Key things to Consider When Choosing an Accounting Software
Chukwuemeka Ayogu serves as the founder and Director of Countsystem,…
Gone are the days when entrepreneurs thought online bookkeeping or accounting is a luxury meant for large-scale businesses. They have come to realize that it is a necessity for every kind of business irrespective of the size.
Entrepreneurs have a lot activities calling for their attention hence the need for online bookkeeping or accounting.
Online bookkeeping or accounting is a process whereby all the transactions of a business are kept in a secured platform that is cloud based (accessible through internet) which makes it possible for the records to be accessed anywhere and at any time as long as there is internet connection.
There are lots of accounting software in the world today and this is due to the uniqueness of every business. However, if you want to acquire or deploy an online accounting software, you should look out for some of these basic features.
They include but are not limited to the following:
1) Security/Storage
The security of data is one of the major concerns of every entrepreneur. Some of the frequently asked questions include – How secured is the platform? Is the storage limited or unlimited? If the storage is limited, what happens to the data when the storage is full and the user cannot upgrade due to lack of funds?
2) Ease of Use
Entrepreneurs are getting busier by the day and the need to lessen the volume of work to be done e.g. how quick an invoice can be raised, purchases made and quotations edited – is on the rise. More importantly is the need to be able to use the solution (Apps) without a specialized knowledge or without necessarily have to use laptop or desktop computers. The use of Apps make it flexible and accessible.
3) Up to date Inventory
Inventory/stock taking is no longer a weekly/monthly/quarterly activity anymore. Entrepreneurs want solution for their inventory updates on the go, tracking sales and placing orders with few clicks in the solution. Therefore, up-to-date inventory solution is not negotiable.
4) Number of Users
Every business grows over time and the need to invite (onboard a user) a bookkeeper/hire a staff for online bookkeeping or accounting will arise. The number of users whether limited or unlimited determines how many staff can be invited (onboard users) as users of the solution. Once it is unlimited, you can invite as many as possible.
5) Cost Effective
Affordability is another factor when it comes to choosing a bookkeeping or accounting software. According to National Bureau of Statistics, Small and Medium-Sized Enterprises account for 96% of businesses in Nigeria. Majority of these businesses lack funding. Therefore, any accounting software that subscription is made in Naira (₦) instead of foreign currency becomes a preferred option due to foreign exchange issues.
6) Frequency of Updates
The business world is changing faster than ever before and a solution that is good today can become obsolete at the passage of time if there is no updates. Therefore, any accounting software that does not update its features is not good for any entrepreneur. These updates can be seen by visiting the website of the software company for historical developments over the years.
The world is a global village and online bookkeeping or accounting is the way to go.