Best Accounting Software in India
An Accounting software is one of the most significant business software. They are of utmost use to businesses whether small or large. While small business owners often tend to rely on simple and less detailed accounting software, larger enterprises prefer to opt for full-fledged accounting software. Oft times the latter employs CAs to look after the day to day accounting of the business. Most businesses use a personal computer to keep track of the commercial activities of their business. As a result, the software we discuss below are primarily computer based. We have listed a few that work well on smartphones as well. Yet, the complexity of accounting cannot be fully borne by a mobile phone. Taking into account the importance of accounting software for businesses, we have compiled a list of the best accounting software in India.
As the finance sector is digitalizing by adopting FinTech, it is about time that businesses adopt practices which complement the former’s development. There are numerous business software categories such as: Enterprise Resource Planning, Human Resource Management, Accounting, Project Management, Communication, CRM and more. Some of the software we have listed below offer one or more of the aforementioned functionalities.
Need for accounting software
In case you’re still doubtful of opting an accounting software, let us reassure you by detailing the importance and the need for having an accounting software. Businesses that don’t use any software for accounting and rely on traditional notebooks to keep account will suffer a serious disadvantage. The larger the scale of business, greater the magnitude of trouble that the business risks bearing.
Often time, business owners do not know accounting themselves and struggle to take over the finance of the business. Double-entry bookkeeping may come across as a hassle to someone with no academic business education. Hence, the great demand and need for such business software. Remember that not all accounting softwares are paid! There are always free accounting softwares and also free versions of paid accounting software with limited features.
- Automation: Automates the entire accounting procedure to a considerable extent. Users are only required to input information pertaining to the transactions.
- Accuracy & consequential reliability: It reduces human error and may even point out the flaws in calculation.
- Quick: Accounting software make it very quick to account.
- Save money: Startups & Small Businesses can save an immense amount of money by relying on accounting softwares to maintain their business.
- Backup: The accounting data is backed up to the cloud or on to the hard drive to prevent any losses.
- Cashflow: Cashflow can easily be generated using the app itself.
- Tax-filing: The tax can be automatically computed ensuring reliability and ease in filing.
- Security: The software along with the data contained can be encrypted to ensure that it is not manipulated.
What are the best accounting software in India?
A small business can do without a detailed accounting software or app, it can also work without using any enterprise resource planning or cloud computing. While on the other hand, a medium or a large enterprise will surely struggle. As we list the various softwares down below, we will also label their usefulness when it comes to businesses.
- Tally ERP9 – Developed by Tally solutions, it is an Enterprise Resource Planning (ERP) software. This means that it is an all-in-one. It is the full package and is best suited for medium to large scale businesses.
- Zoho Books (Zoho apps) – small business.
- Wave apps (Wave Financial) – free, startups and recently commenced small businesses.
- Busy Accounting Software – heavy duty GST accounting software. Preferred use case -medium or large scale enterprises.
- Vyapar GST accounting software
- Khatabook (A mention for an application functionally apart) – only handles income and expenditure and not accounts. Best suited for small businesses and startups that want to simply keep track of inflow and outflow of cash.
Tally ERP9 – Best accounting software in India for large businesses
The slogan of Tally is Power of Simplicity and the same is reflected by the software. A simple yet very detailed software, Tally has multiple benefits. Firstly, it has an extremely simple interface. Though this may be considered a setback as it does not have a very appealing GUI yet it is simple enough for even a beginner to understand it. Secondly, on the more technical side of things, Tally is an all-in-one offline accounting software. It can deal with the Accounting, Payroll management, Cost Control & Cost Analysis, Credit and Cashflow Management and more. Lastly, it needs little hardware requirements to run smoothly. Tally has a mobile phone support as well (for both Android & iOS). This means that reports can easily be viewed on smartphones. Moreover, it is truly futuristic in its being and rolls out regular updates for support with newer policies and regulations. A powerful testimony for Tally comes in the shape of a statistic. Over 2 million businesses use Tally!
The downsides are few. The main one being that it is an expensive software for small businesses. It is best suited for businesses that can make full use of it as it comes with many functionalities that might not be used by small scale ventures. Although it is costly for Small Business Owners, the various pricing options, plans and renewals available do provide some relief. Another major con is that Tally lacks digitalization. Though it does offer integrations with third party apps, yet they are too few and with less useful SaaS companies. Another minor flaw is that Tally is not available as an application for Apple users on the Mac. However, it can be accessed online so at the end it isn’t too big an issue.
