No matter whether you run a micro-business or a large business, managing financial transactions is vital for business growth. However, you cannot deny the fact that handling business accounting manually is complicated and time-consuming. Hence, it is crucial for businesses to look for reliable software to manage their accounts. You can easily record real-time firm transaction reports with the best accounting software, irrespective of the size of your business.
There is a plethora of free or paid accounting software that claim to offer unlimited access to transaction reports plus easy navigation. However, some of them can provide you with misleading information about your customers’ invoices and vendors’ payment reminders. And we don’t want you to fall into the trap of bad software. Hence, to help you choose the best accounting software, we have rounded up a list here. So, read this article.
We will walk you through the 10 best accounting software for small businesses with their features and pricing plans to help you make an informed decision. So, without any further ado, let’s get started…
First of all, let’s understand what accounting software is and why it is needed in the first place. Here we go…
What is an Accounting Software?
Accounting software is an advanced computer program that helps record and report business transaction reports. This incredibly optimizes your business from basic invoicing and payment reminders to project management and tax calculation updates. It also lets accountants and bookkeepers gain insightful reports into managing clients/customers and bank reconciliation reports. In addition, it saves you a lot of time that you would otherwise spend in understanding your monthly dealings. Top-notch accounting software can help you run your business seamlessly. It takes care of all your accounting needs, including billing, invoicing, payment, bookkeeping, and so on.
Why is so important?
Read ahead to know…
Importance of Accounting Software in Small Business
Before you pick the best accounting software for small businesses from the ones listed in the upcoming section, it is vital to understand the value of this tool for your business. Hence, take a look at the following discussion to learn its importance:
No.1: Create Invoices and Send Payment Reminders
Creating invoices and getting on-time payments are essential to ensure a seamless cash flow in your business organization. However, managing manual invoices is not only cumbersome, but also time-consuming. Moreover, this could be subject to errors and huge business losses. Yes, there is a high chance of errors with manual invoicing. Accounting software comes in handy in such a situation. Generating invoices becomes a breeze with these tools. They simply automate invoices and send payment reminders, ensuring error-free invoicing and on-time payments.
No.2: Global Payments
The major advantage of using this software is that you can collect payments from any part of the world. So, expansion is no longer a problem when you have software to handle your business accounts. These tools come with a multi-currency feature and let you accept currency from any nation. In addition, they also have a feature for exchanging the currency into your nation’s currency. It applies exchange rates and converts the international currency into your currency, making it easier to receive payments from international locations.
No.3: Bank Reconciliation
It comes integrated with a bank reconciliation feature that connects your bank account(s) easily. This feature allows you to fetch your bank statements of business transactions directly without any hassle. Using these statements, you can match your banking transactions with ongoing business activities. In addition, with bank reconciliation, prepare your audit report throughout the year.
No.4: Tax Compliance
Tax is yet another imperative part of a business. Even if you are running a small business, you need to file ITR. Of course, filing ITR is a task, especially if you have no knowledge. And the CAs charge way too high for filing ITR on your behalf.
But fret not! Accounting software makes it a cakewalk. With the best accounting software, you can file income tax returns effortlessly. Also, it updates you on the recent tax regulations and makes tax deductions calculations faster. Furthermore, it helps you to generate tax benefits reports so that you can stay organized and informed about tax filing season.
So, these are some of the things that make accounting software a necessity for your business. When the major chunk of your business is taken care of, you can easily focus on the core activities and plan for expansion within or outside the boundaries. Let’s now take a look at the best accounting software for small businesses. Here we go…
10 Best Accounting Software for Small Business
Here is our rundown of the top 10 business accounting software that small business owners can consider having to run their business seamlessly. Take a look…
Volopay is one of the most widely used software among accounting professionals and small business owners. This is a one-stop destination for various accounting needs, such as corporate cards, money transfers, bill payments, expense management, and automated accounting. Thanks to its Universal CSV feature, it can integrate with third-party accounting tools such as Tally, Netsuite, Quickbooks, MYOB, and more.
The reason behind picking Volopay is that you can easily access all accounting features through one dashboard here. This ensures transparency and visibility over daily business expenses. Furthermore, this is a scalable platform. It can easily adjust itself according to your organization’s needs. Plus, you should not worry about the safety and security features here. This works with a multi-level approval system, providing much-needed prevention from internet fraud, data stealing, or payment failure.
