LIFO-PRO Mission Statement
LIFO-PRO’s mission is providing our clientele high-quality LIFO calculation services in a timely manner and delivering LIFO software that represents great value in terms of features, ease of use & support.
LIFO-PRO Company Background
Lee Richardson started working with LIFO in 1977 while at Touche Ross. This was prior to the advent of PCs and the existence of spreadsheet software so most LIFO calculations were done manually or via mainframe computer program. Once PCs and electronic spreadsheets were used for LIFO calculations Lee saw there was a need for LIFO software because of the frequency of errors in manual and PC spreadsheet LIFO schedules.
The development of LIFO-PRO software was completed in 1991. Department and discount store chains were the primary software users in the early years. These companies’ LIFO calculations were especially complicated because they used Retail LIFO and had numerous pools. The IPIC LIFO method was commonly used by companies in many industries by the mid-1990s. The complexity of IPIC pool index calculations resulted in frequent errors when done manually or with spreadsheet software. We added an IPIC pool index calculation capability in 1995.
In 2005 additional reports were added to the software to help companies more easily document their internal controls relating to their LIFO calculations. The greatest interest in our software recently has been from companies desiring to improve their LIFO internal controls because of Sarbanes-Oxley requirements. There have been several cases of material or significant weaknesses in internal controls for companies using LIFO spreadsheets. An increasing number of companies realize that it is not a “best practice” to use spreadsheets for LIFO calculations when software exists at a nominal price.
In the past other companies, including Ernst & Young and Lifo Systems, developed and marketed IPIC LIFO method software but they no longer do so. While there are several auto dealer LIFO software providers in the U.S., our LIFO-PRO software is the only non-auto dealer software sold. We occasionally hear references to IPIC calculation software that has been developed and used by CPA firms but these are merely spreadsheet templates which are used as a tool for making manual calculations.
Having concentrated solely on non-auto dealer LIFO for many years, we are now the “go to” firm to help companies solve their LIFO problems not only because of our extensive experience but also because of the efficiency we provide our clients in addressing their LIFO needs.
We have always provided LIFO services to CPA firms but the demand for these services has increased significantly in the past few years. With higher levels of inflation many CPA firms recognize that the services and software we provide are the most efficient ways to serve the LIFO needs of their clients.
Prior to 2005 the name of our company was Legend Software, Inc. Since then our name has been LIFO-PRO, Inc. Our company has no association with a company named Lifo Systems located in Ft. Worth, TX. The successor to Lifo Systems is a division of a large company named SourceHOV (formerly SourceCorp) which is owned by a private equity company.
LIFO-PRO Performance Record
We are the only company in the U.S. providing the software and services we do. We are proud of our record of providing high quality, timely services to our clients for over twenty years at a very high value-to-cost ratio. The reasons we have been able to do this include:
- Use of software rather than spreadsheets – Our substantial investment in our unique fully automated LIFO-PRO software enables us to make pro forma and actual LIFO calculations and produce numerous reports very quickly.
- Extensive real world LIFO experience – Our clients benefit from our unmatched experience which means they are never billed for training or marketing time. Research time is minimal because non-auto dealer LIFO is and always will be our only business.
- LIFO Resource For CPA Firms – We are an especially good LIFO resource for CPA firms because we specialize solely in non-auto dealer LIFO. We do not provide non-LIFO inventory consulting services such as Sec. 263A methods reviews, cash and/or trade discounts and allowances method changes. We do not provide fixed asset consulting services such as cost segregation studies.
Non-auto dealer LIFO has always been and will always be our sole practice so CPA firms do not need to worry about us competing with them to provide non-LIFO services to their clients.
- Company structure – Being a small privately owned company allows us to concentrate on long-term goals rather than ever-increasing quarterly revenue goals. This allows us to place our primary focus on quality service and software rather than on marketing. This philosophy has served us, and our clients, well in the long run and has resulted in us being the leading provider of non-auto dealer LIFO services and the only software provider.