Market Overview

The Business Accounting Software Market was valued at US$ 13.06 Billion in 2022 and is expected to reach at US$ 24.89 Billion by 2030 at a CAGR of 8.4% over the forecast period 2022-2030.

All business management sectors, small and medium-sized enterprises, and large enterprises are deploying accounting software solutions to manage their financial information, and the flexibility offered by accounting software has fueled the growth of the business accounting software market in recent years. Potential business accounting software can manage accounts and handle tasks related to accounting such as billing, and inventory/inventory. Accounting software is installed: Mostly, businesses install accounting software solutions to monitor financial transactions.

The greater flexibility offered by future accounting software solutions, such as efficient interoperability with customer relationship management, dashboards, and human resource management, allows financial analysts to handle full financial decisions and maintain a complete record of the company's transactions. In particular, flexible cloud-based construction is preferred by most companies recently because the system is operated transparently.

The Business Accounting Software Market has been recently published by Contrive Datum Insights to its huge database which helps to shape the future of businesses by making well-informed business decisions. It offers a comprehensive analysis of various business aspects such as global market trends, recent technological advancements, market size, shares, and new innovations. Furthermore, this analytical data has been compiled through data exploratory techniques such as primary and secondary research. Moreover, an expert team of researchers throws light on various static as well as dynamic aspects of the global Business Accounting Software market.

Significant Market Dynamics

Drivers

Increasing prevalence of streamlined billing and invoicing procedures

Invoicing are essential business procedures and the primary revenue generator for businesses. Managing invoices manually on paper is lengthy, error-prone, and cumbersome. When a particular user has recurring orders, it is impossible to create genuine invoices for each product a consumer purchases from that user. Without automated tools, reminding consumers of upcoming payments and monitoring bills is difficult. These issues are competently addressed by tax and accounting software, which also provides properties that facilitate invoicing. Consequently, the increasing prominence of streamlined invoicing and billing processes is anticipated to propel market growth over the forecast period.

Financial organizations have a growing demand for automated solutions.

Financial institutions' demand for automated accounting software has increased in recent years due to a number of factors. One of the primary motivators is the requirement for increased efficacy and cost savings. Automated accounting software can assist financial institutions in streamlining their accounting procedures, reducing errors, and enhancing precision. In addition, automated accounting software can assist financial institutions in meeting regulatory requirements and enhancing overall operational efficiency.

Expansion of demand for SaaS-based models

During the forecast period, the accounting software market is expected to be driven by a rise in demand for SaaS-based models.The SaaS-based model removes the need for manual system upgrades, as the vendors handle the process themselves. For example, the software is suitable for businesses with decentralized operations. System users at remote divisions or supply chain partner locations can log in safely and securely from any Internet-connected location. In addition, SaaS technology facilitates the consolidation of multiple accounting solutions into a single bundle.

Growing acceptance of Cloud-based business accounting software

The cost-effectiveness of cloud-based accounting software is driving its accelerated adoption. Cloud-based solutions are usually provided on a subscription basis, that can be more cost-effective for small and medium-sized businesses than traditional on-premises solutions. In addition, cloud-based solutions typically have lower initial costs, allowing businesses to save money on IT systems and maintenance.

Restraints

The high price and implementation of the product

The business accounting software market is constrained by the high price and implementation of the product.

Data confidentiality and safety issues

cyber security and data security issues are significant factors that are anticipated to impede market growth, prompting the need for additional security measures for data security and access to sensitive data.

Opportunities

Expanding adoption of innovative technologies

The growing acceptance of modern technologies such as the blockchain, hybrid architecture, artificial intelligence, and machine learning is anticipated to contribute to the market's growth during the forecast period.

Increased utilization mobile devices and app-based accounting applications

Increased enterprise and individual adoption of mobile and app-based accounting software is anticipated to generate lucrative growth opportunities for the market in the coming years. Mobile accounting applications for businesses will create new opportunities.

Key Market Updates

• April 2019: RMS partnered with M3, a cloud-based financial platform, to offer clients seamless hotel-management solutions. Hotels and resorts using M3 accounting and analytics technology now can integrate their property-management data from RMS for greater insight into operational performance.
• April 2019: Mobile bank Starling partnered with accounting software provider FreeAgent to help small business owners cut the time they spend on daily admin, digitize their finances, and relax about tax.
• October 2021: TaxBit introduces its ERP and subledger solution, the TaxBit Corporate Accounting Suite, in October 2021. The Corporate Accounting Suite augments TaxBit's tax reporting services by automating accounting and financial reporting for digital asset companies in a compliant manner.
• January 2023: Gnu Cash 5.0, which is free, open-source, and cross-platform accounting software for GNU/Linux distributions, was released in January 2023. In the forthcoming major update, the Actions menu will feature a new Stock Transaction Assistant. This feature permits the entry of stocks, bonds, and mutual funds.

Market Segmentation

By Deployment

In reference to deployment mode, the on-premise segment held the largest share of the accounting software market in 2020, and this trend is anticipated to continue throughout the forecast period. Companies prefer on-premise deployment models due to greater data security and fewer data breaches compared with cloud-based deployment models, which fuels the public and private sector demand for on-premise deployment models. In the future years, the cloud segment is anticipated to experience the greatest growth due to the increasing adoption of cloud-based accounting software as a result of its lower cost and easier maintenance. In addition, it offers flexibility and scalability to enhance business processes, which drives the expansion of the accounting software market.

By Software Type

The global accounting software market can be segmented by software type into commercial off-the-shelf, enterprise accounting, custom accounting, reconciliation, and tax management software. It is anticipated that enterprise accounting software will hold a significant market share by the end of 2018. However, it is anticipated that the tax management segment will grow at a significant rate during the forecast period, as the software can readily generate the tax filing reports required by businesses.

