How to Select the Best Accounting Software?

Tracking transactions is vital for any business to succeed in the near future. Enterprises require the best accounting software to record income and expenses precisely. Today’s advanced invoicing software also enables business owners to file GST compliance in just a few clicks. Accounting software for small businesses enables you to accomplish daily accounting tasks. It effectively records payments, invoice customers, track expenses, reconcile transactions, and much more. GST invoice software provides insights and invoicing solutions that stimulate your business performance from multiple dimensions. You can better focus on other growth aspects of your business by automating your bookkeeping tasks. But selecting the best billing software for your business can be challenging. There are various options for accounting software available in the market today. Each one of them offers different features and pricing plans. To avoid any sort of confusion, you need to filter all the criteria. In this article, we have coupled a list of key considerations that might help you invest in India’s best accounting software.

Important Factors of the Best Accounting Software

1. Online Accounting or Offline Accounting

As a business owner, you must first decide whether your business requires online accounting software or essential desktop-based, offline software. It entirely depends on your business requirements. Few businesses prefer online/cloud accounting software for effective automation. They offer several competitive advantages over traditional offline accounting software. In contrast, companies that mostly operate without connectivity can opt an offline software such as POS (Point of Sale).

Why Does Your Business Require a Cloud-Based Accounting Software?

Small businesses in India struggle with the cut-throat competition out there. Business owners must be able to focus on other managerial tasks. A cloud-based accounting software saves installation charges, time, and costs. You can sign in and directly get started with entering your transactions. Online accounting software is always updated. You can access all your financial data from any device connected to the internet, work from anywhere, and restrict access according to your preferences. Businesses can save costs with cloud backup and maintenance features. For synchronized access and integration, one must select a cloud-based accounting software. It simplifies your business workflow with effective automation. The comparative advantages of cloud accounting can help you stand out among your competitors.

When Does a Business Require Offline Accounting Software?

For businesses like retail stores, desktop-based software works well. Their business requirement is limited to invoicing over the counter. They do not require connectivity at their business location. If your business category is different from that of a retail store, go for cloud-based accounting software. Secure your business data and control your finances at your fingertips with online accounting software.

2. Data Security

Your finances determine the sustainability of your business. Thus, ensuring data security plays a vital role in managing your finances. If you are selecting online accounting software, you must consider having a precise checklist. Most online software manages accounting data over their websites. You should consider asking your service provider about the security measures they take to ensure your business data security. You can review the security certificate of the server your accounting application hosts. Make sure that the data transferred from your device is encrypted. Encryption ensures that your financial data is not hacked or viewed by an unauthorized person or entity.

3. Features

Features are one of the main factors you must consider while choosing the best online invoicing software for your small business. Here’s a quick checklist of essential features that an accounting package must include.

Tailored invoicing options
Categorized expense tracking
Inventory management, stock movements (inward/outward), and wastage management
Options to import bank transactions to perform bank reconciliation
Customizable purchase order (PO) creation and options to record inventory purchases.
GST billing options or create and manage taxes effectively
Journal Voucher recording
Automated management of customers and vendors list
Keep track of accounts payable and receivables.
Effective balance sheet maintenance
Generation of profit loss statements and trial balance reports
Tailored access to employees

What Additional Features Should You Look for in the Best accounting software?

Features that support multi-currency transactions
Employee management and payroll processing
Categorize transactions as per the projects
Control the access of each team member

Now, make a detailed list of essential features according to your business requirements. Review all the features before making your final decision.

4. User Interface & Complexity

You need not be an accountant to handle your business accounting. In case you have an accountant to manage all your accounting tasks, you should know how to log in and use it. It should be user-friendly for employees or accountants to learn the software in no time. It will rid you of training costs. You needed not subscribe for features that your business does not require. If your accounting software is simply stuffed with all the features, it can be hard for your employee to use it. Thus, choose software that comes with a simple user interface. It will help you and your employees to focus on crucial accounting tasks.

5. Exit Options

Your accounting software must have a feature that provides data export facilities. You must be able to export the ledger and other transactions under unfavorable circumstances. However, it is always ideal to check if your accounting software offers backup options at regular intervals.

6. Scalability

Do not restrict your accounting needs. It is most specific for any small business in India to expand with time. When you buy software with limited features as per your current requirements, it might fail to cope during expansion. Rid of migrating from one software to another and all the painful data transfer processes. Select an invoicing software that can scale the needs of your growing business. Go for software that has a progressive version concerning the size and type of companies.

