While only 1 in 100 small businesses get audited each year it is still a good idea to have top-notch accounting software to document your business activities.
If you are a small business, chances are you don’t have a degree in computer science or accounting, so how do you choose the right software for you? Read on to learn how to choose the right accounting software for your small business.
How to Choose The Best Small Business Accounting Software
If you are an entrepreneur, chances are you are looking to keep overhead costs low and profits high. You also have limited time and resources, so hiring a big accounting firm is out of reach. This is where accounting software can help.
Small business accounting software can help you keep track of your income and expenses and depending on the program integrate with your other company activities.
For example, Quickbooks point of sale integrates POS and accounting into one place making it easier for you to manage your retail company.
Step 1: Take the Time to Identify Your Accounting Needs
What kind of company do you run? Is it a brick and motor retail space with a point of sale and inventory needs? Are you a 100% virtual reseller that takes donations?
Regardless of your company set up, you do have unique accounting needs. Identify them so you can choose a software that meets them. Many of the software programs on the market have the ability to integrate with other programs, such as customer relationship platforms.
If you are already using some of these other programs make sure the accounting software you use integrates with them. You do not want to have to enter data into two locations, it takes valuable time and can create errors.
Step 2: Project Your Needs into the Future
You probably have a 2, 5 and even 10-year plan for your company, even if it is not written down on paper. As you are looking at accounting software, jot down your plans for the future. Then determine if the software you are considering will grow with your company.
Ideally, look for a software package that is scalable, meaning that it will grow with you. It is great to have all the bells and whistles up front, but why pay for something you don’t need? Scaleable programs will allow you to add features as you grow and need them.
Step 3: How Much Can You Afford
One of the fastest ways to eliminate choices is by price. Determine how much you can afford, and anything that is not in your price range, eliminate. Again, bells and whistles are nice if you need and can afford them.
Budgets often have some wiggle room but make it a rule that if a solution is more than 25% over your set budget, you’ll walk away.
Now that you understand how to choose the right accounting software, grab your computer and start applying this knowledge to your search.
Does Your Small Business Need Support?
If you are a small business you don’t have the resources to hire all the business professionals you need to move your company forward. This is where we come in, StrategyDriven provides business leaders with the planning and execution advice, tools, and practices needed to achieve superior results.
We take the time to learn your company’s mission and vision. Then, armed with our highly experienced and educated staff, we develop a clear, forward-looking strategy unique to your companies needs.
A plan is only as good as the activities you implement, so we translate that plan into the day-to-day activities you need to make that plan a reality. We can help with choosing accounting software, creating disaster recovery plans, and help with all aspects of program management. Contact us for the out of the box ideas your small business needs.
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