The cloud based model empowers an organization to go for a pay-as-you-go model that could considerably reduce the amount of up-front fees. The fees charged by the vendor is proportional with the usage of the applications and would increase with the increase in its usage. Still, the fee would always be lesser when compared to the installed infrastructure on-premise model. Additionally, the concerns about the maintenance, servicing and other repairing or downtime due to failure is totally eliminated in this model. Based on the kind of application deployed, the fee may be significant if multiple integrations are required and data transfers from old legacy based systems is required for a smoother transition.
Financial accounting software enables automation of systematic operations to record the accounting data, measure its indicators, and report the financial activities of the company. The software is extremely vital tool for the accountants as it significantly reduces the paperwork for the accountants and brings in cost-effectiveness for the user of the software. In any business setup, where the financial accounting software has been implemented, critical bottlenecks in the accounting operations such as inaccurate audit information, or noncompliance with internal as well as legal standards and their requirements. Accounting software is always therefore viewed as an asset that cuts costs, and drives productivity.
As the conventional bookkeeping systems have been tedious for the individuals to maintain and timely notify the management regarding the drafting of tax reports, the need for a more effective solution to this problem had become much more imminent. The usage of financial accounting software eliminates the need for any human based dependence and thereby ensures in-time tax-friendly reports.
Globally, businesses are growing at a fastest rate which create a need for several software solutions in order to ease several business operations. Efficiently managed accounting system is important for any business to make the accounting process faster and smoother. On the basis of application, global financial accounting software market in divided into payroll management system, billing & invoice system, enterprise resource planning system, and time & expense management systems including others. The major features of billing and invoice system are creating customer records, predefined communication templates, currency setting, and invoice, payment, & tax report. The implementation of this system enables reduction in late payments, minimize missed payments, and maintain a professional image.
Currently, financial accounting software is a crucial part of any enterprise system for payroll management, cash management, tax management, inter-company accounting, and currency management including many others. These software provides organizations with improved optimization, speed, business reliability, and sustainability. On the basis of enterprise size, global financial accounting software market is categorized into small & medium enterprise (SME) and large enterprise. The global financial accounting software market by enterprise size was led by the SME segment in the year 2017 and is anticipated to continue its dominance during the forecast period by the year 2025.
New market initiatives was observed as the most adopted strategy in global financial accounting software market. Few of the recent market initiatives are listed below:
2018: Microsoft and Blackbaud announced a joint investment in Integrated Cloud Initiative for Nonprofits, which will help in accelerating innovation of cloud in the areas that address critical market needs across the mission lifecycle.
2018: Leading provider of equipment, technology and services to the global oil and gas industry National Oilwell Varco and Microsoft Corp. announced an agreement to collaborate on digitally enhancing NOV’s sales platform and field service operations to deliver premier experiences by leveraging Microsoft Dynamics 365 to streamline business processes, access real-time data and insights, and revolutionize field service operations with a digital, mobile-first approach.
2018: Walmart and Microsoft announced a strategic partnership to empower Walmart’s digital transformation in retail. Walmart chose Microsoft as its strategic cloud provider tapping into the full range of Microsoft’s cloud solutions.
The regional trends and factors influencing the Financial Accounting Software Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Financial Accounting Software Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2017 | US$ 4.35 Billion |
| Market Size by 2025 | US$ 10.37 Billion |
| Global CAGR (2017 - 2025) | 11.7% |
| Historical Data | 2015-2016 |
| Forecast period | 2018-2025 |
| Segments Covered |
By Deployment
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Financial Accounting Software Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Financial Accounting Software Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The List of Companies
1. MICROSOFT CORPORATION (MICROSOFT DYNAMICS)
2. ORACLE (HYPERION)
3. FRESHBOOKS, INC.
4. INFOR (INFOR CPM)
5. INTUIT, INC. (QUICKBOOKS)
6. LUCANET AG (LUCANET.FINANCIAL CONSOLIDATION)
7. ONESTREAM SOFTWARE LLC
8. IBM(COGNOS)
9. THE SAGE GROUP PLC (SAGE INTACCT)
10. WAVE FINANCIAL INC.
11. XERO LIMITED
12. ZOHO CORPORATION