7 factors to consider when choosing billing software

Choosing the best billing or billing software for your needs is no easy task. There are many products available today, each with its own set of features, capabilities, and costs. Evaluating each product is tedious and time consuming. This article aims to simplify the process by listing the most essential factors that you cannot afford to overlook. By the end of this article, you will be well on your way to choosing the best billing software for your business or organization needs.

cost: This is a good place to start. Before evaluating any product, it is best to verify its cost. Some products may be free, while others may cost thousands of dollars for larger companies. Some are subscription-based and require ongoing monthly or annual payments that can also add up over the long term. If the cost of the product or service is well above your budget, you may want to move to another product.

Sales tax: If you need to bill and collect any kind of sales tax, GST, VAT, etc., please verify that the product can handle this for you and meets the requirements of your local tax authority. Verify that the invoice design meets the requirements of your local tax authority. For example, should you show your tax registration number? Are you required to display the words “Tax Invoice” on all your invoices? Is the tax component clearly indicated on the invoice? Are different items taxed on your invoice at different rates or is the tax only applied to the total?

Next, does the product process the relevant tax reports you need to help you prepare your tax returns for your tax authority? While you normally submit summary values ​​on your return, your billing software should provide you with a detailed report or breakdown.

Documents: Besides invoices, are there any other documents I might need? For example, you may also want to prepare budgets or estimates. Being able to convert a quote to an invoice is also a great time-saving feature. If yours is a business company, you may need other business documents such as credit notes, delivery orders, packing list, and vendor purchase orders. Finally, are these documents customizable according to your needs or tastes? Can you add your logo or customize the look and color to make it look like your business stationery if needed?

Data: Does the product allow you to enter all the important information you need for your business? Check customers, suppliers, contacts, invoices and documents, are all important fields addressed? If you are a commercial company, you may also need an inventory module. Can you import your data from an external source to save time entering your list manually? Can you export your customers, vendors, and inventory to an open file format if the need arises?

If your company offers a service, does the product have enough space for you to describe your services in the Quote or Invoice body? Do you need to indicate the customer’s purchase order number on your invoice? What about delivery instructions or payment instructions, terms and conditions, etc.?

Can you enter customer receipts? If the customer pays partial or multiple payments, can the product accommodate this?

Reports: Can you get the relevant product reports such as sales, debtors, receipts, customer statements, etc.? Check that the reports are presented in a way that is useful to you. Customizable reports can also be very useful to you.

Search functions: As your data accumulates and grows, you’ll need good search features to help you locate invoices, customers, inventory records, and more. This is one of the main reasons to use billing software in the first place.

Compatible with multiple users: If you will have other users or staff to help you, the product must allow multiple users to access and update the data at the same time. You would also like to restrict access to certain parts of the program or data. For example, you might not want some users to be able to delete customer or invoice records. You may not want them to see your sales reports or inventory cost price. The product you choose should have a mechanism that allows you to specify what other users can and cannot do.

The list here is not exhaustive, but it will help ensure that you don’t miss out on some crucial factors. Take a moment to think about your specific business needs, hardware and software requirements, and add them to this list when conducting your research and evaluation.