Must-Have Accounting Tools to Run An Online Business

When you’re starting a business for the first time, be it online or offline, there are a number of essentials you need. First, you need a business plan to know what you’re doing and what you’re going to charge, then you need a brand including a logo, fonts and color designations, a website to showcase your services and an operations plan to handle the business. This operations plan would ideal cover how your process transactions and the accounting system your business will use. Like most industries, the accounting software industry is highly saturated with more options than you likely know what to do with. Not to worry, we’ve pulled together 4 accounting tools you’ll want to look into for your business.

Quickbooks

The most likely choice on the list and the most popular is Quickbooks. This household name accounting software offers a desktop or online experience, and handles nearly everything for you. You can process invoices, collect payments, set up new customers, leverage it as a CRM, and look to it for all of your year-end tax documents.

Because of its popularity, Quickbooks comes with a price. However, the price is well worth it if you utilize its features to the full extent.

FreeAgent

A lesser known alternative to Quickbooks is FreeAgent. This accounting software is from the UK and is packed full of great accounting and bookkeeping features. You’ll be able to invoice your customers, log journal entries, synch with your bank account and more. And because it is not as well-known, it is substantially less than Quickbooks.

Lease Accounting

Specifically used for businesses that have to lease their assets, this lease accounting system is likened to an Excel sheet, but with a lot more features. This type of accounting system enables businesses to be compliant with specific IRS codes like ASC 842 and GASB 87. While it is easy to assume a customized system like this is a bit more, it’s important to get a quote for exactly what you need.

PeachTree Accounting

Known for its use in advertising agencies and digital marketing businesses, PeachTree accounting is a full-fledged version of Quickbooks that understands various categories of digital marketing. For any freelancer just starting out, this system will get you set up with invoicing, recurring payments, subscription services and more. It’s specific to marketing and advertising businesses, and there has a cost to it. However, depending on your accounting needs, it is the most likely option to get the job done.

Outsource Accounting

As a completely separate alternative, you may wish to outsource your bookkeeping and accounting to a full-service firm. The difference with this option is that it will be completely hands off for you. An accounting firm will take care of everything for you and simply review the numbers with you.