How to Select the Best Accounting Software in Malaysia?
Accounting software makes your financial calculation and analysis easier and more effective. Choosing one can be a hassle though – there already are hundreds of such software in the market today. Unfortunately, not all of them may fit every business’ needs. To make the job easier for you, we have listed the must-know tips for selecting the best accounting software in Malaysia:
There are two types of accounting software: offline software and cloud-based software. We recommend you go for the latter.
You see, offline software is the ‘traditional’ accounting software. It has to be installed on every single device in your office and is mostly controlled by one server, which is also located in the office.
On the other hand, you can run a cloud-based accounting software from a web browser. You don’t need to install it on every device. This means that you can also access your company accounts instantly from anywhere in the world. All you need is an active internet connection and a device which can be a desktop, laptop, or even a smartphone.
Another benefit of cloud-based accounting software in Malaysia is the ease of maintenance. If there’s an issue, you don’t need to address it on every individual device. Furthermore, you don’t need to buy or set up a server in your office, which will help you save a lot of money and time.
Unless you don’t have a strong internet connection in your office or you are dealing with very little accounts (say, a retail store), we strongly advise you to go for a cloud accounting program.
Data security should be one of your biggest concerns while using online accounting software. This is also the reason you should choose one that already has a good review and a fine record on its website, social media, or other places on the internet.
Things to check:
- Make sure the address of the software (web address which helps to access the accounting software) has an HTTPS authentication. If you can’t see ‘https’, see if there is a green padlock in your browser address bar. If not, report to the software provider immediately.
- Online cloud accounting software solutions use their own servers to store data. Ask them what security protocol they have in place to avoid unauthorized access to data in their servers. Also, check on their policy which prevents them from accessing their customer’s information.
- Some security features you will look for are periodic data backup, firewall, encrypted storage, etc. At your end, protect your profile with a strong password.
This was all about the security of the actual software; you should also ask your service provider what kind of security they have for the prevention of data theft or damage on the location where physical servers are stored.
Apart from letting you enter and calculate records like in a manual ledger and spreadsheet software, accounting software in Malaysia come with their own array of unique and useful features.
You should first make a list of the things that you have to do while handling your company’s finances. For the best results, talk to your accounting professional. After that, look for a software that does all of that.
Some essential features of accounting software are:
- Categorize expenses and track them.
- Create invoices.
- Create purchase orders.
- Record every purchase and expense.
- Create and view accounts payable and receivable.
- Create, and arrange balance sheet, profit and loss reports
- Manage inventory
- Import and Manage Bank Data (Bank Reconciliations), etc.
Some Additional Features
Some accounting software provides additional features that make them different and more preferable over the others:
- Check Printing
- 1099 forms
- Payment Date Calculation
- Multi-Currency Support
- EFT Support
- Suspicious Payments Alert
Regarding the features, you can also ask the Corporate Service Provider who did your accounting system setup.
User Interface and the Ease of Use
Just like any other kind of software, the User Interface should be easy to understand and navigate through. If you’re using cloud accounting software, there should be a separate user interface for mobile devices.
Many people who use accounting software don’t necessarily have an accounting background. Good software is one that’s easy to understand. Anyone should be able to give a clear idea about the place to enter and calculate the basic finances. There should be fewer elements on the screen. The interface shouldn’t be congested or cluttered to a point that it becomes overwhelming for the user to know what’s even going on.
Before buying accounting software in Malaysia, you should see if there are resources on the internet that can help you use and understand the software.
Customer Service and Hidden Costs
Especially if you haven’t used accounting software before, you will have a lot of questions. It can be confusing and overwhelming at first. Make sure to buy from a vendor who is willing to answer your questions at any given time.
A 24/7 phone or email support is a must. Furthermore, if you buy an offline software and have problems installing it, your vendor should travel to your location.
We mentioned hidden costs at this point because of their nature. Most of the hidden costs are charged as maintenance or update fees, add-ons, etc. You have to ask the software provider to be very transparent and tell you about every expected payment before buying their product.
Let us be straightforward here. You are buying accounting software because you want to grow your business. This means you should purchase a program that will meet your needs in the coming days.
Transitioning from one accounting software to another is going to be a hassle for your employees. After all, buying new software means you will need to train your employees all over again. It would take some time for them to get used to the new software, which can slow down your company’s progress.
Some accounting software has different versions and features depending on the price and needs of their clients. Normally, you can go from the ‘lite’ version to the ‘premium’ one. Nevertheless, make sure that the software you buy will be able to keep up with your needs in the future after you start making more profit.
If your accounting software has a one-time payment, you have to be very careful during the time of purchase itself. Further, if you’re buying a subscription-based accounting software (generally could accounting software), you’ll have to look for exit options.
Exiting from software and choosing a new one in itself isn’t difficult. However, in some cases, exporting the data that you have in your accounts can be. Ensure that the accounting software you are using easily lets you copy your finances in an excel, spreadsheet, or directly in another software. This will make everything convenient for you should you decide to go for other software in the future.
Steps for Selecting the Best Accounting Software in Malaysia
To conclude, here are steps you need to follow when choosing accounting software:
Step 1: Talk to your employees about your accounting requirements. Furthermore, decide if you want online support.
Step 2: Make a list of the preferred software depending on the features, scalability, and of course, the price.
Step 3: Do your research to find if the vendor you are buying from has good customer service.
Step 4: If available, do a trial for a limited time before purchasing the software