.

5 Tips to Optimize Your Inventory

Using inventory management software will enable small business owners in the distribution and manufacturing industries to manage their parts, stock, and labor more efficiently.

Here are five tips to help optimize your inventory:

1. An Integrated Business Management Solution

One fully-featured business management system will save you money in the long run, rather than having multiple systems to handle your accounting and inventory. A good business management software will include an inventory module to help optimize stock levels. All your business processes will be integrated into one solution, saving you time and money.

The inventory module will store an accurate count of inventory items so you don’t have to tie up unnecessary cash in inventory that’s not selling fast enough. You’ll be better able to calculate how much stock to have on hand, while having enough cash to spend in other areas of your business. A good business management software will identify what stock is moving quickly out of the warehouse and what is still sitting on the pallets.

2. Do an Inventory Count

Even the best inventory control system won’t keep track of human errors. Sometimes, mistakes can happen. A worker can make mistakes on customer orders and sometimes, stock can go missing. That’s when a solid physical count of inventory comes in handy. Spend the time having a formal inventory count, so you can adjust your records in your inventory control software.

3. Apply the 80/20 Principle

In many industries, 80% of your sales will come from 20% of your stock. Once you’ve analyzed your sales patterns you can apply this to purchasing a greater percentage of inventory of your most popular items, while saving on shipping costs by ordering extra stock with one order.

4. Share Inventory Data with Vendors

Share your inventory data with your vendors, so they can assist you in replenishing your stock. An efficient means of communication should be established between you and your vendor, so that they can provide your inventory in a timely manner.

5. Analyze Inventory Reports

Analyze when your customers make orders. Do you have enough stock to ship immediately, or do you make your clients wait? You could be losing money, as you can’t invoice for goods not shipped yet. Unhappy customers will find someone who can meet their needs. Stock should be shipped out in a timely manner, particularly during the busiest times of the year.

Accurately predict how much stock you need to keep on hand for your customers using a business management solution with integrated accounting and inventory features. The software will help you to evaluate each customer’s needs, so you can plan in advance.

Optimizing your inventory will allow you to effectively manage your company’s finances, and have the time to make adjustments as needed. Your business management software will provide detailed inventory reports, so you can see where you need to make changes. An integrated system will be beneficial to your business, helping it to thrive, as you’ll get your inventory under control, and be able to more accurately predict how quickly inventory will flow in and out of your warehouse.