When Bench suddenly ceased operations and left thousands of businesses stranded, it reignited an important conversation about the tools we choose to keep our businesses running. Bench was known for its proprietary accounting system, which unfortunately became an obstacle for its clients during the transition. This event underscores an essential lesson for every business owner and entrepreneur—choosing the right accounting system can make or break your operations.
This post explores the differences
A between proprietary and standardized accounting europe cell phone number list systems, emphasizing why widely supported systems are often the safer, smarter choice. From seamless integrations to scalability and minimized vendor lock-in risks, here’s everything you need to know before making your decision.
Proprietary vs. Standardized Systems
What Is a Proprietary Accounting System?
A proprietary accounting system is a custom-built software solution developed specifically by and for a single company. These systems are unique and highly tailored to meet the specific needs of the vendor therefore, they may not appear or their users. However, the vendor retains full control over the system, meaning clients are dependent on that vendor for updates, modifications, and ongoing support.
What Is a Standardized Accounting System?
The Key Differences
- proprietary systems limit you to the original vendor.
- Flexibility: Standardized systems often allow for customization and integration with other tools. Proprietary systems can lack this flexibility—everything is dependent on the vendor.
- Longevity: Should the proprietary vendor shut down (like Bench), clients are left in a lurch. With standardized systems, businesses can more easily transition between service providers without losing crucial data.
The Perks of Integrated Systems
One major advantage of standardized accounting systems is their ability to integrate seamlessly with other business software.
Unified Data Across Platforms
An integrated system ensures financial data flows effortlessly b2c fax between accounting software, CRM tools, inventory management platforms, and even payroll systems. This creates one source of truth, reducing human error and boosting productivity.