Pricing and Costs of Accounts Payable Software
Determine what your money pays for when you work with accounts payable softwareThe price for accounts payable programs varies depending on the size of your business, the features included on the software and the type of program you choose to use. Most AP software comes in two forms: out-of-the-box programs that require installation on your computer and web-based programs that a provider maintains.
When you compare the pricing and costs of accounts payable software, be sure you factor in any hidden costs that a provider might charge. Look for these examples of extra charges that will add to the pricing and costs of accounts payable software:
1. AP software with maintenance or upgrade fees
2. Online accounts payable software with networking charges
3. Accounts payable solutions with tech support charges
Save money with an out-of-the-box accounts payable program
Bump up the price margin to get more features for your accounts payable systemIf a basic program doesn't have enough features for you, consider upgrading to a more expensive one. Out-of-the-box versions can cost from $200 to $500 for the more advanced series, usually denoted by the name of the version. If you are upgrading, the version might cost less, but when you add the initial purchase price, you'll probably be within the $200 to $500 range.
Reduce upfront costs with online accounts payable softwareWith a web-based program, the providing company hosts all the software on its server, which means you don't need to use your own hard drive. Often these services cost less per year than buying out-of-the-box A/P software, but you have to pay the yearly rate for the duration of the time you use the company. If you use the service over a period of years, you may wind up paying more for the service in the long run than if you had purchased a program outright.
- The cost of A/P software for medium- and large-sized business can easily exceed $500.
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