Select an Accounting Software Program to Fit Your Business Needs

August 18, 2011 by Ed Becker

 

The number of accounting software products now available to your small business can be overwhelming. Features and functionality vary greatly among all products. Software that may serve one company well, may not generate the best outcome for your business. Accounting programs are designed for specific purposes to meet varied end results. While some software may be user-friendly directly off-the-shelf, many good products are industry specific and can be technically more complex. Often business owners may not have the time or knowledge to maximize the benefits of all the software has to offer. Prior to purchasing software for your business, a few factors can help make your selection easier:

• Ask a Professional: Your CPA or advisor may be familiar with different industry software and can make a recommendation. More than likely, your CPA has used or seen many software programs and can best gauge what fits your needs. It is additionally beneficial to include your CPA in this decision as they will need to support your business and be able to use the software you ultimately purchase.
• Functionality: Is this software compatible with your operating system? The software must allow interface with other programs your business runs. Will this software do what it sets out to do? Does it have all the bells and whistles you will need as your business grows? Make a list of all the functions you need to perform in addition to a wish list of items you would like to see produced with the use of a new software program. Knowing how you want the software to work for you ahead of time will help determine what you need to purchase.
• Cost: Prices range greatly for accounting software. After determining the type of software you need, know your budget then shop around to find a system that falls within this budget. All too often, business owners will purchase expensive software only to discover at a later date that they had used a mere 5 to 10% of the software’s total capabilities. Why buy what you don’t need?
• Think Outside the Box: You may have limited needs now, but if the business grows as you anticipate, sometimes selecting a software today for reporting in the future is a wise investment.
• Staffing: Do you currently have a bookkeeper who knows the software you plan to purchase? Will you be able to hire someone who will? Several basic, off-the- shelf software products are well supported by the manufacturer and known throughout the industry. Purchasing a unique, tailored software program may make the task of hiring new employees more difficult.

There are many great software product options designed to help you manage your accounting and finances. Take the time to consider which best suit your needs.