There are several accounting software programs that are used within accounting. This software is primarily used for tracking the income, expenses, assets, liabilities, payroll, taxes due, accounts payable and receivable for your business. Each of the major reputable companies will have their own version of this software program.
Accounting software is typically composed of various modules, with different sections dealing with particular areas of accounting. Among the most common are:Core modules
- Accounts receivable—where the company enters money received
- Accounts payable—where the company enters its bills and pays money it owes
- General ledger—the company’s “books”
- Billing—where the company produces invoices to clients/customers
- Stock/inventory—where the company keeps control of its inventory
- Purchase order—where the company orders inventory
- Sales order—where the company records customer orders for the supply of inventory
- Bookkeeping—where the company records collection and payment
- Financial close management — where accounting teams verify and adjust account balances at the end of a designated time period
Non-core modules[citation needed]
- Debt collection—where the company tracks attempts to collect overdue bills (sometimes part of accounts receivable)
- Electronic payment processing
- Expense—where employee business-related expenses are entered
- Inquiries—where the company looks up information on screen without any edits or additions
- Payroll—where the company tracks salary, wages, and related taxes
- Reports—where the company prints out data
- Timesheet—where professionals (such as attorneys and consultants) record time worked so that it can be billed to clients
- Purchase requisition—where requests for purchase orders are made, approved and tracked
- Reconciliation—compares records from parties at both sides of transactions for consistency
- Drill down
- Journals
- Departmental accounting
- Support for value added taxation
- Calculation of statutory holdback
- Late payment reminders
- Bank feed integration
- Document attachment system
- Document/Journal approval system
Note that vendors may use differing names for these modules.
Implementation[edit]
In many cases, implementation (i.e. the installation and configuration of the system at the client) can be a bigger consideration than the actual software chosen when it comes down to the total cost of ownership for the business. Most mid-market and larger applications are sold exclusively through resellers, developers, and consultants. Those organizations generally pass on a license fee to the software vendor and then charge the client for installation, customization, and support services. Clients can normally count on paying roughly 50-200% of the price of the software in implementation and consulting fees.[citation needed][2]
Other organizations sell to, consult with, and support clients directly, eliminating the reseller. Accounting software provides many benefits such as speed up the information retrieval process, bring efficiency in Bank reconciliation process, automatically prepare Value Added TAX (VAT) / Goods and Services TAX (GST), and, perhaps most importantly, provide the opportunity to see the real-time state of the company’s financial position.[citation needed]
Types[edit]
Personal accounting[edit]
See also: Personal finance
Personal accounting software is mainly targeted towards home users, supporting accounts payable-type accounting transactions, managing budgets, and simple account reconciliation, at the inexpensive end of the market.
Low-end market[edit]
At the low-end of the business markets, inexpensive applications software allows most general business accounting functions to be performed. Suppliers frequently serve a single national market, while larger suppliers offer separate solutions in each national market.
Many of the low end products are characterized by being “single-entry” products, as opposed to double-entry systems seen in many businesses. Some products have considerable functionality but are not considered GAAP or IFRS/FASB compliant. Some low-end systems do not have adequate security nor audit trails.
Mid-market[edit]
The mid-market covers a wide range of business software that may be capable of serving the needs of multiple national accountancy standards and allow accounting in multiple currencies.
In addition to general accounting functions, the software may include integrated or add-on management information systems, and may be oriented towards one or more markets, for example with integrated or add-on project accounting modules.
Software applications in this market typically include the following features:
- Industry-standard robust databases
- Industry-standard reporting tools
- Tools for configuring or extending the application (e.g. an SDK), access to program code.
High-end market[edit]
See also: Enterprise resource planning
The most complex and expensive business accounting software is frequently part of an extensive suite of software often known as enterprise resource planning (ERP) software.
These applications typically have a very long implementation period, often greater than six months. In many cases, these applications are simply a set of functions which require significant integration, configuration and customization to even begin to resemble an accounting system.
Many freeware high-end open-source accounting software are available online these days which aim to change the market dynamics[citation needed]. Most of these software solutions are web-based.
The advantage of a high-end solution is that these systems are designed to support individual company specific processes, as they are highly customizable and can be tailored to exact business requirements. This usually comes at a significant cost in terms of money and implementation time.
Hybrid solutions[edit]
As technology improves, software vendors have been able to offer increasingly advanced software at lower prices. This software is suitable for companies at multiple stages of growth. Many of the features of mid-market and high-end software (including advanced customization and extremely scalable databases) are required even by small businesses as they open multiple locations or grow in size. Additionally, with more and more companies expanding overseas or allowing workers to home office, many smaller clients have a need to connect multiple locations. Their options are to employ software-as-a-service or another application that offers them similar accessibility from multiple locations over the internet.
SaaS accounting software[edit]
With the advent of faster computers and internet connections, accounting software companies have been able to create accounting software paid for on a monthly recurring charge instead of a larger upfront license fee (software as a service – SaaS). The rate of adoption of this new business model has increased steadily to the point where legacy players have been forced to come out with their own online versions.
