When it comes to selecting the right accounting software for your business, it is imperative to know that there is no such thing as a “perfect” accounting software out there. Every business is different, in terms of employee size, business strategy, financial capital etc. It is impossible to find a “one size fits all” accounting software for your company.
With various accounting software out there in the market, promising easy usability and incredible enhancements to your accounting processes and workflow, it is no doubt difficult to identify one that is suitable for your business.
However, choosing an accounting software for your business does not necessarily have to be complicated. Here are some questions you might want to consider to help you narrow down the appropriate accounting software for your business.
1. Do you really need an accounting software?
The first step to selecting an accounting software is to identify the primary reasons why your business needs one in the first place. It could be that,
Your business is in a start-up mode and you think it is important to put efficient systems in place right from the start of your business,
You find yourself wasting time on inefficient processes such as re-entering the same data into another system or,
Your business is looking into expansion and has the intention to hire more employees, but the current system is unable to cope with the growing payroll requirements.
If the answer to the question is yes, then the next step is choosing one that is best suited for your business.
2. What type of features does your business need?
Accounting software offers a bevy of technical functions and features to enhance your financial processes. At the start, you might feel overwhelmed by the numerous features that accounting software offers. Instead, take time to think through about which accounting functions your business really need. Essentially, accounting software should at least offer these basic features. Any other special features would be dependent on each individual business needs.
Basic accounting tasks: Accounting functions such as invoicing, income and expense tracking, client and vendor relationship, generating financial reports etc.
Automation: Functions like automated billing, recurring payment reminders and notifications, auto-filing of taxes and other automated accounting processes can help you save time from manually doing it yourself.
Payroll processing: Linking up your payroll with your accounting system can help save you a lot of time from re-entering payroll data into a separate accounting system. It minimises the risk of data entry mistakes as well.
Multi-users access: Most accounting software should offer this feature – so a single person does not have to do all the work by themselves.
Think through carefully about the accounting software features that are important for your business, as opposed to choosing a particular accounting software product just because of its fancy functions.
3. Do you have budget limitations?
Once you have thought out your business needs, done your due research and identified the potential accounting software vendors. The next question is: how much are you willing to pay? Accounting software products vary in cost, with some offering subscription packages that encompasses varying degrees of features and functionalities. Some vendors might require you to top up the price for additional or customised features. Select the accounting software that best fits your budget while satisfying the key requirements that your business needs.
4. What is the ultimate deciding factor?
As mentioned earlier in the article, there is no “one size fits all” accounting software in the market. Sure, you might have narrowed down to a handful of accounting software. The final step is deciding which accounting software among this list is best suited for your business needs.
For instance, you might have narrowed down to software A and B. However, software A is beyond your available budget while software B is extremely affordable but only able to handle X number of entities. Prioritise your business needs and choose the accounting software that satisfies most, if not all, of the features that are critical for your company. Ultimately, it has to be one that is sustainable for your business in the long run.
One probable accounting software product that you can consider for your business needs would be Gpayroll’s partnership with QuickBooks - combing payroll with accounting software. With seamless integration between Gpayroll and QuickBooks, rest assured that your payroll data is automatically transferred to your accounting system. Furthermore, security is further enhanced, ensuring your confidential data is kept secured.
This article was first published on Gpayroll. Information is correct at the time of publication.