How reliable are your financial statements? In the US, many companies struggle with accurate bookkeeping.
Bookkeeping is a challenging task. You have to keep track of all your expenses and income to calculate your profits. There are many online bookkeeping software that can make the job easier.
Online bookkeeping software has become a rage these days. The online bookkeeping software market value is expected to reach $22.9 billion by 2027.
The growth is due to the rise in demand for automated accounting systems. They are cost-saving and accurate, which makes them valuable assets.
Keep reading to learn how to invest in a reliable online bookkeeping software solution.
Factors to Consider when Buying Online Bookkeeping Software
There are many programs, but not all are worth the money. Some online software costs more than others.
Below are essential features to look for when investing in online bookkeeping software:
Business Needs
The system must fit your business needs. If you have significant inventory and warehouse management requirements, you need a solution equipped for such tasks.
To avoid costly mistakes, create a comprehensive list of business needs and expectations. Outline the primary objectives that you want the software to accomplish. Compare it with the functionality offered by the programs you're interested in.
Consider some non-technical factors when looking for new bookkeeping software. How easy is it for your employees to learn? How responsive is their customer service?
Functionality
It’s not enough to have a pretty dashboard and an intuitive interface. The software has to do what you need it to do.
Consider how many users will be using the system. You’ll need to make sure that your software can support multiple users. The best online bookkeeping software provides functionality that fits your business’s needs.
Analyze information management features like inventory management, reports, and invoices. These features will give you the tools to keep track of your business's finances. If you have employees who work from home, you might need something to manage timecards.
The software's functionality features must much your business needs.
User Interface
In a survey of accounting professionals, 88% rate the user interface as the most critical feature in bookkeeping software. This is surprising because the UI is one of the least discussed topics among bookkeepers.
A good interface will allow people to work with your software in a way that feels natural and intuitive.
Many accounting software tools are designed for accountants and bookkeepers. It is difficult to find an online accounting solution that is user interface (UI) friendly.
Remember, bookkeeping software is only helpful if you know how to use it. A poorly designed user interface can make it challenging to manage your business.
Compatibility with Other Business Software
How compatible is your current business software with your potential bookkeeping software? Choose software that is compatible with every aspect of your business operations.
Ideal online bookkeeping software can be used alongside other business software. It won't require much effort on behalf of the business owner. The program will do most of the work for them.
The software should consolidate all of a company's data and make it accessible through one system. This means no more searching through a bunch of different programs.
You are better off paying a little extra for something compatible with other business software.
Scalability
If you're looking to grow your business, consider what happens when you start getting more clients. Numerous factors can affect the scalability of bookkeeping software.
Some bookkeeping software companies make it difficult to add new users. Consider how much client data will be stored on the cloud.
When investing in online bookkeeping software, you need to consider scalability. This is especially important when you're choosing accounting software.
The bookkeeping software should handle your business's growth. This avoids the liability of having to switch apps.
User Security
Many small businesses in the US have been hacked recently. This is due to the use of software with poor security configurations.
Your business bookkeeping records hold vital information. If such information is altered or in the wrong hands, it could cost your business significantly. If you are buying online bookkeeping software, the security features should be top-notch.
There are three main security features that every bookkeeping software should have.
- Dual authentication
- Two-step verification
- Data encryption
The security features ensure your data is safe in its premises and as it travels over. If your software does not have these features, you risk your business.
Pricing
Bookkeeping software can be a significant investment for small businesses. When choosing which software to use, price is often a significant factor.
Before you make your final decision, consider all options to ensure that you're getting the best value for your investment. The pricing will differ depending on bookkeeping software traits and features.
Support Services
All bookkeeping software claims to offer great support services. This is what they advertise. You will have to ask yourself, how good are these services really?
With the right support services, you can save time and money. Strong support services provide users with everything from initial training to ongoing troubleshooting.
Customer service should be available 24/7 with a quick response time. This will help you run your business smoothly.
Not all bookkeeping software providers offer support services. It’s important to know what to look for before making a purchasing decision.
Invest in Online Bookkeeping Software Today
Online bookkeeping software has come a long way since it was first introduced. Today, you can find unique features and the added convenience of online software. You, however, need to get reliable bookkeeping software.
Look out for the above features to make sound decisions.
If your company needs comprehensive software, but you don't have a large budget, consider Uplinq.
Our software automates bookkeeping and provides source-level financial insights for your business. Learn more about the software by scheduling a demo today!