Accounting Software Overview
Learn More About Accounting Software
Accounting Software records and processes accounting transactions and serves as an accounting information system from which decision makers or company accountants can monitor business processes and generate financial reports.
Their essential feature is an interactive financial dashboard with a general ledger for handling double-entry bookkeeping. Common features to this class of software include:
- Means of tracking company inventory and purchase orders
- Sales tracking
- Automated invoicing
- Receipt capture via document or image processing
- Timekeeping
- Analytics for budgeting and revenue tracking
- Financial reporting
- Accounts payable/accounts receivable functions.
These features are either contained intrinsically (within the accounting software) or managed via integration with third-party software(e.g. dedicated AR or AP software, Expense Management Software, Image Capture Software, etc.).
An automated ERP (Enterprise Resource Planning) system contains all of these functions (or supports integration with the requisite modules), thus these products appear in this category as well. However ERPs are often industry specific or scaled to the needs of larger companies. They may represent overkill for seekers of pure and simplified accounting solutions for their business.
Some vendors offer specialized accounting software dedicated to handling the regulatory and reporting needs specific to some industries, like construction or manufacturing. Either an all-in-one solution or a package bundled with smaller, dedicated integratable modules could be the best approach, depending on business needs.Show Less
Top Rated Accounting Products
These products won a Top Rated award for having excellent customer satisfaction ratings. The list is based purely on reviews; there is no paid placement, and analyst opinions do not influence the rankings. Read more about the Top Rated criteria.
- Sage Intacct8.71,458 ratings
- Xero8.7466 ratings
- QuickBooks Online Advanced8.6157 ratings
- QuickBooks Desktop Pro8.4764 ratings
- QuickBooks Desktop Enterprise8.3509 ratings
View All Top RatedView All Products
Accounting Software TrustMap
TrustMaps are two-dimensional charts that compare products based on trScore and research frequency by prospective buyers. Products must have 10 or more ratings to appear on this TrustMap.View TrustMap
Accounting Products
(1-25 of 166) Sorted by Most ReviewsSearch
Sage Intacct
755 reviewsCustomer VerifiedTop RatedTRUESave
Sage Intacct is a cloud ERP system targeted at high-growth small and medium-sized businesses. Intacct includes applications for core financials and accounting, purchasing, order management, and financial reporting and business intelligence. It also integrates with 3rd party software…Hide Details
Key Features
- Accounts payable (653)86%8.6
- Standard reports (637)81%8.1
- Custom reports (632)80%8.0
Reviewer Insights
96%“Would buy again”+ 170 more97%“Delivers good value for price”+ 131 more97%“Happy with the feature set”+ 173 more
Recent Pros and Cons
ProsSage Intacct allows for efficient bank reconciliationsConsA memorized transactions list would be helpfulVerified UserEmployee in Finance and AccountingFacilities Services Company, 51-200 employeesProsdata compareConstoo many procedureMPMegha PandyaAccountantThinkon (Information Technology & Services, 51-200 employees)ProsAbility to scale, as the system is cloud based, it is easy to grow and stay updatedConsReport writing seems to be a complex task. training is especially needed to learn thisRCRyan CroftAccounting ManagerSmile Partners USA (Health, Wellness and Fitness, 51-200 employees)CompareFree Trial
MIP Fund Accounting
363 reviewsCustomer VerifiedTop RatedTRUEStarting Price $249Save
MIP Fund Accounting™ is a configurable fund accounting solution. The solution includes functionality for fund accounting, procurement, budgeting, payroll, human resources, timekeeping, fixed asset management, grant management, and dashboards for nonprofits and government agencies.…Hide Details
Key Features
- Accounts payable (347)87%8.7
- Standard reports (334)84%8.4
- Custom reports (324)81%8.1
Reviewer Insights
83%“Would buy again”+ 24 more94%“Delivers good value for price”+ 25 more94%“Happy with the feature set”+ 28 more
Recent Pros and Cons
ProsI like that MIP shows each change to the GL. Yes, the data looks clunky but it provides the full story to changed JV’s both for the auditors and for myself.ConsThe Cloud version does not allow me to do my Recurring Entries. They automatically appear with a warning that they are due when I enter the desktop version.Verified UserAccount Manager in Finance and AccountingNon-profit Organization Management Company, 1-10 employeesProsMIP provides reports that are easy to adapt to current needs.ConsNew online system took away drill down option and ability to add new vendors while cutting payables.Verified UserAccount Manager in Finance and AccountingNon-profit Organization Management Company, 1-10 employeesProsImport and Export, MIP did very well in that you can import any accounting related transactions.ConsWish MIP had a better guideline on creating the statement of revenue template or financial statement format.Verified UserAnalyst in Finance and AccountingHigher Education Company, 1-10 employeesCompareRequest Demo
Oracle Cloud ERP
233 reviewsCustomer VerifiedTop RatedSave
