How to Choose Software to Track Inventory, Invoicing, and Bookkeeping

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Selecting the right software for inventory management, invoicing, and bookkeeping is crucial for the success of any business. A comprehensive solution can help streamline processes, minimize errors, and provide valuable insights for decision-making. This step-by-step guide offers practical techniques for choosing the best software to suit your business needs, with a focus on deep insights and real-world examples.

Assessing Your Business Needs and Goals

Before you begin searching for software, it’s essential to assess your business needs and establish clear goals for the new system. Start by analyzing your current processes and identifying areas for improvement. Are you struggling with inventory control, invoicing accuracy, or bookkeeping efficiency? Determine which issues are most critical and prioritize them accordingly.

Next, set specific goals for the new software. What do you want to achieve with the implementation of a new system? For example, you may want to improve order fulfillment, reduce stock discrepancies, or simplify tax reporting. Clearly defined goals will help guide your decision-making process and ensure you choose software that addresses your business’s unique needs.

Evaluating Features and Functionalities

Listing must-have features for your business

Inventory management capabilities: Look for software that offers real-time tracking, stock alerts, and customizable reorder points to help you maintain optimal inventory levels and minimize stockouts or overstocking.

Invoicing accuracy: Choose software that supports customizable invoice templates and automatic tax calculations to reduce errors and ensure compliance with tax regulations.

Bookkeeping efficiency: The software should offer automation features, such as automated data entry, bank reconciliation, and expense categorization, to simplify bookkeeping tasks and reduce the likelihood of errors.

Integration capabilities: Your inventory, invoicing, and bookkeeping software should seamlessly integrate with the other tools you’re using, such as e-commerce platforms, CRM systems, payment gateways, and fleet cards, to streamline workflows and improve data accuracy. Fleet cards, for example, can be a vital tool for businesses managing vehicle-related expenses. Integrating fleet card data with your accounting software can provide a more comprehensive view of your business expenses, making it easier to monitor fuel costs, vehicle maintenance, and other related expenses. Another example is lien notice management – the handling and tracking of legal notifications and documents related to potential liens. Integrating lien notice management with your accounting system, you can maintain a centralized system for tracking and managing these important documents. This integration enhances your overall workflow by providing a seamless flow of information and enabling you to stay on top of your financial obligations and legal responsibilities.

Considering additional features that can add value

Mobile app support: A mobile app can enable remote access to your inventory, invoicing, and bookkeeping data, allowing you and your team to make informed decisions even when you’re away from the office.

Customization options: Software that can be tailored to your specific workflows and processes will be more effective in addressing your business needs and can help you adapt the system as your business evolves.

Scalability: As your business grows, you’ll need software that can grow with it. Look for solutions that offer flexible pricing plans and additional features or integrations to support your expanding operations.

Reporting and analytics: Advanced reporting tools can provide valuable insights into your business’s performance, helping you identify areas for improvement and make data-driven decisions.

Checklist: Essential Features for Inventory, Invoicing, and Bookkeeping Software

To help you evaluate different software options, consider the following checklist of essential features:

  • Inventory tracking and management
  • Barcode scanning and label printing
  • Invoice creation and customization
  • Tax calculation and reporting
  • Multi-currency support
  • Payment processing and tracking
  • Financial reporting and analytics
  • Integration with other software platforms
  • Mobile app support
  • Data security and backup
  • Data storage and scalability

Comparing Pricing and Total Cost of Ownership

Understanding different pricing models

Subscription-based pricing: This model requires monthly or annual fees, often based on the number of users or features included. Subscription-based pricing can be attractive for businesses looking for lower upfront costs and the ability to scale their software usage over time. However, it’s essential to consider the long-term costs, as they may add up significantly over the years.

One-time purchase pricing: In this model, you pay a single upfront fee for a perpetual license to use the software. This option can be more cost-effective in the long run, but it often requires a larger initial investment. One-time purchase pricing may also not include ongoing updates or support, which could lead to additional expenses down the line.

Freemium pricing: Freemium software offers basic features for free, with the option to upgrade to a paid plan for more advanced features or additional users. This model can be appealing to small businesses or startups with limited budgets, allowing them to test the software before committing to a paid plan. However, the free version may not offer all the features necessary for effective inventory, invoicing, and bookkeeping management.

Calculating the total cost of ownership

Setup and installation fees: Some software providers may charge fees for setting up and configuring the system. Be sure to factor these costs into your total cost of ownership calculations.

Training costs: Effective software implementation often requires training for your staff to ensure they can use the system efficiently. Consider the costs of training, whether it’s in-house or provided by the software vendor, as part of your total cost of ownership.

Ongoing maintenance and support: Regular software updates, bug fixes, and customer support are essential for keeping your system running smoothly. Assess the costs associated with these services, as they can significantly impact the total cost of ownership over time.

Potential upgrades: As your business grows and its needs evolve, you may need to upgrade your software to access additional features or accommodate more users. Keep in mind the potential costs of upgrading to ensure the software remains a cost-effective solution in the long run.

