What is accounting software?
To track the financial process, the business owners or individuals use the accounting software to record and report income and expenses.
This is more effective and never drives grave mistakes with automation, especially for small businesses.
Why do small businesses prefer accounting software?
The majority of small business owners may not be much aware of accounting or finance management. So they prefer this software to manage their financial data.
The software helps to reconcile data, generate receipts, and integrate with the financial data.
So they don’t have to bother about the business account to balance.
Moreover, it saves time and money and improves productivity and performance through the transparency of financial data.
How do you choose better Accounting Software for Small businesses?
Searching for the right accounting software for your business is a daunting task.
Software designed for one business could not be suitable for another.
It depends on the enterprise’s size, the income flow, level of experience of the accountants, and the company budget.
If you are willing to choose any accounting software, it is always advisable to thoroughly examine some of the features before selecting one.
Here are some of the best accounting software, distinguishing itself with outstanding features and functionalities and specially designed for small businesses.
Intuit QuickBooks: Best Overall
It has a separate desktop version you can buy and install, and in 2019, they released the cloud-based system.
Millions of businesses use QuickBooks accounting because it designs for small and medium-sized enterprises.
It is very user-friendly, and business owners prefer this because they can handle this easily even though they don’t have accounting experience.
While coming to the price, it is very reasonable.
Features of QuickBooks Accounting contain:
- With user guides and tax data export, it helps to file quarterly and annual tax returns.
- Financial institution integration.
- Sales tax calculations and reported tax payments.
- Sort sales and expenses into tax groups automatically.
- Scanned receipts are attached to the invoices.
- Generate customized reports with cash flow.
QuickBooks Accounting offers a reasonable price:
- Simple Start: $10 per month for business beginners.
- Essentials: $17.50 per month for maintaining and expanding businesses
- Plus: $25 per month to help more established and manages projects, inventory.
Sage Business Cloud Accounting: Best for Multiple Users
Sage Business Cloud Accounting is a global label that provides online accounting for small businesses.
It designs for small businesses, which established in 1981 in Newcastle, England.
It lets you select your industry, company scale, and requirements. Over three million businesses use it.
Without any accounting knowledge, users can use this and can set it up for multiple users.
The main features contain:
- Manage business accounting and cash flow.
- Generate and share invoices.
- Available on all devices so that you can access it from anywhere.
- Auto entry and synchronization.
- Integration with your business institution and other apps.
- User-friendly dashboard and tax compliance tools.
- Forecast cash flow and inventory management.
- Collaboration with your accountant on any device.
Pricing of Sage Business Cloud accounting as follows:
- Accounting Start: $10 per month for start-level financing to help manage cash flow.
- Accounting: $25 per month for excellent cloud accounting with invoicing, cash flow management, and actual entries.
They currently offer a 50% discount for three months and a free trial for 30 days.
Xero: Popular with best features
Xero is a web-based accounting software developed for small and expanding businesses.
Small business owners and accountants prefer Xero, which established in New Zealand in 2006.
Without any accounting knowledge, you can easily set and use this software.
It is popular with its easy-to-use dashboard and can collaborate with multiple users simultaneously.
Small business owners choose this because of the features and ease of use.
Its two-step authentication keeps your data secure and a very reasonable rate for each plan which you choose.
The main features contain:
- Generate and send invoices and create an account claim.
- Integration with your business institution and other apps, including HubSpot, Square.
- Quick bank reconciliation.
- Active financial reports.
- Secured financial data.
- Collaboration with multiple accountants.
Pricing for Xero is as follows:
- Early: $5.50 per month, send 20 invoices, enter five bills, reconcile bank statements, and capture bills and receipts.
- Growing: $16 per month, send invoices and quotes, enter bills, reconcile bank statements, and capture bills and receipts.
- Established: $31 per month, includes all Growing tier features plus multi-currencies, expenses, and projects.
- Every plan comes with a free 30-day trial for unlimited users.
Zoho Books: Best in automation
Zoho was established in 1996 in India and had a corporate office in California.
Its accounting software, Zoho Books for small businesses, has outstanding features which lest you monitor your finance generate invoices and collaborate with users in real-time, and many more.
Zoho includes multiples products for customer relationship management (CRM), human resource management, and inventory control.
Small business owners incline to Zoho books for automation, bank reconciliation, invoicing, and more.
The app integration allows you to integrate with other software which you already use.
It also provides a payroll solution for companies in India.
The main features contain:
- Tax compliance and financial reports.
- Sales management and invoicing.
- Bank reconciliation.
- Client portal.
- Reports and records.
- Automatic tax calculations.
Pricing for Zoho Books as follows:
- Free: Includes up to 3 users, 1000 invoices per year, and 1000 bills per year with basic features.
- Standard: ? 499/month billed annually and included up to 3 users, 5000 invoices per year, and 5000 bills per year and includes everything in free plus extra features.
- Professional: ? 999/month billed annually and included up to 4 users, 10,000 invoices per year, and 10,000 bills per year and includes everything in standard plus extra features.
- Premium: ? 2999/month billed annually and included up to 7 users, 25,000 invoices per year, and 25,000 bills per year and includes everything in professional plus extra features.
- Elite: ? 4999/month billed annually and included up to 15 users, 100,000 invoices per year, and 100,000 bills per year and includes everything in premium plus extra features with ‘Advanced Inventory Control’.
- Ultimate: ? 7999//month billed annually and included up to 15 users, 100,000 invoices per year, and 100,000 bills per year and includes everything in Elite plus extra features with ‘Dedicated Account Manager’.
Your accounting experience doesn’t matter; any of these easy small business accounting software options will let you manage your business’s accounting and balance the books efficiently.
Conclusively, the decision will depend on your budget and the features and functionality that your company needs.