5 Best Reconciliation Software: How to Choose?

Reconciliation is a non-negotiable process for any business. For some, it’s streamlined and fluid. For others, it’s a stress-inducing and time-consuming process that takes longer than it should. If your business falls into the latter category, then you can easily move into the former by using the best reconciliation software on the market.

In this article, we will cover the best account reconciliation software for all types of reconciliation you have to perform for your month-end close.

Coming Up

What is Reconciliation Software?

What Features Should be Included in Reconciliation Software?

How to Choose the Best Reconciliation Software?

What is the Best Reconciliation Software?

What are the Benefits of Reconciliation Software?

The Bottom Line

What is Reconciliation Software?

Reconciliation software replaces the need for manual labour by enabling account reconciliation automation. The best reconciliation software connects together all of your system, including legacy systems, so that your data is centralised and ready-to-use.

Besides the data collection and data cleansing aspect, reconciliation software will then perform transaction matching much faster than humanly possible with immense accuracy.

With software like SolveXia, you can easily steamline and standardise your reconciliation process while maximising your team’s efficiency.

What Features Should be Included in Reconciliation Software?

When you’re shopping for the best account reconciliation software, you’ll come across a fairly long list of strong contenders. In order to make the most informed decision, keep in mind this list of features to look out for.

With this checklist of features in your hands, you’ll be able to make your decision confidently:

1. Cloud-Based

Software-as-a-service solutions that are built in the cloud provide your team with greater accessibility for wherever they are when they perform their duties.

While you can go forward with an on-premise solution, a cloud-based solution offers greater flexibility, smoother product updates, and improved security measures.

2. Reporting

You're familiar with accounting tools, so you already know the value of reporting capabilities. Account reconciliation software is no different.

With the ability to generate and automate reports, you can keep track of your business’ transactions without extra manual labour needed. Additionally, you can oversee any unreconciled accounts and transactions easily to manage your data optimally.

3. Matching Techniques

Since cross-referencing sits at the heart of account reconciliation, your chosen tool should be able to perform transaction matching with adaptability. Whether you want to write your own matching rules or leverage those provided by the system, this functionality is integral.

4. Ease-of-Use

The reconciliation process often moves through various hands. It’s best to choose a tool that everyone can easily learn how to use. This has to do with both the user interface, as well as the support and resources offered by your provider.

How to Choose the Best Reconciliation Software?

Whether you’re looking for reconciliation software for banks or for businesses, there are some considerations to keep in mind when comparing the pros and cons of each option.

The key factors worth reviewing include:

1. Cost

Undoubtedly, a key decision-maker is the cost of the software itself. However, when you are comparing costs, think about both the opportunity cost and cost of errors that manual reconciliation causes to your business as well.

This should be part of what you factor when choosing your tool. At the same time, don’t forget about any setup, upgrade, or maintenance fees that may be a part of the software.

2. Security

Another factor at the top of the list is security. Since you’re managing your business’ finances, accounts, and transactions, security is of primary importance. For any vendor you select, review its security measures, such as access controls and encryption protocols.

3. Features

Review the features list of every software option. Check for automation abilities, reporting, scalability, analytics, and integration with existing and new technologies.

What is the Best Reconciliation Software?

We’ve made it to the moment you’ve been waiting for: a review of the top 5 best reconciliation software.

SolveXia

SolveXia is more than a reconciliation software. It’s a digital work platform that enables finance automation. When you utilise SolveXia for reconciliation, the software pulls information from any easily connectable system and ingests it in any format to then perform complex data matching.

This is especially useful when you’re dealing with a high volume of transactions and are reconciling across multiple payment providers, like Amazon, Ebay, Worldpay, Stripe, and PayPal, for example.

Since the software automates transaction matching, it frees up your team’s time to focus on high value add tasks, strategy, and providing greater insights as opposed to manual data entry and record tracking.

SolveXia is a cloud-based, no-code solution that can be deployed in less than 30 minutes. It grants you access control so that you can decide who gets partial or complete capabilities within the system at any time.

Users don’t need to know any coding nor does an IT team have to be involved. Rather, the user interface makes it simple for anyone to use for process automation.

Along with GL or bank reconciliation, SolveXia can be used for rebate management, expense analytics, regulatory reporting, and more.

Xero

Xero is an account reconciliation software best suited for small businesses, accountants, and bookkeepers. It can be connected to bank feeds and used for claim expenses, payments, bill paying, payroll, project tracking, and of course, bank reconciliation. The vendor provides support and courses for training, along with guides and an accounting glossary.

Bank Rec

As the software’s name implies, Bank Rec by Treasury Software is focused on bank reconciliation process automation. It provides solutions to match records and tag them with an audit trail number, so referencing is made easy.

Any unmatched records get rolled forward to its subsequent period until matching is feasible. Along with its automation functions, Bank Rec also provides reconciliation reports, with templates for reconciliation reports in its Bank Reconciliation Report Library.

ReconArt

ReconArt offers a single solution for a few different business reconciliation needs. The software can be hosted on-site or deployed via the web. It enables credit card reconciliation, accounts reconciliation, intercompany reconciliation, bank reconciliation, and more. ReconArt is focused on reconciliation, unlike SolveXia, which maximises your automation benefits across use cases.

BlackLine

BlackLine offers multiple solutions via its software. When focused on account reconciliation, the system helps to improve accuracy and efficiency through its automated workflows. It can help to reduce the reliance on human resources, as well as streamline account reconciliation. With rule-based workflows, your team is able to quickly identify discrepancies and rectify them in a timely manner.

What are the Benefits of Reconciliation Software?

As you can imagine, the benefits of automating any reconciliation process are extensive. Some of the advantages that you stand to gain when deploying the best reconciliation software are:

1. Accuracy

Naturally, automation minimises human errors that are otherwise inevitable. With minimised errors, you gain seamless functioning and standardisation across the board.

2. History and Compliance

Another benefit of automated reconciliation is the ability to keep track of all records, transactions, and adjustments.

This makes it stress-free should audits be required, and business owners and stakeholders can rest assured that the business is adhering to all compliance and regulations.

3. Accountability

Since you can use access controls to assign responsibilities within the software, it adds a layer of accountability and responsibility on behalf of your team members. Everyone clearly knows their role and what is expected of them within the process.

4. Standardisation

With more remote teams than ever before, reconciliation software makes it possible to standardise procedures by automating them.

Not only does this add to your business’ visibility and transparency, but it also helps to implement any process flows or adjustment with confidence in knowing that they’ll be executed across the board.  

5. Time Savings and Employee Satisfaction

With the best reconciliation software in action, it frees up your team’s time to allocate to less redundant and tedious tasks. It’s easy to feel dissatisfied and exhausted by repetitive work, especially when it comes to a high volume of transactions and the use of multiple payment processors that need to be reviewed.

Automation solutions can enhance your team’s satisfaction levels as they get to contribute to valuable tasks that require human thought rather than being bogged down with manual data entry and review.

The Bottom Line

Account reconciliation is a required piece of the puzzle for the financial close. When performed manually, human errors are inevitable, as is the time it takes to collect data, cross-reference documentation, and provide end results. Instead, companies are relying on the best reconciliation software to transform their capabilities and streamline their workflows.

If you’re ready to optimise your account reconciliation process, we invite you to request a demo with a tool like SolveXia. Find out how it can help your finance team and get started!