There are probably hundreds of accounting software available in the market today, with majority downloadable from the internet either for a fee or for free.
They vary in terms of features and functions, not to mention price. In general, however, most accounting software have common features that bring great benefits to a business, especially small ones.
One, accounting software automates the preparation of documents like invoices, billing statements, receipts, purchase orders, disbursement vouchers, checks, among others.
In the preparation of these documents, many information that needs to be inputted can be derived from already set up customers, vendors, and inventory lists. Also, documents like invoices can be converted to other types of documents like receipts, as transactions progress, without having to input the same data again.
Second, accounting software does away with the individual preparation of journal entries and the posting of the entries to the general ledger for routine business transactions like sales, whether cash or credit, purchases and payment of expenses.
Once documents like invoices, receipts, purchase orders, disbursement vouchers, and checks are prepared, the appropriate accounts are automatically debited or credited in order to reflect their new balances.
Third, through an accounting software, reports like trial balances, income statements, balance sheets, and cash flow statements, can be prepared in good form by just a few clicks of the mouse and at any day or time.
In addition, sales reports, aging of accounts, bank reconciliation, among others, can also be prepared by making a few clicks of the mouse. This allows you to make maximum use of accounting information in making day to day business decisions.
Fourth, because of the above, accounting software drastically reduces the working hours spent by your accounting personnel in doing the above stated tasks. As a result, you are also able to either reduce labor costs, or make use of excess working hours or personnel to do more productive work like planning, sales generation, or business expansion.
Fifth, accounting software professionalizes your business and prepares you to adapt to the fast changing world of technology and globalization. It makes small businesses ready to become the next big company in town.
Without it, even with great revenues, your business will always be "small" and no different to a sari-sari store where recordings are done manually, or even not at all.
For inquiries about free or affordable accounting software, please contact GEL Accounting Solutions & Consultancy. We will be glad to provide you whatever information you need.