Key Features of Volopay
Hassle-free business payouts (domestic and global)
Physical and virtual cards to allow faster payments
Customized spending limits on prepaid cards
Record all financial transactions in real-time
Multi-currency wallets
Automation feature
The mobile app is also available
Price
Contact the service provider for detailed pricing.
The next best accounting software on the list is QuickBooks Online. Here, all accounting tools and features are conveniently accessible through one dashboard. This ensures bookkeeping automation and streamlines accounting book complexities. It eliminates all fears regarding tax deductions as it automatically applies tax rules. This, in turn, allows you to know about your business’ real earnings (excluding taxable income).
Most importantly, QuickBooks Online has a vast community. This implies that you get the support of numerous online resources and forums when you use this software. There, you can learn everything about this tool, including its usage and advanced accounting features. The best thing about this tool is that it is cloud software, which means you can access it through a website or mobile application. It offers numerous payment options, so make sure to choose the plan that best suits your needs. Track enhanced sales reports and streamline your business invoice reminders with QuickBooks Business Network.
Key Features of QuickBooks Online
Access tax professionals’ help
Automate bookkeeping and save time
Real-time business tax deductions updates
Enhanced sales reports
Have receipts snap and categorize them
View all your business balances on one dashboard
Price
It offers numerous payment options to help you choose the best one. Here are the plans:
Another accounting software company that you can consider opting for is Xero. This is a perfect tool for small businesses, accountants, and bookkeepers. It comes with efficient and effortless accounting tools and features. It also has a dedicated app named Xero accounting app. This app helps you track your business balances, vendor payouts, and invoice reminders on the go. In addition, you can sync your bank with financials. Xero has taken business accounting to a new level altogether.
You can invite your advisors to do online accounting with you regardless of geographical boundaries. Plus, it comes with an option for personalization. You can customize your business needs and enhance its efficiency. Its major advantage is that it automates tasks like invoicing and reporting. Furthermore, it sorts out end-year tax return complexities, thereby enhancing your focus on business growth. You can choose this accounting software to make accounting or bookkeeping a breeze.
At number 4, we have NetSuite. If you are looking for accounting software that can revolutionize your business accounting, then NetSuite is your best option. It comes with AI capabilities, which makes business accounting a breeze. Through AI-embedded capabilities, it can streamline tax management, cash flow, general ledger, and more. This tool allows you to manage account payables or receivables, optimize AR, and do easy bookkeeping. Plus, its real-time AI insights help you leverage the benefits of data-driven decisions.
The best part is that it stores your business accounting data in the cloud. Consequently, you can access it from anywhere and at any time. Plus, your accounting team, employees, and executives can also collaborate with you through remote locations in real time. And yes, it can help your business with other services such as inventory management, customer management, e-commerce, and more.
Key Features of NetSuite
Real-time reporting functionality
Customized audit types
Optimize cash flows
Automate account payables and receivables
Automate account reconciliation’
Easy tax management
Automate manual tasks such as journal entries, intercompany transactions, and more
FreshBooks is another accounting software that has gained huge traction for its easy user interface (UI) and powerful features. It offers professional invoices and automates invoice reminders to ensure smooth cash flow in your business. It’s an easy-to-access and easy-to-understand tool. Its double accounting reports help you with business insights in no time. You can keep tabs on the money coming into your bank account and even take pictures of your receipts with this handy application. All of this helps users to file tax returns with ease.
In addition, FreshBooks enhances team collaboration in real-time. You can easily track your team’s progress with its efficient usage. Furthermore, it comes with online support so that you can understand how FreshBooks works in a simplified manner.
Are you looking for a small accounting software that can make accounting and money management smooth and easy? If so, pick Wave! Wave is one of the best accounting software for small businesses. It offers incredible accounting tools and features. With its user-friendly dashboard, you can track your business health in real time from anywhere. It makes payment simpler and easier. Customers get the option of making instant payments using Apple Pay, Net Banking, and credit cards.
Here, you can get the support of an in-house accounting and bookkeeping team in case any problem crops up. Furthermore, it lets you keep track of your business income and expenses. You can always stay organized in the context of cash flows and payouts. Plus, it helps you in tax return with its advanced capabilities.
Key Features of Wave
Create professional invoices
Streamline online payments
Make accounting easy and smooth
Stress-free tax return
In-house team support
Cloud-based invoicing software
The mobile app is available
Price
The starter plans are available for FREE. Whereas the paid plan, i.e., the Pro Plan, is available for $16/month.
