Invoice software for Hong Kong

Accounting Software for Hong Kong (All You Need to Know)

What is Accounting Software for Hong Kong?

Accounting software for Hong Kong is a business software that is designed to keep financial data secure while also enhancing the overall efficiency of accounting functions and processes in Hong Kong. It is primarily used by accountants, bookkeepers and business managers to record financial transactions as well as reporting on business performance.

Although operational procedures, analytics and reporting features for the accounting software differ from brand to brand, it can be tailored to the type of business of the company. Generally though, the operational screen is usually divided into functional modules such as sales, receivables, receipts, purchases, payables, payments, cash and bank (investment) and reporting modules.

It is important to note that the sophistication of the accounting software will differ depending on whether the business is a large or small business. For a large business, a more sophisticated and integrated accounting software will be beneficial, whereas accounting software for small businesses with limited features will be sufficient to help keep track of the financial process.

Let’s now discuss how software can help small and large businesses in the execution of accounting procedures and formalities.

What Does Accounting Software do?

Accounting software generally comes with the following functionalities or modules:

In conclusion, accounting software has the ability to assist in each and every aspect of business management. Since accounting software can be tailored to each business, it should be noted that specialized software has been developed for different industries.

Let’s now discuss who should use accounting software and the different types of accounting software that are available.

Who Uses Accounting Software?

Accounting software are utilized by business managers, consultants, business owners, tax agencies, accountants and finance officers throughout the world. A great feature of this software is that data is stored securely on the cloud database and pertinent information can be retrieved through the internet easily and instantly.

This software proves to be a useful resource that enables the collection, storage, management, analysis and reporting of financial information. The main purpose of accounting software is to create an overall ease and efficient process of recording, storage and reporting of financial information and data.

However, not all accounting software is compatible with all types of businesses. Before a company considers attaining accounting software, consideration must be made about the functions and features of the software. Following, will be a discussion on the types of accounting software.

Types of Accounting Software

Some of the well-known types of accounting software are as follows:

Advantages of Accounting Software

There are numerous advantages of implementing accounting software which will now be discussed.

The main take away from this is that accounting software helps a great deal in the execution of business. Let’s now turn to describing it in more detail.

How Does Accounting Software Help in a Business?

The following attributes of the accounting software helps in efficient business execution:

Overall, the greatest feature of accounting software is that it saves time and increases productivity. Let’s now discuss how this is achieved.

How Does Accounting Software Improve Productivity?

Due to the fact that accounting software allows increased productivity in the administrative and accounting areas, this means that human efforts to complete the tasks are significantly reduced. Take an example of the calculation of profit and loss on the investment. Human efforts are not needed to produce these figures as the investment module of the accounting software takes care of this. The only requirement is that the values are entered into the software at the time of the closing of the accounting period.

There are numerous calculations that the system automatically performs, thereby reducing human efforts. These calculations include, depreciation, interest expense, amortization, provision for inventory, provision for bad debts, impairment, tax liability (subject to adjustments) and many more. In order to get the most value out of the accounting software, due care needs to be taken to ensure that the right software for the business is selected.

Following will be a discussion on the factors that should be considered when choosing an accounting software for the business.

Factors to Consider When Choosing Accounting Software

Firstly, there is a strong necessity to assess your needs when choosing accounting software. As choosing an accounting software means that a large commitment must be taken, it is crucial to understand how to assess whether you need the software for you business.

Once you have committed and made up your mind to implement accounting software, some consideration of additional factors must be made before choosing, which will now be discussed.

Do Small Businesses Need Accounting Software?

The answer to this question is generally going to be a “yes” because of the following facts:

What Accounting Software do Large Corporations Use?

Large corporations are known to use ERP that allows them to have higher integration and advanced automation. All the functions and modules of the software are interlinked to the extent that overall accounting and administrative functions are able to be done with speed. ERP can be customized depending on the needs of the business. Specialized modules can also be added if you have accounting related to some specialized area, which in turn leads to higher efficiency of the entire system.


Accounting software are used by businesses throughout the world. Its main aim and consequence is that the overall efficiency of the business processes are enhanced. Normally, the accounting software are divided into different modules which are linked with each other, while allowing automation of the overall processes for administration and accounting.

Accounting software can broadly reach all facets of the business processes. For example, it comes with the ability to create invoices, manage payables, manage receivables, banking, customer management, treasury management, asset management, vendor management, and so much more. It should also be mentioned that the functions and features of the accounting software are dependent on the level of the subscription. So if there is a need to have an advanced subscription, you will be rewarded with higher integration and automation.

Frequently Asked Questions

What is SaaS in accounting?

SaaS stands for software as a service. This kind of software is a service model whereby the customer is charged for every period that they use the service subscription. All the data can be accessed via the internet since the application is hosted on a remote server of the service provider. This means that the customer does not need to install the software in their hard drive.

Can software replace accountants in the future?

The answer to this question is “yes”. Although software can replace accountants in the future, there are some human elements that cannot be eliminated completely. Repetitive tests such as the input of journal entries and other tasks can be automated and an accountant may not be needed. However, there are subjective areas where human skills are always needed.

How much does accounting software cost?

Depending on the subscription level that the business has with the service provider, it can cost anywhere from HK$70 upwards to HK$500,000+ per month. The cost will also depend on how advanced a system that the business would prefer.

What is an integrated accounting system?

An integrated accounting system is a software where accounting and operational modules of the software are interlinked with each other. Since, the output of one module is used as input for the next, the overall efficiency of the accounting functions and business processes is greatly increased.

What is cloud-based accounting software?

Cloud-based accounting software means that your accounting data is stored on a remote server. In order to access the data that you require, there will be a need to reach the remote server via internet protocol. It is also important to note that the company providing the accounting software services is responsible for server maintenance and security.

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Simple small business accounting software for Hong Kong: Try it free

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