Maybe you’re looking to streamline your accounting processes, enhance team collaboration, or automate manual tasks, and you’ve decided to invest in an accounting practice management tool. It’s a smart move—and one that many accountants and tax professionals are adopting.

The numbers back this up too. 95% of practices surveyed by Xero now use some form of cloud-based software within their practice for bookkeeping, practice management or accounts production and tax (tasks).

The shift toward automation is transforming how firms operate by saving time and resources. For example, 45.8% of firms reported spending 1-5 hours scheduling and assigning work manually, while 45.5% spent the same amount of time reviewing and updating work statuses.

With the right tools, you can automate these repetitive processes, boosting efficiency and allowing you to dedicate more time to serving clients and growing your business.

However, with so many options on the market, choosing the right software can feel overwhelming. Selecting the wrong tool can disrupt your workflows, strain client relationships, and negatively impact your profitability, making it a very important decision.

To help you out, we’ve outlined five common mistakes accountants and tax professionals often make when choosing an accounting practice management tool—and how to avoid them. With these insights, you’ll be able to select a solution that aligns with your firm’s needs and works for you.

Mistakes to Avoid When Selecting an Accounting Practice Management Tool

The first thing to keep in mind is there’s no perfect software.

No software is going to solve all your problems. There’s always going to be some limitation"

Stacey Feldman, Full Send Finance

But this doesn’t mean you should just pick any tool. “You have to go through the vetting process to find the software that hits the majority of boxes that you need at your firm, running with it and solving those gaps elsewhere,” she concludes.

With that in mind, here are some of the mistakes to avoid during this process.

Ignoring Ease of Use and User Experience

Your chosen software should be easy to use and intuitive for your team and clients. Imagine onboarding your team to a tool with a confusing interface or poorly designed workflows. You’ll waste a lot of time training them, which reduces their productivity and causes frustration.

Now, think about your clients. If the software includes client-facing features like portals or document-sharing tools (which it absolutely should), those should be simple and straightforward to use. If not, it can affect your working relationship, cause low adoption, and result in more time spent troubleshooting rather than focusing on their needs.

This is where practice management software like Financial Cents stands out. It’s user-friendly and easy for teams to adopt and use effectively. That’s why users give it a 4.9/5.0 ease-of-use rating on Capterra. It’s advisable to choose a tool with similar ratings and reviews to get the most out of it.

Overlooking Automation Capabilities

One important feature to look out for is the tool’s automation capabilities.

If you’re a firm looking to scale or even a solopreneur, you should be looking to embrace a few critical pieces of automation and technology even at the baseline because, without it, you’re probably spending a lot of time that you could be allocating towards other more exciting things in your firm,"

Andrew Seguin, Seguin Financials

Accounting firms perform countless repetitive tasks, such as scheduling recurring deadlines, sending client reminders, assigning tasks, and tracking project progress.

Without automation, these tasks can quickly consume valuable time and increase the risk of errors or missed deadlines. But with automation, your team can reclaim their time so they can focus on higher-value activities like client advisory services and strategic planning.

For instance, a tool like Financial Cents automates the collection of client documents and sends automated reminders to clients. This ensures your team receives the necessary documents on time without extra effort and reduces the likelihood of missing deadlines. 45.5% say receiving documents from clients has become fast since implementing workflow automation, according to our 2024 report.

So, when evaluating accounting practice management software, prioritize those that offer detailed automation features.

Not Considering Scalability

It is the hope and goal of every business to grow and scale. And when that happens, you need a practice management tool that can grow with you. “Your business is going to continue to change, so you need to make sure you’re picking those software and automation tools for scalability as well,” says Stacey.

A solution that works well for a small team might struggle to meet the demands of a larger, more complex organization. For example, as your client base increases, you’ll need a tool that can handle more projects, more users, and a higher volume of data without compromising performance.

Additionally, scalable software often includes advanced features that become essential as your firm grows, such as enhanced reporting, integrations with other tools, or increased storage capacity.

Failing to consider scalability can be expensive down the line. Imagine investing significant time and money into implementing a tool, only to outgrow it within a couple of years. This disrupts your operations and affects your team’s productivity and client satisfaction during the transition period.

Look for software that supports your firm’s current needs while offering the flexibility to adapt as those needs evolve.

Overlooking Core Features

A good practice management software should be able to help with most of your firm’s operations, so you don’t have to use and switch between multiple tools to handle different tasks. This saves you money, time, and improves efficiency.

Here are some essential features to look for:

Choosing Based on Price Alone

It’s wise to have a budget and aim for cost-effectiveness, but price shouldn’t be the major reason for your decision. While a lower-cost option might seem appealing initially, it might come with limitations like bugs or poor support that can hinder your firm’s operations and growth.

Instead of focusing solely on price, consider the value the software provides. Ask questions like:

  • Does it include the essential features my firm needs to operate efficiently?
  • Will it scale as my client base and team grow?
  • How much time and effort can it save my team through automation?
  • Does it provide reliable support and regular updates?

Your software is a long-term investment in your firm’s success rather than just another expense, so you have to think about more than just the cost.

Recommended:

The Best Accounting Practice Management Software Options in 2025

Tips for Selecting the Right Software for Your Firm

Here are a few tips to help you select the best software for your firm.

Identify Your Firm’s Specific Needs

Stacey advises not to jump into different software too quickly because there is a cost associated with that. “So you have to be thoughtful about what benefits it provides. Is it worth it for my firm? Does it benefit my team?” she says.

Have an actual process to assess new software to ensure it’s hitting those key points that are issues within your firm."

In other words, it’s all about your firm’s needs. Analyze your current processes to determine your pain points, time-consuming tasks that can be automated, non-negotiable features, etc.

