For any business to succeed, regardless of industry or segment, finances must be accurately measured and managed. Some businesses take on this task with manual methods alone—but most will require accounting software to help them track and evaluate finances in the most efficient and effective way. This is why Software Advice, a leading authority on the review and selection of software, recently analyzed a random sample of consultations with prospective software buyers. The report, which highlights the findings, can guide other buyers in the market for new accounting solutions.
Thanks to commentary provided by Accounting Software, we would like to share a summary look and opinion on the study:
“With so many different industries requiring an accounting system, Software Advice sought to examine the current market and determine trends among prospective buyers. In our 2014 analysis, we isolated our findings to only include buyers from small businesses; this year, however, our report covers businesses of all sizes.”
- A majority of buyers surveyed (58 percent) are replacing existing accounting software, while nearly one-quarter (22 percent) currently rely on manual accounting methods.
- The highest percentages of buyers are seeking new software in order to gain more advanced functionality (48 percent) and automate processes (36 percent).
- The most frequently requested applications among buyers in our sample are financial reporting (56 percent) and budgeting and forecasting (53 percent).
Based on the results of Sound Advice’s research, prospective accounting software buyers should consider the following before making a purchase decision:
Functionality requirements. Buyers should choose a software platform that includes not only core accounting, but more advanced applications that will enable them to meet their business goals (e.g., reporting and budgeting and forecasting, or the ability to integrate with industry-specific, third-party applications). Demoing products and providing sufficient training can help ensure that employees are using tools in the most effective way.
Product scalability. While some software programs can accommodate growth, others are not equipped to handle multiple entities, departmental budgets or advanced inventory and payroll. Buyers should evaluate software based on current needs as well as plans for future growth (the number of users who will need to access the system, complexity of the business, industry-specific functionality etc.).
Cloud deployment. Cloud-based solutions can be beneficial to any business, providing real-time updates and data sync and allowing access to the system from any Internet-enabled device. These more affordable solutions may be especially helpful for smaller companies with strict budgetary considerations.
Get the Full Report
InCloud360, a proud vendor of cloud accounting solutions through Intacct, is pleased to share the full report with those businesses looking for a deeper insight into the accounting market. Please check out the Slideshare featuring the report below.
Are you looking for first-hand insight into the effectiveness of cloud accounting? As providers of Intacct, we invite you to contact us to see how valuable Intacct can be for your business.