How to do your accounting online? Tips and software

By Maëlys De Santis

Published: October 22, 2024

Online accounting: don't see this as a contradiction. Accounting is also affected by the digital transformation of business. In short, it's about modernizing your company' s bookkeeping with online accounting software.

Why do your accounting online? To automate, simplify and, ultimately, save time!

How do you do your accounting online? That's the question this article answers: advice, software choice and a selection of accounting tools.

See all software Accounting

What is online accounting?

Definition

Online accounting is becoming an increasingly important part of the software market. Simply put, it's a tool that lets you keep your company's accounts online, in SaaS mode. In other words, you don't need to install accounting software on your local computer. All you need is an Internet connection to access it.

Key features of online accounting software

An online accounting tool lets you :

create and configure your general chart of accounts,
create journals,
enter your accounting entries (debit and credit),
monitor your cash flow,
centralize all your entries,
perform bank reconciliation with your accounts,
manage your invoicing, etc.

Online accounting, ideal for small businesses

These accounting management solutions are particularly popular with self-employed entrepreneurs and very small businesses, for a number of reasons:

they are inexpensive. Free solutions may even be sufficient for the self-employed, as their scope is limited;
they are very easy to use, and you don't necessarily need an accounting degree to use them;
they can be accessed on the move, at any time, which is highly appreciated by entrepreneurs who are often on the move;
they provide simple, clear reporting;
facilitate communication with your accountant.

The benefits of online accounting

There are many advantages to using online accounting software, whether for CFOs, chartered accountants, accounting firms or entrepreneurs.

Save time

Forget the incessant data entry required for Excel-based accounting, for example. Your data is recorded and the tool automates tasks. You don't have to re-enter all your data for each new financial year.

Eliminate the risk of errors

Less data entry also means less risk of errors. You get rid of all those time-consuming micro-tasks that increase the risk of irregularities in your accounts. Cutting and pasting and manual data entry, for example, will be a thing of the past.

Secure your data

Online accounting solutions guarantee the highest levels of security for your data. With a SaaS solution, you can carry on with your accounting activities without having to worry about security.

Ensure accounting compliance

Accounting software incorporates current regulations, enabling you to work within the law at all times. This is particularly the case with the anti-fraud law that came into force on January 1, 2018.

How do you keep your accounts online?

Step 1: anticipate your accounting management

Accounting requires compliance with deadlines, as well as the nomenclature of accounts in the General Chart of Accounts (PCG). Your financial accounts, profit and loss statements, balance sheets and reports must follow precise accounting rules.

If accounting isn't your area of expertise, don't wait until the last minute to get to grips with the issue, or you could find yourself in trouble with the tax authorities.

Step 2: Determine your needs to choose the right accounting software

Not all companies have the same needs , and the same applies to the tools they use. Their size or sector of activity are two determining factors.

💡 Further on in the article, we propose a list of questions to answer in order to refine your search and find the software that suits you best.

Step 3: Adopt software that fits your business

Some accounting software packages are specifically designed to meet the needs of small businesses or the self-employed. They can also be adapted to your specific business needs.

Mobility and collaboration needs can be decisive in choosing the tool that will best help you.

Step 4: Set up and customize your online accounting software

To make the best use of it, your online accounting software must meet your expectations. This applies not only to the functions you choose, but also to the interface:

fill in all the fields relating to your company: company name, legal form, SIRET number, fiscal year opening and closing dates, tax status, etc.
Define your chart of accounts and customize your accounts,
define and customize your subsidiary accounts,
set up accounting journals such as purchase and sales journals,
choose your input mode: input by the kilometer, classic input, assisted and pre-parameterized input, and save time,
if the tool allows, configure the interface so that, for example, you have access to personalized dashboards on your home page and clear visibility of your accounts and cash flow at each connection,
create user profiles, adapting access rights (read, write, comment) as required.

Step 5: Share your accounting data with your accountant... or not

Companies can opt to outsource their accounting to a chartered accountant. However, this is not compulsory.

Online bookkeeping is the ideal solution for entrepreneurs and small businesses who want to avoid the expense of a certified accountant:

you can manage your accounting independently using an online tool;
you only need to call in a chartered accountant to present your annual accounts.

👉 The chartered accountant then acts more as a consultant, advising you on tax, accounting and strategic issues.

Online accounting software gives you direct access to your chartered accountant, facilitating communication and the exchange of information and documents.

How do you choose the right accounting software for your needs?

To help you make the right choice, ask yourself these questions:

what functionalities do I need?
- cost accounting only,
- estimate and invoice management,
- expense report management,
- cash management,
- annual accounts, balance sheet, income statement, etc.
what is my company's status? Self-employed entrepreneurs and associations, for example, have different accounting obligations.
what is my budget?
how many users does the accounting program have?
do I need my accounting software to interconnect with other tools (invoicing, CRM, HRIS, ERP, etc.)?
do I need to give access to my accountant?

Which online accounting solution is right for you?

Free online accounting software

Azopio simplifies the management of accounting documents: it lets you import, sort and classify your accounting documents to bring order to your accounting. Document dematerialization made easy.
Compta.com offers all the accounting functions you need to manage your business: accounting editions with export options in several formats, rapid data entry, data logging, general ledger import and export, etc.
Kiwili is a 100% online management solution for your business, including accounting: add expenses (one-off and recurring), track income and expenses, monitor due dates and cash flow, administer expense items, quotes and invoices, etc.

Professional online accounting programs

iPaidThat automatically collects your invoices directly from your e-mail inbox and your suppliers' websites, then extracts the data (date, amount, VAT, etc.), performs bank reconciliation thanks to synchronization with your account, identifies outstanding invoices or transactions with missing documents.
Itool Compta is an online management and accounting software package offering general accounting functions (tracking of expenses and income, real-time budgeting, etc.), management of quotes and invoices, and calculation of tax returns.
Numm is a Salesforce-compatible accounting tool that manages: accounting entry, bank reconciliation, forecasting with dashboards, cash and fixed asset management, etc.

Accounting tools for self-employed entrepreneurs

Are you self-employed and looking for inexpensive, or even free, online software to help you with your bookkeeping? Here are two alternatives to Zefyr:

Clic & Tag takes care of accounting, billing, dashboards and statistics to keep track of your company's finances.
Indy eliminates manual data entry, synchronizes with your bank and automatically classifies your bank entries in the appropriate accounting accounts; for self-employed professionals under the BNC regime.