Top 3 Best Accounting Software Packages

Accounting Software

Accounting software is a package of tools that help you keep the books and manage to account for your small business. Many businesses use accounting software because it helps them to have a clear understanding of their financials. Most accounting software is either packaged by a single software vendor or is available as a bundle of tools from several different vendors.

We’ve selected three accounting packages that are best suited for small businesses. Although it doesn’t mean these accounting packages are perfect for everyone, these are the best accounting software for small businesses because they offer some of the best features at the best possible price. 

Importance of Accounting Software for Small Business

Accounting software, as it is widely known, is an accounting or bookkeeping tool that is used by small businesses to keep track of their accounts (cash, accounts receivable, accounts payable, etc.). An accounting package is used by small business owners to manage their books and accounts, and therefore, provide them with the best possible financial information that they may need.

Small business owners don’t have the time, inclination, or desire to learn accounting themselves. This is especially true when it comes to small accounting packages that are often more expensive and less user-friendly than their larger, more robust counterparts. Because a small business has less than 10 employees, it needs to manage basic day-to-day operations (invoices, payments, sales, and purchase orders) using basic accounting software. A small business also needs to track employee payroll, generate quarterly and yearly tax returns, as well as analyze and post-financial statements.

Small business owners reap many benefits from accounting software packages. These benefits can include: tracking accounts receivable and accounts payable, having a clear understanding of their profitability, and being prepared for tax season. The top accounting software packages are designed with different features based on the type of business you run. 

They can also help you create a pay stub for your staff to be able to provide a better record for your employees. In other words, they offer a kind of an integrated paystub maker that can make your life easier. 

Best Accounting Software for Small Business as of 2022

It isn’t easy for a small business to survive. You may be able to run the business on a shoestring budget, but it’s not easy. A small business that wants to get the best out of accounting software needs features that help with the accounting tasks that are a priority for them, such as tracking cash flow, managing vendors, and understanding the profitability of their business. The market has offers from many companies that sell software development services in the bookkeeping and accountancy fields. However, not all of them deserve attention. So, which accounting package is the best? We will be ranking the top 3 best accounting software packages for small businesses based on the following criteria:

 

  1. The package must be affordable.
  2. The package must be easy to use.
  3. The package must be powerful.

 

Xero 

Xero is a cloud-based accounting software solution with over seven million users in 193 countries. The platform offers online invoicing, payroll, and bookkeeping services to businesses around the world. With Xero’s intuitive design, it is easy to streamline your business finances from any device. So, what makes Xero unique? It’s not just the number of features that make this accounting software so special; it’s how they are all interconnected. 

Xero is the most user-friendly cloud-based accounting software designed for small businesses that give you a powerful suite of tools for managing your finance, payroll, inventory, and customers. It has all the features that small- to medium-sized businesses (SMBs) require. It automatically integrates with your bank account system. You can set up Xero in a few minutes, and start using it to track sales and purchases. You also receive reports on a monthly, quarterly, and annual basis, so you know exactly what your business is doing, how you are doing, and where you are doing. Xero has an easy-to-use cloud-based interface that allows for invoicing, billing, payroll, and general bookkeeping. In fact, this is one of the most popular accounting software in the world.  

Advantages

It is a simple and inexpensive accounting package that comes with basic accounts receivable, payable, and balance sheet functions. Xero is a fully integrated accounting solution that supports your business so you can focus on running it. Xero also provides your business with real-time visibility into your financial data, so you can easily keep track of your revenues and expenses. Xero is designed specifically for small businesses. It is easy to use, and it gives you accurate, insightful reports-all without costing an arm and a leg.

FreshBooks 

In the past, starting a business meant relying on your checkbook and taking cash advances from credit cards to pay for everyday expenses. Even if you did have enough money in your account to cover those costs, record-keeping was a nightmare. Now with FreshBooks, not only accountants but business owners can bill their clients using this software. Freshbooks has been a huge help for many small business owners. It has made accounting so much easier and more convenient. The best thing about this software is that it’s easy to use and offers unlimited invoices, powerful reports, and the ability to handle all of your finances in one place.

FreshBooks is a simple, easy-to-use, and affordable cloud accounting software package, and its focus is on simplifying accounting tasks. It has a unique, easy-to-use interface. Its ranking is based on customer satisfaction, ease of use, cost, ease of implementation, functionality, and their success rate of getting their customers to upgrade their accounting software. Furthermore, it is a multi-user and multi-currency accounting software with a variety of features, such as a free 30-day trial, and an integrated payment system. 

Advantages 

Since 2001, FreshBooks has been helping small business owners get paid faster. So, working with this software is a great way to offer clients the peace of mind that comes from knowing they have an accounting partner they can trust.  

The most important advantages of working with FreshBooks are that it streamlines your accounting processes and helps you manage your records from one place. FreshBooks has its very own system for importing data from your bank accounts and other online banking tools. In addition to the above, it provides cloud file storage, automated email and billing, and a customer-centric social media platform for small businesses.

Wave

Small business owners can have many benefits from accounting software because it helps them track accounts receivable and accounts payable, have a clear understanding of their profitability, and be prepared for tax season. Wave gives you the flexibility to access your invoices, expenses, and bank accounts from anywhere, at any time.

Wave is cloud-based accounting software for small businesses that are just starting and don’t have much data to manage. It is perfect for business owners with limited experience in accounting, sole traders and provides them with the tools that they need to keep their books, file taxes, and maintain their business.

Advantages 

Being an integrated cloud-based software that provides all the features of a traditional desktop accounting program Wave provides some advanced features that are not possible with other software. It offers the following advantages:

  1. It’s cheaper than most other accounting programs.
  2. It is easy to install and use, even for beginners.
  3. It can be accessed from any computer or mobile phone with access to the internet. 

Conclusion 

Choosing the right accounting software for your business can be a daunting task. With so many packages available, it’s hard to know which one will best suit your needs and budget. In this article, we’ve reviewed the top 3 accounting software packages to help make your decision easier. We hope these reviews have been helpful! 

 

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