Oracle Cloud Enterprise Resource Planning (ERP) is a core suite of Oracle Cloud software-as-a-service (SaaS) applications. Oracle Expense Management and Oracle Risk Management are part of this solution. Other apps include Financials, Revenue Management, Accounting Hub, PPM, and…Hide Details
Key Features
- Accounts receivable (194)85%8.5
- Accounts payable (203)84%8.4
- Standard reports (191)84%8.4
Reviewer Insights
100%“Would buy again”+ 39 more98%“Delivers good value for price”+ 36 more95%“Happy with the feature set”+ 37 more
Recent Pros and Cons
ProsExecute queries realtimeConsTraining while trying to cusomize itVerified UserPartner in Information TechnologyComputer & Network Security Company, 201-500 employeesProsNot very difficult to the end user even if the user is non technicalConsShould continue this and provide best competent prices to beat other vendors in the marketGowtham SNetwork & systems EngineerAlhazm (Logistics & Supply Chain, 51-200 employees)ProsIt has a customizable and amazing interface and is scalableConsIt takes a specific skill for you to get the hang of using the platformBPBen PerryBDR team leaderHarver (Computer Software, 51-200 employees)CompareLearn More
QuickBooks Online
148 reviewsCustomer VerifiedTop RatedStarting Price $15Save
QuickBooks Online is a SaaS version of the QuickBooks product. It contains all of the features found in the local version. Higher-priced plans include greater automation, payment management, inventory and time tracking, and analytics features.Hide Details
Key Features
- Accounts receivable (123)86%8.6
- Bank reconciliation (127)85%8.5
- Standard reports (121)84%8.4
Reviewer Insights
86%“Would buy again”+ 39 more88%“Delivers good value for price”+ 37 more82%“Happy with the feature set”+ 37 more
Recent Pros and Cons
ProsProject accountingConsPrice increases are out of control (>10% per year)LHLarry HatteryPresidentHats-n-Homes, Inc. (Construction, 1-10 employees)ProsI love the payroll feature too – sooooo easy to use and update!ConsHopefully they will add the ability of Schedule K’s into their online serviceKitty McClellandOffice ManagerDynamic Energy Solutions (Consumer Goods, 1-10 employees)ProsPiece of mind from a backup standpoint, as it’s hosted in the cloudConsIt’s not exactly cheap, but you do get what you pay forVerified UserTeam Lead in Information TechnologyFinancial Services Company, 1001-5000 employeesCompare
BlackLine
142 reviewsCustomer VerifiedTop RatedSave
BlackLine automates the the processes required to finalize periodic closing of the books. Beyond close/reconciliation management the product includes capabilities to enhance the management and control of financial processes throughout the accounting cycle. In October 2020, BlackLine…Hide Details
Reviewer Insights
100%“Would buy again”+ 24 more100%“Delivers good value for price”+ 21 more100%“Happy with the feature set”+ 24 more
Recent Pros and Cons
ProsStandardized processConsVariance tool would be better integrated in reconciliationsVerified UserProfessional in CorporateBiotechnology Company, 5001-10,000 employeesProsMatching for bank reconciliation.ConsAccount reconciliation – It would be nice to track all the changes that reviewer made inside of BL instead of rejecting supporting document back to preparer.Verified UserManager in Finance and AccountingComputer Hardware Company, 51-200 employeesProsBlackLine runs a complicated multi-step allocation process with a significant amount of data.ConsUpdating AITs manually is very time consuming. An upload feature would be beneficial.JSJoni ShawManager Billing CoEChevron (Oil & Energy, 10,001+ employees)Compare
Xero
122 reviewsCustomer VerifiedTop RatedStarting Price $11Save
Xero is an online accounting software product for small businesses and personal finance. Its features beyond general ledger and double-bookkeeping include quotable invoicing, bank reconciliation, purchase order and expense management, and tax management. Third party apps can extend…Hide Details
Key Features
- Bank reconciliation (105)88%8.8
- Accounts receivable (101)87%8.7
- Standard reports (103)86%8.6
Reviewer Insights
96%“Would buy again”+ 21 more96%“Delivers good value for price”+ 19 more96%“Happy with the feature set”+ 21 more
Recent Pros and Cons
ProsXero helps us manage all of the Covid related payroll rulesConsSpecific user functionality could be expanded to allow multiple areas of accessNDNancy DietzOwnerPaperpoint (Retail, 1-10 employees)ProsIntegrationConsFurther integration with financial institutes to be able to pay bills within XeroVerified UserGeneral Manager in OtherHospitality Company, 1-10 employeesProsPayment Processing (with Stripe)Verified UserC-Level Executive in Information TechnologyInformation Technology & Services Company, 1-10 employeesCompareLearn More
QuickBooks Desktop Pro
122 reviewsCustomer VerifiedTop RatedSave
Quickbooks Desktop Pro is accounting software from Intuit, Inc. It includes core accounting features, plus analytics and exportable reports. It is offered in on-premise and SaaS forms.Hide Details
Key Features
- Bank reconciliation (108)88%8.8
- Standard reports (107)85%8.5
- Accounts receivable (108)85%8.5
Reviewer Insights
90%“Would buy again”+ 13 more94%“Delivers good value for price”+ 12 more90%“Happy with the feature set”+ 13 more
Recent Pros and Cons
