Something that is absolutely necessary in determining the financial health of an organization is good accounting records. They can help management make real time decisions that can impact the sustainability of the company, but they need to be presented in an accurate way so management can determine how to respond in an appropriately. Small business owners can start the process of getting their finances in order with a reputable accounting software package. There are both online versions and CD-ROM versions of software that can be helpful when it comes to entering transactions, generating reports, processing payroll, and even getting ready for quarterly and annual tax reporting.
CD-ROM Accounting Software
CD-ROM accounting software is usually readily available for purchase at your local office supply store. Staples and Office Max, for example, have QuickBooks, Quicken, Peachtree, and other software available to buy in-store or online. The software has a wide price range and can cost anywhere from $50 to $2,000. It all depends on what your business is and what you intend on using your accounting software for. Tracking inventory, for example, in not something that is generally included in the less expensive software packages, so if you don’t need inventory tracking in your accounting database, spending the extra money for software that tracks it probably wouldn’t be worth the extra cost.
Two of the major benefits to buying a middle of the road software package include affordability and ease of use. Drawbacks, however, are usually the same as the benefits; the software can be cheap and easy to use. Unfortunately, accounting software can be a double edged sword. It can get you into a whole lot of trouble if entries are not done appropriately.
Internet Accounting Software
The familiar names of QuickBooks, Quicken, and others offer online accounting software solutions. It’s a good option for those who want to access their accounting database anywhere the internet is available. When travelling, for instance, it would be possible to login to your accounting database and enter transactions on the road. Processing payroll could be done outside of the office. Invoicing customers could also be done right at a job site. It eliminates the need to be physically present in the office in order to enter transactions.
Internet accounting software usually requires the user to make monthly payments in order to use it. The fees can vary within a single company based on the usage, storage, and accounting tools you need. QuickBooks online, for example, has five different options to choose from, with price points that range from $12.95 to $70.95 per month.
Much of the accounting software that is available for use online is pretty competitive in price. To decide which one to go with, make sure a 30-day free trial is available for use. That way you can determine if the software you have identified will really do everything you need it to before you buy.
Flexible Small Business Accounting Solutions
The flexibility that internet accounting software provides is an attractive benefit for many small business owners. There are many companies, however, that still like using the CD-ROM version of accounting software. Make sure to do some research before you buy either way so you can make the best decision possible for your organization.