By Application

The manufacturing sector contributed to over 30% of the total revenue. The segment is anticipated to experience substantial growth due to manufacturers' growing need for automated business solutions. The retail sector is also anticipated to experience significant expansion over the forecast period due to the increasing global penetration and utilization of e-commerce portals. Automated marketing business applications have allowed merchants and e-retailers to decrease prices, automate processes, improve customer experience, increase operational efficiency and transparency while reducing errors and fraud, and improve time management.

By Vertical

Business Accounting Software Market is segmented based on vertical into BFSI, retail & e-commerce, manufacturing, IT & telecom, healthcare, government & public sector, energy & utilities, media & entertainment, and others. During the forecast period, the banking, financial services, and insurance segment is anticipated to hold a significant share of the market due to the fact that it will improve the operations and efficiencies of BFSI employees.

Regional Insights:

The use of business accounting software solutions is currently widespread in North America. More industrial, educational, and business sectors in the region require appropriate accounting management. Developed technology and time restrictions have prompted North American end-user applications to invest in business accounting software. Accounting software solutions are increasingly utilized by the healthcare, information technology, manufacturing, e-commerce, and retail industries to improve their bottom line.

 The economic conditions in North America provide additional support for investments in installation, maintenance, and other costs associated with efficient operations. The Asia-Pacific region is presently experiencing a higher development rate as a result of a greater adoption of cutting-edge technologies.

Geographically, the global Business Accounting Software market has been analyzed in various regions such as North America, Europe, Asia-Pacific, Latin America, Middle East, and India. The global region is dominating this market in the upcoming future.
Scope of the Report

Key Vendors

Microsoft The company's mission is to enable every individual and every organization to achieve more. They believe that technology can and should be a force for good, and that significant innovation contributes to a better future and present. Not only does their culture encourage inquiry, but it also embraces it. They make daily progress as a unit by being their genuine selves. They arrive with an all-knowing mindset. They show up to cheer on others, aware that their own success will not be diminished. Microsoft operates in 190 countries and is comprised of over 220,000 devoted employees globally.

Fresh Books is a software development company headquartered around Toronto, Ontario. 2003 marks the company's inception. There are between 500 and one thousand employees at the organization. The company specializes in SaaS, web applications, accounting, small businesses, invoicing, time tracking, expenses, freelancers, service professionals, invoices, and bookkeeping. Visit https://www.freshbooks.com/ for additional details.

Acclivity develops, distributes, and supports award-winning accounting, management, recurring billing, and point-of-sale software for small businesses on Macintosh, Windows, the web, and iOS platforms for clients in over 140 countries. It is a software development company founded in 2005 and based in Rockaway, New Jersey. Accounting Software, Point of Sale Software, Mobile Accounting Software, and Recurring Billing are among their specialties.

Intacct Sage announced its acquisition of Intacct in the the fall of 2017 as the cornerstone of its ongoing transformation into a leading SaaS provider. Since its founding in 1999, Intacct has become the foremost provider of cloud-based financial management software for small and medium-sized businesses. Intacct was a pioneer in introducing cloud computing to finance and accounting, and was designated the preferred provider of financial applications by the American Institute of Certified Public Accountants (AICPA), the world's largest accounting association.

Red Wing Software, Inc. develops, integrates, and supports the accounting and financial management requirements of small to medium-sized enterprises, agribusinesses and producers, municipalities, and non-profit organizations across North America. For more information on Red Wing Software products such as TurningPoint Accounting Software, CenterPoint Accounting Software, CenterPoint Fund Accounting Software, CenterPoint Accounting for Agriculture, and CenterPoint Payroll Software, please call 1-800-732-9402 or visit www.redwingsoftware.com. Together with its nationwide network of business associates, Red Wing Software, Inc. provides industry-leading service, as well as training, on-site installation, and software implementation. Their mission is to provide the finest management software experience possible by providing personalized service and focusing on customers' business objectives.

Market key players

• Microsoft
• Fresh Books
• Acclivity
• Intacct
• Red Wing Software
• Sage Group
• Zoho
• Xero
• Expensify
• SAP SE
• Oracle Corporation
• The Sage Group Plc
• Intuit Inc.
• Microsoft Corp
• ADP LLC
• CCH Incorporated
• Financial Force
• Paychex Inc.
• Deltek, Inc. 

Major Market Segments Covered

By Type:

• Commercial Accounting Software
• Enterprise Accounting Software
• Custom Accounting Software
• Reconciliation
• Tax Management

By Deployment

• Software as a Service (SaaS)
• On-Premise
• Hybrid

By Application

• Manufacturing
• Retail

By Vertical

• BFSI
• IT & Telecommunication
• Manufacturing
• Retail & E-commerce
• Healthcare
• Others

By Region

• North America
  • US
  • Canada
  • Mexico
  • Rest of North America
• Europe
  • Germany
  • France
  • Italy
  • Spain
  • UK
  • Nordic Countries
    • Denmark
    • Finland
    • Iceland
    • Sweden
    • Norway
  • Benelux Union
    • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia-Pacific
  • Japan
  • China
  • India
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia-Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America

Conclusion

Potential accounting software for businesses can manage accounts and perform accounting-related duties such as billing and inventory/inventory. Contrive Datum Insights has recently added a report on the Business Accounting Software Market to its vast database, which assists businesses in shaping their futures by making informed business decisions. Invoicing is an essential business procedure and the primary source of revenue for companies. Consequently, the rising popularity of streamlined invoicing and billing processes is anticipated to drive market expansion over the forecast period. Advanced technology and time constraints have prompted end-user applications in North America to invest in business accounting software. The healthcare, information technology, manufacturing, e-commerce, and retail industries are progressively utilizing accounting software solutions to improve their bottom lines.