Joyce Berryman, in Survey of the Literature, labels poor and careless financial management as the biggest cause of small business failure. Accounting software can be extremely helpful for small businesses, as it can organize and handle your finances.

How Online Accounting Software Beneficial for Small Businesses

  • Saves timewith automated and fast processes.
  • Accurateand efficient because of its automatic calculations and centralized accounting data to work off of.
  • Enablesbetter decision making through instant reporting and analysis to help you see the big picture. 
  • Helps you organize and keep meticulous records of financial data.

What Features are Offered in Excellent Accounting Software?

  • Many accounting applications can quickly create professional-looking invoices with your logo and branding.
  • Most provide appropriate billing solutions to easily manage cash flow.
  • Accounting software often has a built-in payroll system or has one available as an add-on, so you can pay your employees properly and on time, while also taking into consideration tax issues.
  • Many accounting suites will help you manage expenses and vendors
  • If you are traveling most of the time, opt for an accounting software package with incorporated mobile apps. It enables you to check financial matters wherever you are.

Top 3 Accounting Software Offerings for Small Businesses in 2016

Intuit QuickBooks Online is believed to be the best accounting software for small businesses. Intuit QuickBooks offers the most optimal, economical paid packages and services. The cheapest plan costs just $9.99 per month but doesn’t compromise on key features that small businesses need to manage their finances. QuickBooks is very convenient to use and add new information to. Bank accounts and credit cards can be connected right from the dashboard.

  • Makes accounting efficient and less stressful by automating tasks.
  • Possesses all the features that accountant considers critical for small businesses.

Xero Accounting stands second in the best accounting software rankings. Popularly known as the “QuickBooks alternative,” Xero:

It is one of the easiest and most affordable accounting software.

  • Offers better returns for your money. For example, it starts at just $9 per month and includes features like 1099s, billing and expense reports, which cost extra on QuickBooks; and,
  • Provides a cost-effective payroll solution for $30 per month, while on QuickBooks it is around $75.

FreshBooks is the best mobile accounting app for small businesses. Freshbooks:

  • Is affordable and easy to use;
  • Easily creates professional-looking invoices;
  • Helps you track expenses from anywhere you work or travel to;and,
  • Supports several payment modes, such as PayPal, Stripe, and Authorize.Net.

Maxine Taylor, the power behind The Balance Sheet, Inc. has an odd passion for all things accounting. “I don’t advocate a non-accounting person processing the payroll,” she noted. “You are dealing with other people’s money, and it has to be correct. And mistakes are not always the easiest to fix. Plus, there are reporting returns that go with payroll.”

Have questions about accounting for small businesses? Contact us – The Balance Sheet, Tax accounting bookkeeping company Florida.