The best accounting tools for small businesses

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Businesses of all sizes can benefit from accounting software in order to gain a clear picture of their profitability. This is probably why more than 64% of small to medium-sized businesses have started incorporating accounting tools in their business. There are many types of different accounting tools ideal for small or start-up businesses to reduce the amount of time spent on data entry and help them prepare for tax season. With that in mind, here are the best accounting tools for small business owners to guide them in finding one that is appropriate for their number of employees and type of industry.

Bookkeeping Tool

Growing businesses have to think beyond manual spreadsheets to adapt to complex financial data. A scalable bookkeeping and accounting solution are indispensable for every business as they help in reconciling bank accounts, managing clients, and gaining insightful financial reports to maintain good business health. Some of the popular names when it comes to small business bookkeeping tools include QuickBooks, Kashoo, and OneUp. These software services integrate all primary business applications and provide small business owners with a user-friendly dashboard to manage their cashflow. Aside from making the overall accounting process more efficient and fluid, these bookkeeping software services can sync bank accounts and business credit cards to keep all financial data up to date. With affordable subscription plans to accommodate the needs of small to medium-sized enterprises, some bookkeeping tools also offer a 30-day free trial which can be upgraded as the business grows.

Invoicing Tools

Incorporating invoicing tools can free up a lot of pain in the billing process and provide more options for receiving payments from customers. By the click of a few buttons, business owners or freelancers can simultaneously send multiple invoices to various clients, rather than manually creating different invoices for each of them. This can be especially helpful for entrepreneurs who wear multiple different hats as it helps them find a degree of balance that allows them to focus on other critical areas of the business and help them thrive in this fiercely competitive business environment. Invoicing software services usually provide a free invoice template along with other accounting features that ensure a continuous flow of revenue streams for small businesses. Some invoicing software may also offer multi-currency, which can be a great help for niche markets that do business globally, such as e-commerce businesses and IT start-ups.

Free Accounting Tools

Free accounting software is an appealing option for resource-strapped small businesses, sole proprietors, and freelancers with standard accounting needs. Most freemium accounting tools are designed with excellent invoicing capabilities, customer tracking, and other accounting features all for free. Unlike other software that limits most features to a subscription plan, tools like Wave Accounting, Express Accounts, Mango Billing, and Zoho come with a 100% no-cost price tag for its entire accounting application. New entrepreneurs with no prior accounting experience will also benefit from their easy-to-use platform as it keeps all accounting essential tools in one place. Plus, most free accounting tools also feature a Help Center that comes with a range of resources to answer common questions and help small business owners get started.

Small businesses may differ in many things, but every small business can benefit from these accounting tools by keeping their business’s books neat and minimizing errors that may come along the way. Nonetheless, small businesses need to test drive different accounting tools by taking advantage of their 30-day free trial to compare their features and find one that deems appropriate.