How to Choose an Accounting Software

It's amazing how a business's entire fiscal year can fit in a shoebox. But many small companies keep twelve months of receipts shoved in a box just large enough to hold a pair of size-9 Nike Zoom Air sneakers. And sure, it's easy enough to hand off your shoebox to your accounting firm, but we wanted to let you know there's a better way (and we're not just saying this because tax season makes our office look like a Payless Shoes). 

Companies that trade up to accounting software never return to the shoebox. Because when you have accounting software, you get to have a look at how your business is doing in real-time, meaning that you can make decisions today that affect your business tomorrow, instead of waiting for year-end to roll around.

Now, it's important that you get the right accounting software for the right business. Not every company can afford to have their accounting software tailored for their specific needs. But fortunately, there are a number of off-the-shelf and online kinds of software that are available. Hawking's Epp Dumont offers assistance in both selecting and implementing accounting software that's perfect for your needs.

Here are a few questions you need to ask when selecting software:

  • Have you made sure that the software you're looking into is based on the Canadian tax system? Some accounting software is based on the American system, which will cause some discrepancies — particularly with GST.

  • Do you need software that can work with numerous currencies? Not every software has this function.

  • Is your business accrual- or cash-based? This can also affect what software you purchase. 

  • Does your company use a POS or inventory system? Some accounting software can integrate with these systems.

  • Is it better for your office to sign up for online software that requires a monthly fee, or to purchase an accounting software package outright, which is less expensive in the long run?

Before investing a lot of time — and possibly money — into accounting software that isn't ideal for your business, talk to us. We're familiar with a number of programs, and can recommend the best fit for your company. And for whatever questions the accounting software can't answer, we'll be there to help.

Tyler Vreeling