How to Choose the Right Software for your Business | The accounting software you use matters more than you may think. The right software will help you track critical financial data in your business, stay on top of your taxes, and pay your employees on time.
Choosing the wrong software can set you back quite a way and limit your long-term growth. Whether you handle the bookkeeping yourself or employ someone to do it for you, you need a flexible solution to grow alongside your business.
How to choose the right accounting software for your business
Your accounting software will track your business’ financial performance, so choose carefully. Here are a few things to keep in mind:
Bank integration
Before you invest in accounting software, make sure it integrates with your bank. If the software is compatible with your bank account, it will automatically download new transactions, saving you heaps of time.
Your budget
Consider how much you can afford to pay for accounting software. Fortunately, many solutions, particularly cloud-based ones (see below), are affordable and can accommodate nearly every budget. Many packages come with a free trial so you can get a sense of whether or not it’s the right fit for your business
Your business needs
When you’re evaluating accounting software, consider your business needs first. A freelancer with no employees will have different requirements than a multimillion-dollar business, so take your business’s size into consideration.
Look for software that’s geared toward your specific industry as well. For instance, this comparison of Sage Intacct vs Quickbooks found that Intacct is an excellent option for businesses with API integration requirements due to its flexibility and strong compatibility. Some software is also tailored to companies in the manufacturing, retail or restaurant industries.
Cloud-based software
It’s a good idea to go with cloud-based accounting software; cloud-based software can be accessed from any location and has built-in protections to prevent data loss. Plus, cloud-based software tends to be less expensive, since you don’t have to pay for licensing or additional servers and costly hardware to house your data.
Scalability
Free or low-cost accounting software may work well for your company if you have limited business needs at the moment. But it’s important to take a long-term view of your business when selecting accounting software. Instead of choosing the cheapest software possible, look for a scalable option that will grow alongside your business.
Software Demo Process
When you are looking to choose your software, requesting a demo can really help to put understanding to the description. Making sure that there is a good process in place from a software consultancy firm or provider.
Below is an example of a professional financial software provider process (Itas Solutions):
Initial Call
15 – 30mins
One of our solution consultants will give you a call to ask some high-level questions about your company, your needs and make sure that our software is the right solution for you.
Discovery
45 – 90mins
Have a session with one of our software consultants who will deep dive into business processes plus any current pain points to help define the right solution.
Demo
60 – 90mins
Taking the information from your discovery, our consultants will provide a bespoke demo to your wider business to display how our software solution will benefit you directly. This session is an open forum and all questions are encouraged and expected.
Conclusion
There are pros and cons to weigh when choosing accounting software, just like with anything else. However, accounting software can improve your business’s financial accuracy and visibility, and it can free up your (and your team’s!) time for more creative and profitable pursuits.
