As your startup begins to scale, you’ll likely find yourself buried under mounds of receipts, invoices, and financial records. Your makeshift accounting “system” of Excel sheets and shoeboxes full of paperwork won’t cut it anymore. Before you know it, you’re pulling late nights trying to make sense of it all, still never feeling like you have a firm grasp on your finances.

What if there was a better way? Choosing the right accounting software for your growing business could be a total game changer. The right program can automate processes, create financial visibility, provide valuable insights, and save you countless hours trying to manage the books. As you scale, cloud-based accounting software becomes essential to keeping operations running smoothly.

In this article, we’ll walk through key considerations for choosing accounting software to take your expanding business to the next level. You’ll learn how to assess your needs, evaluate top tools on the market, implement the new system, and optimize it as your business evolves.

TLDR; Scaling Your Business with the Right Accounting Software

• Assess current accounting pain points and future needs as you scale
• Cloud-based software is best for supporting growth and remote teams
• Look for scalability, automation, integration when choosing software
• Compare top vendors like QuickBooks, Xero, FreshBooks, Sage
• Implement new software with training and optimize as business evolves

Assess Your Current and Future Needs

As your business grows, your accounting needs will inevitably start to change. Before choosing new software, take time to fully assess your current practices and pain points. Look at how you track income, expenses, inventory, invoicing, taxes, and more. What works well right now? 

What are your biggest headaches? Common frustrations for scaling companies include manually entering data across multiple spreadsheets, struggling to create financial reports, and fighting to manage cash flow with unclear visibility.

Also think through how your needs might evolve in the near future. Will you be adding more employees that need access? Do you anticipate significant revenue growth or new revenue streams? 

Will you add more locations or products/services? Factor in projections for things like number of transactions, volume of invoices, and size of your customer base. Understanding your future needs will ensure you choose software that can scale accordingly. 

The right accounting platform will grow along with your business, adapting to needs like multiple user logins, increased transaction volume, and more sophisticated reporting.

Online vs. Desktop Accounting Software

When evaluating online accounting software for your growing business, one key decision is online vs. desktop. Online, cloud-based accounting software has become increasingly popular for its flexibility and accessibility. With online software, data is stored on remote servers, letting you access financial information anywhere via web browser. 

This makes online solutions ideal for supporting teams across multiple locations. Online platforms also tend to scale better as your transaction volume increases. However, desktop accounting systems are still used by many businesses. 

Some appreciate being able to maintain data onsite without relying on internet connectivity. Desktop systems may also have advanced capabilities like inventory management that are better suited for certain specialized roles.

Consider your business’s specific needs and priorities. Do you need robust reporting features or international capabilities? Do your employees travel frequently? Weigh factors like mobility, integration, security, and customer support. 

Online systems are easier to roll out to multiple users and often have more automatic upgrade capabilities. But desktop systems allow tighter control and customization. Assess your options to determine the best delivery model for your evolving business.

Key Features to Look For

As your business grows, your accounting software needs to grow and adapt with you. Here are some key features to look for:

Scalability – The software should easily handle increased transaction volumes and users without slowing down performance. It should be able to scale from a few employees to hundreds seamlessly.

Flexibility – Your software should make it easy to add new locations and users in just a few clicks as you expand. Role-based permissions allow control over what people can access.

Automation – Look for features like automated reconciliation, reminders, mobile payment capture, and billing to streamline processes as you scale. This saves significant time compared to manual data entry.

Reporting – Dynamic reporting enables you to glean actionable business insights from your data. Look for customizable reports and dashboards.

Integration – Your software should integrate with other business systems you use for POS, ecommerce, payroll, banking, and more. API and cloud connectivity enables extensions.

Accessibility – Cloud-based systems allow access from anywhere on any device. This enables remote employees or multiple locations to use the software easily.

Evaluate Potential Vendors

Once you know your must-have accounting software features, start researching vendors. Leading providers like QuickBooks Online, Sage, Xero, and FreshBooks are designed for growing SMBs. Compare capabilities like scalability, ease of use, mobile access, and customer support.

FreshBooks is great for freelancers and service businesses. Freshbooks is a cloud-based accounting solution accessible anytime, anywhere from mobile devices. Freshbooks also makes it easy to track time, create professional invoices, accept online payments, and manage expenses.

QuickBooks Online is another one of the most popular options, offering robust accounting with many integration capabilities. Xero also has excellent integration and can handle complex reporting needs. Sage is highly customizable for specific business requirements.

Look at reviews and talk to other businesses similar to yours using the software. Make sure the vendor offers implementation assistance and training. Cost is another key consideration—compare monthly subscriptions and what capabilities come in each tier.

Schedule demos to get hands-on with the software before committing. See how easy the navigation and workflows are. Assess whether key features are intuitive or require significant training. 

The right software should be simple enough for non-accounting staff to use with minimal frustration. With a user-friendly and scalable accounting system, your business can put its energy into growth rather than bookkeeping.

Implementation and Training

Once you’ve selected the right accounting software for your business, it’s time to implement it. Have a plan for gradually rolling out the new system and allowing time for data migration and setup. Work with the vendor to establish key integrations with your bank, payment processors, POS system, and other financial tools. This automation ensures seamless data flows.

Proper training is also critical for getting your team up to speed. Schedule training sessions and encourage employees to take advantage of available resources like video tutorials. 

Consider investing in customized training tailored to your company’s specific workflows. With proper training, your staff will quickly become adept at using the new software to its full potential.

Optimize as You Grow

As your business evolves, periodically reassess your accounting software needs. You may find you’ve outgrown certain capabilities or need to take advantage of advanced features you aren’t fully utilizing. Work with your vendor to ensure you’re leveraging all the tools that can optimize workflows.

Take time to continually refine and improve your accounting processes as you scale. Look for ways to streamline tasks and increase efficiency. Leverage reporting and analytics to gain valuable insights from your financial data. Use these insights to make smarter strategic decisions to fuel growth.

With the right accounting solution powering your evolving business, you’ll gain the visibility and control needed to scale smoothly. Optimizing the software while enhancing your accounting processes will keep your finances running like a well-oiled machine.

Key Takeaways: Scaling Your Business with the Right Accounting Software

Feeling overwhelmed trying to manage your startup’s finances as you rapidly scale? Stop drowning in shoeboxes of receipts and error-prone spreadsheets. There’s a better way! Implementing the right accounting software can be your business’s lifeline to scale with clarity rather than chaos.

With a streamlined accounting platform automating tasks, seamlessly handling growing transaction volumes, and providing real-time financial insights – your scaling pains will disappear. Spend less time reconciling and more time strategizing for growth. 

Say goodbye to guesstimating cash flow and making decisions in the dark. With the right accounting solution, you’ll be armed with the visibility needed to take your business to new heights.

Don’t wait until it’s too late and your makeshift accounting “system” halts your growth entirely. Take control of your finances today by choosing scalable, cloud-based accounting software tailored to your business. 

Follow the tips in this article to assess your needs, evaluate top providers, smoothly implement the new platform, and optimize it as you grow. Now is the time to level up your accounting. Let the right software provide the foundation to scale your thriving startup with confidence.