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Best three accounting software for your Business

accounting software for business

If you have got a plan to start a business or restructure your business, one of your prime priorities should be to keep an eye on the money you bring in and pay out.  Reasonably the first software you should purchase is accounting software to record your company’s income and expenses.

Adoption of accounting software for your business is a vital and confusing task, the software must provide accurate and real-time data to make useful decisions.

There are plenty of products in the market and selecting one among them is really a confusing task. Also, if you are aware of the pros and cons of all the options you have, it will help you choose the software that is suitable to your organization. In this article, you will be able to know more about the accounting software, its benefits, limitations and the availability in the market.

1)   Tally

  • Tally makes life easy for business owners. The first transaction will be possible within minutes of installing the Tally ERP application software.
  • Tally is desirable to small and medium scale companies which have a limited budget for accounting software, where their data volume is not very high and the data management is controlled.
  • They can assign different access rights to their employees based on the roles and responsibilities of employees.
  • Tally is usually preferred due to flexibility, integrity, easiness to operate and less cost involved in implementation & maintenance.
  • It is used by electronics and electrical supply vendors, fashion accessories, paper companies, leather products, small and medium enterprises, real estate companies.
  • SAP is more advisable than tally if you are concerned on customized report, information security, multi-location operation
  • Tally is adding new features to its application in every version keeping in mind Indian business accounting problem.
  • Keeping in mind Indian business accounting problem, Tally is appending new traits to its application in every version.

2)    QuickBooks

  • QuickBooks is primarily designed for implementation by small and mid-sized businesses, the software presents a variety of traits prepared towards helping users to manage all of their accounting tasks, such as accounts payable, accounts receivable, reconciliation, payroll as well as financial reporting
  • It helps to maintain and update company operational data that is used every day by managerial person for preparing MIS and other operational dashboards, used by organizations for maintaining payrolls.
  • QuickBooks is a SAAS model which is accessible only through the clouds. Hence there is no software to install & the accounting data of the company can be obtained from any computer with an internet browser.
  • QuickBooks is very helpful for professionals who have to do lots of business tours, they are people who need internet-based accounting software i.e. accessibility from anywhere.

3)    SAP

  • The Accounting software SAP is desirable only for big scale companies possessing a multinational, cross border, multi-location operation with multipoint control for distinct functions (Minimum turnover advisable is Rs. 200 crores)
  • Flexibility is one of the advantage of SAP. It allows companies to generate their own rules within the SAP structure. These rules set the parameters for acceptable and unacceptable transactions.
  • The software enables companies to manage financial transactions, product life cycles, and supply chain activities. It has various analytical features, such as evaluating performance, reporting and decision making. These traits allow SAP to meet the needs of many complex businesses organizations.
  • SAP supports companies to combine all data from the various department like production, sales, human resources, finance, and accounts into a single platform for making decisions. It is desirable to the companies that need high security of its data via entry log details, restrict pass entry for the department, give access to particular person only, want customized report & quick & detailed information to take the decision.
  • SAP has high cost of purchasing and implementing this program so it is advisable for companies which has no cost constraints. Due to its high-cost SAP is primarily used by Heavy engineering companies, FMCG companies, Pharmacy sector companies, IT companies, Oil explorations and production companies, Automobile industry and by major Audit firms.

Function and Software preference from less to more

  • Cost : Tally < QuickBooks < SAP.
  • Data Security: SAP < QuickBooks < Tally.
  • Anywhere Access: QuickBooks < SAP < Tally.
  • Internet technology driven applications: QuickBooks < SAP < Tally.
  • User Friendly: Tally < QuickBooks < SAP.
  • Use Requirement Customization: SAP < QuickBooks < Tally.
  • Specialists: QuickBooks < Tally < SAP.
  • Implementation Speed: QuickBooks < Tally < SAP.
  • Multi- Function/ Multi- department: SAP < QuickBooks < Tally.
  • Startups: Tally < QuickBooks < SAP.
  • Traders, Dealers, Retailers: Tally < QuickBooks < SAP.
  • Single Premises Operation : Tally < QuickBooks < SAP.
  • Reports / Decision making: SAP < QuickBooks < Tally.
  • MNC: SAP < Tally < QuickBooks.

Choosing the right accounting software that is completely suitable for your organization is a very critical decision which needs lots of consideration.

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