Which software ?
If you are VAT registered you have no choice and must use a recognised accounting package. Even if you aren’t yet registered for VAT it may be your business has grown and you want better control. Either way if you are looking for an accounting package the choice can be bewildering.
The last time I looked at the HMRC list of recommended suppliers there were over 500 to choose from! https://www.gov.uk/guidance/find-software-thats-compatible-with-making-tax-digital-for-vat
When it comes to software selection some like to be pioneers or simply different from the masses and others just like to think they are supporting the smaller players.
When it comes to choosing software it doesn’t pay to be a rebel and you need to drop all thoughts of trying to avoid big brother. It’s always nice to know the choice you made will be supported for years to come as the need to change can be massively disrupting.
It’s always best if you can pick whatever looks like it’s going to be the leader in the field.
Back in the days before Microsoft Windows (the early nineties) the world of computing was plagued with a lack of standards. Even getting software to connect to a printer could be challenging. Back then it was something of a relief if you could transfer data from one machine to another – there were no USB connections, internet or email. Think of a three pin plug, it’s a standard and how annoying it would be if you had to check before buying anything electrical. It is just the same with computer software, we need to find a standard for lots of reasons.
When a business starts it is often the owner themselves who takes on the task of keeping the books.
But ask yourself if, when the business has grown, you’ll want to still be beavering away reconciling the bank account. If, like most, the answer is no you’ll be looking for someone else to take on the job and this is much easier if you’ve been using well known software. Another thing to consider is will your accountant be happy to extract data from something they don’t normally use.
You may also want to connect other software with your accounts and there are lots of businesses using specialist software to manage their operations. The main players are viewed by third party developers as the biggest potential market so they will want to be able to say they are compatible. Life is much simpler if your software packages talk to each other and you don’t have to keep entering the same data over and over again.
We have extensive experience of a wide range of accounts packages and will be happy to help if you’re trying to make a choice so feel free to call.