Seven thousand years ago, Mesopotamian traders used stones to record their expenses, purchases, and sales. Imagine using that technique for even the smallest corporations now! Luckily, accounting software tools are now available. Even more, this technology has merged with other innovations to create what we now call cloud accounting software.
Although every accounting application has its advantages and disadvantages, some brands that stand out more than the others. As a small business owner, you must get only the best ones to make sure your business thrives. However, before I give you a list of the best cloud accounting software, in my opinion, here are some factors to look at when purchasing an accounting tool:
The Cost Of The Cloud Account Software
Growing businesses often have a very tight budget. Hence, paying a monthly premium for accounting software can sometimes be a significant investment. So, when choosing a cloud accounting system, always check all fees related to the use of the software. These fees may include the upfront fee and monthly or annual recurring fees.
The Functionalities Available
Some software offer functionalities that others don’t. When choosing your accounting software, try to list down everything you may need from the application. You can then use this list as a checklist while looking at different brands.
Size Of Your Business
Larger businesses often have more complex accounting models. So, if you plan on expanding anytime soon, choose a brand that can accommodate the quantity and types of transactions larger businesses have. However, if you expect that your business will need a few more years to grow, choose more straightforward applications to avoid unnecessary functionalities.
Ease Of Use of the Accounting Application
The final verdict on which accounting software you should get is how you feel about the product. Look for a system that you can work with every day, and that will provide you the reports that you need. It is best to avoid accounting software that has an interface that is too complex for you.
Best Cloud Accounting Software
FreshBooks
FreshBooks is a popular software for small businesses because of its simple and easy to use dashboard. It offers most features that small and medium enterprises require. The software is available in $15 (Lite Plan), $25 (Plus Plan) and $50 (Premium Plan) monthly bundles. Each plan has multitudes of features and a varying number of allowed users.
These features include expense tracking, invoicing, credit card payments, numerous reports, and more. It also allows business owners to receive credit card payments from their customers. Owners can also access the software using their free Android and iOS software.
Intuit QuickBooks
Quickbooks has been a staple in the accounting industry for years. Many businesses trust the product because of its established reliability since the early ’90s. It also offers three bundles, namely the QuickBooks Simple Start, QuickBooks Essential, and the QuickBooks Plus. Each package costs $10, $17, and $30 per month, respectively.
Quickbooks offers functionalities such as CRM, Shopify integration, as inventory management, job scheduling, and more. It also allows users to manage the payroll of the company’s employees.
Xero Cloud Accounting
Another brand that has a name both locally and internationally is the Xero Cloud Accounting software. Xero offers a Starter plan at $9 per month that comes with the basic functionalities and reports that they provide. The affordable price has a drawback, however. These drawbacks include the limited transactions that can be done with the system.
Xero’s Standard Plan offers almost the same functionalities as the Starter plan; however, without the transaction restrictions, the Starter Pack has. You can avail this plan at $30 per month. Finally, the Premium plan offers all the functionalities available from Xero. It also supports multiple currencies at a $60 monthly rate.
These three are the most common cloud accounting software for small businesses. However, there are also some other brands out there that may be more suitable for you. So, don’t be afraid to search some more; but, make sure to consider the factors that I have listed above.
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