Today no business cannot but use accounting software because it helps automate a large number of processes, manage finances and expenses efficiently and save a lot of time.
If you are reading this article, you are probably looking for accounting software for your company.
There are several types of accounting software. Which one does suit your company’s needs?
In this article, we will consider the following types of accounting software and also mention some companies that represent them:
Depending on software, application or a chosen paid plan, all of these types can be combined or used separately.
General ledger accounting software is the main repository of accounting data and records.
This type of software records various financial transactions that are not recorded in other types of software.
The general ledger allows to create essential financial documentation such as profit and loss statements, balance sheets and others.
The information stored in the general ledger can be used to conduct audits.
Here are some of the companies offering general ledger accounting software:
Accounts payable software offers ledger software features and helps control money that a company owed to creditors.
In other words, this type of software helps keep track of products and services that you already have bought but haven’t paid for them yet.
Accounts payable software allows to:
Here are some of the companies offering accounts payable software:
Accounts receivable software helps keep track of products and services that you have already sold but the clients haven’t paid for them yet.
This type of software provides an aging feature which allows to divide all the clients into groups in accordance with exceeding dates of their payments.
Accounts receivable software allows to:
Here are some of the companies offering accounts receivable software:
Budgeting is the process which consists of planning monthly expenses and incoming financial resources and then checking whether income can cover all the expenditures.
Proper budgeting ensures stable company performance and helps save money.
Budgeting software allows to:
Here are some of the companies offering budgeting software:
International Accounting Standard Board (IASB) states that the main financial reporting objective involves providing “information about the financial position, performance and changes in financial position of an enterprise that is useful to a wide range of users in making economic decisions.”
Financial reporting software allows to:
Here are some of the companies offering financial reporting software:
Accounting software can be divided into five types:
All of these types of accounting software can be combined in one tool or application, or can be bought separately according to your company’s needs.
Which type of accounting software are you looking for?