ProsDocument trail for purchasesConsTracking jobs per customer without creating additional tabsMRMaria Isabel RodriguezAssistant ManagerUS Lumber Brokers (Building Materials, 1-10 employees)ProsVery easy to track invoices.ConsHonestly, I can’t think of anything.Terri KilgoreOffice AdministratorHuntington Physical Therapy Services, Inc. (Health, Wellness and Fitness, 11-50 employees)ProsHelp available via web or QB’s help centerConsUnbilled / Billed HoursRandi MortensenAccounting AssistantSmith-Roberts Land Services, Inc. (Real Estate, 11-50 employees)Compare
QuickBooks Desktop Enterprise
114 reviewsCustomer VerifiedTop RatedStarting Price $1,261Save
QuickBooks Desktop Enterprise is a widely-used accounting package designed for small to mid-sized businesses. It is the top of the QuickBooks line. Pricing starts at $3,000 for five users, and goes up depending on the number of additional users. They also offer an Advanced Inventory…Hide Details
Key Features
- Accounts payable (101)93%9.3
- Accounts receivable (102)92%9.2
- Standard reports (100)90%9.0
Recent Pros and Cons
ProsAccounts ReceivableConsCreating Invoices as Progress Draws on total quote, not just a part of one or broken downMylene BeattyProject AdministratorKermodei Construction Company Ltd. (Construction, 11-50 employees)ProsCreating simple, professional, branded invoices.ConsA simpler way to sync account information from my small banking institution. The files come over but they’re cumbersome to translate to QuickBooks Desktop. I tried QuickBooks Online and that’s worse.Verified UserC-Level Executive in CorporateMarketing & Advertising Company, 1-10 employeesProsAccounts receivable trackingConsIntuit sometimes places adds for new software with updatesVerified UserPartner in Finance and AccountingAccounting Company, 1-10 employeesCompareLearn More
NetSuite ERP
91 reviewsCustomer VerifiedStarting Price $99Save
NetSuite is a suite of ERP and accounting modules which is sold in various editions aimed at different size customers. The multi-country, multi-currency version is an additional module called OneWorld. Netsuite is a SaaS system and is not offered in an on-premise edition.Hide Details
Key Features
- Dashboards (67)75%7.5
- Standard reports (66)74%7.4
- Custom reports (66)70%7.0
Recent Pros and Cons
Prosstandard reports are very thoroughConscustomizing reports can be tedious.Bob LeeCFO (Chief Financial Officer)American Aerospace (Airlines/Aviation, 11-50 employees)Pros[I feel they will] tell you a bunch of lies.Cons[I feel they are poor at] making something right when they are obviously wrong.Verified UserC-Level Executive in CorporateWholesale Company, 1-10 employeesProsEasily customizable. If you want to add a new department, field, form, report this is easily done. This can be done by non-technical individuals.ConsImprove help. I spent hours researching something this past week, got frustrated and called the support team. We were able to resolve the issue, but I could not find it in the mess of directions.Jeff GullangControllerFiveCubits (Information Technology and Services, 51-200 employees)Compare
Wave Accounting
Wave Accounting is a free, cloud-based accounting platform exclusively for small businesses. It supports double-entry bookkeeping and permits unlimited user access, invoicing, and expense management. Wave Accounting integrates with Wave’s invoicing, receipt scanning, payment processing…Hide Details
Key Features
- Dashboards (66)60%6.0
- Standard reports (65)58%5.8
- Accounts receivable (65)58%5.8
Recent Pros and Cons
ProsMisrepresent the productConscompany needs to be shut down!Tony RaylChief Executive OfficerRhino consulting (Automotive, 1-10 employees)ProsNo charge to add a logo to your invoiceConsTell me my money was released after suspending my accountVerified UserAdministrator in OtherHospital & Health Care Company, 1-10 employeesProsSending InvoicesConsManaging AccountsVerified UserC-Level Executive in MarketingMarketing & Advertising Company, 1-10 employeesCompare
QuickBooks Online Advanced
72 reviewsCustomer VerifiedTop RatedSave
QuickBooks Online Advanced is a SaaS-based accounting software designed to scale with growing businesses. It includes the functionalities of QuickBooks Online, as well as more robust business analytics, customization, and resource management.Hide Details
Key Features
- Bank reconciliation (69)86%8.6
- Accounts payable (71)85%8.5
- Standard reports (71)80%8.0
Recent Pros and Cons
ProsKey performance indicatorsConsThe pre-recorded videos are good, but you must have time to sit and watch them before applicationJulian G. IveyControllerBeulah Heights University (Education Management, 51-200 employees)ProsFull suite of functionalities, customizations and reporting optionsConsNeed to add an easier way to log occasional vendor refunds by cash or checkASAmy SandersonCEO (Chief Executive Officer)Ballet Five Eight NFP (Non-profit Organization Management, 11-50 employees)ProsDoes not require significant training or an implementation to useConsCustomization is limited (but more available than other QuickBooks subscriptions)Verified UserVice-President in Finance and AccountingConstruction Company, 51-200 employeesCompareLearn More
FreshBooks
65 reviewsStarting Price $4.50Save
FreshBooks is an accounting service for small businesses. The solution enables users to send and manage invoices, track billable time and collect online payments. The vendor’s value proposition this that their solution provides a straightforward service that simplifies the billing…Hide Details
Key Features
- Accounts receivable (47)85%8.5
- Dashboards (48)83%8.3
