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All posts in Jacksonville CPA
Taproom POS
Recently, taproom POS (point of sale) questions keep appearing up on my radar. More specifically, people want to know which tablet application is best for their taproom. Within the last 5 years many POS startups have moved in and commanded respect in the space. The introduction of the tablet in business, coupled with these subscription POS systems has granted increased access to reputable/respectable products. One major benefit of using a iPad or Android device as a POS is the up-front investment. Compared to a traditional POS, the “price to play” is about 1/3rd. Most tablet based POS systems’ have a monthly subscription pricing structure, often with the only upfront cost being the hardware. (*Note many are now using the hardware as a giveaway to win the business) A traditional POS system can cost between $10-15K when you factor in all the hardware and printer paper? Printer paper? WGAS about printer paper you ask; trust me it all adds up.
Here are some questions I have seen lately:
So why scrap the old skewl cash register?
Couple of reasons: 1) Depending on how you set up your items, super useful reports can be generated on what is selling and what is not. 2) Cash controls are far better with a POS. 3) A frekin iPad looks cool in the taproom.
Which one should I get?
I have played with many subscription based POS systems and while the prices are sweet, the functionality may not jive with your processes. For example, Vend, Shopkeep, SalesVu, Square, are all considered retail POS systems. This would be perfect if you were just a packing store,; but if your people are drinking onsite (host onsite consumption space), creating tabs may give you a issue. **Breadcrumb is one true restaurant POS that falls in the subscription space. These systems usually have a free trial. My suggestion would be to sign up, test, and see if it works for your space.
What about the big boys, they all seem to have tablet options now?
Micros, Aloha, Calypso have all rolled out some tablet version of their software. Problem is they are all still expensive. Look, if you are pulling down $150-200k and have multiple terminals in your taproom, then the big boys is the way to go.
Conclusion:
Subscriptions based POS systems are here to stay and tablets are making them a viable option for the taproom. With all the options out there, you may need to test a few or get with a expert who is going to help you pick on that will fit in your processes.
The “Commitment”
The next phase in brewery development is what I call “the commitment.” Capital is committed, a location is committed, equipment is committed and en-route, construction starts and anxiety sets in. You are actually doing this! Along with your commitment to brewing awesome beer, you also have a commitment to your financial fitness. Bookkeeping, payroll, brewers reports, tank labels, and brewing & packing schedules are a FEW of the items you must keep in order to ensure your fitness. **I caution new breweries not to skimp on the back office expense for the sake of saving a few dollars in the beginning.** The old adage “you get what you pay for” also applies to the accounting and consulting world. After reading the remote accountant reviews, and coming to a conclusion, here are a few steps to take that ensures that your back office is in order:
- Interview outsourced controllership firms – Take the temperature of the team. Do they speak your language? Do they dress like you? Are they excited about your entry into the market? Do they intimidate you? Would you hire these people to work at your brewery?
- Research who is the expert in the space – While you may not be able to hire the expert during year 1, they may have some helpful advice to share. Set a goal to eventually get to the level where you can work with the expert.
- Talk to other breweries – Breweries love to help other breweries, so ask them what their back office looks like. Do they do it in-house or outsourced? Are they happy with the results? Is it clean, or are they managing it on Excel? Do they know what their cost per BBL is?
Your commitment to financial fitness is as important as the beer you produce!
Potential interview questions:
- What is your experience with TTB reporting?
- Can you help my brewery grow? How?
- What retail/restaurant experience do you have?
- What manufacturing experience do you have?
- Are you familiar with industry specific software that can help my processes?
- Our goal is to grow distribution statewide and then expand across multiple states, can you grow with us?
Considering your move
To keep up the momentum of the last post I have come up with a list of five “thought points” a potential brewery should consider while planning their arrival; enjoy:
- Capital – Do you have the money it takes to open a brewery? I see undercapitalized businesses across many industries, and it doesn’t work. Under capitalization is the equivalent of roofers affixing shingles with bubble gum, it simply won’t last if you didn’t hire the experts from Best Indianapolis roofing company for this job. Seek council to understand the capital requirements to open a brewery; oh yea….use nails.
- Plan – Do you have a plan? I am not talking about a traditional business plan. I am talking about a PLAN. Traditional business plans are for winemakers, you’re brewing beer guy. I am talking about: brewery layout, 1, 3, 5 year goals, parking, expansion, marketing, staff, benchmarks. Can you feel the energy you are about to bring? We can’t predict the future, but we can plan.
- Distribution – What does distribution look like in your state? Here in Florida, all wholesale must pass through a distributor. Some states have self-distribution and that is a GOOD thing. Depending on your state, a refrigerated truck purchase may be on the horizon.
- Back office – I am confident you know how to operate all those valves and tanks, but can you balance your check book? The accounting and compliance piece may be a little more than the wife can handle. Hire someone knows the industry, they will get it! This is important for two reasons: 1) because proper record keeping will keep the TTB out of your hair and 2) you want to know if your operation is profitable.
- Culture – Who will you serve? I understand anyone who bellies up to the bar and has money; but what does that person look like? Culture benefits more than just the patrons, it’s the unspoken writing on the wall every business owner strives for. Define your culture, and the people will come.
Energy Farming
Last week, I had the opportunity to hear Jim Cederna speak. The majority of Jim’s talk focused on his fundamental approach to change.
