Very small marketing teams and creative agencies may rely on spreadsheets to manage project budgets, monitor ongoing expenses, and report on final costs and profitability.
We’ve seen teams use Microsoft Excel (or, similarly, Google Sheets) because it’s free and has a minimal learning curve — most are already using Microsoft (or Google) business applications and are familiar with how they work.
Despite the benefits of these tools, there are several downsides, and many find that they outgrow manual cost-tracking methods once they’re managing multiple projects and have a full schedule:
- To record costs manually, you must switch between your project management tool, time tracking app, accounting system, and spreadsheet. The time spent gathering details from multiple systems (or having to check in with individuals if they forget to update systems) adds up quickly — and could be spent on more valuable tasks.
- You have to grant everybody reporting on project costs or hours access to the spreadsheet,or one person …