- Standard reports (47)80%8.0
Recent Pros and Cons
ProsThe price for its use and its ease of increasing users is competitive compared to other options.ConsI understand that they are already working to improve compliance with Mexican legislation.Verified UserManager in Professional ServicesAccounting Company, 51-200 employeesProsProject ManagementConsManagement of monthly recurring project budgetsVerified UserExecutive in Professional ServicesInformation Technology and Services Company, 11-50 employeesProsFreshBooks interfaces with Fundbox, an important tool for a small business of our size.ConsIt would be nice if FreshBooks would interface with Quicken and or QuickBooks. (I’m not certain that it doesn’t, but don’t believe it does.Tim VahsholtzProducerEssential Sales Training (Marketing and Advertising, 1-10 employees)Compare
QuickBooks Desktop Premier
QuickBooks Desktop Premier is an installed version of QuickBooks for general business, contractors, manufacturing and warehouse accounting, as well as nonprofits, professional services, and retail.Hide Details
Key Features
- Bank reconciliation (56)98%9.8
- Accounts receivable (57)90%9.0
- Accounts payable (56)89%8.9
Recent Pros and Cons
ProsAllow you to make changes on previous months.ConsAccounts entryVerified UserProfessional in Finance and AccountingNon-profit Organization Management Company, 51-200 employeesProsQB Premier is more powerful than the regular one. It has more detailed features.ConsThe inventory features needs a little better integration with existing systems. I would like to learn how to use the inventory “gun” with QB.Phillip LiChief Operating OfficerBergolla Inc (Construction, 11-50 employees)ProsHelps keep track of income and due invoices.ConsI’m pretty happy with it as it is.Verified UserProject Manager in Information TechnologyInformation Technology & Services Company, 1-10 employeesCompare
Microsoft Dynamics GP
Microsoft Dynamics GP is an ERP software with accounting capabilities. It includes various packs for customizability and features tailored to specific industries’ needs. GP is offered as a perpetual license or subscription.Hide Details
Key Features
- Role-based user permissions (36)97%9.7
- Bank reconciliation (37)79%7.9
- Accounts payable (41)73%7.3
Recent Pros and Cons
ProsLots of add-ons productsConsCan’t just delete transactions, must reverse journals too (not automated)Lacey DavidsonOffice ManagerJumBurrito (Restaurants, 51-200 employees)ProsEmployee management is made very simple with all the information you can store in GP.ConsThere’s so many options and buttons that sometimes a simple task can seem very complicated.Anna MorganCorporate SupportModern Biomedical & Imaging, Inc. (Hospital & Health Care, 11-50 employees)Compare
Oracle Cloud EPM
47 reviewsCustomer VerifiedTop RatedStarting Price $250Save
Oracle’s complete EPM suite is designed to give users the agility needed to respond to change faster. Combined with the simplicity of the cloud, it enables companies of any size to drive accurate and agile plans across finance and operational lines of business, accelerate financial…Hide Details
Key Features
- Forecasting (38)91%9.1
- Financial budgeting (39)90%9.0
- Scenario modeling (36)86%8.6
Recent Pros and Cons
ProsConnection is not a problem because it can work by connecting with any VPN.ConsIts interface with a third-party vendor or others is sometimes problematic and [can] take some time.Gabby TruongAccount Development Manager DX – Public EnterpriseAdobe (Computer Software, 10,001+ employees)ProsPlanning and budgetingConsAdoption of API with other products such as reporting into Tableau, Qlik, and Power BIABAzmat BhattiIT FacultySeneca College (Education Management, 10,001+ employees)ProsReporting and SmartView ad-hoc reports provide self-serve options for usersConsIntegration for metadata and hierarchy management can be streamlinedAzmat BhattiTechnical Delivery Manager EPMChartwell Retirement Residences (Real Estate, 10,001+ employees)Compare
SAP Business One
45 reviewsStarting Price $99Save
SAP Business One is an integrated enterprise resource planning (ERP) solution for small and medium-sized businesses, The product encompasses functionality around sales, customer relationships, inventory, operations, financials and human resources.Hide Details
Key Features
- Accounts receivable (39)91%9.1
- Accounts payable (40)88%8.8
- Standard reports (39)88%8.8
Recent Pros and Cons
ProsRelationship Maps – showing us the process from start to finish in one screen is helpfulConsNot easy enough to customize other reports that come up as being neededJMJennifer MartinPresidentHettinger (Warehousing, 11-50 employees)ProsAn important key features of SAP Business One is Reporting and Analytics.ConsAncillary system applications such as HR have pared-down feature setsVerified UserManager in Information TechnologyMedical Device Company, 11-50 employeesProsA complete business management solution for small and medium enterprisesConsLimited Human Capital Management functionalities and customization needed if to be usedYe Yint MoeFunctional ConsultantVanguard Business Solutions & Consulting (Information Technology & Services, 51-200 employees)Compare
SAP ERP
SAP ERP is an enterprise suite comprising Financials (A/P, A/R, accounting, reporting, risk management, etc.), Human Capital Management (HR and Payroll), and Operations (procurement, manufacturing, sales & service). This is an enterprise level product designed for large organizations.…Hide Details
