Starting a small business is a big undertaking, and to do it properly, a new business venture needs a solid plan. Any small business owner needs to be able to answer some key questions. 

How will you describe your business? What’s your operating model? How will you track earnings and expenses? What information will be needed for taxes? Will you hire an accountant or will you try and do it yourself? Every business startup should look into accounting software for small businesses to keep them organized. 

What to Look For in Accounting Software

When researching the best accounting software for small businesses it is essential for your business to consider what features are most important for your company. Knowing what you need from your accounting software will ensure that you never overpay for features. 

Important features most small businesses will be looking for in accounting software include:

Expense tracking: a way to keep track of what the company is spending 

Time tracking: an important feature that tracks employees and how many hours they are working so they can be scheduled and paid correctly

Payroll service: a quality that can help your company keep track of and pay your employees quickly and efficiently

Sending invoices: an important function that delivers a bill to your customers for your product or service.

Features like these make running your small business much easier. Without them, you are going to spend hours pouring over paperwork and excel spreadsheets trying to figure out what could have been done automatically with an accounting software. 

Increase Productivity

Accounting software has many different functions that help to keep your business running smoothly. Some small business owners may feel intimidated when learning new software, but it will be well worth any initial time investment in the long run. 

Double entry accounting is the rule of the double entry system which mirrors debits and credits. With accounting software it will keep track of your debits and credits for your business. No more struggling to remember which category belongs in which column in your excel sheet.

Using web-based accounting software, you never have to worry about losing any of your company’s critical financial data because it is all stored online. You can also access the information anywhere, making it easy to keep track of things wherever you are. 

From the road or your office in real-time, all the information you need can be in the palm of your hand. The accounting software will help you track inventory and keep your company well organized. It can also help you monitor your cash flow so you can see how much money you are making compared to how much you are spending.

Cut Costs

For independent and small companies with strict budgets, accounting software can keep you from spending on an accountant for work you could do yourself. As a small business it is important to cut costs wherever possible. 

Doing your own accounting work can significantly cut down on your overhead costs. With the accounting software, you can easily keep track of your expenses and revenue. Not to mention, when you have a good accounting software, you’ll be able to finish your business taxes easily. 

Opportunity for Your Business

Accounting software can help your company follow emerging trends. This allows your company to stay ahead of the competition and aware of any new developments. Another advantage of owning an accounting software is that it can be integrated with other software and apps expanding what the accounting software can already do. 

For example, you can attach your bank account to your accounting software, allowing you to better track any expenses. The software will track what you buy, saving you time as you will not have to put in your receipts individually. The software can also give you payment reminders so you never miss a bill. 

In bookkeeping, a bank reconciliation is the process where your bank account balance and the sum of the account is reconciled to the balance that is reported to the financial institution in your most recent bank statement. Any differences between the two needs to be rectified immediately to prevent inconsistencies in your books.

If you are looking for accounting software that can help you and your small business cut down on costs and time look no further than Pivedl. It is a top accounting software for small businesses that can help your company stay organized and under budget. Join us and schedule a demo today. 

Client:

Pivedl

Published Date:

April 17, 2021