Companies are shifting away from traditional methods to efficient and more convenient cloud-based solutions. Cloud-based accounting is a turning point in digital accounting as it helps in easing the process of a business, allows real-time data access, and aids in data-driven decision-making. This is a necessity and convenience for businesses as they struggle with the growing complexity in compliance and taxation such as sales tax. Additionally, cloud backup solutions play a crucial role in safeguarding financial data, ensuring business continuity, and enhancing overall operational efficiency.
Below article covers 10 best cloud-based accounting software along with its importance and key highlights for choosing the right one.
Importance Of Cloud-Based Accounting Software
It offers a number of benefits above traditional accounting methods, and the advantages cannot be disallowed. Here is why this becomes a critical tool for all business organizations;
Accessibility in Real-Time
Cloud-based accounting tool brings the financial data at the tips of fingers. This provides business owners with an ability to take prompt decisions and control their business on the move. This is a tremendous advantage no other traditional method can offer.
Cost-Effective
Cloud solutions do away with a lot of expensive hardware and cost in terms of IT services. Most software services have subscription models so pay only for their use is what businesses do.
Better Coordination
Cloud-based accounting offers easier collaborative access to financial information through shared applications between accountants, other stakeholders, or business people.
Higher Security
Good-quality, cloud-based software uses heavy security measures like encryption as well as regular backups which will ensure that your finances’ safe and sound.
Compliance Management
Businesses deal with multiple compliance requirements be it Sales Tax filing or calculation of TDS. An enormous part of these can be handled by the Cloud based accounting tools, thereby nullifying human errors and cutting down time.
Scalability
With cloud-based accounting software, your business can easily grow without finding itself constantly having to endure time-consuming major upgrades to meet your growing needs.
Key Features of Cloud Accounting Software
When selecting a cloud accounting software for your company, select one that has the following functionalities:
Friendly Interface
The user interface should be so friendly even if the user does not know much about accountancy so that it saves a lot of time and reduces training cost.
Sales Tax Compliance
Sales Tax compliance is not negotiable for an Indian business. The software should support Sales Tax filing, invoicing software, and reporting.
Multi-User Access
Multi-user access and simultaneous collaboration, which could be important if you have a team that handles finances.
Automated Invoicing
The automated invoicing features that include recurring invoices and payment reminders will make the process of billing much easier.
Bank Reconciliation
Bank reconciliation reconciles both your books and your bank account, because reconciliation eliminates the need for many manual transactions and helps ensure accuracy.
Reporting and Analytics
Reporting tools can be helpful in gaining a deeper view into financial health and analytics to make quality decisions.
10 Best Cloud-based Accounting Software in India
Cloud-based accounting platforms is a must in business, whether an entrepreneur, small business, or large enterprise, in this dynamic world of Indian business. This whole guide covers the top 10 cloud accounting solutions that are changing the face of financial management across India.
1. Zoho Corporation
- Rating: 4.7/5
- Best For: Companies seeking an integrated, homegrown accounting solution
Key Facts:
- Founded in 1996 in Chennai, India
- More than 250,000 businesses worldwide
- 45+ integrated business applications
- Available in 12 languages
Zoho Corporation is one of the leaders when it comes to cloud-based business solutions, providing an end-to-end accounting platform for the Indian market. Its financial management toolkit is very robust, ensuring smooth integration with most business functions. This software integrates local expertise with international technological standards to meet the special accounting needs of Indian businesses.
Zoho follows the cloud-based approach, which ensures that access is real-time and collaboration for any company. It commits itself to localizing, making it a very attractive tool for small and medium enterprises in India. It is particularly well-regarded as an accounting software for small businesses, offering tailored features to meet their unique requirements. One of the most innovative, as it keeps making its features updated to match any newly emerging needs of a business.