Key Features
- Role-based user permissions (35)94%9.4
- Custom reports (35)86%8.6
- Standard reports (35)80%8.0
Recent Pros and Cons
ProsTimely information from plant for anything going out of control.ConsNeed low cost solution for the smaller companies.Verified UserEngineer in Information TechnologyOil & Energy Company, 10,001+ employeesProsHuman Capital ManagementConsLicensing CostsVerified UserTeam Lead in Information TechnologyUtilities Company, 5001-10,000 employeesProsWe have Access to all insights and analytics data from anywhereConsIt’s a bit difficult to be a user friendly of software with this complexity, but developers have to think of a new design.Ali KazempourInformation Technology AdviserAZEREX LLC. (Information Technology & Services, 1-10 employees)Compare
Blackbaud Financial Edge NXT
Financial Edge NXT is a cloud accounting solution tailored for nonprofits that provides a general ledger, projects, grants, endowments, accounts payable and receivable, fixed assets, banking, and more. It offers real-time reporting, with one-click drill-down functionality and export…Hide Details
Key Features
- Accounts payable (39)92%9.2
- Standard reports (38)92%9.2
- Custom reports (37)92%9.2
Sage 50cloud Accounting
32 reviewsStarting Price $299Save
Sage 50cloud Accounting (formerly Sage 50 Accounting) is accounting software designed for small businesses. Sage 50cloud Accounting (formerly Sage 50, and formerly Peachtree) lets businesses invoice customers, pay bills, manage inventory, control costs, and pay employees. The solution…Hide Details
Key Features
- Accounts payable (21)87%8.7
- Cash management (20)87%8.7
- Accounts receivable (20)85%8.5
Recent Pros and Cons
ProsLess clicks and ease of access, website is user friendlyConsDont see anything for nowPriya SadasivamEngagement Coordinator/HRPK Global (Information Technology and Services, 1001-5000 employees)ProsCommon system so many people are already familiar with itConsStock is not integrated automatically into p&lVerified UserExecutive in Finance and AccountingLogistics & Supply Chain Company, 201-500 employeesCompare
QuickBooks Desktop for Mac
Quickbooks Desktop for Mac is an accounting software designed for Mac users. It is designed to integrate with Apple iCloud. It provides core accounting features in line with the rest of the Quickbooks Desktop product line.Hide Details
Key Features
- Standard reports (20)87%8.7
- Accounts payable (21)81%8.1
- Bank reconciliation (21)78%7.8
Zoho Books
24 reviewsStarting Price $0Save
Zoho Books is an accounting solution that is designed to help small businesses manage their finances. This solution includes dashboards and a wide variety of reports. Business users can automate tasks and set up custom workflows. The vendor offers a 14 day free trial.Hide Details
Key Features
- Accounts payable (22)71%7.1
- Dashboards (23)69%6.9
- Role-based user permissions (22)57%5.7
Recent Pros and Cons
ProsCreation of a chart of accountConsClosing of certain accounts like owner’s drawingPhilippe CouillezBusiness OwnerPC Consulting Services (Information Technology & Services, 1-10 employees)ProsIntegrates with other Zoho products like Zoho CRM, Zoho Creator and Zoho Flow.ConsWhen converting to Zoho Books from another accounting software, this seemed a bit difficult but this process is never easy.Verified UserAdministrator in Customer ServiceRenewables & Environment Company, 1-10 employeesProsVery easy rollout to the entire teamConsMobile app is a little clunky, especially when processing receipts.Verified UserVice-President in OtherInternet Company, 11-50 employeesCompare
Oracle JD Edwards EnterpriseOne
JD Edwards was an independent ERP vendor which was acquired by PeopleSoft in 2003. PeopleSoft, in turn, was acquired by Oracle in 2005, and the JD Edwards product line became Oracle JD Edwards EnterpriseOne. The product is primarily aimed at medium-sized companies. Like many…Hide Details
Key Features
- Accounts receivable (19)72%7.2
- Role-based user permissions (19)71%7.1
- Accounts payable (20)67%6.7
Recent Pros and Cons
ProsDoes not need any hard training for the beginnerConsPO creation could be on same landing pages but not multiple pages.Kamal ChauhanInformation Technology ProcurementFujairah National Group (Construction, 10,001+ employees)ProsAbility to see what co-workers have completed on Oracle JD Edwards EnterpriseOneConsI like Oracle JD Edwards EnterpriseOne but it is costlyVerified UserAdministrator in Finance and AccountingTelecommunications Company, 501-1000 employeesCompareLearn More
FreeAgent
FreeAgent is an cloud-based accounting system designed for small businesses and freelancers. FreeAgent supports many core accounting features and bank reconciliation, payroll, tax management, project level accounting, and multiple currency support. It is mobile-accessible, and integrates…Hide Details
Key Features
- Expense management (21)100%10.0
- Dashboards (18)100%10.0
- Accounts receivable (19)100%10.0
Microsoft Dynamics 365 Business Central (formerly Dynamics NAV)
Microsoft Dynamics 365 Business Central (formerly Dynamics NAV) is one of the ERP products in the Dynamics family. The technology is based on the Navision product acquired by Microsoft in 2002. This product is the best-selling Microsoft ERP platform, and is often used by companies…Hide Details
Key Features
- Standard reports (21)89%8.9
- Role-based user permissions (20)87%8.7
