Botkeeper Blog

Accounting Software: Is “Free” Worth It?

Written by Botkeeper | Feb 8, 2024 2:00:00 PM

Every penny counts, which is why when you need it, the allure of free accounting software is strong. Who doesn't like the idea of increasing efficiency without adding another line item to the expenses? But as with most things in life, there's a catch. When it comes to accounting software, the old adage "you get what you pay for" rings especially true. While there is a ton of very good “free” and trial software for various accounting tasks out there, users often find that it’s either immediately lacking desperately needed features, or that they quickly outgrow the software’s capabilities.

 

Is it Really Free?

There are a few products for the accounting world that are completely free. But most are free trials, meaning they want you to get a taste of what will be available when you purchase the full product — if you’re evaluating your options, these trials can be helpful in settling on a final candidate. But be careful to check into pricing before you even dive into a free trial. You don’t want to fall in love with something that’s beyond your budget.

 

"FREE" AUTOMATED BOOKKEEPING SOFTWARE

 

 

"FREE" Cloud-Based Tools: A Silver Lining with Limits

Next up, we have the more generalized “Cloud-Based Accounting Tools.” These are the darlings of the modern era, allowing you to access your financials from anywhere with an internet connection. Initially, this sounds like you've hit the jackpot — work without the tether of a desktop application! But the plot thickens. The free versions of these tools often have significant limitations in terms of data storage, the number of users, and the depth of features. If the missing features or functionality are ones you can live without, there’s a good chance that won’t be the case forever. In other words, don’t expect the free ride to last forever.

"FREE" Specialized Software: Tailored but Restricted

 

Common Limitations: The Not-So-Hidden Costs

 

The Final Tally: Free Software as a Stepping Stone

So, what’s the verdict? Free accounting software can be a handy tool in a pinch. It’s great for just getting off the ground, providing a cost-effective way to manage basic accounting tasks. However, it's important to recognize its limitations. As your business grows, these limitations can transform from minor annoyances into major roadblocks.

In the long run, investing in a paid solution will certainly be the path firms will need to take. Paid software offers more features, better support, enhanced security, and the ability to scale with your business. It’s a partner in your financial journey, not just a temporary fix.

While free accounting software can be a valuable asset in certain situations, it shouldn’t be seen as a long-term solution for any firm’s needs. As your business grows and your financial management becomes more complex, the limitations of free software will become increasingly apparent. It’s better to view these free tools as stepping stones, useful for getting your feet wet but eventually, you’ll want to dive into the deeper waters of paid accounting solutions. After all, in the world of business, the right tools can make all the difference between staying afloat and sailing smoothly towards success.

Later this quarter, we’ll be introducing Botkeeper Infinite. It’s not free, but at $69 per client per month, the software-only version is the next best thing — automating your bookkeeping with industry-defining AI, providing advisory insights and comprehensive reports, and MUCH more. You can even add services for more time savings. Want a chance to get in on trying it out early? Sign up for our waitlist!