Should I use Xero or MYOB or Quickbooks Online or Wave or Saasu or Freshbooks (the list goes on). This is a question we hear from small business owners every single week. So what is the best accounting software for a small business?
“Now call me annoying – but I can’t answer that. And anyone who does, is not giving you an accurate answer.”
So, um, if I can’t answer it – then who the heck can? Well certainly not a random on Facebook, or certainly not a family member (who doesn’t run a business and doesn’t know anything about accounting software) and certainly nobody should be answering that question without asking you a few more vital questions.
Let me put some context around why I can’t answer that question right now. I am not being annoying and I am not dodging the question – it is a perfectly valid question. You see, you haven’t told me anything about you, about your business, about your financial knowledge, about your technical capability, about your business needs, about any other add on programs you use, about any staff you have, whether or not you are registered for GST and that is just scratching the surface.
“Basically, I am advising you on one of the most critical investments in your business and I know nothing about you. That is why I can’t answer that question just yet.”
I truly believe that accounting software is not a one size fits all approach. If it was, we wouldn’t have so much choice in the first place.
So before you jump into bed with any old software that someone recommends, ask that person why they are recommending it, what has it helped them with, what has it streamlined, how often do they use the software and how much do they understand about it.
Because if someone recommends you an accounting software and tells you it is “amazing”, then follows that up with “my bookkeeper does it all for me and I have never logged in” – then it just might not be the right accounting software for you.
Yes, there is plenty of choice for small business owners, yes it can be slightly overwhelming – but accounting software if used correctly can help project your business forward in so many ways. Accurate financial information is an weapon you have against your competitors.