Fixed asset software is a centralized database and tool set for tracking and managing all of your company’s fixed assets, throughout the lifespan of each individual asset. A fixed asset tracking system eliminates the need for managing various spreadsheets and balance sheets on your fixed assets, giving you a more streamlined way to track and report on those assets for compliance, insurance, audits, or asset depreciation purposes.
"Fixed asset" refers to any physical asset you purchase for long-term use in producing the goods or products that your business sells, without expecting to consume, sell or otherwise turn that asset into a cash, or liquid, asset for at least one year. Examples of fixed assets in a fixed asset tracking system include:
- Land, buildings, or other properties
- Factories
- Equipment
Fixed assets are important aspects of your business operations, and they require special care and maintenance. Managing fixed asset tracking system to properly account for depreciation, insurance purposes, and audits can be a cumbersome and error-prone process when done manually, which is why many companies are looking to automate by switching to a more streamlined and efficient fixed asset software system.
The top features and functions of Fixed Asset tracking system and software are:
- Track the location of all your fixed assets
- Monitor equipment that must be checked out to employees (and checked back in)
- Track due dates on equipment that must be returned
- Schedule maintenance
- Consolidate maintenance records into one system
- Track audit history
- Manage and track fixed asset costs
- Calculate and track fixed asset deprecation (in multiple currencies)
- Integrate with accounting software
- Accurately track fixed asset lifecycles and reduce insurance premiums
- Prepare reports for tax compliance, audits, and insurance
The benefits of Fixed Asset tracking system and software are:
- Boost productivity and efficiency in managing your fixed assets
- Improve auditing efficiency and accuracy of all fixed assets, across multiple locations
- Enhance audit accuracy
- Improve accuracy on fixed asset depreciation reports
- Minimize insurance premiums and claims
- Simplify end of the year reporting procedures
- Simplify compliance with industry and governing regulations
- Reduce equipment costs by avoiding unnecessary equipment purchases or upgrades
When it comes to managing fixed assets, different industries have unique equipment and property tracking needs. As a result, more industry-specific tools are becoming available to best tracking and regulating fixed assets by industry. This will give companies more insightful tools that are relevant to their industry and needs for a fixed asset tracking system.