What Every Accounting Firm Should Know About Practice Management Software

It is well-known that practice management software has become a necessity in the accounting and bookkeeping industry, as this system assists firms with gaining efficiency and productivity. Some accountants might have strong opinions on the best software for their business, but what if you don't know where to start? In this article, we will show some of the aspects that are important when scouting for a practice management solution for your accounting firm.

So, what is Practice Management Software?

Practice management software is a tool or application that helps accounting firms manage their workflow and client data. This type of software can be used to automate tasks, keep track of deadlines, and help with client communication. There are many different types of practice management software available, so it is important to choose one that fits the needs of your accounting firm.

Accounting Software and Practice Management Software: What's the Difference?

As an accounting firm, you may be wondering what the difference is between accounting software and practice management software.

Accounting software is typically used to track and report on financial transactions. This can include income and expenses, as well as invoicing and receivables. Practice management software, on the other hand, is designed to help businesses manage their day-to-day operations. This can include tasks such as billing, managing client information, and tracking time spent on projects.

Why Use Practice Management Software?

If you're an accounting firm, chances are you're always looking for ways to improve efficiency and boost productivity. One way to do this is by using practice management software.

Practice management software is designed to help firms streamline their operations, from managing projects and client data to tracking time and billing. By using a practice management platform, firms can save time and money while reducing the potential of making decisions on outdated data.

There are a variety of practice management software packages available on the market, so it's important to choose one that's right for your firm's needs. To help you make the best decision, we've compiled a list of features to look for in a practice management system:

Client data management: The ability to store and track client information, including contact details, case files, and financial data.
Document management: The ability to store documents online, as well as share them with clients and team members.
Project management: The ability to track deadlines, assign tasks to team members, and generate reports on project progress.
Timesheets: The ability to track billable and non-billable hours worked on each project
Billing and invoicing: The ability to bill clients and send invoices from the platform.
Integration: The ability to integrate into your existing accounting software.

Practice management software such as Digital Practice is a great example of this because not only do you get all of the above but you also get embedded HR, meetings, video conferencing, and all-around performance management functionality.

How to Choose a Practice Management Software System

When it comes to choosing a practice management software system for your accounting firm, there are a few things you need to take into consideration. Here are a few tips on how to choose the right system for your firm:

Determine your needs. The first step is to assess your firm's needs and requirements. What features are you looking for in a practice management software system? Make a list of must-haves and nice-to-haves to narrow down your options.
Compare features and pricing. Once you know what you need, you can start comparison shopping. Look at various systems and compare their features and pricing. Make sure to get quotes from multiple vendors to ensure you're getting the best deal.
Consider ease of use. When it comes to practice management software, ease of use is important. You don't want something that's overly complicated or difficult to use. Make use of free trials, if available, of each system you're considering to get a feel for how easy it is to use. Try out the Digital Practice free trial here.
Get feedback from employees. Your employees will be using the practice management software on a daily basis, so it's important to get their feedback during the selection process. Ask them what they like and don’t like about the software.

While practice management software can be beneficial to your accounting firm, it's important to choose the right one for your needs. If you're looking for a way to streamline your firm's operations and improve efficiency, then Digital Practice may be the best option for you. Try out the Digital Practice 30-day free trial here