A reliable accounting software can help a small business owner a lot. A right accounting software should be easy to use and deliver a range of features that a business requires. It has to be enough to cover all your accounting needs, from maintaining books of accounts, processing invoices and receipts, managing payroll, taking care of taxes as well as producing reports on demand. Also, some accounting programs are more suitable for smaller businesses, while others are best for midsize or big organizations. If you’re looking for an accounting software for business, here is my recommendation of the top 15 accounting software packages. I’ve used them myself and can vouch for their quality.
Choosing the right accounting software is important to the success of your company and can help you and your customers and employees better manage their finances and simplify their business processes. The market is saturated with different options for businesses, and not all software is created equal. Here we will explore some of the top accounting software for business owners and managers, as well as those who want to start a home-based business.
FreshBooks
FreshBooks is one of the leaders in our accounting software category. Our team found FreshBooks to be the most easy-to-use accounting solution for freelance accountants and small businesses currently offered in the market.
The software is being used by more than five million users around the world to streamline time tracking and invoicing. The vendor has recently updated the product to allow easy collaboration between team members and has added a redesigned dashboard where you can prioritize tasks and manage payments. The classic features have not changed, and FreshBooks continues to offer top-rate invoice-to-payment functionalities, including direct payment gateways, overdue payment reminders, delay fees, and payment claims. You can use the system to collect payments easily and automate the recurring billing process to accept Google Checkouts, Amex, PayPal, and credit card payments.
What’s more, is that pricing is affordable for almost any budget, and the vendor offers a convenient 30-day free trial to enable you to test drive the features before you plunk down your money.
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FreshBooks also recently added features such as bank reconciliations, invitations for up to 10 accountants, new balance sheet reports, directly adding the credit card to the client profile, and adding payments in bulk. It also improved the navigation experience by adding sections for Invoices, Reports, and Accounting.
FreshBooks has not neglected any utility, and companies can use it to manage invoices as well as expenses. You can easily generate insightful tax summaries and reports after the data is processed. The vendor also offers a handy mobile app. The system seamlessly integrates with other business apps, such as billing and invoicing software. You can rely on the support of knowledgeable and experienced agents if you have any issues.
Oracle NetSuite
Websitewww.netsuite.com
Best cloud accounting software for medium-sized businesses.
Best for:
Oracle NetSuite bills itself as “the #1 Cloud Business Platform.” For those needing a powerful ERP, NetSuite is that and more. It is a commodity seller’s dream. A business requiring tracking of inventory or a manufacturer or entity needing purchasing capabilities will find Oracle NetSuite provides a robust solution. Oracle NetSuite’s flexible, customizable, and scalable options allow a business to grow.
Key features:
Whatever you want out of Oracle NetSuite, it will provide. At its core, Oracle NetSuite is a fully-scalable, complete double-entry accounting software, making it a great choice for medium-sized businesses or smaller businesses that are growing quickly. Accounts payable and receivable, payroll, general ledger, invoicing, and other features are part of the integrated platform, along with online and EFT accounts payable functionality.
Oracle NetSuite’s services are completely customizable. Features include customer engagement tracking, financial planning, and financial, product, and order management. Users can manage the supply chain with end-to-end inventory logistics and streamline lead-to-cash processes while elevating productivity across the organization. There are features for every type of business.
Reporting capabilities in Oracle NetSuite are robust, and the ad hoc report builder provides unparalleled reporting flexibility. Oracle NetSuite also supports multiple entities and subsidiaries, making it a strong contender for businesses with more than one location. Invoicing can be customized, too, allowing a business to invoice and receive payments from customers in several unique ways, including subsidiary and headquarters consolidation.
The number of users is directly related to the types of services required. The comprehensive dashboard is customized based on user-level permissions, allowing users to see only the data that pertain to their job roles. However, user-level permissions are so robust that Oracle NetSuite provides a 101-page manual to orient users to the roles and permissions, including how to customize/create roles. In short, NetSuite can accommodate as many roles as required.
Oracle NetSuite also includes strong budgeting functionality, allowing users to budget by location, department, team, or project, and build comparative budgets (e.g., best/worst case) for the same or similar criteria. In addition, employee expense management—including billable expenses—is facilitated easily through a built-in expense management feature.
Additional features include financial planning, revenue management, job and project management, and other ERP capabilities, as well as support for compliance protocols (SOX, GAAP, ASC 606, and others). Oracle NetSuite is a fully integrated platform, and it can be configured for unique purposes.
Ease of use:
Oracle NetSuite is vast, and its power and capability bring a steep learning curve, too. However, Oracle offers comprehensive support via online guides, phone, or email. Oracle NetSuite takes pride in its ability to streamline the overall business process, simplifying reporting, analytics, and decision making on one convenient platform. Add to that operation, HR, and marketing functions. Oracle NetSuite brings all of these features into a sleek and easily navigable dashboard, making managing the entire business easier.
Cost:
A business’ ability to choose the right services makes narrowing down one cost a bit difficult. Oracle NetSuite also does not publish their prices online, and users will need help navigating the array of options, so all purchasing must be done by consultation with a service representative. A free demo is available.
Things we liked:
- Fully integrated platform, including payroll
- Scalable and flexible
- Built-in automation and customization
- Comprehensive accounting and business management features
- Top-notch reporting capabilities
Things we didn’t like:
- Expensive
- Challenging to set up and use
- Customer support isn’t the best
Xero
Xero is an online accounting software that offers the convenience of running your business from anywhere. It’s designed for the small business owner who doesn’t want to spend a lot of time learning accounting but wants to stay on top of business performance. Xero works great for a variety of niche markets, including retail, IT, legal, e-commerce, and startups, and its ability to deal with multiple currencies makes it a good fit if you conduct business globally.
Xero offers double-entry accounting, with a default chart of accounts that can be customized if needed included in the application. Recurring journal entries are available in the application, and you can easily connect your bank accounts to Xero for automatic import of all bank transactions.
Xero’s dashboard offers a summary view of your business finances. Source: Xero software.
Xero also offers enhanced invoicing, so you can create a more professional invoice. In addition, you can create invoices from a mobile device and email them directly to your customers.
Basic inventory management, bill payment, and enhanced reporting options are also available in Xero. And, if you’re dealing with multiple projects, Xero lets you manage them simultaneously, create multiple invoices, and track performance throughout the life of the project.
Xero is nicely scalable and has three plans available. If you’re just starting out, you can subscribe to the Early plan, which runs $9/month, and scale up to the more robust Growing plan at $30/month, or the Established Plan, which runs $60/month.
While Xero does not offer payroll, it does offer integration with Gusto, starting at $39.95/month.
If you want an application that offers easy integration with hundreds of apps, Xero is for you. It integrates with more than 700 third-party applications in a variety of categories, including payroll, point-of-sale, practice management, time-tracking, CRM, and e-commerce.
Conclusion
No doubt, getting your books right is an essential thing for any business. If you are running your business without using the best accounting software, you are not doing justice to yourself. You need to understand that poor financial management can lead to bad decisions that can harm your overall profitability. That’s why it is always better to use a good accounting software for your business. But which one should you use?