Every business owner has their specific wants and needs as to what they expect from the Best Accounting Software for Medium Business Uk. However, there are features that almost all businesses look forward to having in such programs. How to choose the right program among the rest of the available software?
Are you looking for best accounting software for your Medium Business Uk ? One of the main priorities of all the organizations today is to reduce expenses. Because, this helps to remain competitive. If you are an entrepreneur that has a small business then you will need the best accounting software.
In today’s world, UK businesses do not need to spend each year on new versions of online accounting software in UK while choosing the best accounting software. Instead, they need to pay a monthly fee that provides them with an all access pass to their data. These new cloud-based online accounting software licensing models mean that the former “one license is only for one computer” protocol has been rendered irrelevant. If a business has access to a web browser and login details, it can easily raise an invoice, process a payment and even reconcile a bank statement. Businesses are also not required to worry about updating their online accounting software to comply with new accounting rules as software automatically updates to accommodate these changes.
Currently, there are many online accounting software, providing accounting software for small business as well as large business. Here is a guide to the best accounting software in UK.
Xero
Founded in 2006, New Zealand based Xero is a cloud-based online accounting software for small business. As of February 2018, Xero has over 1.8 million subscribers globally, making it as an ideal choice as best accounting software in UK and one of the best online accounting software for small business.
Why Xero is one of the best accounting software in UK
As a cloud-based online accounting software in UK, Xero can easily be accessed from all types of devices with an active internet connection. It is built on a double entry accounting framework and its robust accounting features enables small businesses to view their cash flow, transactions and account details from any location. Bank transactions are all automatically imported and coded by this online accounting software for small business.
Online bill payments help keep track of spending and stay on top of bills due, improving relationships with the suppliers that provide critical business services. It also allows businesses to manage personal expenses with a mobile review and approval process of each receipt. Xero offers unlimited user support and integration with over 600 systems through its add-on marketplace, including Curve, Receipt Bank, and Vend. It also updates its software on a regular basis.
Also, submitting CIS returns from Xero is free until 31 March 2020.
Cons
In some areas, Xero’s accounting features are limited, for example it has only two tracking categories.
For this software, business users pay a subscription amount for the most basic version. In order to access functions such as expanded time tracking and inventory tracking, businesses need to purchase add-ons on top of the subscription. Importing data is free but using payment services like Paypal or Stripe carries a cost.
Also, Payroll, Projects and Expenses are optional extras and not part of any of the pricing plans.
Pricing
The solution comes with a 30-day free trial period for product testing and feature evaluation. It provides three introductory pricing levels that kick in after a 30-day free trial. Xero Starter (£4/month as an introductory pricing, £10/month after the first three months) has monthly limits of five invoices and quotes, five bills, and reconciliation for 20 bank transactions, submitting VAT to HMRC and automatic CIS calculations and reports. The second pricing level, Xero Standard (£8.80/month till 1 August 2019, £9.60/month after 1 August and £24/month after the first three months) adds unlimited billing and invoice functionality, quotes, transaction reconciliations and submitting VAT to HMRC and automatic CIS calculations and reports. Xero Premium (£11/month till 1 August 2019, £12/month after 1 August and £30/month after the first three months) is the only version to offer multiple currency support, and on top of that offers the same capabilities as Xero Standard.
What’s new
The introductory promotional pricing plan, valid till 1 August 2019.
Intuit QuickBooks
QuickBooks is another veteran of the online accounting software business. Like other accounting tools, Quickbooks comes with an attractive dashboard that puts key data such as income (split into open, overdue and paid in the last 30 days), expenses and profit and loss in front of you as soon as you log in.
It offers true double-entry accounting with ample reports and strong accounts charts, as well as customisable invoices, inventory capabilities, payroll support, multiple currencies, and over 400 integrations.
Why Intuit QuickBooks is one of the best accounting software in UK
One of the best aspects about QuickBooks is that this online accounting software continues to be updated on a regular basis. One of the most recent updates the software received was the project management feature. The online accounting software also provides users with many features that other traditional locally installed software does not provide. These features include automatic sales receipts, split transactions, scheduled invoices, and location and class categories.
Cons
Quickbooks, which is generally a feature-rich, high-quality software, does have disadvantages as the software’s several customers have flagged that the software still does not compare to its desktop counterpart and can sometimes be complicated and hard to navigate over a period.
Pricing
Quickbooks currently has three versions of accounting software for small business owners and the newly added Self-Employed plan for freelancers and independent contractors, all of which offer a 30-day free trial. The three versions are applicable for medium business owners. The first plan, Simple Start (£5 per month for six months), allows businesses to track income and expenses, track and e-File VAT to HMRC for MTD, send unlimited invoices, chase late payments, snap & store receipts, connect multiple bank accounts, run reports, manage CIS transactions, run payroll (+£1 per employee /month), free UK phone support and one user profile. Essentials (£7 per month for six months) provides all the features of the Simple Start plan and additionally provides two more user profiles, managing bills and payments, multi-currency support and tracking employee time. Plus (£11 per month for six months) enables users to create budgets and purchase orders, manage stock and Track project profitability.
The newly introduced Self-Employed (£3 per month for six months) is the most basic plan which only includes track income and expenses, track deductable mileage, send unlimited invoices, snap & store receipts, and connect multiple bank accounts. Additionally, this plan exclusively has the option of having separate business and personal transactions, estimating income tax payments and completing HMRC self-assessment.