If you run a small restaurant and are looking for an accounting professional, you should rely on the efficiencies of Margin Edge. This is a cloud-based software that has specifically been designed for restaurant owners. Essentially, it offers you the advantage of more than 45 point-of-sale and accounting integration. It saves you time and energy by speeding up food cost calculation. It enables timely payments. By integrating this software into your restaurant business, you can avail of the benefits of detailed profit and loss statements, vendor invoices, easy payouts, and more.
Margin Edge is a wonderful tool that a small restaurant or food business owner must have to run a business successfully. Plus, it enables the full recipe management system for your business. This incredible feature organizes the ingredients list, pricing, and staff instructions in one place. Additionally, you can have a good inventory solution to keep your restaurant’s inventory organized.
Are you looking for accounting software that can go beyond number crunching? If yes, you should harness the capabilities of Sage Business Cloud Computing. This automates repetitive tasks and provides you with real-time insights. Sage Business Cloud Computing software saves you a lot of time that you can utilize to focus on business growth. It ensures you stay informed on tax regulation updates and the latest administrative changes.
Sage Business Cloud Computing customizes sales reports, mitigates calculation errors, and helps you to track business growth in real time. Furthermore, it allows team members to collaborate in real-time through its cloud software. So, if you are running a micro business or startup, this can offer you the best solutions with its basic accounting features. You can start with its basic plan to get accustomed to this accounting software and then opt for the premium ones.
Key Feature of Sage Business Cloud Computing
Flexible software
Automate payments, invoices, and reminders
Error-free cash flow management
Enhance team collaboration
Easy to use interface
Affordable plans
Price
Sage Business Cloud Computing offers two options, which are as follows:
At number 9, we have Neat. Neat has become a one-stop destination for accounting professionals and small businesses. It makes managing accounting documents and receipts a breeze. It reduces redundant activities and helps you focus on the most important things. It offers real-time insights on sales reports, spending, expenses, and investment. This platform also allows for easy income tax filing and reporting.
This gathers all your documents and payment receipts in one place. And yes, you do need to bother about its efficient usage. It comes with a one-to-one training program and in-house team support. Its Neat technology has eliminated the need for manual data entry. Moreover, this technology is efficient in gaining insights into your document. You can choose to a suitable plan and stay organized with this platform.
Key Features of Neat
Real-time insights into business expenses and spending
File protection from malware threats
Manage all your business transactions with Neat technology
Reduce the need for manual data entry
Reconcile bank statement receipts
Prepare you for tax benefits
Price
Neat offers three different plans, which are as follows:
Neat Base Subscription: $200/year
VIP Service: $50 per year + Base subscription
Automated Insights: $150 per year + Base subscription
Last but not least is Zoho Books. Zoho Books is one of the best and most efficient accounting software for small businesses. It is a great blend of functionality and uniqueness. It simplifies business accounting and helps you to analyze its profit and loss in real-time. With its advanced tools, you can generate e-invoices and calculate tax deductions liabilities.
The best part is that you can access it through a website or app in no time. You can easily track your team’s log time and view business time anywhere and at any time. It offers numerous custom templates that allows you to customize Zoho Books fitting to your business needs. In addition, you can use its multi-currency feature to accelerate your business growth and enable smooth and seamless foreign transactions.
Key Features of Zoho Books
Apply exchange rates globally to manage global transactions
Transparent business expense reports
Offers custom templates
Custom reports
Bank reconciliation
Tax updates
Affordable accounting software
Real-time latest legislation updates
Simple and easy online payments
Price
Here are the different plans that Zoho Books offer:
Standard: $8.94/month
Professional: $17.89/month
Premium: $35.79/month
The Bottom Line
So, there you have it: 10 best accounting software for small business. As a small business owner, you should always be aware of efficient systems and platforms. Gone are the days when businesses needed to hire bookkeepers and accountants to record the firm’s transactions. New age problem necessitates new age solutions.
These tools make business accounting a breeze. An efficient accounting software comes with customized features to simplify complex accounting calculations. Furthermore, it stores the old data, which you can retrieve at any time for internal and external audits. You can choose to pick any software from the ones listed above. However, it is advisable to first consider your business needs and check the features of each tool prior to choosing the best one.
Happy Business Accounting… 😊 😊
Thanks for reading!
Hopefully, this article has been enlightening for you. Stay tuned for more such insightful articles!
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