What to consider while choosing an Accounting Software

Accounting software selection depends upon 3 main features:

-Your industry sector (traders, manufacturer, professional, Service sector)

-Your Scale of Operation & Number of transactions (Newly started , MNC, Multi Location ),

-Objectives or expectation from accounting department ( Reports requirement, Information Security, Real time information requirement, control all department function based on information derived from accounting application).

Selection/Installation of accounting software is mainly done at a time of starting a business or restructuring of organization. Selection of accounting software is crucial decision because it will affect your cost, the way you want to maintain records & generate reports for making decisions, the way you want to integrate your all department through accounting and survival of your business because ultimately your decision will be based on accuracy and indepthness of the report generated from accounting application. So accounting application must be such that it provides accurate & real time information to make decisions.

Selecting a software is very difficult task, however if you know advantages & disadvantages of all options from which you have to select, you’ll be in better position to take a decision and select accounting application suitable to your organization. In this article we will tell you that you need to know about accounting softwares, its advantages, disadvantages & preference of accounting software available in market. The Chartered Accountants in Bangalore are well known for their competence in Accounting software

Accounting Software 1: Tally

Tally is advisable for small, medium scale business & newly started enterprises which has limited budget for accounting software, where data volume is not very high and entire operation and management is very closely controlled.

Tally is mostly preferred due to simplicity, easiness to operate, less cost involved in implementation & maintenance.

Tally is used by small and medium enterprises, electronics and electrical supply vendors, real estate companies, fashion accessories, leather products, paper companies.

However if you are more concern about information security, customized report, multi location operation then SAP is advisable over tally.

Tally is specifically designed software keeping in mind Indian small traders & dealers. Tally is developed by an Indian company.

Tally is adding new features to its application in every versions keeping in mind Indian business accounting problem and requirement.

Major Advantages of Tally:

  1. It Supports Inventory module
  2. It can be used for any country without limitation
  3. Can be customers based on the business requirements
  4. Live data can be accessed on real time basis-By the user
  5. Supporting documents can be uploaded
  6. 24/7 support from the vendor
  7. Various reports can be generated based on our requirement
  8. Suitable for small and medium range of operations.

The Chartered Accountants in Bangalore are well known for their competence in Tally.

Accounting Software 2: QuickBooks

QuickBooks is useful primarily for professionals in the field of sales and finance who want to maintain and update their operational data that is used daily by managerial person for preparing MIS and other operational dashboards, used by companies for managing payrolls.

QuickBooks is preferable to professionals who are traveling a lot, who want internet based accounting software i.e. accessibility from anywhere, who has very less number of transaction.

Major Advantages of QuickBooks:

  1. It is cloud based, hence data is secured
  2. Live data can be accessed on real time basis
  3. Supporting documents can be uploaded
  4. 24/7 support from the vendor
  5. Now they have launched desk top version also
  6. We can generate various reports based on our requirement
  7. It also support IFRS reporting
  8. It will support data migration from any other software (data to be given in excel or xml format)
  9. Payroll can be activated in this software
  10. Once entry posted, it remains for ever – we cannot delete the entire only we can only void the transaction.
  11. Standard COA available for different sets of business – which can be used readily.
  12. Suitable for small and medium range of operations.

The Chartered Accountants in Bangalore are well known for their competence in Quickbooks