Key Features:
- Sales-compliant invoicing
- Multi-currency
- Expense tracking
- Inventory management
- Bank reconciliation
Pricing:
- Standard: ₹749
- Professional: ₹1,499
- Premium: ₹2,999
Website:
https://www.zoho.com/books
2. QuickBooks
- Rating: 4.6/5
- Best for: All small and medium business owners that seek an all-in-one solution to account for their companies.
Key Facts:
- Used by over 7 million small businesses
- Flagship accounting product of Intuit
- Support for multiple industries
- Available both in desktop and cloud variants
QuickBooks has managed to transform the accounting software sector because it provides a simple, yet highly powerful, system, all hosted on the internet. Such ease in performing complex financial activities for Indian businesses cannot be paralleled. The advanced accounting is brought to the doorsteps of entrepreneurs with very little financial expertise due to the intuitive interface.
QuickBooks provides all the tools to invoice, track expenses, and provide financial reports. The feature of the cloud software is meant for accessing information in real-time and secure data management. Its ability to suit all sizes and types of businesses makes it a flexible option for Indian enterprises. The platform is developing further with new sophisticated technology to make financial management much easier.
Key Features:
- Sales Tax-ready invoicing
- Expense tracking
- Income and expense tracking
- Report of finance
- Bank reconciliation
Pricing:
- Simple Start: $1750/mo
- Essentials: $3250/mo
- Plus: $4950/mo
- Advanced: $11750/mo
Website:
https://quickbooks.intuit.com
3. ZipBooks
- Rating: 4.5/5
- Best For: Startups and small businesses seeking smart accounting solutions
Key Facts:
- Cloud accounting platform
- Small business accounting specialized
- AI-powered financial insights
- Free tier for small businesses
ZipBooks is a cloud accounting platform meant to simplify modern business financial management. It approaches its complex accounting processes with an intelligent mindset and user-friendly design, combined with advanced technology that makes these processes accessible. It utilizes AI when providing actionable financial insights and advice.
ZipBooks employs cloud-based infrastructure for safe flexible access to financial data. An easy-to-use interface lessens the learning curve in such a way that the end-user is a non-financial expert. It maintains an excellent balance of features and usability. ZipBooks pushes the boundaries of accounting technology to new heights.
Key Features:
- Time tracking
- Invoicing
- Expense tracking
- Financial reporting
- Integration with banks
Pricing:
- Starter: Free
- Smarter: $15/mo
- Sophisticated: $35/mo
- Accountant: Contact
Website:
www.zipbooks.com
4. Xero
- Rating: 4.6/5
- Best For: Growing business needing proper international accounting functionality
Key Facts:
- Over 3 million companies
- Strong presence in Asia-Pacific
- Multi-currency
- Big marketplace for the application
Xero is one of the best cloud-based accounting softwares which comes with a rich feature set for Indian businesses looking to expand across geographies. It provides comprehensive and seamless management of finance for multiple currencies and types of businesses. Real-time financial information empowers the decision-making process.
Xero employs cloud infrastructure providing security and access to a company’s financial information in real-time from anywhere. It enjoys wide integration capabilities, letting businesses connect with hundreds of third applications. The making of the platform renders such very complex accounting processes simple as well as intuitive. That is, Xero continues to move forward by giving modern companies the latest solutions.
Key Features:
- Multi currency
- Bank reconciliations
- Invoices
- Expense tracking
- Manage payroll solutions
Pricing:
- Starter: $2.90
- Standard: $4.60
- Premium: $6.90
Website:
https://www.xero.com
5. Refrens
- Rating: 4.4/5
- Best For: Freelancers, consultants and small service-based businesses
Key Facts:
- Indian-origin accounting application
- It caters towards freelancers and small firms
- Offers end-to-end invoicing solutions
- Also offers free basic plan
Refrens is an especially designed accounting application for the Indian freelancing and small business ecosystem. Its holistic solution addresses the inherent financial management issues of service professional freelancers. The end-to-end invoicing and financial tracking capabilities are matched with local tax compliance using this software.
