Must Have Features of An Effective Accounting Software
Accounting software is a tool to help you record the flow of your company’s money and examine your financial condition. With it, you can record transactions, generate reports, manage customer and vendor contacts, create purchase orders, track stock levels, bill customers, and monitor account balances. Accounting software automates many tedious and repetitive accounting tasks, which increases the accuracy of your data and keeps your bookkeeping efficient. If you use cloud accounting software, you can do your accounting anywhere there’s a signal. Below we discuss some of the must have features of an effective accounting software.
Reports and analysis
The accounting software should be able to provide a quick overview of the financials. For e.g. profit and loss, key accounts receivables, payable, expenses and bills. The accounting software should analyse the key aspects of business and present it to the management. The software provides quick information on any important and pending compliance issues, actions for financial activities, & your business operations.
Payment processing
Many accounting systems facilitate customers to pay their bills online. So, your accounting system can help you to collect customer payments and also make vendor payments online.
The accounting systems today provide very simple options for customers to make payments at the click of a button. It saves staff time, reduces administration issues and makes payment collection faster too. The online payments are also recorded automatically in the account books.
Invoice and payments collection
A good accounting software will be able to create a great brand impression for your company. It will provide you customisable options for creating invoices with great look and feel. At the same time, it will provide you options for collecting online payments.
When money is owed to your business, the invoicing module allows you to set reminders and send them to clients. You will get to know the summary of payments owed to you, customer statements, reminders etc.
These systems will allow you to print invoices with custom designed templates, print or send them to customers electronically and receive payments online.
HR and Payroll
Payroll modules are integral components of accounting systems. These provide options to process salaries for employees, manage their training, projects, hourly rates, taxation and other compliances.
The modern accounting systems also provide automated biometric and QR code based options for attendance. The leave management, holidays, company calendar of events, notices etc can be managed through the accounting software.
Inventory & fixed assets
Inventory & fixed assets are critical for accounting needs. Accounting software have the ability to register fixed assets and compute depreciation etc for them. All costs incurred on fixed assets, their up to date track record, calculation of fair value and the dynamics of asset management are important for accounting.
Reports and compliance
Every organisation needs to submit compliance reports to government. The accounting solution must be able to generate the reports as per the company location and regulatory needs.
The accounting solution should help the company to maintain its compliance, mark important dates and generate all reports as per the government regulations.
Accounting data can also be used for deriving important insights about business operations. The accounting systems can also predict and provide insights for critical business functions, budgeting and planning by analysing data.
User authorisation and security
Accounting data is quite sensitive. The way the application stores and accesses data is critical. The accounting software must be capable of high level security of the sensitive data.
Data should be confidential and if any data is tampered or lost, it should be able to provide a trail for all the actions. So, even if someone changes the data, the system has a trail for all activities to take corrective measures. The data security measures must be taken to foolproof information and accounts.
Choosing the right accounting software can make your business operations smoother and more effective. Robisearch Limited has vast experience building accounting and financial software solutions. If you are looking for accounting software, please get in touch with us via 0716413386 or 0780655987.