- Accounts payable (21)72%7.2
Recent Pros and Cons
ProsThird-party logistics compatibilityConsLacks business process management.Verified UserTeam Lead in Information TechnologyFinancial Services Company, 51-200 employeesProsVendor Balances – able to generate a report of vendor balances in Excel or PDF.ConsSending a notification for Overdue payments.Patient GombaCreditors ClerkZando (Accounting, 51-200 employees)Compare
Patriot Software
19 reviewsStarting Price $104Save
Patriot Software headquartered in Canton, Ohio offers Patriot PAY, their benefits administration and payroll software.Hide Details
Key Features
- Pay calculation (14)94%9.4
- Direct deposit files (10)88%8.8
- Salary revision and increment management (12)87%8.7
Recent Pros and Cons
ProsVery affordable for small businessesConsHaving a full service set up program can help time starved business ownersMichael KriegerOwnerPrime Marketing Experts (Marketing & Advertising, 1-10 employees)ProsRapid entry of standardized payroll in 3 easy screensConsWill not pay other vendors that are deductions from payroll like 401K vendorTom LudwigPresidentSaga Automation (Food & Beverages, 1-10 employees)ProsMaintaining donor profiles and showing all changes to contact informationConsEnter vs Tab key – Patriot loves the tab key but if the user clicks enter instead, many times it brings them to the home page.Verified UserAccount Manager in Finance and AccountingNon-profit Organization Management Company, 1-10 employeesCompare
Learn More About Accounting Software
What is Business Accounting Software?
Accounting Software records and processes accounting transactions and serves as an accounting information system from which decision makers or company accountants can monitor business processes and generate financial reports.
Their essential feature is an interactive financial dashboard with a general ledger for handling double-entry bookkeeping. Common features to this class of software include:
- Means of tracking company inventory and purchase orders
- Sales tracking
- Automated invoicing
- Receipt capture via document or image processing
- Timekeeping
- Analytics for budgeting and revenue tracking
- Financial reporting
- Accounts payable/accounts receivable functions.
These features are either contained intrinsically (within the accounting software) or managed via integration with third-party software(e.g. dedicated AR or AP software, Expense Management Software, Image Capture Software, etc.).
An automated ERP (Enterprise Resource Planning) system contains all of these functions (or supports integration with the requisite modules), thus these products appear in this category as well. However ERPs are often industry specific or scaled to the needs of larger companies. They may represent overkill for seekers of pure and simplified accounting solutions for their business.
Some vendors offer specialized accounting software dedicated to handling the regulatory and reporting needs specific to some industries, like construction or manufacturing. Either an all-in-one solution or a package bundled with smaller, dedicated integratable modules could be the best approach, depending on business needs.
Small Business Accounting Software
Accounting & Budgeting Software offerings vary a great deal in complexity. Simple, inexpensive or free platforms are available for entrepreneurs and smaller companies, while medium-sized or larger companies may find use for more complex software possessing a greater breadth of features or deeper processing capacity and higher usage limit caps (like unlimited invoicing or the ability of a larger number of users to access the system).
Small businesses may also only require bookkeeping software, which focuses on recording financial transactions via a general ledger and managing payroll. Since bookkeeping tools are more simplistic, these products may be easier for simpler businesses without accounting experience to learn and use.
True SMB accounting software is distinguished by having better tools for financial data management, reporting, analytics, tax preparation, etc. SMB accounting tools have become increasingly affordable in recent years, making them the preferred choice for most businesses.
QuickBooks, FreshBooks, and Wave Accounting are some of the leading products suited to small business. QuickBooks requires training for new users, but it is convenient to use with an accountant and other financial services, because most providers in the space are already familiar with it. FreshBooks is a bit simpler and requires less training; Wave Accounting is free and aimed at businesses with fewer than 10 employees. When evaluating accounting tools, small businesses may want to pay particular attention to these areas:
- Cost
- Usability and training requirements
- Efficiency
- Scalability and limitations, including number of customers/invoices/users/transactions per month
- Customer support
- Support for tax preparation and filing
- Reporting
- Mobile functionality
- CPA access (unless you manage your own finances)
- Credit card processing, tax preparation, and payroll services
- Integrations to third-party tools
Accounting Software Features & Capabilities
General ledger features make up the core of most accounting & budgeting platforms. Inventory, order, and payroll management features may be included as modules within the platform, or may be handled by third-party plug-ins; some of these features are industry specific.
