Questions to ask before switching accounting software

Choosing accounting software is a decision whose impact will be felt for several years. That is easy to understand, since the solution is an integral part of the finance team's daily work. This is why the selection process needs to be rigorous, and it can be a long and complex undertaking.

This article aims to help you organize your approach and compare existing solutions effectively so you can adopt the accounting software best suited to your company.

Defining your accounting software needs

Before you start your research and comparison work, take the time to list and weight your needs for the next four to five years. For example, if your company plans to invoice in another currency, this need must be taken into account. For each question, define the level of importance: “essential”, “useful” or “optional”. This will help you later on to decide between the different criteria if necessary. 

To make sure you don't miss any needs, consult the teams whose activities sit upstream and downstream of your processes. For example: the teams in charge of quotes, sales or inventory management, as well as the IT team. Another element deserves your attention: the legal aspect.  Since the adoption of the General Data Protection Regulation (GDPR), strict constraints apply to data management.  Make sure you surround yourself with the right experts within your organization, and why not a DPO (Data Protection Officer), who can guide your project toward best practices.  

In addition, if you work with an external accountant, we recommend asking for their opinion. They will probably be able to recommend software or an application suited to your organization's needs.

The questions to ask yourself can be organized according to the criteria below: 

 

Project management

• Who will be in charge of implementing the project?
• When does the solution need to be up and running?
• Do you need an integrator to install your software?
• Can existing data be migrated to your accounting software?
• ...

System administration

• How many employees will use the solution?
• Will all users have the same access rights?
• Do each user's transactions need to be tracked?
• Will the data be stored online?
• Can the software be accessed from any browser?
• Does the solution have a mobile app?
• What keyboard shortcuts does the software offer?  
• ...

Learn more about collaboration features in EMASPHERE →

Environment

• What languages do the users speak?
• Does the solution need to support multiple currencies (EUR, USD, GBP)?
• Does your company have several legal entities? In several countries?
• Will the software be used from different countries?
• Does the software include cost accounting?
• Is the software compatible with the company's software ecosystem?
• ...

Revenue, customer invoicing and contracts

• What will your invoicing volume be?
• Should invoices be generated automatically from the purchase order?
• Can invoices be sent directly from the software?
• What are your needs in terms of customer payment reminders?
• ...

Expenses and supplier invoicing

• What will your invoicing volume be?
• Can accounting entries be managed automatically?
• Do invoices need to be scanned?
• Can you manage purchases by legal entity (currency, VAT)?
• ...

VAT

• Is the VAT code configuration aligned with each country's tax return?
• Which reports are required?
• Does it cover the VAT return and the tax return package?
• Is electronic filing with the tax authority possible?
• ...

Banks

• Is integration with direct debits possible?
• Is there integration with payment platforms (e.g. VISA)?
• Does the system handle reconciliations?
• Are supplier payments  managed from preparation through to approval?
• ...

Other

• Does the system handle expense reports?
• Are entries generated automatically at the end of the fiscal year?
• Does the system manage fixed assets?
• Can you create codes for invoices (e.g. FR2018 vs BE2018)?
• Is audit review management included?
• ...

Next step: a comparative analysis of accounting software

Once you have answered all the preliminary questions, you can begin your comparative analysis of the accounting software available on the market. Save time in this process: read our article on the main criteria to consider in your comparative analysis.