Refrens has a simple interface so that even those with a non-financial background can simplify complex accounting work with ease. Its cloud infrastructure assures flexibility and safety in access to all the financial data. Refrens comes up with intelligent features so businesses can get their finances on a more eased note. This product evolves with specific requirements for Indian entrepreneurs.
Key Features:
- Sales Tax-compliant invoices
- Expenses Management
- Customer Payments Management
- Reporting of financial transactions
Pricing:
- Basic: Free
- Accounts Lite: ₹ 4,700
- Accounts GST: ₹ 9,500
- Accounts: ₹ 12,000
Website:
https://www.refrens.com
6. FreshBooks
- Rating: 4.5/5
- Best for: Service professionals, and small businesses that would want an intuitive accounting system
Key Facts:
- More than 24 million professionals are using it
- It is highly focused on service-based businesses
- Award-winning customer support
- It has been cloud-based since 2003
FreshBooks is innovating the way of cloud accounting in a very user-friendly, simple manner for service professionals. The software makes the complicated accountancy processes manageable to operate through work flows. This allows entrepreneurs to keep the core business clear of clutter and ensures keeping good financial records. The whole feature of invoicing, expense tracking, and even management of clients is present here.
It offers secure flexibility accessible from any device owing to its cloud-based architecture. Intelligence fuels business growth with reporting features. FreshBooks always keeps itself innovative in offering the most updated versions for meeting the dynamic nature of modern businesses.
Key Features:
- Time Tracking
- Professional Invoicing
- Expense Management
- Client Portal
- Automatic Payment Reminders
Pricing:
- Lite: $ 4 .75USD/mo
- Plus: $ 8 .25USD/mo
- Premium: $ 15 .00USD/mo
- Select: Let’s Talk
Website:
https://www.freshbooks.com
7. Wave Accounting
- Rating: 4.3/5
- Best For: Startups and small businesses looking for cost-efficient accounting solutions
Key Facts:
- Fully free accounting software
- Designed for small businesses and freelancers
- Processed more than $170 billion in transactions
- Has its presence in many countries
Wave Accounting proves to be an innovative, absolutely free accounting service for small business and entrepreneurial purposes, which offers comprehensive solutions, together with powerful tools for financial management, with no related charges. Surprisingly, the software has provided one with a rich set of typical features that one would find with premium accounting platforms.
Cloud-based infrastructure by Wave protects and provides flexible access to financial data. The ease of use makes complex processes in accounting accessible to individuals who are not financially experts. The platform provides advanced tools for invoicing and expense tracking and reporting for one’s finance. Wave continues to demonstrate to the world that high quality, high-grade accounting software should reach all businesses.
Key Features:
- Free accounting
- Invoicing
- Scanning receipts
- Reporting on financials
- Processing payments
Pricing:
- Starter: Free
- Pro: $16/month
Website:
https://www.waveapps.com
8. Sage
- Rating: 4.6/5
- Best for: Medium and large businesses looking to acquire robust accounting infrastructure
Key Facts:
- Global accounting software market leader
- 3+ million global clients
- 40+ years of experience with accounting
- Comprehensive enterprise solutions
Sage offers a global accounting solution that possesses a high degree of experience with enterprise-level financial management. The tool delivers holistic capabilities to meet complex financial problems in a growing business. The intelligent approach comes from its decades-long accounting expertise married to leading-edge technology. Sage’s cloud-based infrastructure allows for secure, scalable, and flexible financial management, making it an excellent financial reporting software for businesses seeking accurate and real-time insights into their financial performance.
The software has intelligent reporting and analytics to empower strategic decision-making. It is versatile for diverse industries since it integrates with many business systems. Sage continues pushing the boundaries of accounting technology with its latest solutions for modern businesses.
