Choosing and incorporating financial tools for small businesses is a never-ending job. No matter how innovative your business may seem, its success and failure totally depend on how you handle your leadership practices and financial planning. Unsurprisingly, this is easier said than done, resulting in major failure for most of the companies. If you own one, then adapting financial tools for your small business can be a great help for your business expansion and success. Fortunately, technology has introduced several budgeting and financial tools to help businesses grow more and save time on everyday financial tasks.
So, to streamline your financial management and make you get back to your real job, here are 10 financial tools for your small business.
10 Must-have Financial Tools for Small Business
Many business researchers have recognized the main reason behind the failure of any business is lack of adequate financial resources. Usually, this thing takes place due to the poor cash management and perfunctory tracking of activities. In order to solve these issues, there are a number of tools developed to solve accounting issues. These tools help in keeping track of all the daily activities in an organization. Some of them include QuickBooks, Xero, EasyBooks, NetSuite ERP, and many others. These tools will help you in invoicing, expense tracking, client/vendor contact management, billing and recurring payments automation, creating quotes and estimates, tax preparation, payroll processing, and integration with different programs.
There are many small business budgeting software in the market, enabling small businesses in creating a realistic budget and sticking to it. These software helps in the financial success of the business. Some of the budgeting software available in the market includes Abila MIP fund accounting, AccountEdge, Google Sheet, Spreadsheet, Adaptive Insights, etc.
Payroll Management System
Payroll management is a part of running a business as you have to pay your employees accurately and on time without any delay. These services lessen the extra time and energy of reckoning the complicated payroll. Payroll service should be taken by every small business to reduce payment errors and extra costs. Some of the well-known payroll management services include Intuit Payroll, Toast Payroll, Gusto, Namely, and Sage.
Agile billing is a cloud billing method, making the process of billing smoother and nimble. It helps in making quick payments and faster cash flow for the business. It allows you to promptly price, offer, and make bills for the new propositions brought by the customers. Some of the agile billing options include FreshBooks and Bill.com, which shortens your billing process, increase customer satisfaction, improve customer experience, and abbreviates account receivable delays.
The management tool, financial dashboard, helps in tracking all the relevant finance KPIs, track expenses, revenues, and sales, and allows effective cash management in order to meet the financial objective of the business. The tools such as LivePlan and InDinero creates a financial dashboard for a company, allowing for tracking the KPIs and measuring whether the business is just surviving or thriving in the global market. Precisely, by keeping the tab on all the expenses, revenues, sales, and profit on a single dashboard, you will get clear visuals of your business’s financial health.
The process of ordering, storing, using, and selling the inventory of a company effectively is known as inventory management. It also includes the management of raw materials, finished products, components, and warehousing. The manual process of inventory management requires a lot of effort and time. However, the invention of technology has solved these issues. Now, the tools such as SOS Inventory, Scout’s top-shelf have made inventory management easy. These tools are must-have software for your small business to track your inventory all the ways from purchase to the resale of the final goods to the customers. These tools also help in generating sales reports, setting up low inventory alerts, and managing order packing and shipping.
Cash Flow Analysis
Whether you have proper accounting software for managing your cash flow, the tools such as Float or Google Spreadsheet are must-have tools to measure your cash flow on a regular basis. The cash flow analysis helps you manage ups and downs in your cash balance through analysing the past patterns of your data and by forecasting the future of your finance.
Business Credit Card
A business credit card is intended to use for business purposes rather than for personal use. Many business analysts and experts recommend opening a business credit card to improve business credit history, receive business-specific discounts and rewards, and gain access to higher credit limits.
Little business expenses such as meals, gas, and cabs are made up very quickly and difficult to track. So, here you need an expense tracking tool to keep an eye on every expense, whether small or big. You need to know that expense tracking is an important small business budgeting software. There are many expense reporting tools, such as Expensify, which help employees in scanning receipts or adding cash expenses from their phones and upload them. These receipts can be easily then imported for approval, expense accounting, rebilling, and reimbursement.
E-commerce is now one of the most essential factors for many small businesses. Many customers expect to be able to pay for their purchases online through different payment sites, including PayPal, Square, and Apple Pay. So, to make the payments easy on e-commerce websites, you can implement tools such as Vend and Stitch, which makes sales easy. They also help in tracking inventory, sales data, and streaming order fulfilment.
Fortunately, these tools are the important aspects for running a business easily. These financial tools for small businesses are effective for financial planning, management, and budgeting for small businesses and help you to grow more in this advanced and competitive work environment.