If you run a very small business you should choose an accounting system that runs in the cloud. It will be much easier to manage – they will keep it up-to-date for you.

The problem is – there are quite a few choices, including:

  • Bright Books
  • Clear Books
  • Kashflow
  • Freeagent
  • Xero

Which one to pick? It depends:

  • are you a start-up or a growing business?
  • do you sell products? or services?
  • are you a retailer or do you sell to other businesses?
  • how fast is your business growing?
  • how important is stock control?
  • how much do you want your accountant to do for you?
  • will it help if your accounting is integrated with:
    • e-commerce
    • invoice factoring
    • customer relationship management
    • project management
    • receipt processing
    • email marketing
To support two very different businesses, I have used Kashflow and Freeagent for several years now. So I am able to review them in some depth. I have also run trials with Brightbooks, Clearbooks and Xero, so I will try and position those for you as you decide which to pick.

Bottom line

  • If you are a freelancer selling your services, pick Freeagent.
  • if you and your accountant are traditional types who feel comfortable with paper, pick Kashflow
  • If you are a start-up with no money to spare, pick Brightbooks or Clear Books.
  • If you are a fast-growing business and will soon have more than ten employees, pick Xero

 

 

Any comments?