Top 7 Business accounting software tools for Startups

Business accounting software

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    Are you looking for intelligent, scalable accounting solutions for startups? Get accounting software. They can automate the tasks that you would manually do, such as tracking expenses, creating reports, bank reconciliation, invoicing customers, monitoring profit and loss, and others.

    This post includes:

    ●  What are the essentials of the best startup accounting software?
    ●  Top 7 accounting software for startups
    ●  Wrapping up

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    What are the essentials of the best startup accounting software?

    You may be overwhelmed with promising and good-priced accounting software. Some software focuses on data security and invoicing efficiency, while others have been performing complex debtor analytics and financial reporting. Each accounting software is unique and highlights certain features that make it suitable for any business.

    Some features to look for in a startup accounting software

    • Flexibility
    • Accurate reporting
    • Technical support
    • Easy integration
    • Cost
    • Data security
    • User-friendly platform
    • Best-in-class features

    Top 7 accounting software for startups

    Here are the top 7 accounting software tools for startups:

    1. Xero

    Xero is best for business reporting, with a simple, intuitive design, user-friendly interface, dynamic online dashboard and other features.

    The Starter pack at £12 per month plus VAT offers,

    ●  MTD VAT returns filing
    ●  Open banking integration
    ●  Strict bills and invoices limits

    The Standard plan is available at £26 per month plus VAT, offers

    ●  Short-term cash flow and business snapshot
    ●  Bulk reconcile transactions
    ●  No usage restrictions

    The Premium pack comes at £33 per month plus VAT, offers

    ●  Everything from the Standard plan
    ●  Multi-currency handling

    Keep an eye out as prices are scheduled to go up in September 2022.

    2. QuickBooks

    QuickBooks has over 4.5 million customers worldwide, offering excellent features and affordable pricing. A dedicated self-employed plan starts from £8 per month.

    Small businesses can go with the Simple Start plan costing £12 per month excluding VAT and offers unique features like

    ●  Prepare and submit VAT returns to HMRC
    ●  Send pay-enabled invoices
    ●  Create estimates and quotes.

    Upgrade to the Essentials pack for £22 per month excluding VAT, and enjoy

    ●  Managing bills
    ●  Accepting and making payments in more than 145 currencies
    ●  Allows adding up to 3 users

    For the Plus plan at £32 per month, you get

    ●  Managing stocks
    ●  Tracking employee time
    ●  Add up to 5 users

    All packs offer good customer support, an intuitive mobile interface, and integration with over 700 applications.

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      3. FreshBooks

      FreshBooks software is the easiest one to use and is preferable to startups in the UK. It offers three plans at affordable prices and has a slick user interface that performs things like creating invoices and entering payments in a few minutes.

      The Lite plan comes at £11 per month excluding VAT and offers

      ●  Sending unlimited invoices to a maximum of five clients
      ●  Making Tax Digital VAT return filing
      ●  Tracking unlimited expenses

      Upgrade to the Plus plan at £19 per month excluding VAT, and enjoy:

      ●  Sending unlimited invoices to up to 50 clients
      ●  Inviting your accountant to the platform
      ●  Bank reconciliation

      The Premium package is available at £30 per month excluding VAT and offers

      ●  Unlimited invoice sending to a maximum of 500 clients
      ●  Tracking project profitability
      ●  Tracking accounts payable

      For sole traders, this application is the cheapest option. But, adding users, you must pay £7 per person every month and is therefore not recommendable for larger teams.

      4. Zoho Books

      Zoho Books is best for project tracking and has a CRM tool, email hosting and project management solution. The software platform is simple and user-friendly and starts with a free plan suitable for tiny businesses with essential features.

      The Free plan of Zoho offers:

      ●  Managing up to 1000 invoices every year
      ●  Making Tax Digital VAT return filing
      ●  Tracking expenses and mileage

      Upgrade to a Standard pack available at £12 per month excluding VAT, and offers:

      ●  Managing up to 5,000 invoices per year
      ●   Automatically importing transactions
      ●  Adding recurring expenses

      For the Professional pack at £24 per month excluding VAT, you get

      ●  Bill management
      ●  Multi-currency handling
      ●  Retainer invoices

      If you wish to add an extra user, you must pay £2.50 per user per month. Additionally, you need to buy the bulk auto scan feature, which costs £8 per month for 50 monthly scans.

      5. Crunch

      Crunch offers you an expert accountant along with other features.

      Apply for the Sole Trader Pro plan at £24.50 per month excluding VAT, and enjoy

      ●  Unlimited access to an accountant
      ●  VAT filing
      ●  Self-assessment tax return

      On up-gradation to the Limited Company Pro plan at £39.50 per month excluding VAT, you get

      ●  Real-time tax dashboard
      ●  Corporation tax and VAT filing
      ●  Payroll for two directors

      The Limited Company Premium plan comes at £115.50 per month excluding VAT, offers

      ●  Payroll up to four directors
      ●  Annual accountancy health checkup
      ●  Bespoke IR35 solution

      Crunch is not only a robust accounting software that handles everything related to tracking expenses to invoicing and bank reconciliation; it also provides personalized insight and expert support and determines whether to pay yourself through dividends or PAYE and others.

      6. Sage

      Sage has an over 6 million customer base and offers a range of services at a reasonable cost.

      With the Accounting Start plan at £12 per month plus VAT, you get

      ●  Creating and sending sales invoice
      ●  Submitting VAT returns
      ●  24×7 customer support

      For the Accounting Standard plan at £24 per month plus VAT, you get

      ●  Advanced reporting
      ●  Unlimited users addition
      ●  Generating cash flow statements

      For the Accounting Plus plan at £30 per month plus VAT,

      ●  Supporting multiple currencies
      ●  Inventory management

      7. FreeAgent

      FreeAgent is suitable for small businesses that remove the limit on users, clients, projects, and features.

      The Sole Trader plan at £19 per month excluding VAT offers

      ●  Invoicing
      ●  Tracking expenses
      ●  Self-assessment tax return filing

      Partnership/LLP plan at £24 per month excluding VAT offers

      ●  Profit share calculations

      Limited Company plan at £24 per month excluding VAT offers

      ●  Dividend vouchers
      ●  Corporation tax filing

      All programs offer good customer support.

      Wrapping up

      There is several startup accounting software in the market, and it takes some effort to find the right one. Make sure whatever the software is, it must meet your needs and is easy to understand.

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