Advantages of Tally ERP 9
- Simple interface.
- All-round business tool.
- Low system requirements.
- Platform agnostic Mobile-friendly.
Disadvantages of Tally ERP 9
- Less visually appealing GUI.
- Less digitalized and lesser integrations.
- No offline availability for Mac.
Zoho books – Best accounting software for medium sized business
At number 2, we review another online accounting software. One which is more technologically up-to-date; Zoho Books by Zoho apps.
On the plus side, Zoho offers a very large variety of integrations such as Google Suite, Uber, PayPal, RazorPay, Microsoft Office and more. This enables users to cooperate along multiple apps outside the domain of Zoho. Furthermore, Zoho has released a plethora of other business tools such as CRM, Sales, Marketing, Finance, IT, Project Management and more. You can easily make use of these workplace tools in unison with Zoho Books. The app looks after invoicing, estimates, GST, and a lot more. Zoho has a next-gen interface which is very visually appealing; a major pro point since users would undoubtedly be spending hours looking at their computer monitors. Keeping the interface aside, the app has other next-gen features as well.
The list of cons include: No offline support or desktop app. The app can only be used online regardless of the platform. Zoho does however offer an accounting app on the iOS, Android and (now discontinued) Windows mobile OS. Zoho offers five plans, one suiting each type of business owner. The free plan is the most worthwhile for small business owners, however it does come with its fair share of limitation. The other plans though costly do come with additional features worth the increment.
All in all, Zoho books is the best accounting software in India for small businesses and startups.
Pros of Zoho Books
Technologically more viable and up-to-date. It comes with integrations for all modern apps and business tools.
- Modern GUI.
- Economically feasible.
- Versatile software.
Cons of Zoho Books
- No desktop app.
- Might not be as detailed as Tally or Busy Accounting Software.
Coming in at number 3, we have Wave Financial by Wave Apps. Wave financial comprises 3 business apps: Wave Accounting, Wave invoices and Wave Receipts. The biggest pro point is that Wave Finance is absolutely free. There are other free apps as well on our list of the best accounting software in India but Wave stands out primarily due to its interface and inter-device usability.
Wave accounting: Wave displays the dashboard overview as the home page. It is a simple interface showing the various aspects of the business from taxes to cashflow. All the incomes, expenses, payments, receivables and more are neatly arranged on the aforementioned home page. Wave holds a PCI-Level 1 certificate. Similar to all other apps, Wave quite obviously makes use of Double Entry accounting.
Wave invoice: Wave enables users to very easily create and customize unlimited professional invoices. Business owners can set recurring invoices whereby the invoice is sent to the customers at the set time. The billing can be changed in accordance with your demands. The invoices easily find their way into your books of accounts (instantaneous synchronization). Invoice management dashboard enables you to view your history of business communication (sent invoices, reminder emails and more) with your clients. This helps keep track of every tad bit of notifications exchanged between the two parties. Customers can pay the bill through the option provided on the invoice itself.
On the cons side, Wave is best suited for small businesses and startups. It would be a real hassle to manage a medium or large scale business on Wave. Moreover, it does not have detailed functionalities akin to Tally ERP 9 or Zoho Books. For small businesses and startups, Wave works great.
Advantages of Wave
- Digital interface.
- Extremely easy to operate.
- Automates reports & analysis for better interpretation.
Disadvantages of Wave
- Invoice payment charge: Wave charges money only if your clients choose to pay the amount due through your invoice. This is significant since if clients do not pay invoice amount through Wave, the receipt of payment will not be automatically reflected and the business owner would have to manually input the receipt. Wave charges around 1% of the bill as transaction charge.
- It is best suited for small businesses or startups.
- Wave does not have a desktop app. It works only online.
Suited for startups and small businesses only, we review ProfitBooks at number 4. ProfitBooks resembles Wave since in terms of interface and usage, they are quite similar. It too has an invoicing option enabling users to design invoices, automate routine billing and keep track of receivables. More so, it has a very efficient inventory management tool which requires little to no expertise to use. Profitbooks has two plans: Free plan for startups and Rs.499/month plan for Small Businesses. The paid plan allows for unlimited users and as a result delegation of departments. Personnel can be allotted their respective department in the software to handle.
Positively, the software has a beautiful interface and graphical representation of data. Also it features financial statements such as Balance Sheet, Trial Balance and more. It is a team software and provides for task allotment and project management. On top of accounting, Staff management is an added benefit. Staff attendance, leaves, payments and more can be handled with ease.
