If you're anything like the majority of consultants and independent contractors, managing your accounting and getting ready for tax season is the last thing you want to spend your -unbillable- time on. You probably want to delegate these tasks altogether and let your accountant take care of everything for you. But it's not as easy as it sounds.
Even if you do have an accountant, you must keep a firm grasp of your business finances throughout the year, as this will help you make better decisions for your company and put a strong focus on the areas that need to be improved. While it can get tricky and definitely time-consuming, many consultants find it easy to maintain full control of their accounting by using reliable bookkeeping software and mobile apps.
If this sounds like something your business needs, read on, because we will introduce you to the best consultant accounting software in the market.
The Best Accounting Software for Your Consulting Business
There are tons of free accounting software options out there, and choosing the best fit for your business can be overwhelming, unless you know what you're looking for. A great way to get started is to take a step back to first evaluate your current tools and procedures to best understand what your company needs.
Most consulting start-ups may not have many client or financial management processes in place, and would benefit from a well-rounded project management platform. This will not only make accounting easier, but also helps with other aspects of the business such as client onboarding, invoicing, payment processing and time tracking. Of course, these extra features will often come at a price, so you must make sure the platform you choose is a smart investment.
To help you make an informed decision, we will explore one of the best accounting systems that is here to revolutionize the market: Bonsai Tax. Let's dive into the reasons why this is THE accounting solution your consulting business needs.
Bonsai Tax and Accounting software provides you with endless tools that give you easy access to a ton of useful information and financial insights with just a few clicks. Especially if your consulting business is just starting, it's important to find a product that is easy to use and adapts to your current workflow. After all, putting employees through a steep learning curve is the last thing small businesses need. We make it simple.
Here's why more independent professionals are choosing Bonsai as their go-to accounting management ally.
Save Money During Tax Season
To ensure that you are prepared for tax season, Bonsai Tax can estimate your quarterly taxes by reviewing all of your business transactions. Your deductible expenses will also be automatically identified, so you don't need to be a financial expert to deduct them from your taxes. On average, small business owners using Bonsai manage to save $5,600 on tax deductions. We have a team of professionals and written resources available on our website to provide additional help with the procedure of gathering, keeping and filing your tax-related documents.
Figuring out your business' accounting technicalities takes time, particularly if you don't have any accounting experience. To help you focus on your consulting business and spend less time doing your paperwork, Bonsai will automate all accounting procedures for you. From automatic generation of business financial forms, payment reminders and late fee charges, to expense and income tracking. Bonsai's accounting system is everything you need to stay focused and maintain your daily operations under control.
Note: try the best accounting software for consultants today. Our expense tracker would automatically scan your bank/credit card receipts to discover potential tax write-offs. On average, users typically save $5,600 from their tax bill. Try a 7-day free trial here.
Creating and maintaining an organized accounting system is crucial for the success of every start-up. Without it, it will get pretty difficult to stay on top of tax returns, pay off your debts, and even find the documents you need to follow up on late payments. With Bonsai, you will have all the necessary financial records organized and in the same place, so you can easily access them every time you need them.
Additionally, you can apply for Bonsai Cash, our fuss-free business checking account, which you can link to your Bonsai tools and easily organize your funds. As the money comes in, you can choose to automatically save a certain portion of your income for payroll, vacations, debts, taxes or anything else you see fit.
Track Billable Hours
With our time tracker for consultants, we've made it easier than ever, so you never have to be underpaid for your hard work. With Bonsai, you will receive customized email reminders when your tracker appears to be running too long and keep your timer running while working on other tasks as long as you're logged into your Bonsai account. Once you start a timer, you can select the specific project you'll be working on and specify a rate for each entry so you can automatically add these billable hours to your invoices.
If you forgot to track a task, you can also add time entries manually, specifying the time and date worked. You can also download the tool to your mobile devices to track time on the go. All of your mobile entries will automatically sync with your regular account to avoid double entry accounting issues.
Bonsai Tax makes it easier than ever to manage your business expenses, maximize tax write-offs, and calculate quarterly taxes. Once you link your bank or credit card accounts, Bonsai will automatically import your transactions, which you can subsequently classify as either income or expenses. Furthermore, you'll never have to manually enter a transaction using our receipt scanning feature which reads the text on scanned receipts and inputs the information into your expense reports.
Get Paid Faster
Bonsai offers you a wide range of cutting-edge invoicing tools and allows you to integrate a variety of global payment choices such as ACH, PayPal, and credit cards. Giving your clients the ability to easily pay for your professional services will reduce late payments by three times and, on average, help you get paid 13 days faster, which will drastically improve your cash flow.
Better Financial Reporting
The right accounting software must provide financial reporting to help you stay on top of your company's revenue, profitability, expenses and debt. Bonsai is the perfect solution for professionals who want to keep their finances under control, helping you easily track how much money you have, know exactly where your money is coming from, and where it needs to go. Stop making decisions in the dark, and creating financial reports based on manual data entry. Instead, let automation lead the way, and get a head start on your financial analysis to make this time-consuming, but highly necessary task, a more efficient one.
Invoice Clients Like A Pro
Use Bonsai's invoicing software to take your consulting business one step further. For starters, we include fully editable invoice templates that are immediately delivered to your client following the completion of your services. Our time and task-tracking tool will help you accurately measure the time spent with each client, which adds transparency and accuracy to your billing process. You can also link your business checking account to all online invoices you send out, so your clients can easily pay you and you will have instant access to your funds. With our viewing notifications you can better manage invoices and make sure your clients never miss them, increasing your chances of getting paid on time.
Efficient Client Intake Process
Aside from helping you with all things tax and accounting, Bonsai will also streamline your client onboarding paperwork with free templates so you can easily draft professional quotes, proposals and contracts. All of our templates have been legally reviewed by top lawyers and validated by thousands of small business owners in your industry. As your clients grow, our pre-designed templates will ensure consistency in your paperwork without compromising quality, while saving valuable time so you can focus on providing the best service.
What are you waiting for? Start your 7-day free trial now to get all this and more!
Want to streamline your accounting practice? Read this article to learn more about how accounting practice management software can help you increase efficiency, reduce errors, and offer better customer service.