There are many different types of accounting software available for small businesses such as industry leader, QuickBooks, and online resources like Freshbooks, GoDaddy Bookkeeping, and Xero all enable small businesses to keep track of expenses, accounts receivable, bank reconciliation, checkbook registers and even create profit and loss statements. Deciding which software is right for your growing enterprise can be complicated. Here’s a brief list of some of the best features and how these programs can fit into your business’ needs.
Quickbooks – One of the most popular accounting programs in the small business world for a very good reason, Quickbooks has evolved over the past several years into a user-friendly software package that includes almost any feature a small business owner might need. On top of that, the technical customer support offered is top notch. It offers time tracking, payroll, customer and vendor portals, and inventory tracking. New versions even offer mobile access.
Freshbooks – newly redesigned from the ground up in 2017, Freshbooks provides an exceptional user experience with improved collaboration. This software is great for independent contractors and freelancers who need to track multiple clients and maintain strict control of their finances. Time tracking is available allowing the user to track hours or even partial hours worked so they can be billed at a later time. The recent updates did provide new insights and functionality, but did miss the mark with some of the reporting and customer records missing from the upgrade. Hopefully, future releases will bring back some of those loved features.
GoDaddy Bookkeeping – Another solid program for freelancers and independent contractors, GoDaddy Bookkeeping provides all major A/R and A/P transaction forms, time tracking, and live support. With one of the lowest pricing structures, this software can fill an immediate need for accounting controls to get your freelance business up and operational. The software integrates with Amazon, eBay and Etsy making it easy to link sale directly to your bookkeeping. Bear in mind, that if you are looking for an expandable, scalable software, this one may need to be replaced with a more robust option down the line.
Xero – This double-entry accounting app excels at many of the small business basics such as records and transactions that support sales, purchases, and even payroll. If you are a little more software savvy, you won’t miss the phone or tech support that other programs provide, but the lower cost may offset that pain. Be advised that payroll tax management is not available for all states, so do your research before you buy.
Even if you don’t have an accountant or small business advisor, it may be worth your time to talk with one near you. Small business advisors can help to better understand your needs so that the software you choose will be flexible and grow with your business over subsequent years.
PASBA member accountants bring the collective resources of a nationwide network of Certified Public Accountants, Public Accountants, Enrolled Agents and other practitioners available to answer your tax and financial questions and streamline your business accounting, bookkeeping, and payroll operations.
To find a trusted accountant in your area, visit www.SmallBizAccountants.com.
Please be advised that, based on current IRS rules and standards, any advice contained herein is not intended to be used, nor can it be used, for the avoidance of any tax penalty that the IRS may assess related to this matter. Any information contained in this article, whether viewed or subsequently printed, cannot be relied upon as qualified tax and accounting advice. Any information contained in this article does not fall under the guidelines of IRS Circular 230.