Online accounting for very small businesses
EDITED November 2, 2011: we originally said that Sage One could not split customer payments between invoices. It can, and the review has been edited to reflect this.
Bookkeeping is no-one's favourite task, and it is not helped by complicated accounting software. Sage One is a web-based accounting service for sole traders or small businesses with few employees. It's aimed at people daunted by other software, and for the most part it succeeds.
Sage One is completely browser-based (through all major browsers on Windows and Apple) there is no nothing to install, and accounts can be accessed from any internet-connected computer. There are two packages – Cashbook (£6 per month), which is for purely cash-based businesses, and Accounts (reviewed here) for sole traders and small businesses who need invoicing or VAT accounting facilities, but not advanced features such as multi-currency support.
After filling in the basic details the user enters starting balances and outstanding invoices, or new businesses can simply set up bank account and customer details.
It can create a portfolio of standard products and services, speed up invoice creation, and add customers and suppliers to the contacts book. All VAT accounting schemes are supported, including the VAT3 scheme for Irish residents, and it can reconcile bank statements.
A summary screen shows the financial state of the business, and standard reports, such as profit-and-loss, are easy to create. Professional-looking invoices (there are four customisable templates) can be printed or emailed, and standard credit terms added.
Repeating expenses can also be created. Initially we found it impossible to split a customer payment between multiple invoices, forcing you to record payment for each invoice separately. However, we eventually found that batch payments are possible, but the method is not at all obvious as it uses a hidden checkbox that only appears when you select an outstanding invoice.
Accountants using Sage One can be invited to view your accounts remotely, which is useful for sorting out queries or doing end-of-year tasks. Transaction history can be exported in CSV format, but there is no way to import data from other accounting packages.
We liked the uncluttered website and clear explanations of what is needed in each form or screen. It doesn't assume any accounting knowledge and mostly managed to avoid jargon. A help button is available on every screen, the help section has video walkthroughs for most tasks and free telephone support is included in the price.
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Our verdict
For small businesses or sole traders with straightforward needs but no accounting knowledge, Sage One is well worth trying
Simple to use; jargon free; excellent online and phone help; good-looking invoices
Some deficiencies in payment handling; no offline mode; no data import facility
Best price on the web
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Customer Payments on Multiple Invoices
Hi Kelvyn, I am a current SageOne user. I think a section of your review is incorrect. To pay multiple invoices you simply need to tick the invoices you wish to pay within the sales invoices tab. An option then becomes active to record a batch payment. A feature I use constantly.
Posted by James Carcillo, 02 Nov 2011