The field of information and technology is progressing rapidly and has taken over every sector of our society. Artificial intelligence and technology have slowly infused themselves in every professional sector and the financial sector is not an exception.
Technology helped engineers and IT experts develop numerous accounting software that is becoming fundamental in managing the financial matters of the business. In this article, we will discuss the services accounting software provide in UAE and will also discuss the things you need to consider while choosing accounting software for your business in UAE.
What is accounting software?
Accounting software is a computer program that assists auditors and accountants in recording and reporting financial transactions for a business. Accounting software functionality varies from product to product. Larger companies may opt to implement a customized solution that integrates a large amount of data from various departments. Small businesses frequently select off-the-shelf products.
Business owners who want to lead their business to success must invest in the right accounting software. It should not only be able to present a quick summary or detailed presentation of profits and losses but also explain other financial transactions. It should also keep you in compliance with the legal requirements of the specific region or country in which your business operates. We are talking about the business in UAE so we should choose such accounting software that is compatible with the financial setup of the UAE.
Why use accounting software for your business in UAE?
Business is done at a very high level all around UAE. Financial matters are so complex that you need help from technology in addition to the expertise of accounting firms and financial officers. Accounting software helps you in this regard and the following are the benefits we can get by using accounting software for your business in UAE:
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Accurate Forecasting
It is one of the primary benefits of accounting software. Without a solid system, it would take a long time to understand the patterns and trends in your financial performance. Accounting software gives numbers meaning, assisting you in determining where to cut costs or invest more.
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Cost Saving
Accounting and finance software takes control of your revenue framework, removing the need to outsource finance management to a third party. Simultaneously, they cut costs associated with printing and distributing documentation and storing sensitive data in secure and monitored locations.
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Tax Compliance
Most of the top accounting software is dedicated to payroll assistance, reporting, and automatically adhering to tax regulations. Once activated, they become your primary source of tax and audit information, storing all pertinent information for you to maintain a transparent workflow.
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Productivity
Accounting software should be a business owner’s first choice if he or she needs to choose a digitized service to improve performance. These systems delve deep into the most time-consuming, day-to-day tasks of businesses, collecting, organizing, and analyzing their most sensitive data, and, most importantly, making better use of their money.
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Security
Financial data is the most important information in a company and must be kept safe from unauthorized access or loss. Accounting and finance software do exactly that for its users and provides a safe working environment to the users.
Considerations while choosing accounting software for your business in UAE
Different type of businesses has different financial management requirements. In UAE all types of businesses are blooming and every business is looking for some different accounting software that fits its financial system. So, the following are some considerations we need to keep in your mind while choosing accounting software for your business in UAE:
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Customization
There is no “one-size-fits-all” accounting system because each company runs specific finance calculations and follows a different set of rules. If you can’t find a specific system that matches your business model, look for an adjustable program that can adapt to your operations and that can grow with your company.
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Pricing
It is an obvious assessment that the more you pay the better services you would get from your accounting software. If you can afford a premium version of the compatible software then you should surely go for that. Otherwise, look for the affordable but efficient accounting software that is available in the market.
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Ease of use
Accounting calculations and procedures are quite tough and require adequate skills to carry out these financial tasks. You should choose such accounting software that will give you an easy-to-fit-in environment where you can find necessary functions on the dashboard of the accounting software. Operations should be performable in a rather short period.
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Mobile usage
In the early years of this technology, mobile-based accounting systems were only restricted to big businesses but now even small businesses can afford this luxury. Select accounting software that also provides its services in Android or IOS applications.
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Connectivity
You might be using different types of software to manage your financial matters. Choose such accounting software that gives you an option to interlink various software so that you can easily access the data and financial records in all of this software simultaneously.
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Security
All of the financial records and information of the business is provided to accounting software so it is pretty much prone to hacking attacks from our competitors or hackers. You should choose accounting software that provides bulletproof security to your financial records and prevents it from all malicious attacks.
What are the different types of accounting software we can use in the UAE?
Many different operations are required to manage the finances of the business in UAE. Each business requires a different type of operation for smooth running. Accounting software has different types based on the type of function it can perform according to the financial requirements of the business. Following are some common types of accounting software we can find in the UAE:
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Billing and Invoicing Systems
Billing and invoicing systems carry out regular, day-to-day tasks for businesses, such as check writing and notifying customers of upcoming payments. They are required to maintain control over the accuracy of accounting figures and to make the service appear more professional and credible. Billing and invoicing tools assist businesses in documenting financial records and operations. They also help in preparing businesses for authorization and validation.
FreshBooks, Zoho Books, and Invoiced are a few examples.
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Enterprise Resource Planning System
This is one of the most important types of accounting software. It integrates all systems for product planning, material purchasing, inventory management and control, distribution, accounting, marketing, finance, and human resources. The most recent services of accounting software allow the company to learn from its mistakes and plan better strategies in the future.
Examples include Intacct, Bright pearl, and Odor.
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Payroll Management system
These tools were created to perform a variety of tasks, such as calculating employees’ salaries, calculating deductions, depositing salaries directly into employees’ bank accounts, producing tax forms and pay slips, and more. They will help you secure your financial transactions, cut costs, and prepare detailed reports that will help you in the long run.
Examples include Xerox, Zenefits, and Account Edge.
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Time and Expense Management Software
This accounting software is modeled to help businesses expedite billing cycles and approve expenses on the go, and they are usually configurable enough for any business to adapt to its operational pace. The main reason for them is to help collect payments faster and detect slow and ineffective practices that were previously invisible. Their greatest advantage is the ability to generate detailed graphical reports on how time and resources are used in each company.
FreshBooks, Zoho Expense, and Expensify are some examples.
Best Accounting Software for Small Businesses in UAE
Accounting software is essential for freelancers, entrepreneurs, and small business owners just as much as it is for larger corporations. Finding the best accounting software for microbusinesses necessitates consideration of both price and usability. According to expert reviews and general public consensus in UAE, Zoho Books emerges as the best accounting software for small businesses in Gulf countries, especially in UAE.
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Zoho Books
ZOHO stands out as compared to its competitors due to its versatility and ability to connect with hundreds of everyday programs used by millions of people. Cloud storage is simple, whether you use Dropbox, Google Drive, or something else. Its mobile versions are available for IOS, Android, and even Windows Phone, ensuring that you are never disconnected from your work. You can manage sales, payments, and banking, as well as keep track of estimates, projects, and workflows. VAT integration is one of the most important aspects following the approval of the new tax laws. ZOHO is one of the few accounting software that has been officially approved by the UAE’s FTA (Federal Tax Authorities) and will undoubtedly assist in this case.
Choice of accounting software depends on the need of the business, its financial requirements, and the features this software can provide to assist your business in the best way possible. You should compare different accounting software and choose the most suitable one for the financial matters of your business.