Best Cloud Accounting Software
The Best Cloud Accounting Software for Businesses in 2020
With the rise in the use of technology and increased globalisation for businesses, the adoption of cloud accounting software has immensely increased. According to Accountancy Age, by the year 2020 around 78% of businesses will rely solely upon cloud technology. This shift in working structures and business demands has increased the demand against businesses to use cloud accounting software to manage their accounting, tax and payroll.
Which Cloud Accounting Software is the best?
When running a business, ensuring your finances are in order is essential, especially when you have to deal with paying your employees and sending out invoices. Thankfully, technology makes everything easy, as you can use cloud accounting software to do all the heavy lifting. With MTD (Making Tax Digital) in play, finding the right solution is even more important now.
Businesses initially only had the choice between using desktop accounting software with limited functionality, Microsoft office or expensive ERP’s which could only be afforded by large corporations and enterprises. Cloud Accounting Software has changed the game, similar to marketplaces which are operated by large operating systems such as windows, google play or apple store, the biggest players in the cloud accounting software industry have also created huge marketplaces with smart and intuitive add-ons. Using these a small business has at their disposal software and technologies which previously only enterprises could afford and SME’s could dream about.
And the Winners Are …
For businesses in London, choosing the right software becomes challenging, due to a large number of options available. Here are the top cloud accounting software’s, which your business can use to handle your finances, we have used these softwares and mention below how each software can add value to your business and how it can enable your accountants to be more proactive towards your business.
Xero is one of the leading players in the market, because of its affordable subscription plans. It provides its users with the functionality of raising invoices, processing payroll, submitting VAT in line with MTD. Bank reconciliations are a cinch as you can connect your bank, credit card and payment gateways for a live real-time data feed. The software also comes with apps for both iPhone and Android phones.
Prices start from £10 a month for a basic starter package.
Quickbooks are one of the largest Accounting Software providers in the world, the software is owned by Intuit. They pride themself on being simple yet powerful, even their basic package provides a whole lot of features to small businesses. The software allows businesses to carry out complicated processes with the click of a button, things such as creating invoices, running payroll, submitting VAT, tracking mileage and running various reports on things such as cash flow, expenses etc.
Their simple version starts at £12 per month.
3. Sage One
A veteran in the world of accounting, Sage provides great value for its services. Cash flow forecasting, project tracking, invoices, managing VAT, and quotes are some of the many modules available to businesses. Also, it has in-depth guides, to solve any problems you face while using its tools.
Their basic price starts at £ 12 per month.
A top-notch software for businesses and their Accountants in London, Clearbooks is the perfect tool for small and medium-sized businesses. When it comes to simple accounting, nothing can match the simplicity of this tool. It comes with an organizational dashboard, which integrates with numerous operations of your company. With this tool, you can easily create and issue invoices, track and submit VAT, easily manage CIS while having unlimited access to free email and phone support.
Their small business subscription starts at £10 per month.
Zoho Books is a reliable software for businesses and their accountants because its features are second to none. When it comes to creating transaction forms and records, you get granular control. Some of its other key features are multiple gateways for payment, simple user interface, and time/project tracking.
Their basic package starts at £6 per month.
Freeagent has been developed keeping in mind freelancers and businesses which are very small. The key features the software prides on is invoicing, time tracking and managing expenses.
Prices for a basic package start at £14.50 per month for 6 months and then £29 per month thereafter.
KashFlow is great because you can import data from popular softwares such as Excel, Sage, and QuickBooks. With its easy-to-use interface, it will take no time in getting used to its features. It allows you to create estimates, automate and record purchases, and import bank transactions.
Their starter package starts at £85 per year.
One of the most popular online software for small businesses and their accountants, FreshBooks comes with countless features. Whether you want it to handle business reports, time tracking, expense tracking, or invoicing, you can do it all from its simple user-interface. Also, you can integrate it with third-party services such as Zendesk, MailChimp, WordPress, and PayPal.
Their Lite package starts at $15 per month.
Is there any free alternative cloud Accounting software?
If your budget is low or if you do not have a budget at all you can always opt for using free cloud accounting software offerings. Softwares such as Wave, Zipbooks, GnuCash etc.
Wave software is completely free and can provide functionality such as invoicing, accounting, scanning of receipts. Other services are also available on a pay as you go basis.
Gnucash is opensource which means if you have a developer you can amend the software and modify the software as per your business requirements.
Which accounting software is the easiest to use?
Quickbooks can be considered the easiest software to use, not only due to its user-friendly interface but the free customer service it provides online and on the phone provides added value to new businesses or first-time users. A free 30-day trial can help you decide if QuickBooks is the best option for you or not.
Cloud Software Resource
Making Tax Digital – Which softwares are compatible?
Making tax digital is not fully here yet, there are many changes which are being introduced, MTD VAT was recently introduced and other changes are planned, things such as making self-assessment and corporation tax also digital.
Since the introduction of MTD VAT, softwares clearly mention if they are MTD compliant or not, you should, therefore, check if a software is compliant before deciding to buy one.
Our comparison image shows which softwares are MTD compliant and which ones are not, which can be seen above.
Clear House Accountants are specialist online accountants in London we are elite Quickbooks and Xero partners. Selecting the correct software is just the first step, setting up the software and using it effectively is what enables a business to extract maximum value. Speak to us to learn more.