Mordernized solution to make your accounting right
The fact is that accounting plays an important role in running a business. This is because it helps to track the income and expenses of a business at each stage, to ensure compliance with the law, and to provide investors and management with the amount of financial information that can be used to make business decisions. Therefore, accounting can be considered as the backbone of a business
Reduce manual work in your daily accounting processes. With just simple clicks, Odoo allows you generate invoices and send them by mail. Follow ups or registering payments are much simpler than before.
Say “No” to your time-killing accounting processes
Accounting can be defined as the systematic , but detailed recording of financial transactions of a business and it plays vital role in any business. Odoo helps you to understand what’s going on with your business financially. With Odoo, managing the accounts of your business is much easier than before. Its unique features help you control the complete accounting of your company efficiently.
Odoo creates all the behind-the-scenes journal entries automatically for each of your accounting transactions such as customer invoices vendor bills, POS order, expenses, inventory moves and many more..
Odoo has core accounting system which can be implemented based on the accounting standards which are common to all the countries. But still specific modules existing per country for the specifications like Chart Of Accounts, Tax etc.
Wide range of financial reports are the main attraction of Odoo. It ranges from basic financial reports to advanced management reports. The reports can be categorized as Performance reports, Position Reports , Cash Reports, Detailed Reports, Management Reports and Business Intelligence Reports.
Odoo’s pivot table helps to navigate through the information. The reports can be consolidated by grouping, can be filtered with multiple options and can be saved by giving a name so that can be accessed it anytime. The reports can be exported to Excel and pdf to save them locally
If you run your business with multiple companies , Odoo allows you manage their accounts with single database. A perfect centralization system provides an option to set own chart of account and rules for each companies.
You may submit sales invoices, quotations and purchase orders or collect bills and payments in currencies other than your own by opting to use the multi-currency option in Odoo. Multiple currencies can be set for various companies and the currency rates can be updated
Both the perpetual and period inventory valuation methods can be applied as per the policy of your company. Methods such as standard price, LIFO, FIFO and average price are available in Odoo.
To manage vendors and vendor bills Odoo provides a super quick systems and fills in everything for you automatically.This way, recording vendor bills is also super quick. Set a vendor, select the purchase order and Odoo fills in everything for you automatically.
Invoices are just some clicks awayI
Its much easy in Odoo to create an invoice for a customer, which includes the quantity and the price of the goods or services, the payment terms, date, tax information etc..
Draft stages such as “Draft” or “Validated” helps the users to hold the invoices till once its approved by the account manager or higher authority. Accounting entries against the invoice will be generated automatically with unique reference numbers only once its getting validated. With a single click, invoices can be send to the customer by email as a pdf attachment
Odoo automatically creates all the behind-the-scenes journal entries for each of your accounting transactions: customer invoices, point of sale order, expenses, inventory moves, etc.
Odoo uses the rules of double-entry bookkeeping system: all journal entries are automatically balanced (sum of debits = sum of credits).
Easy Vendor Bills Management
In Odoo, it is easy to manage each processing stages which starts from Request For Quotation ( RFQ) to Vendor Bills. When a user validate a Vendor Bill, a journal entry will be generated automatically. Its so easy to create a payment an open vendor bill, with ‘ Register a Payment’. The easy and cool features of Odoo makes the accountants to love it.
Sales Order to Invoice
Mostly, the quotations which are created by sales person, will be converted as sales orders once they are approved or validated by higher authorities or managers. To follow this scenario , in Odoo, there is beautiful and easy structure which can be followed by the sales team. Once the quotation is required to send a customer, it should be created and send it to the customer by mail or printed. Once its approved, the quotation can be converted as a drafted sales order and it can be confirmed to create invoice.
Sales Order - Delivery Order - Invoice
Some businesses have a system of making invoices based on the delivered quantity and not for the ordered quantity. That scenario can be maintained easily in Odoo. If the product is delivered partially, the invoice will be only for what is delivered. So the customer will receive multiple invoices against a single order. So initially the sales orders will be changed as delivery orders and then invoices. This method can be applied by Retailers or eCommerce businesses
Credit Notes and Refunding
In case of a mistake in invoice or the supplied goods are returned or damaged, it will lead to a Credit Noe. It is a document which notifies the customer that they have been credited with some amount. In Odoo, Accounts module enables the users to create credit notes and it can be created directly from an Invoice. Refund can be done partilly or Completely. With the necessary information from an invoice, we can draft a credit note and a partial refund can be selected. While issuing a credit note from an invoice, journal entry will be generated to reverse the invoice.
Easy way to record a Payment
In Odoo, payments can be done by linking an invoice or without linking. If a payment is done by linking an invoice, the due will be reduced against the invoice. So multiple payments can be done against a single invoice. And if the payment is not linked with any invoice or bills, the customer will have an outstanding credit with your firm. Or in case of vendor bills, you will have outstanding balance with your vendor. Still, if a payment is not linked with an invoice,it can easily be reconciled later on an invoice.
To run your company efficiently, you need to have a quick look at all the important figures and its what Odoo provides as Executive Summary. In other words, it provides an overview of the main points which provide an analysis and evaluation of current and prospective profitability , liquidity and finacial stability. It will help alot the management to take immediate and appropriate decisions in order to run the company considering current economic conditions. To put it another way, each section of this report is exactly what it used to be Performance & Position
Gross Proft ( GP ) Margin
It is the analytic metric, from which contributed from each sale in business considering direct cost such Cost Of Goods. It can be described in another words as your company’s top line earnings.
Average debtor days is the number of days which your customers take to pay you fully against all the invoices you provided to them.
Net Profit Margin
It will be calcuated considering each invidual sale in your business and the directs costs of those sales as well as any other fixed overheads like rent, electricity etc.
Return on Investment
Return on Investment (ROI) is a performance measure used to evaluate the efficiency or profitability of an investment and it will be measured as the ratio of net profit to the amount of the assets which company utlized to make those profit
Average creditor days is the number of days which you need, to pay to your vendors against their bill of supplies to you.
Short term cash forecast
Short term cash forecast simply provides you an idea about the flow of your cash (in & out) in your company in next month, so that you will be able to plan accordingly
Current assets to liabilities
Current assets to liabilities is referred to as the measure of your company’s ability to service its debts and it is a short-term financial obligations that are due within an year of operating cycle.