| With the start-up of a new business comes a | | | | Reporting: Again, for the sake of ease of use, |
| wide range of choices. Often, accounting software | | | | basic accounting programs provide a limited set of |
| is not the most top of mind concern. However as | | | | reports for you to run. Yet your business may |
| a company grows, the need for a more robust | | | | really need to see the data in its own way. For |
| accounting software package becomes evident. | | | | example, perhaps you want to include a line that |
| The basic software package that was installed | | | | shows the subtotal per item with tax. A more |
| upon startup lags behind and cannot keep up with | | | | advanced program will allow for revisions to be |
| the complexity of the growing business. Here are | | | | made, and the reports can then be saved for |
| five main ways that basic accounting software | | | | later use, so that you can view the information in |
| packages differ from more advanced (or | | | | a way that is more helpful to you and your |
| mid-range) accounting software. | | | | accountant. |
| Ability to Customize: The longer you are in | | | | Data drill down: How easy is it to view all of the |
| business, the more you realize that your business | | | | details of a transaction when you are looking at |
| has a unique set of needs. For example, you want | | | | your business numbers on a report? In a more |
| to show a special field on your invoice, or you | | | | basic system, you will likely need to close out the |
| want to start tracking information by sales | | | | report and go searching through layers of |
| category or by project. With a basic accounting | | | | information to find the details. By contrast, a |
| software package, there is limited ability to | | | | more advanced system will allow you to view the |
| customize, and therefore you must make due | | | | transaction details that make up the number with |
| with a system that is made for the masses. | | | | just a few clicks, and will even allow you to edit |
| Advanced accounting packages recognize that | | | | the information on the fly. |
| your business develops its own specific needs | | | | Service: As with any product available today, the |
| over time as it grows, and therefore allows for | | | | end result of paying too little means your service |
| customization. | | | | will be less as well. Many basic accounting |
| Data Limits: This is a major different between | | | | software programs will defray service expenses |
| basic and advanced accounting software | | | | by outsourcing their service to an overseas call |
| packages. A basic system will only allow for a | | | | center. More advanced programs provide more |
| finite number of things like inventory items, | | | | complete support services, with a variety of |
| concurrent users, transactions, accounts, etc. | | | | contact methods, and technicians with years of |
| Often this is the main reason for needing to | | | | experience. |
| upgrade to a more advanced system. When your | | | | When choosing accounting software for your |
| business starts to require additional data storage, | | | | business, be sure to consider all of the above |
| this is when a more advanced system can really | | | | points so your system will grow along with your |
| make your life easier. | | | | business. |