What’s new
The separate Self-Employed plan for freelancers and independent contractors, which although is basic, but has a few exclusive offerings.
Bokio
Bokio, free accounting software for small businesses, sole traders and freelancers, lets you record receipts and other documents with step-by-step bookkeeping. It also offers unlimited invoicing with an invoice generator, where you can create, send, track and record them all in the same place. Bokio supports employee expenses, automated reporting, and VAT Return for Making Tax Digital is automatically calculated making it really easy to submit to HMRC.
Why Bokio is one of the best accounting software in UK?
Using Bokio means there’s no need to be an expert in accounting to get it done quickly and easily. The software is simple to use by uploading a receipt and AI helps by filling in the amounts, dates and numbers. Bokio is automated, so it reduces errors, saving time and money. Bokio is always working on new features to make the software even better. The software is secure and cloud-based, so it can be used on the go.
Cons:
Currently Bokio is developing support for payroll and live bank feeds.
Pricing:
All the features in Bokio will always be totally free if you do your accounting yourself using the software, with no limitations.
X
best for larger SMEs with multiple users
Overview:
Winner of Accountancy Software Provider Of the Year at this year’s British Business Awards 2019, Xero describes itself as “beautiful accounting software” offering unlimited users with free upgrades.
Established in 2006, New Zealand-based Xero has over 1.8m users in 180 countries and is used by over 16,000 accountants.
Like FreeAgent and QuickBooks, Xero offers the following as standard:
- Connects straight to your bank account enabling automatic reconciliation
- Generates quotes and invoices that customers can pay online
- Manages purchase orders, bills and supplier payments digitally
- Helps track stock
- Keeps your account up to date as you buy and sell
- Customisable reports
- Range of apps in marketplace including Shopify, Stripe, PayPal and Square
However, you have to pay extra as bolt-ons if you want to do your payroll on Xero or enable staff to submit expenses, track expense claims.
Pros:
- As voted for at this year’s British Business Awards 2019, Xero is popular with small businesses and especially sales-oriented businesses that need basic stock management built in.
- Its usability, features, extendibility, and network of “Xero certified” accountants make it one of the best small business accounting websites available.
Cons:
- The Starter plan is extremely limited, offering an improbably low allowance of monthly invoices and quotes.
- The drop-down menus on Xero can be a bit clunkier than, say QuickBooks.
- And its reporting functions can be more difficult to navigate. For example, Unlike QuickBooks, Xero lacks any facility to bunch together creditors and debtors by name in its reports, an omission which mystifies some accountants.
- Xero has improved its functionality dramatically but these improvements have come at the cost of dropping built-in payroll with its monthly subscription plans. And you must subscribe to its most expensive £30 a month tier if you want multicurrency transactions.
- There is no telephone customer support and users complain that the online-only support has deteriorated, despite the monthly subscription hike.
Price:
Starter: £10pm allows you to send 5 invoices and quotes, enter 5 bills, reconcile 20 bank transactions, submit VAT to HMRC for Making Tax Digital and offers automatic calculations and reports; there are optional bolt-one for payroll, expenses, projects and submitting CIS returns from Xero.
Standard: offers all of the above for £24pm with unlimited invoicing, bills, bank reconciliation. As with Starter, there are bolt-ons for payroll, expenses, projects and adding a CIS contractor.
Premium: only the top tier Premium option handles multiple currencies for £30pm but payroll, expenses, projects and adding a CIS contractor are all paid-for bolt-ons.
Mobile: iOS, Android
FreeAgent – best for smaller businesses
Overview:
FreeAgent calls itself “mission control for your business” and they’re not joking.
UK FreeAgent began life over a decade ago in 2007 when three freelance developers, frustrated with the mess and inefficiency of bookkeeping, decided to create their own digital bookkeeping solution.
Today, FreeAgent employs a team of 170 and has helped over 70,000 SMEs, freelancers and their accountants with bookkeeping chores.
Its model proved so attractive that Royal Bank of Scotland bought the founders out for £53m in 2018.
Features include:
- Emailing estimates and invoices
- Recording expenses
- Time tracking
- Self-assessment filing
- Making Tax Digital VAT
- Corporation tax calculator
- Bank account connectivity
- Dashboard overview of cash flow, live profit and loss, HMRC deadlines and an invoice timeline.
Pros:
- FreeAgent is a good option for project-based small businesses and freelancers who need to invoice billable hours and expenses to their clients.
Cons:
- Its inventory management features may be too basic for businesses that sell multiple product lines.
Price:
Sole trader: £9:50 a month + VAT for 6 months; then £19 a month + VAT
Partnership/LLP: £12 a month + VAT for 6 months; then £24 a month + VAT
Limited company: £14:50 a month + VAT for 6 months, then £29 a month + VAT
Mobile: iOS, Android
Conclusion
I am sure you are searching for the best accounting software for medium businesses uk, but which one is really top on your list? We provide you with a simple guide on how to pick the best accounting software for your business. There are numerous options when it comes to looking into some of the best accounting software available on the market, but more often than not some of these different software solutions come at a cost that might not fit within your budget making it difficult for many who are looking to find themselves some of the best accounting software.