What makes a good business and finance software vendor?

Today’s software providers can offer you so much more than functionality and a good deal. Choose right, and you can ensure you’re the first in line to benefit from new technology. Not only that, you’ll gain a partner who really understands your business and who can advise on ways to make it better.

1. Find a good vendor

So how can you choose a vendor that's right for your company? It all starts with research and that normally begins online. Any vendor worth its salt will have a good website, however, there are many great websites dedicated to independent reviews of finance software.

Attending exhibitions and trade shows are also a good way to get a real feel for whether the vendor is right for you. When doing your research, ask yourself the following questions:

• Does the vendor offer a full product portfolio providing the necessary functionality to cover every area of our business?
• Does the vendor have a solid track record? Has the organisation been trading for a number of years?
• Does the vendor invest heavily in R&D? Clearly, this is critical to ensure that the vendor is providing the very latest in cutting edge technology.
• Does the vendor have obvious ties to reputable bodies that matter to my industry? For finance software, this would be BASDA and the ICAEW.
• Is the vendor recognised within its industry for excellence? A company that has received software awards could be evidence of a commitment to many things that matter to you - such as innovation, functionality, reliability and customer service. (Check out the Accountancy Age Awards or the SIFT Media Software Satisfaction Awards).
• Are customers willing to publicly endorse their software vendor? Can you download named customer case studies from their website?
• What evidence is there of the vendor's track record within your sector? Can you get a feel for their expertise in a variety of industries?
• Where is the software developed? If your company runs its finances in the UK, then you will need UK focused software. While you shouldn't automatically rule out solutions developed outside of the UK, you need strong evidence that it meets UK regulations since it may have been set up to cater for different accounting standards.

2. Send out RFI

Having selected potential vendors, contact them with a Request for Information (RFI). An RFI is a formal document based on the list of requirements you put together in the business case.

The quality of responses you receive at this stage is a strong indicator of the vendor's dedication to you if you become a customer. Once all responses are in, you can start to whittle down a shortlist of those packages you'd like to demo. The vendor should get back to you quickly and agree a demo at your site, at a time that suits you.

3. View product demos

The vendor should give you confidence throughout the demo, expect to see the software demonstrated using real life scenarios with your data.

The vendor should understand the way your entire business works in order to find a solution structured around your core business processes.

4. Investigate consultancy

It's very important to understand how the chosen partner would go about implementing, modifying and supporting your new system. Here are some pointers to check for:

Pre-sales consultancy

If you've reached this stage of the process, then you should be confident in the vendor's ability to understand your needs.

Project management

The best providers offer a range of project management services for new installations. An allocated consultant should work closely with your own team to ensure that every aspect is properly considered, carefully planned, and well executed.

Software configuration

When your new system is in place, experts should configure it to your precise business needs with minimal disruption to your business activities. Highly experienced technicians should work closely with your project manager to ensure configuration proceeds to schedule.

Report writing

Better software programs come with a variety of conventional (printed) reports and onscreen reports as standard. Both types of report should be configurable and customised to meet any complex or unusual reporting requirements.

Implementation

The main aim for any software provider should be to get your new system up and running in the shortest time possible, and with the minimum of disruption to your daily activities. Advanced planning is critical to this process and, following confirmation of your order, good providers should put you in contact with a project manager. He or she will agree and plan a schedule for implementation, taking into account the time needed to transfer your existing data, and to configure your new system for maximum impact and ease of use.

Training

Providers should propose a range of structured training programmes, including classroom, on-site, and one-to-one tuition in order to offer the training that best suits you. Good providers carefully tailor training schedules to ensure that individual members of staff are relaxed and confident with the functionality they'll be using on a day-to-day basis.

Post-implementation review

After a suitable period of live running, reputable software providers carry out a thorough post-implementation review. This ensures that your system meets all your key objectives and is continuing to operate correctly.

Support

All software is supplied with an annual support contract. Good vendors will ensure that you are automatically entitled to updated versions of the standard software, with enhancements introduced to meet legislative changes. Find out how the support centre is resourced and what are the opening hours?

5. Place contract

Once you've made your final decision, you will need to formalise the deal in the form of a contract. Beware of hidden costs, such as the vendor's expenses, mileage, and travel time charges and make sure that your requirements are part of the contract.

If you've followed the advice in this guide, this should be a straightforward process with no nasty surprises. Good luck!