Engage your team in this process, as they will use the software daily. Ask for feedback on their workflow challenges and the features they believe would make their work easier. Similarly, consider your clients’ needs and what would benefit them.

By pinpointing your firm’s specific needs upfront, you’ll be able to focus on solutions that address these requirements rather than being swayed by flashy features or overly broad tools that don’t serve your purpose.

Prioritize Must-Have Features

After identifying the non-negotiable features you need, prioritize them in any software you’re looking at before considering any bonus features.

For example, a robust workflow management system should top your list if your team struggles with disorganized workflows. Similarly, if your clients are skeptical about sending their documents via email for security reasons, you need a client portal for secure file exchanges.

Doing this will narrow down your options and ensure you choose the right one for you.

Read Reviews and Case Studies

Check what real users like you are saying about the software before purchasing. Platforms like Capterra, and G2 are good for these—you can find reviews and honest feedback on them.

If you can also find detailed case studies online, even better. Learning how others experienced the product will help you make an informed decision on the practice management tool.

Test it Out with a Free Trial or Request a Demo

Most software will offer a free trial of some sort. Take advantage of it. Test its key features, assess ease of use, and see how well it integrates into your existing workflows. This hands-on experience is invaluable for identifying potential issues, like unintuitive navigation or missing functionalities, before making a purchase.

If they don’t offer a free trial or you want more guidance, request a demo. The software provider’s team usually guides demos and can give you a comprehensive overview of the tool’s features and capabilities.

During the demo,  ask specific questions about features critical to your firm,  request to see how tasks are performed, and clarify any concerns about customer support, training resources, or scalability.

Include your team in the testing or demo process, especially those who will frequently use the tool. Their feedback will provide valuable insights into how well the software fits your firm’s needs and whether it’s user-friendly for daily operations.

Consider Customer Support Quality

No matter how intuitive or feature-rich a practice management tool is, there will be times when you need help, whether it’s troubleshooting an issue, learning how to use a new feature, or resolving a technical problem. This is why you should always look for tools with great customer support.

Review Pricing Models and Hidden Costs

When using some tools, you start out with what seems like an affordable price, only to discover later that essential features or services come at an additional cost. This can quickly escalate your expenses and strain your firm’s budget. So before moving ahead with any tool, you need to understand their pricing structure and hidden fees like additional charges for increased storage, advanced reporting, or integrations with other software. Ask the provider if you’re unsure or unclear about any cost. Also, choose vendors that provide clear and detailed pricing information upfront so you’re not caught off guard by unexpected charges.

Why Financial Cents Just Makes Sense for Your Firm

Financial Cents is designed with accounting, bookkeeping, and CPA professionals in mind. It offers everything your firm needs to stay organized, collaborate efficiently, and grow seamlessly. Here’s why you should consider Financial Cents for your firm:

All-in-one practice management software

Financial Cents combines all the tools your firm needs in one place, eliminating the hassle of juggling multiple tech stacks. Some of its core features include:

  • Workflow Management: To create, assign, and track tasks to ensure everything gets done on time.
  • Billing and Invoicing: To automate invoicing and get paid faster.
  • Client Portal: To interact with clients, allowing them to securely upload and download documents.
  • Time Tracking: To monitor billable hours to maximize profitability.
  • Document Management: To organize and store files securely in one centralized location.
  • Recats: To manage uncategorized transactions and save hours every week.
  • Collaboration Tools: To keep your team aligned with built-in communication tools and real-time updates.

Easy to Use and Quick to Implement

Financial Cents has an intuitive interface, which means your team can start using it with minimal training, saving time and reducing the learning curve. Whether you’re managing workflows, tracking time, or communicating with clients, the software makes it easy to stay on top of tasks and deadlines.

Scales With Your Firm’s Growth

Financial Cents grows with you. Whether you’re a small firm with a few clients or rapidly scaling your operations, our software can handle your needs at every stage. So, add users, manage more clients, and expand your operations without worrying about outgrowing your tool.

Great Customer Support and Community

At Financial Cents, we’re not just a software provider, we’re interested in helping you grow and succeed. Our dedicated support team is always ready to assist, ensuring you have the help you need when you need it.

Additionally, we have a community called FC User Group on Facebook, where users connect, share tips, and provide feedback. It’s a supportive community that helps you get the most out of Financial Cents. Join here.

snapshot financial cents user group on Facebook

Cost Effective

Starting from $19 per month for solo users and $49/user per month for 2+ teams, Financial Cents is one of the most fairly priced options in the market, especially considering all the features you get. It also helps you save money by consolidating multiple tools into one comprehensive solution.

Users Love Us

Over 1,500 accounting, bookkeeping, and CPA firms use us, and they all have great things to say like:

  • “100 out of 10! My team loves it! It helps them to stay on track with their task and manages all client info in one place,” Jennifer, CEO and Founder.
  • “Financial Cents is easy to use, gives me the ability to create detailed processes, and attach all of the information I need to clients and projects. I can get a task list with a few clicks, so it helps me understand the work I need to do for the day and week, and helps me see if I’ve missed anything,” Dina, Owner and Bookkeeper.
  • “Financial Cents is on the ball!!! After starting my bookkeeping firm a year ago, I spent hours and weeks evaluating a tech stack that would meet my needs. After a few failed attempts at other solutions, I landed on Financial Cents and haven’t looked back! They know how to stay on top of feature updates that are meaningful and useful, and are embracing AI which was a must for me when selecting a platform. It’s been a wonderful deployment and implementation and I’m excited to use more of the features as my firm grows,” Pam, Bookkeeping firm owner.

You can also see detailed case studies here.

Ready to organize your operations and stay on top of client work? Try Financial Cent’s 14-day free trial today.

Use Financial Cents to manage your practice. Book a Free Demo