Choosing the Right Accounting Software for Small Business
Keeping “the books” for a business used to be a paper-based process, involving a ledger with lots of columns and a pen to record a business’ essential financial data. Today, even the smallest business can benefit from small business accounting software products. Of course, choosing the right accounting software for small businesses can be difficult. To make an informed decision, start with assessing your business and its accounting needs.
What Types of Accounting Software for Small Business Are Available?
Small and mid-sized organizations may choose from a variety of accounting software solutions. The options have grown steadily over the last few years. Here are the most common types:
Free Accounting Software Programs
While you get what you pay for in most cases, many of these programs let you create invoices, print checks, handle payroll, and manage a set number of customer accounts. Of course, if you end up taking on more clients, you’ll generally have to upgrade to the program’s paid version.
Small Business Payroll and Accounting
Many of these accounting software programs for small businesses are available off the shelf or online. For the most part, they will suffice for most small business requirements and provide the accounting tools needed to track and analyze your financial data.
Business Management Software Programs
Business management software programs typically feature more robust tools, including point of sale, inventory management, customer relationship management (CRM), billing, purchasing, and even enterprise resource planning (ERP).
Web-Hosted Accounting Applications
Online financial management applications have become popular in recent years. Many small business owners have started using online platforms that go beyond e-mail and office productivity to more sophisticated and sensitive applications like finances.
Analyze the Needs of Your Small Business
Selecting the right accounting software for your company starts with a thorough needs analysis, considering both managerial and financial requirements. It should be comprehensive, looking at both obvious issues and underlying ones. Take your time with this crucial stage since the last thing you want to do is waste time implementing something that won’t help you in the long run. Small business owners and executives should be proactive in determining what data their business needs to keep and what reports to generate.
Understand that different industry niches have different needs. For instance, many accounting software programs for small businesses have industry-specific modules or add-on packages because they need to keep specialized data.
Have Experienced Consultants Help You Narrow Down Your Options
Not sure which accounting software to choose? Talk to an experienced accountant or consulting firm. As professionals in the accounting industry, they can help you figure out your best option. Talk to them about current technology, emerging needs, and your future business plans so that they can make the right recommendation. Many firms and individuals can even help with implementation.
Let Taurus CPA Solutions Help You with the Decision
Taurus CPA Solutions has the expertise to help you decide on the right accounting software for small business. We’ll analyze your business needs and help implement the right product for your company. To get started, call (410) 465-4600.