Small businesses often start out using Excel – but soon realize that’s only feasible up until a point. Your business needs to evolve and grow. Leading accounting software company Book Keeper explains why and how the smartest organizations are using accounting software to streamline accounting.
Accounting In Excel
Excel is perfectly designed to organize financial data into traditional accountancy tables. It also provides several functions that are design to perform common accountancy and financial analysis calculations.
But if we are talking about Inventory Management, GST filling, and many more, then excel is not the proper solution.
Let’s see the positive side of an Excel Report
- It is familiar; most users know how to do some of the basic tasks like create/ save data, sort your data, copy/paste, etc.
- It is open - you are free to do anything you want with your data, including any formulas or even programming.
- It is advanced - with excellent understanding of bookkeeping and Excel, you can create almost unlimited reports and graphs.
There is also a need to check the negative side of it
- Though familiar Excel is not simple and more advanced feature require some proper learning and experience.
- It doesn't offer an audit trail to show how your business records have been changed
- Data can corrupt through accidental changes/deletion.
- Setting up a good Excel spreadsheet takes time
- Transactions recorded in Excel are hard to monitor
Therefore, if you have a small business or you need to maintain all the data with ease, an Accounting software may be all you need to maintain full records of your accounts.
Now let's look at the alternative, a dedicated accounting software program developed especially for micro/Small Scale businesses.
Why Use an Accounting Software Instead
Accounting software takes care of, as the name suggests, your accounting work. It takes the guesswork out, leaving behind a functional and efficient system for you.
Why use it and not Excel? Well, aside from it being software which focuses on providing your accounting needs, it has a lot of other advantages over Excel. Read on to see why you should buy one instead.
1. It takes Little time to Learn
A startup accounting software is easy to learn; it automates many processes, and it handles the mathematical aspects of accounting on its own. On the other hand, Excel requires a higher level of skill to do it the right way
2. It Reduces Risks for Mistakes
Because the processes are automatic, the risk of errors goes down by a significant margin. Manual processes put your system at higher risks as the chances to make mistakes are also higher.
3. It Can Spot a Mistake as they Happen
If you do make a mistake, accounting software can spot it and alert you. It can highlight mistakes, allowing you to rectify the issue right away. Moreover, it doesn’t let you even input incorrect data, such as credit-debit mistakes.
4. It Offers More Security
Data should always be safe and secure, but is Excel providing enough security for your data? Chances are, it isn’t.It has a higher risk of falling into the wrong hands. This then allows others to take a peek at your company’s transactions or even manipulate it. With accounting software, you know the data is safe since only a select few can access it.
5. Access to data – anywhere, anytime
Give any member of your team access your data online/offline anytime, anywhere – as long as you grant them permission. Accounting software enables you to share your financial information with your employees, accountant, bookkeeper or financial advisor.
Make Accounting Easier with Good Software.
Of course, you need good accounting software in the first place.
Contact us now to learn more about Book Keeper, a modern accounting solution who automates tasks for you. Hopefully, we have made it easier for you to make a better decision..