Accounting software records and processes financial transactions related to the main functions of accounts payables & receivables, general ledger, billing, stock & inventory, and purchase and sales orders. There are many available solutions that address anything from personal financial accounting for freelancers and business startups, to SMEs, Mid-Size & large enterprises and global MNCs. The added value of accounting software for Small Businesses is in providing an automated solution for accountants and finance managers for monitor financial operations & performance, including reporting revenues and controlling cost allocations. Cloud based solutions for small business ensure cost effectiveness, centralized and secure control of financial operations, along with universal access to financial information.
Selecting an accounting solution for a small business requires preliminary analysis of the features required for providing full cover of your accounting activities, since business type and size usually imply various accounting needs: a freelancer and a large corporation imply different accounting transactions It’s important to find a solution that suits your needs on one hand, and does not encumber you with unnecessary features. In this context, you should also consider the scalability prospect of your business. ITQlick’s review of accounting software solutions recommends the top five applications as the best suited for small businesses.
1. Zoho Books
Zoho Books is an online accounting software developed by Zoho Corp. It is designed to help your business manage its finances in a smart way. In addition to a double entry accounting system with automatic journal updates Zoho Books also offers customer invoices & payment automation, tracking expenses, vendor payments, and cost & bill services on projects, as well as a financial information analysis with powerful data analytics.
Zoho Books offers a free trial and you can convert to a paid version for only $24 per user per month, and receive unlimited access to all the features required for a business. This is a major selling point for a small business, as you can make use whatever you need, whenever you need it.
Xero Accounting software is provided by a company of the same name and is a leader in providing online accounting on a cloud platform. This solution is oriented towards startups and small businesses and offers real time views of cash flow and business financial position in a simple, yer elegant user interface. Xero Accounting features include easy bank reconciliation, automatic invoice generation and payment processing, as well as integration to a wide range of add-ons such as PayPal, SalesForce and Ebay, which offers versatility in ongoing activities.
There is a free trial after which you can sign up for three pricing levels of $20, $30 and $40 per user per month. It is a perfect fit for small businesses with features that can be added as required with unlimited support and free updates.
FreshBooks, a product of a company of the same name is a leading provider of cloud accounting solutions for the service based industry in the small business market. It offers everything a small business needs in one solution with a simple interface and accessibility by all mobile devices, including your Smartphone and tablet, and automated data backups. Its features include online invoicing, expense & time tracking, financial reports & dashboards, and payment processing.
There is a free trial and a free plan for managing 1 client so you can evaluate the product thoroughly. Priced plans range from $20 – $40 per user per month depending on the number of clients and features you require.
Kashoo has developed a simple but useful accounting software of the same name. Specifically designed as a cloud solution for small business owners, it is set up so that no accounting experience is required for gaining full control over your business finances.
It allows easy financial data collaboration and sharing, and provides powerful dashboards for financial analysis targeted at optimal business performance.
All major accounting features such as invoicing, expense tracking, and sales and order management are available. After the free trial the cost per user is $20 per month, which is extremely affordable for a small business given the features provided and Kashoo user friendliness.
5. QuickBooks Online Edition
Developed by Intuit, QuickBooks Online Edition is the latest cloud based offering of its popular and established accounting software. It allows you to track online sales, income and expenses easily with built-in dashboards that show your business financial position.
You can create custom invoices, capture receipts via your Smartphone, sync your bank account data, add a payroll if needed, and finally collaborate online with your accountant for maintaining your financial data.
This tool allows small businesses to control and monitor their finances from anywhere cost-effectively. You get a free trial with per user, whereas paid-for versions range from $13 – $40 per month based on the features you require.