As a small business owner, knowing where your money goes is key to your company’s growth. Thankfully, there are plenty of tools designed to help you create and manage your business budget. Here are some key features to look for in your budgeting tools, as well as some top solutions to consider.
What to look for in budgeting tools
Learning how to create a budget—and manage it effectively—can be easier with certain capabilities built into budgeting tools. A few key features to consider when looking for the right software for your business include:
- Automation: Budget tools with automation features often make it easier to create and monitor your budget. The integration of financial systems allows you to see the big picture of your finances without having to jump to different locations.
- Forecasting: With real-time data analytics built into software, small business owners can have financial predictions at their fingertips. Forecasting can help pinpoint issues in your business model and create plans for future challenges.
- Recurring payment tracking: Software that tracks your recurring expenses helps you ensure positive cash flow for your business. The feature can also potentially help you reduce expenses and avoid late fees.
- Security: Amidst damaging (and costly) data breaches and cybersecurity threats, security within your budget tools can protect your business’s data-sensitive information. This feature can not only protect your business’s data, but your clients’ as well.
- Expense categorization: Automatic categorization of all of your business expenses can be a great timesaver, splitting expenses into categories based on the payment description. Using this feature can be helpful when you need to cut costs but aren’t sure where to start.
- Support levels: Navigating new technology can be tricky, so solid support through helpful online tutorials and a responsive customer care team can be a lifesaver. This ensures you can actually use the tool effectively and make smart, data-driven decisions for your business, getting the most bang for your buck.
Choosing the right budgeting tool for the unique needs of your business is a big decision. Think about your current budget—how much can you realistically spend? Also, consider what your business needs right now, as well as what you’ll need in the future. Will the tool still work for you if your business takes off and grows? Scalability is key.
[Read more: How to Use Accounting Software to Generate Accurate and Timely Financial Reports]
Tools to help manage your business budget effectively
There are numerous budget tools on the market today, but small business owners need to choose the right software for their business budgeting needs. Here are a few options to get you started.
Budgeto
Budgeto is a cloud-based budgeting and forecasting software designed specifically for small businesses. It aims to simplify financial planning and provide actionable insights, making it a good fit for small business owners who may not have extensive financial expertise.
In addition to forecasting capabilities, Budgeto's advanced features allow users to track KPIs and facilitate “what-if” scenario planning. This helps business owners make informed decisions about pricing, hiring, and more. Budgeto offers several pricing plans based on business size and needs, including a free trial. Paid plans provide access to more advanced features, such as multi-user access and priority support.
Freshbooks
Freshbooks’ cloud-based software is easy to use and affordable. Ideal for small businesses with 50 employees or fewer, the software has an intuitive interface that can help small business owners better manage and understand their finances in a single view. You can review your budget, conduct forecasting, categorize expenses, and more on-platform. Freshbooks even allows users to download and categorize bank statements for easier reporting.
Freshbooks offers various pricing tiers, from basic plans for solopreneurs to premium options for more robust small businesses, with features scaling accordingly. Beyond core budgeting tools, Freshbooks also boasts an app store for further integrations and offers dedicated customer support, which can be invaluable when it comes to financial management.
Jirav
Jirav is a financial planning and analysis platform that’s particularly useful for businesses experiencing rapid growth or those requiring more sophisticated forecasting than basic budgeting tools offer.
Jirav's key features for small business budgeting include forecasting capabilities, allowing users to create detailed financial models and explore various scenarios. The tool integrates with popular accounting and CRM systems, automating the import of data and reducing manual effort and potential errors. Jirav also offers customizable dashboards and reporting tools, providing an overview of key metrics and facilitating data-driven decision-making.
Jirav’s website has more information about its tiered pricing plans based on company size and features, as well as a free trial.
[Read more: Accounting Basics Every New Business Owner Should Learn]
With real-time data analytics built into software, small business owners can have financial predictions at their fingertips.
LivePlan
LivePlan is a business planning software that guides users through creating a comprehensive business plan, including detailed financial forecasts. It's geared toward entrepreneurs and small business owners, particularly those seeking funding or needing a structured approach to planning and financial management.
LivePlan's budgeting tools are integrated within the business plan creation process. Users can develop financial projections, track progress against those projections, and create visual dashboards to monitor key metrics. The software also provides access to expert advice and resources, which can be particularly helpful for those new to financial planning.
LivePlan offers different subscription options, including monthly and annual plans, with frequent promotions and discounts for new users.
QuickBooks
Considered by many as one of the most popular accounting and budgeting tools for small businesses and entrepreneurs, QuickBooks is centered on expense management and efficient budgeting. In addition to offering a mobile app, QuickBooks is designed to help business owners handle banking, payments, payroll, and bookkeeping in one convenient place. With integration capabilities, you can understand the full scope of your finances by linking to your bank account, credit cards, and other apps. QuickBooks even offers online training and helpful tutorials to educate you on the software.
QuickBooks offers a range of subscription plans tailored to different business sizes and needs, from self-employed individuals to more established small and medium-sized businesses (SMBs). In addition to core accounting features, the platform provides extensive reporting capabilities, giving businesses valuable insights into their financial performance. QuickBooks has also begun incorporating AI-powered money management tools to help automate tasks and further optimize financial decisions.
Scoro
For businesses that want an all-in-one system, Scoro offers budgeting features combined with CRM and project management tools. Users can take advantage of budget planning, forecasting, invoicing, financial reporting, and data analysis. The software even has a financial KPI dashboard so you can see how your business is doing based on your strategic goals and make cuts to your budget where needed.
Scoro offers tiered pricing plans, typically based on the number of users and features needed. Beyond budgeting, Scoro streamlines operations with features like workflow automation and project estimating, enabling businesses to manage projects and finances in one integrated platform.
Xero
If your company is already equipped with Xero’s accounting software, you can take advantage of the platform’s basic budgeting tools to manage your finances. Alternatively, if you want to arm your small business with software like Xero that doubles as an accounting and budgeting tool, you can save yourself the trouble of adding another solution in the future. Xero allows you to track spending, create budget reports, and generate forecasts.
Xero offers several pricing plans designed for different business sizes and needs, from starter plans to more comprehensive options. Beyond budgeting, Xero integrates with a wide range of apps to extend its functionality, and it provides online customer support to assist users with any questions or issues.
[Read more: 8 AI Tools to Improve Financial Planning for Your Business]
Kaytlyn Smith contributed to this article.
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