Accounting tools also include reporting and customization/integration features (like dashboards and an API for custom integrations) that are common across many software categories. Additional capabilities are relevant for accounting firms who manage finances for multiple businesses.
General Ledger Features
The general ledger is a record of transactions and balances. These features comprise the basic bookkeeping functionality of the software:
- Accounts payable and receivable
- Cash management
- Bank reconciliation
- Expense management
- Time tracking
- Fixed asset management
- Multi-currency and multi-division support
- Regulations compliance
- Electronic tax filing
- Self-service portal
Inventory Management Features
These features give businesses the ability to track and manage the flow of goods or materials into and out of an inventory. They are relevant to industries with physical inventories, like retailers and suppliers. Inventory management functionality addresses:
- Inventory tracking
- Automatic reordering
- Location management
- Manufacturing module
Order Management Features
This feature set gives businesses the ability to process orders and track them from quote to cash. Order management is relevant to businesses that deal in services or goods and materials. For example, eCommerce retail vendors need to manage product orders and pool maintenance companies need to manage work orders. Basic order management features are:
- Pricing
- Order entry
- Credit card processing
- Calculating cost of goods sold
Payroll Management Features
Payroll management features are relevant for handling the costs and money flow associated with a company’s workforce. These may be more or less sophisticated depending on the scale of the business and the type of employees (e.g. full time, part time, contractors, etc). Payroll management features include:
- Pay calculation
- Benefit plan administration
- Direct deposit files
- Salary revision and increment management
- Reimbursement management
Accounting Firm Features
These features are relevant to accounting firms using the product on behalf of clients:
- Branded dashboards, with a unique view for each client with the accounting form name and logo displayed
- Client roll-up capabilities that allow users to aggregate data for multiple entities within one client (e.g. data for all convenience stores within a certain zip code)
- Data consolidation across clients within a vertical market to provide a benchmark for performance measurement/comparison
- Configurable alerts for overdue forms and materials
- Billing bypass options (software vendor bills firm; firm bills clients)
- Client template cloning for setup, report format, and dashboards
- Single sign-on for access to all customer accounts
- Configurable client onboarding questions
- Cross-client workflow management
- Industry-specific versioning
- Legacy system data migration
Accounting Software Comparison
To compare different accounting platforms, consider the scale of unique accounting tools your business will need. Most accounting solutions will include standard accounting capabilities like General Ledger (GL), Accounts Payable and Accounts Receivable (AP/AR), bank reconciliation, fixed asset management, expense tracking, invoicing capabilities, and financial reporting capabilities.
Some businesses will need additional features like inventory management, payroll capabilities, dedicated budgeting features, and cash flow analysis. Smaller businesses may only need simple bookkeeping capabilities, and can forego the more advanced reporting, inventory management, and other capabilities. Some companies may require a comprehensive ERP (Enterprise Resource Planning) system, rather than a solution that focuses exclusively on accounting.
Even though many businesses have a unique set of functionality requirements, there are a few accounting ‘must-have’ criteria that a majority of buyers agree on. Common comparison points for buyers include:
- Intuitive, easy-to-use UI:
- Third-party integrations
- Robust reporting capabilities
- Cloud-based software
- Invoicing capabilities
Start an Accounting comparison
Pricing Information
Accounting software is most frequently offered on a subscription or perpetual license basis, particularly for online software. For very small use cases, some software is offered on a 1-purchase basis. For small businesses, subscriptions are available for less than $100/month. However, pricing can increase and vary more as buyers’ accounting needs scale in size and complexity. Products for larger organizations may be priced by the modules selected within the product, required integrations, or number of transactions or users.
For large businesses and enterprises, accounting capabilities are frequently included with Enterprise Resource Planning (ERP) products. These platforms can be much more expensive than standalone accounting software. ERPs can also provide additional capabilities that may be more efficient to bundle with accounting processes if a businesses needs both products
What is the best accounting software for small businesses?
The best accounting software for small businesses will focus on being easy to use, simple, and be low-cost. QuickBooks, FreshBooks, and Wave Accounting are leaders in small business accounting software.
What is accounting software?
Accounting software documents financial transactions and makes the data accessible for reporting, planning, and tax preparation. It can also serve as a centralized source of financial and inventory information.
What is the best accounting software for accountants?
Many accountants prize software that’s easy for clients to learn, has broader features or 3rd party integrations to support a wide range of client industries, and robust reporting capabilities. Vendors that focus on software for accountants include Xero, QuickBooks, and Sage.
Is Excel an accounting software
No. While Excel has the data recording and management capabilities to track your finances, it lacks most prebuilt features that are found across true accounting features, such as invoicing, prebuilt reporting, and receipt management.
Do I need an accounting software for my small business?
Yes. Using an accounting software, even an entry-level free software, can save you time, labor, and income through their pre-built features and capabilities designed for accounting functions.
Conclusion
Accounting software programs are a crucial part in any business. It’s an essential tool for monitoring and recording your company finances, profits and losses. This is because accounting software makes running a company easier to stay on top of your finances, which can be overwhelming when you’re not sure what to do.