Accounting software

Accounting software

Keeping accounts is a legal obligation, but keeping good records is vital to run your business effectively. Good accounting software can help your business record and process accounting transactions and manage accounts more efficiently. The software functions as an accounting information system and varies greatly in its complexity and cost. Accounting software is composed of various modules dealing with particular areas of accounting. The most common modules are:

  • General ledger
  • Accounts receivable
  • Accounts payable
  • Billing
  • Stock/Inventory
  • Purchase Order
  • Sales Order
  • Cash Book
  • Electronic payment
  • Reports

Accounting software selection

For starters, you’ll need to gather together some information on your business, in order to assess what your overall requirements are and the level of sophistication of the accounting package needed. It might be useful to consider the following:

  • The complexity of your business processes and the financial information needed.
  • Do you want an integrated payroll function, separate payroll software or is payrolling outsourced?
  • The number of transactions and the desired level of automated processing (i.e. auto-reconciliation).
  • How many people will be using the accounts package at the same time.
  • What computer systems are being used and which interfaces are required.

With this information in mind, it should be easy to fill out the SelectAccounting questionnaire and create your tailored accounting software review. Based on this review you can create a shortlist for your final selection, which will depend on the demonstrations and quotations received.

Implementation

Due to the wide scope of processes within a business, implementing accounting software can be complex. The right knowledge and experience are needed for a structured project approach that delivers a flexible accounting environment ready to cope with current and future accounting needs. The timeframe to implement depends on the scope of the change, the size of the business.Often, implementation proves to be a bigger consideration than the actual software chosen when it comes down costs for your business. Many applications are sold exclusively through resellers and consultants. These implementation partners generally pass on a license fee to the software vendor and then charge the customer for customisation, installation and support services.