Key Features:
- Advanced financial reporting
- Multi-company management
- Budget planning
- Cash flow management
- Compliance tracking
Pricing:
- Three Months Free
- Accounting Start: £15/month
- Accounting Standard: £30/Month
- Accounting Plus: £39
Website:
https://www.sage.com
9. Kashoo
- Rating: 4.4/5
- Best For: Small businesses and freelancers who require intelligent accounting
Key Facts:
- Cloud accounting
- AI finance insights
- User-friendly and intuitive interface
- Support for Mac and iOS devices
Kashoo is the intelligent cloud accounting solution built for the next-generation entrepreneur. This intelligent software works on AI to tackle challenging accounting work with actionable finance insight. No one, other than a professional accountant, can find advanced accounting easier because of the highly friendly interface. Kashoo is a cloud-based infrastructure.
Therefore, various devices can access all financial data easily, securely, and flexibly. The tools create invoices, track expenses, and give a financial report. The intelligent features make businesses more informed for better financial decisions. This company is innovating continuously and working with the vision of making accounting easy and intuitive.
Key Features:
- AI-Powered Insights
- Automated Bank Reconciliation
- Invoicing
- Expense Tracking
- Financial Reporting
Pricing:
- TrullySmall Accounting: $216/Yr
- Kashoo: $324/Yr
Website:
https://www.kashoo.com
10. AlignBooks
- Rating: 4.4/5
- Best For: Indian businesses that need all the local tax compliance besides complete accounting.
Key Facts:
- Indian-origin Accounting platform
- Specialized in Sales Tax compliance
- Supports Various types of businesses
- Cloud-based solution
AlignBooks is an accounting solution in particular for the Indian Business ecosystem. The platform, through its comprehensive financial management tools, focuses on significant local tax compliance and their regulations. Its user-friendly interface makes complex accounting processes easy enough for any business size to follow. AlignBooks, with its intelligent features, carries out Sales Tax calculation and reporting as well. Its cloud base is secure, flexible, and gets access to all financial data from anywhere. Being an end-to-end accounting solutions provider, the software aligns with the specific needs of an Indian enterprise. AlignBooks keeps evolving in line with local business needs.
Key Features:
- Sales Tax-compliant billing
- Expense tracking
- Preparation of financial reports
- Reconciliation of banks
- Multi-user capabilities
Pricing:
- Contact for Pricing
Website:
https://www.alignbooks.com
Selection Process of Cloud Accounting Software for Small Businesses
This means that choosing cloud accounting software in consideration of the business needs and budget is very important. Here’s a step-by-step guide on getting the right one:
Know Your Business Needs
Evaluate your accounting needs. Do you have basic bookkeeping, Sales Tax compliance, payroll integration, or advanced reporting? Knowing your priorities will narrow down your options.
Consider User Friendliness
If the accounting experience of your small business is not significant, then software has to be user-friendly. Opt for a site that’s quick to install and use, thereby having a minimal learning curve for your staff.
Ensure Sales Tax Compliance
Sales Tax compliance is quite crucial in a country. Choose software that automates Sales Tax filing, generates Sales Tax-compliant invoices, and provides accurate tax reports.
Check Scalability
As your business grows, so do your accounting needs. Pick a package that can grow with your business, allowing you to add users, transactions, or features as needed.
Assess the Integration Capability
Find one that easily integrates with other software, such as CRM systems, payroll software, or payment gateways. Integration lets you simplify processes and reduce the complexity of operations.
Conclusion
One of the most precious resources for small businesses is cloud-based accounting software. It allows a company to select the right one at the right time for making financial management easier while giving a boost to growth. Such a selection will help an entrepreneur save time, decrease error rates, and make the business compliant with its requirements, which would further boost the business.
FAQs
What is cloud-based accounting software?
Cloud-based accounting platforms are web-based applications that assist organizations in handling their finances through bookkeeping, invoicing, and tax compliance.
Why is Sales Tax compliance essential?
Sales Tax compliance results in correct tax filing and aversion of legal penalties and is thus critical for the Indian economy.
Can small businesses afford cloud accounting software?
Yes, mostly cloud accounting tools offer affordable packages tailored to small businesses.
Is my data safe in the cloud?
Well, the best cloud-based accounting software offers the highest level of encryption, and data is backed up regularly for security.