7. Hidden Costs

Most accounting software offers lower costs to attract customers. Once you buy the software, you will have to deal with hidden costs. For instance, some software might charge you extra for upgrades, maintenance, or additional support. Check before you buy any software. Visit the official website and check the pricing page. If the software offers any additional services, you will know in prior.

8. Post-Sale Support

Post-sale support is one of the key features that cannot be ignored while purchasing accounting software. No matter how great the user interface of the software is, you require premium support at crucial points. Select a software company that you can reach out to when you are stuck. Most accounting software offers a cheaper price because they do not provide any support. Avoid any such products and rid them of throwing all your investments in vain. Try calling the support number or reaching out to messaging on the company portal. Simply check how well the company responds to your quarries. You will know their support infrastructure instantly.

9. Tax Preparations

Ease your business workflow by hiring accounting software that automates tax calculation, tax reporting, multiple tax rates, and features like filing GST compliances. It should have the necessary features that allow access to all your financial data under a single system. An ideal tax-ready invoicing software will help you file GST returns as per the latest tax rules specified by the government.

10. Automation

Automation is a vital aspect of hiring accounting software. It helps accomplish all your bookkeeping tasks effectively in no time. You can automate your recurring transactions, send a payment reminder email, auto-charge customers, etc. Ideal accounting software helps capture data from receipts, and effortlessly convert them into transactions. Work on the core business functions while you can automate most of your accounting tasks. Rid of the tedious accounting processes and manual interventions. Choose an ideal accounting software for your start-up.

11. Integration

The integration enables you to work flexibly. Any changes you make are automatically updated, eliminating repeated entries.  For instance, when you link your customers’ information via CRM software, the same will be reflected on your application, so all your employees are on the same page. Thus, the accounting software you choose for your small business in India must be integrated with a third-party server, CRMs, project management tools, or inventory management systems.

12. Payment Gateways

The last but most important feature that an ideal accounting software must include is the payment gateways. It enables your customer to pay instantly by securely integrating payment gateways. It provides multiple payment options like credit cards, debit cards, online bank transfers, and other convenient options. Once the payment has been processed, the software automatically updates the invoice status in the system. There are various payment gateways available in the market today. Check for a feasible option for your business and ensure that your software connects to a preferred payment gateway.

GrofleX.in – Best Accounting Software

GrofleX, the GST accounting software, is an ideal choice for small businesses in India. It includes all the necessary features mentioned above. You can avail of customized subscription packages rather than wasting your money unnecessarily on useless features. The cloud-based invoicing software supports integration and advanced payment options. Our customer support is available round the clock to ensure your happiness. We provide customizable features concerning your industry or business size and type. Subscribe to Imprezz and ease your accounting task management.

Steps to Select the Best Accounting Software

1. Discuss with Your Accountant or Employee Who Would Use the Application

Your accountant or employee knows your accounting needs better. It is ideal to talk to them to understand better which accounting software is suitable for your business needs. Discuss and make a checklist that will determine the best choice.

2. Pricing and Budget

Knowing your budget will automatically streamline your options. Most bookkeeping software comes with different prices and packages. Look for an overall plan that fits your budget.

3. Shortlist Your Options

Google is our next mother. It should be the first point where you start your research for the best GST accounting software: checkout software comparison sites and testimonials. Create a shortlist of software programs that you like the most.

4. Request a Demo

You can request a demo on the software provider’s website. Ask questions concerning your niche while you take a demo. Precisely watch the application walkthrough videos if there are any available on the site.

5. Start a Free Trial

Do not purchase software before taking a free trial. It will give you a clear idea about the software and its functionalities. Enter some dummy financial data to check the accuracy of the financial reports. If the software meets all your requirements, you can go ahead and purchase it.

Mistakes to Avoid While Purchasing the Best Accounting Software

Don’t buy cheap accounting software
Don’t buy an on-premise accounting software
Don’t ignore the database
Don’t forget to include the HR
Don’t Neglect the point of sale (POS)

Conclusion

Selecting an ideal accounting software for your business can be overwhelming. Once you invest in accounting software, migrating can hurt your business. Instead, spend your time looking for the best option out there. Are you searching for the best billing software in the market? GrofleX.in is a one-stop accounting solution for all your accounting needs. Do you want to cross-check the capabilities of the software?

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