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What is General Ledger Accounting Software?

Accounting software is crucial for financial planning and tracking in your business. But is general ledger software right for you? You will find everything you need to know to make your decision in this comprehensive blog.

What Is General Ledger Software?

General ledger software is a system designed to help businesses easily and conveniently manage their financial data. It serves as a company’s foundation for financial reporting, planning, and compliance.

Also commonly referred to as GL software, general ledger systems allow companies to track financial transactions such as sales and purchases as well as invoices and receipts.

General ledger software is also commonly used to consolidate this data into financial statements and reports that allow business leaders to forecast and manage their finances.

Benefits of Using General Ledger Accounting Software

In the past, accountants had to spend long hours manually inputting data and transactions, which was not only time-consuming but also highly prone to errors. However, the introduction of general ledger accounting software revolutionized the industry.

Accounting teams no longer have to spend valuable time doing complex manual account work and correcting errors. Instead, by using general ledger software, accounting has become much more effective, accurate, and error-free.

It also provides accounting teams with the ability to create reports and forecasts at the click of a button. This allows businesses to operate and make decisions much more rapidly.

General Ledger Software: Benefits At a Glance

Fewer accounting errors
Reduced manual labor
Centralize all financial data in one system
Automate entries
Real-time financial reporting
Improved compliance
Scalable
Streamline processes

Does General Ledger Software Qualify as an ERP?

General Ledger software and Enterprise Resource Planning (ERP) systems are used for similar functions, but they are not the same. They primarily differ from one another by the number of features and capabilities that they offer.

For example, general ledger software only deals with the financial side of your business. In contrast, an ERP is a much broader platform that encompasses financials together with aspects of running a business like inventory management and human resources.

Best General Ledger Software 2024

When it comes to choosing between general ledger software and ERPs, the decision is clear. ERP systems can do everything general ledger software does, and so much more.

Similarly, when it comes to ERP systems in the United States, one choice stands out from the rest—XLedger.

Our online ERP software is an all-encompassing solution with an unparalleled customer-centric approach. We’re a category leader that specializes in automating accounting processes, streamlining financial operations, and connecting all aspects of a business in one place.

We invite you to take a product tour and explore all of the features our world-class ERP has to offer. Free your finance team from tedious and repetitive accounting tasks and contact us today.

Want to Learn More About ERP Systems?

Check out these value-packed resources:

XLEDGER: A STEP BEYOND QUICKBOOKS

Growth and Complexity: from Quickbooks to Xledger

If you or a predecessor started your organization on Quickbooks, then you understand the design behind Intuit’s product. Low in price, easy to implement, and universal among small CPA firms, Quickbooks has conquered the accounting software market for small businesses.