Data migration: If you’re transitioning from one software system to another, there may be costs associated with migrating your existing data to the new platform. These costs should also be considered when calculating the total cost of ownership.

Analyzing User Experience and Customer Support

Researching user reviews and ratings

Find recurring difficulties or accolades that are highlighted by customers in their evaluations. This can help you identify similar themes. This may help you grasp the benefits and drawbacks of a software solution, as well as how well it satisfies the requirements of other companies that are comparable to your own.

Examine the most recent product updates and enhancements. Check to see whether the vendor of the software is actively addressing the issues of users and upgrading their product to improve the user experience and functionality.

Take into consideration the total number of reviews: A greater number of evaluations can give a more thorough knowledge of the general functioning of the product as well as the level of satisfaction experienced by its users.

Testing the software through demos and trials

Assess user interface and navigation: When testing the software, pay attention to the layout, organization, and overall design. A user-friendly interface will make it easier for you and your team to learn and use the software effectively.

Evaluate responsiveness: Test the software on different devices and browsers to ensure it functions smoothly and consistently across various platforms.

Confirm feature availability: Use the demo or trial to explore the features that are most important to your business and ensure they function as expected.

Evaluating customer support and available resources

Check out the software provider’s support options. Make sure the software supplier has a variety of support options, such as phone, email, live chat, and ticket systems, so that you can receive assistance whenever you want it.

Test the responsiveness of the support team by sending questions or requests through their help channels. This will allow you to evaluate both the response times and the quality of the responses. Evaluate the quality of their replies, taking into consideration the veracity of the information presented as well as their capacity to resolve your problems.

Examine the following curricular resources. You may learn how to use the program successfully and handle typical difficulties with the assistance of a comprehensive knowledge base, lesson videos, and user guides. These resources can be really helpful. Check to see if the vendor of the program gives these resources, and determine whether or not they are current and simple to grasp.

Real-World Case Studies: Successful Software Implementations

Zoho One Enhances Efficiency for Rain for Rent

Rain for Rent, a provider of temporary liquid handling solutions, replaced their Dynamics CRM with Microsoft with Zoho CRM. The decision to switch was motivated by Zoho CRM’s minimal customization requirements, ease of use, and high user adoption rate. As a result, the average time spent by a salesperson searching for client or prospect data was reduced from over 18 minutes to around 10 minutes. This time-saving allowed the sales team to make three additional value-producing contacts per day, increasing sales productivity by $750,000 annually. Rain for Rent experienced a 610% ROI and recouped their initial investment in just 2.4 months.

Following the success of Zoho CRM, Rain for Rent deployed the Zoho One platform, which further increased productivity and reduced labor costs by over six percent. The platform allowed the company to retire legacy systems, resulting in annual savings of $408,000 and an additional $140,000 per year through staff redeployment. Moreover, Zoho One facilitated improved sales productivity, increased employee productivity, and better lead management, all of which contributed to the company’s overall growth and efficiency.

The successful implementation of Zoho One can be attributed to Rain for Rent’s comprehensive project planning and vendor assessment process. Their thorough research, analysis, and preparation ensured a smooth deployment and the selection of the best-suited technology for their needs (Source: Nucleus Research Report).

Advanced Inventory Improves Management for Equipment Dealer: FFUN Trailers and Marine

FFUN Trailers and Marine, based in Saskatoon, Saskatchewan, is a dealer of trailers, pontoon boats, Bad Boy mowers, and related parts. With a complex product lineup and a diverse customer base, the company required an accounting system with robust inventory capabilities.

Candace Lewchuck, the Administration Manager at FFUN, reported significant improvements in efficiency and inventory management after upgrading from QuickBooks Premier to QuickBooks Enterprise and implementing the Advanced Inventory module. The company was able to transition from cumbersome, printed inventory reports to more frequent and targeted digital reports, providing a better handle on their $5 million inventory across two lots.

The Advanced Inventory module also enabled FFUN to manage inventory assemblies more effectively, allowing them to accurately price products made up of multiple items, such as pontoon boats with their propellers and batteries. This feature has saved Lewchuck and her colleagues considerable time, reduced write-offs, and minimized headaches. With the help of Advanced Inventory, FFUN can effortlessly track the location of parts within their premises and across their two lots, resulting in a more streamlined and efficient operation (Source: Intuit QuickBooks White Paper).


Selecting the right software to track inventory, invoicing, and bookkeeping is a critical decision for any business. By carefully assessing your needs and goals, evaluating features and functionalities, comparing pricing and total cost of ownership, analyzing user experience and customer support, and considering real-world case studies, you can make an informed choice that sets your business up for success.

Remember, the best software solution is one that addresses your specific needs, aligns with your budget, and supports the ongoing growth and development of your business. Take the time to thoroughly research and test different options, and you’ll be well on your way to finding the perfect fit for your inventory, invoicing, and bookkeeping processes.

I'm Allison Dunn,

Your Business Executive Coach

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