Executive Summary:
Financial Success comes from two places:
1) Ecstatic Customers
2) World Class Operations
How do you achieve those?
1) With a Plan
2) The right People
3) Productive team environment
The talk went into great details on the 3 P’s and many awesome examples were given.
Thanks Jim!
Ok, so here’s the deal. Many of you may or may not know, I struggle with the “people” part of the equation. (When I say people, I am talking about the team, not customers) Its the truth, I am not going to deny it; some people say I have a harsh(er) delivery than most. I never fluff reality; I get straight to the point. Last week my “a-ha” moment came when Jim suggested that we lead our team with strengths and surround our self with the opposite. What a simple idea!! Two Chris’s in the same office would be a challenge. This got me thinking, what are Chris Farmand’s strengths? I came up with: Caring, Charmer, Listener, Selling, Comforter, Witty, Clever, Sees the world from 30k feet, Energy cultivator.
So here it is people………..
I am a energy farmer looking to align myself with people who can process energy into RESULTS.
Can ya feel me?
ps: We are hiring 
pss: Share your strengths below
IC Opportunities
I spent the last 48 hour in chilly Chicago with a group of thought leaders who command attention in the accounting arena. Jody Padar organized the first annual (maybe quarterly) IC Opportunities Event which brought together practitioners, vendors, media, marketers, state societies to discuss the direction of the profession. Greg Kyte, our resident comedian, welcomed us with a colorful keynote. Vendors in attendance included representatives from Intuit, Thomson Reuters, Wolters Kluwer, Sharra Chan of Orange Door, Jennifer Warawa of Sage, Kasey Bayne of Freshbooks, Sarah Johnson of Inovautus, Peter Wolf of Azamba Consulting, Kathleen Echeverria of bill.com, Tamera Loerzel of Convergence Coaching and Michael Redisch of Cloudsway. Our media friends were Danielle Lee of Accounting Tomorrow and Rick Telberg of CPA Trendlines. Oh, and how can I forget, Jackie Brown representing the MACPA, only the COOLEST state society in the land.
Jody started the brain dump bright and early with a discuss on “the Gap.” The four areas we focused on were Mobile, Could, Social, and Project Management. In groups, we discussed the external and internal forces that prevent firms from adopting. The discussion moved to suggestions on how the four areas could gain more traction with the traditional firms. In the afternoon Geni Whitehouse, Jason Blumer Kasey, Sharra, and Joe Manzelli moderated deeper round table talks on Social, Cloud, and Project Management.
I was honored to be invited to an event like this. I was so happy to leave the comfort of my office, during tax season, and engage my brain in the future of accounting. My take-aways from the event were; the profession is moving in a direction to offer creative services above and beyond the traditional “tax-man” services. Acceptance of cloud and mobile technology will be a must for these services to flourish.
Jody, when is the next one?
Thrivecast and Andriod
Self-proclaimed Googleites,
Come one, come all; and feast on the work-around to listen to Greg and Jason‘s Thrivecast on your Andriod device.
Copy the link below and paste it into your RSS feed reader or Google Reader, it will update automatically.
http://www.screencast.com/users/JasonBlumer/folders/THRIVEal%20Podcasts/itunes
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Knowledge Management?
I am a simple guy. I like simple things. I enjoy taking complex ideas and simplifying them so they can be understood. The conversion from complex to human is an important one, because once I can understand it, the word can flow into the streets.
My research of Knowledge Management turned up a number of explanations and ideas, all being complex. I also uncovered that knowledge management was more than a business buzz; it kinda separates the entrepreneurs from business owners. Lets get started.
Literature on the topic usually refer to two types of knowledge: static and tacit.
Stop. For this post the two types of knowledge I am going to talk about are: textbooks and brain mojo. For our scholars out there, textbooks translate into static knowledge, and brain mojo translates to the ever so sexy tacit knowledge. Textbooks and brain mojo, textbooks and brain mojo, say it with me, please
Textbooks, or static knowledge, is the information we process into knowledge from the resources all around us. School, textbooks, IRS websites, PDF’s, magazines, white-papers, case studies etc. This knowledge is available to anyone who wants it. Its not a secret, it is literally what has been published for people to read and process. Textbook knowledge is great because just like a textbook, if you forget it or need to reference it, just look it up.
Brain Mojo, or tacit knowledge, is the information that makes the world tick. I refer to it as Brain Mojo, because unlike textbooks, someones Brain Mojo is rarely published for others use. Even if we did a better job publishing Brain Mojo, I believe only a few could benefit from it. Brain Mojo perpetuates entrepreneurship. An appropriate example to illustrate someones phenomenal Brain Mojo would be the late Steve Jobs. I have heard the critics call Mr. Jobs controlling, degrading, genius, perfectionist, among other names. These labels Mr. Jobs accumulated throughout his career are a direct result of his Brain Mojo. His Brain Mojo, directed, created, edited, criticized, and complemented everything that came out of Apple. Some say he left a road map for Apple to follow for the years to come. Let me be clear here, a road map is not Brain Mojo, so it is left to be seen if the current leader at Apple can carry on Mr. Jobs legacy.
Since textbooks are already in circulation, some say it is important to try and capture the Brain Mojo to pass on. I am not sure it is that easy. I understand manuals, policies, and trade secrets can be documented, but I believe the Mojo is something deeper.
Your thoughts?