A lot of small business owners are getting into the habit of using accounting software. With so many available products out there, it may be overwhelming to choose the right one. Moreover, there are various products that are capable of doing all the functions that an accounting software can perform. This is why it’s important to get what is the best accounting software for small business.
The Best Accounting Software for small business? Well, there are many different opinions on the matter. The fact is that if you are an entrepreneur , you are well aware that you need all the help you can get when it comes to managing your company’s finances. And accounting software can be a real life saver. I have tried plenty of accounting software solutions in the past few years. So much so that my wife threatened to file for divorce if I installed another accounting software program on our computer again…
Sage Business Cloud Accounting
Sage Business Cloud Accounting is ideal for small businesses. With that, it offers two affordable plans designed to fit the budget and needs of small businesses. For sole traders and micro-businesses, you can make use of its entry-level accounting solution at $10 per month. If you need invoicing and cash flow management features, you can opt for the app’s higher plan at $25 per month.
The product focuses on streamlining paperwork, minimizing spreadsheets, and staying on top of your finances. It simplifies business payroll and ensures compliance with the Affordable Care Act. It empowers financial management by consolidating data and automating complex financial processes. It also handles payments and banking.
The vendor offers a comprehensive free trial to get you up to speed with the features.
ZipBooks
WebsiteZipbooks.comPrice from$15/moFree Trial30 Days
Best for:
ZipBooks provides features and options that will appeal to start-ups, small businesses, and medium-sized businesses. New businesses looking to save money can take advantage of the free option provided by ZipBooks if they’re comfortable with its limited capabilities and larger, established businesses will find that advanced ZipBooks plans provide more functionality and the option to grow.
Key features:
ZipBooks is designed to be simple and easy to use, even for those with no accounting or bookkeeping experience. The primary feature of ZipBooks is accounts receivable; the built-in aging report is good for small businesses that send invoices and helps them stay on top of who has and has not paid. It even includes a feature that identifies clients who pay late and facilitates setting up automatic reminders.
The bank and credit card connection, transaction download, and reconciliation process in ZipBooks makes month-end easy. And, for users who choose not to use the automatic download feature, ZipBooks provides a handy import tool from which transactions can be imported via either a statement or a spreadsheet. Regardless of the import method, ZipBooks automatically categorizes the transactions, saving users lots of time as it learns.
The chart of accounts that is included is standardized, but it’s also fully customizable, allowing users to create a chart of accounts that makes sense to them. ZipBooks also supports project accounting, including tracking project-specific income and expenses and tracking time per project or task. For companies that need an additional level of granularity, transactions can be tagged to a specific location, department, or other entity and then reported against; this feature is particularly useful in companies with multiple locations in which cross-location comparison is common, such as retail stores.
The different plans offered by ZipBooks come with varying features. The more expensive packages allow users to send automated custom invoices, quotes, and estimates. Users can also send quotes and receive payments through Square, PayPal, and other software. ZipBooks also offers multi-currency support, but it is limited. Businesses that need to offer payroll services can do so via a Gusto integration. There is a mobile app (iOS only), but it’s not full-featured and tends to be buggy.
The Starter plan allows only one user and one bank account, basic reports, and online payments via Square and PayPal. The Smarter plan increases users to five team members with user-level permissions, allows connections to multiple bank and credit card accounts, automatic invoice reminders, time tracking, automated 1099 payments and expenses, as well as customized reporting. The Sophisticated plan allows unlimited users and bank accounts and features consolidated reports for multi-location accounting, custom report tags, custom categories in the chart of accounts, secure document sharing, and month-end (or regular periodic) closing functionality. The Accountant plan is designed specifically for accounting practices and includes features appropriate for that type of use.
Ease of use:
ZipBooks is very easy to set up and use. The interface is clean, modern, and intuitive. Chat Support is available from the ZipBooks website, and there is a knowledge base that users can access (also on the website).
Cost:
ZipBooks’ three business-focused plans are all affordable (the lowest subscription tier is free!), but users may find that they need a more expensive subscription tier to meet their needs. Even the highest-priced option, however, is cost-effective for most small businesses.
Things we liked:
- Affordable, even at the highest subscription tier
- Good customer support features
- User-level permissions
- Location tagging feature
- Focus on accounts receivable
Things we didn’t like:
- Features can be outgrown quickly
- Limited reports compared to other products
- Mobile apps are lacking
QuickBooks Desktop
QuickBooks Desktop 2020 includes several new features that are designed to streamline various processes. These new features include:
- Enhanced system navigation
- Expanded help capability
- Automatic payment reminders sent to past due customers
- Ability to consolidate invoices into a single email
In addition, all QuickBooks editions offer the following features:
Invoicing
QuickBooks Desktop offers top notch invoicing software capability, allowing users to create a professional invoice for their customers. The Premier edition offers users a variety of industry-specific invoice templates including professional, product, and service invoice templates.
You also have the option to use QuickBooks Payments in order to get paid faster, including the ability to add a ”Pay Now” button to customer invoices for easy payment.
Inventory
Good inventory tracking capability is available in all QuickBooks Desktop editions, with the ability to track all products sold, cost of goods, and inventory management, including inventory adjustments.
You can easily add inventory items to QuickBooks Desktop, with custom fields available for tracking additional details.
The Premier edition’s inventory module offers more advanced inventory features, including low stock alerts, the ability to track any product by manufacturer’s part number, the option to add product cost, and the ability to set reorder points. In addition, there are custom fields that can be used to track additional information for any inventory item.
Conclusion
There are many accounting software programs on the market today, so which one is best for your small business? A good software varies between different companies because of their different needs.