If you’re running a business – whether it’s just you or a growing team – you’ll know how important it is to keep on top of your numbers. The right accounting software can make life so much easier, helping you keep track of your income and expenses, create professional invoices, and give you a clear picture of how your business is doing. But with so many options out there, it can be tricky to know where to start. So today I have a few tips to help you make the right decision for your business.
Cost
For most business owners, budget is the first thing that comes to mind. Prices can vary depending on the provider and the level of features you need. While traditional one-off purchases of desktop software are now less common, most accounting tools are subscription-based, with plans typically ranging from £7–£50 per month dependent on requirements, business structure etc.
It’s worth looking closely at what each plan includes, rather than going for the cheapest option or assuming the most expensive one is the best. Accounting software does NOT do it all for you as some suggest in their adverts. Some providers also offer discounts if you pay annually, which may be more cost-effective if you’re confident you’ll be using the software long-term. So look at what’s included in each package, and compare the prices of those, not just the cheapest or most expensive options from each supplier. Xero often offer deals such as 90% off for 6 months.
Features
Not every business needs all the bells and whistles. The best choice for you will depend on how your business works. Accounting software can help you see a bigger picture of your business and make day-to-day tasks much easier – but you should only pay for that if it’s going to be useful to you. A few useful features to think about include:
Core Accounting Tools: Most small businesses can make do with accounting software that offers basic functions like invoicing, income and expense tracking, financial report generation, and customer management. However, if your business sells more than just a few products, you also want software that tracks your inventory, manages vendors and assists you with purchase ordering. Or, if your business provides services, you want a program that makes it easy to track time and invoice billable hours.
Automation: If you’re raising a lot of invoices every month, or your expenses tend to be in the same place for the same amounts all the time, automation features could save you a lot of time. Automate recurring invoices, reconcile your accounts with the click of a button or automatically create purchase orders for new stock when your levels dip.
Tax Support: Do you want to make your (and your accountant’s) life easier, and have your bookkeeping software help you compile your tax data ready for returns? If so, check that your chosen programme can do automatic tax calculations, multiple tax rates and tax reporting.
Extras: Do you need any extras, like payroll services or payment processing? These usually come as an added charge, but might save you money compared to buying them elsewhere. Many also have payment links to add to your sales invoices to make it so much easier for clients to pay you.
Third Party Integrations: Can your bookkeeping software integrate with the programs and services you already use? Can you set it to bring in data from your bank account, POS, inventory software and e-commerce platforms? Or will you have to do all of that manually?
The key here is making sure you’re not paying for features you’ll never use.
Usability
When you’re comparing bookkeeping and accounting software, it’s important to ask yourself how you plan to use it – since this will affect your choice. Will it just be you using it, or will you need multiple users to have access? For example, many people will give their accountant and bookkeeper access to their software to help them stay on top of things. Or if you have a finance department, you may want full access for them, but limited access for sales team who only need to raise invoices.
If you own more than one business, you may also want to choose accounting software that supports multiple small businesses under one account with no additional costs – or else the subscriptions will add up quickly. This will become more important with the introduction of MTD (Making Tax Digital) from 2026 where some people may have income from multiple streams such as sole trader income and a property income. And finally, where and when will you be using it? Some business owners are happy to simply stick to a desktop software version, while others will want to be able to check their books on the go. A lot of providers will offer mobile apps as well as cloud storage of your data, so you can monitor key information and get core tasks done no matter where you are. This will influence whether you opt for a cloud-based provider, or a desktop one.
My Top Picks
Of course, as a bookkeeper myself, I’ve worked with most of the popular accounting platforms, and I have a few tried-and-tested favourites. The ones we see most often (and happily recommend) are:
Each has its strengths, and the best choice will always depend on your business needs.
At Bluebell Bookkeeping & Admin, I support small and growing businesses with all aspects of bookkeeping. Whether you need advice on choosing the right software, help setting it up and migrating your data, or ongoing bookkeeping support, I’m here to take the stress away.
If you’d like to chat through your options or find out how I can make your books easier to manage, just get in touch – I’d love to help.