Introduction to Accounting Software

Accounting software is a group of a program of computer software which enables accounting professionals to perform accounting operations and manage accounts. These types of accounting programs are known to be simple and are referred to as personal finance managers with single entry systems which do automation processes like record keeping and check writing. The main roles of accounting software are billing and invoicing, accounting, managing fixed assets, forecasting and budgeting, payroll management, fund accounting, project accounting and inventory management.

Accounting Software examples

  • Freshbooks- This is a fully featured, time tracking system and a simple client invoicing that is used by many businesses all over the world.
  • Xero- This is a handy asset that is used for the purpose of managing different categories of accounting operations that are preferred by small business teams and sole accountants.
  • QuickBooks- This type of accounting software provides organizational capabilities and an array of insights that enable companies to ensure that accounting data is well organized together with their payable bills, overdue items, contacts data, standard accounting operations and accounting notes.
  • Wave- This is the highly ranked accounting system that caters for developing a small business, offering free packages, combining , invoicing, accounting and receipt scanning to one straightforward and compact package, optimization for mobile usage and integrating it with a number of third-party applications for the purpose of seamless data migration.
  • Zoho Books- This is an example of accounting software that is responsible for helping small business to remain on the top level of their financial processes and handling their businesses.
  • Adra Accounts- This type of accounting software provides a platform to businesses that enable them to match their main transactions through a blazing fast manner not compromising accuracy.
  • Cash Manager- Accounting software that is designed for the purpose of streamlining accounting processes from a computation, automated invoicing and quotation and reconciling of banking statements in a faster way and by not sacrificing accuracy.

Importance of accounting software

Accounting software provides no or little training enabling the owner of the business to complete all accounting processes and complying all legal standards from his/ her own computer or mobile device without making payments for an external party for the purpose of keeping his/her budget in the loop.

Also, accounting software automates administrative procedures and main calculations in addition to taking control of revenue framework for the purpose of avoiding the issue of outsourcing finance management to a particular external expert.

In addition to this, accounting software ensures financial transparency as they are prone to recurring and costly human errors. This is because failing to report the necessary data in time or inaccurate totals will cause a crisis.

Another advantage of accounting software is that it ensures accurate software. This is because it provides it provides help in understanding the trends and patterns of financial performance, that is, where needs more investment or where there is need to cut expenses.

Moreover, accounting software ensures a smarter use of the company’s money by collecting, organizing and analyzing the main sensitive data in the computer.

Furthermore, most accounting software dedicates to reporting and payroll assistance by adhering automatically to tax regulations. They also store very sensitive details that maintain transparent workflow.

Finally, below are different types of accounting software and their respective examples.

Payroll management systems

Examples; Zenefits, Xero, and AccountEdge

Billing and invoicing systems

Examples; Zoho Invoice, Zoho Books, and FreshBooks

Enterprise Resource planning systems

Examples; Odoo, Brighpearl and Intact

Time and expense management systems

Examples; Zoho Expense and FreshBooks