Your accounting software is where your books live. The right choice makes the monthly routine easy. The wrong one means workarounds, spreadsheets on the side and reports nobody trusts. There is no single best tool for everyone, but there is usually a clear best fit for your business.
Start with a few questions
- What kind of organization are you? A nonprofit that tracks grants by fund has different needs from an online store.
- How complex is your business? One company with one bank account is simple. Several entities, departments or locations need more.
- Who needs access? Think about you, your staff, your bookkeeper and your CPA, and whether they need to work from anywhere.
- What does it need to connect to? Your bank, your online store, your bill pay tool and your payroll provider.
- What reports do you need? A profit and loss for the owner, or detailed reports by program or department for a board or funder.
Accounting software
QuickBooks Online
QuickBooks Online is cloud software, so you and your bookkeeper can log in from anywhere and see the same books. It connects to bank feeds and to many online stores, bill pay tools and payroll providers. For most small businesses, it is a sensible starting point, and it is our main platform.
QuickBooks Desktop
QuickBooks Desktop is installed on a computer or server rather than used in a browser. Many established businesses still run it. Intuit has stopped selling most Desktop versions to new US customers, though Desktop Enterprise is still offered, so check with Intuit what is available to you. If you are on Desktop and thinking about moving, we offer a Desktop to Online migration.
Sage Intacct
Sage Intacct is cloud software built for organizations that have outgrown simpler tools. It handles several entities, departments and locations, and gives more detailed reporting. Growing businesses and larger nonprofits often choose it.
MIP Abila and Blackbaud
MIP Abila and Blackbaud are built for nonprofits. They are designed around fund accounting, so restricted and unrestricted funds, grants and programs are tracked as part of everyday bookkeeping. If you report to a board and funders by program, these are worth a look. Our page on bookkeeping for nonprofits explains how we work with them.
Bill pay and expense tools
A bill pay tool collects bills in one place, routes them for approval and pays them on time, while you stay in control of every payment. We work in Bill.com, Yooz and SAP Concur. Bill.com and Yooz focus on bills and vendor payments. SAP Concur is often used for employee expenses and travel.
Payroll software
Payroll is usually run in a separate payroll system that handles pay runs and payroll tax filings. We work in ADP, Gusto, Paychex, Rippling and Paylocity. Whichever you choose, payroll should be recorded in your accounting software each pay period, with wages, taxes and deductions in the right accounts.
Moving off spreadsheets
Spreadsheets are a fine place to start, but they do not reconcile to the bank, keep an audit trail or produce a balance sheet on their own. When you find yourself copying numbers between sheets every month, it is time for real accounting software.
Tips for switching
- Pick a clean start date, such as the first day of a month or year.
- Make sure the old books are reconciled up to that date.
- Check opening balances in the new tool against your statements.
- Keep read access to the old system for your records.
The bottom line
Choose the tool that fits how your business works today and where it is heading. Simple businesses do well with QuickBooks Online. Complex organizations and nonprofits may need something built for them. Whatever you use, the books inside it matter more than the logo on the screen.
See every tool we work in on our tools and software page. Using something else? We can be trained on your system.
General information only, not tax or legal advice. Product names are trademarks of their owners, and features and availability can change, so check with each provider. Questions? Book a free 30-minute consultation.