Profitbooks has little disadvantages such as its limited functionalities hindering its usability for larger enterprises.
Pros of ProfitBooks
- Nice GUI.
- Caters well to startups and small business.
Cons of ProfitBooks
- It is not suited for medium or large scale businesses.
One of the most comprehensive accounting products and the most expensive one as well on this list of the best accounting software in India. Busy.in is GST compliant. It offers full financial accounting, Advanced Inventory Management, Invoicing, Operations management, Scheme Management, and more. Busy and Tally are the two most heavy duty accounting software that we have listed here.
Busy is a one for all business tool. It offers 4 plans each suiting a specific business type. The 4 plans are: Express (Free) for micro businesses, startups; Basic (starts from Rs.7200) for small businesses, Standard (starts from Rs.12600) for Medium Businesses and Enterprise (starts from Rs.18000) for Large businesses. There is a 30 days trial for all paid plans. This accounting software is expensive yet serves well. The application is best suited for medium and large enterprises.
Advantages of Busy Accounting Software
- One of the best accounting software in India for large enterprises.
- Fully detailed.
Disadvantages of Busy Accounting Software
- The software is quite complex to use.
- It is available only on Windows and Android.
- Slightly more expensive for startups and small businesses.
Another GST Billing Accounting software, let’s take a look at Vyapar app. Through the app you can create GST bills, manage inventory, GST filing and more. Vyapar is available both as a desktop app as well as a mobile app. There are two plans for mobile one free and the other paid. Subsequently, there are 3 paid plans. Vyapar is fully GST compatible, and a very suitable handheld accounting software as a result. The mobile interface is simple and very detailed. It might get a little complicated but it definitely fits the bill. Vyapar is packed with useful data and accounting options. The paid version of Vyapar lets users access, share and synchronize data across multiple devices.
A disadvantage with Vyapar is that the PC version is fully paid and does not offer a trial. There is however a 7 day 100% money back guarantee. The desktop app is available for a minimum of 1 year starting at Rs.1999. To use both the premium version of mobile app and the desktop app of Vyapar, users would have to buy a Desktop + Mobile App priced at Rs.2399. Another disadvantage with Vyapar is the lack of support for Apple devices. There is no iOS app or Mac app.
Pros of Vyapar app
- Simple and Advanced interface.
- Mobile friendly.
Cons of Vyapar app
- No support for Apple devices.
- Not free for PC.
If you run a startup or small business and only want to take care of your debit and credit receipts, it might just be the best option for you. Khatabook is the most used business tool in India, with a user base exceeding 1 crore businesses across 10000+ cities. It may not be the best accounting software in India but it definitely is an effective business tool to keep track of transactions and receipts for small businesses.
Pros of Khatabook
- Very easy to use: Khatabook is used by millions for a reason. That reason is its ease of usage and powerful offering.
- Absolutely free:
- Widespread application: Khatabook is versatile in nature and therefore enables businesses of all scales & sizes to use it.
Cons of Khatabook
- Lacks accounting and advanced functionalities: Khatabook was developed keeping in frame small business owners.
- Inability to serve medium to large enterprises: For businesses operating at a larger scale, Khatabook may only be a side tool since it lacks CRM and other options.
Final take – Which is the best accounting software in India?
It is easy to get lost while searching for an accounting software to fit the bill. There are too many to choose from. That is why we did the work for you to find the best accounting software in India. There are a lot more softwares out there that we haven’t mentioned in the list. It is because they are not suited for Indian users primarily due to their high cost and the tech-savviness required to operate them.
From the above list of accounting software that we have picked for you, we will narrow down the best ones with regard to their best use case. In our personal opinion, if you are running a small business on low budget, it is best that you use Wave or Zoho free version. If you are looking for mobile friendliness consider using Vyaapar or Khatabook. If you need heavy duty accounting, consider using Tally ERP9 or Busy Accounting Software.
To do justice to the article, we would like to state that Tally ERP 9 is the best accounting software in India. That too for a variety of reasons; all of which we have stated under the section pertaining to Tally. But if you are not willing to pay for an accounting software instantly, your best bet would be to rely on ProfitBooks free version. It is the best free software for accounting.
Once you have decided your desired accounting software, be sure to check out Zapingo for deals. You may come across a good deal on your purchase! Also, be sure to log on to Zapingo to find offers on all e-commerce stores and all products.