UK Accounting Software Market Report
In keeping with our open approach as a business, I am pleased to unveil our UK Accounting Software Market Report. For a copy please click here: UK Accounting Software Market.
If you would like to use this report or quote from it, you may do so providing you reference and link to the Clear Books website www.clearbooks.co.uk.
Last month I posted a plea to online accounting providers asking them to volunteer as much information as possible about their businesses. A big thank you is due to the following vendors who obliged:
- Michael Parkes (Arithmo)
- Hugh Scantlebury (Aqilla)
- Ed Molyneux (FreeAgent Central)
- Duane Jackson (KashFlow)
- Lisa Kendrick & Matt Holmes (Liquid Accounts)
Thanks also extends to the following industry commentators:
- Dennis Howlett (you can read his thoughts on the “bizarre” analysis here!)
- Ben Kepes (CloudAve)
- Richard Messik (Vantis)
- David Terrar (Business Two Zero)
These were the contributors cited by the research team so apologies if anyone has been missed out. In particular gratitude must go to the three students from The Judge Business School at the University of Cambridge who put together this report over a period of just one month. These students were set objectives on the premise that they were acting as consultants to Clear Books, and were then left to carry out their research independently.
As far as I am aware this report is the first ever serious piece of consolidated work on the online accounting market in the UK. That’s not such a surprise in our young industry.
The interesting snippets that I picked up were:
- Estimate that 2m businesses in the UK use accounting software and that more than 2m don’t
- UK user number estimates: KashFlow (5000-6000) Xero (3000-4000) FreeAgent (1500-2000)
- The big four desktop accounting vendors between them have UK estimated revenues of just over £200m and approximately 1m users.
- Quality of product is critical in evaluating IT products
- FreeAgent probably raised approximately £800k from recent Iris investment
- Clear Books performed favourably against competitors in a usability questionnaire
What did you pick out? Do you agree with the research or do some facts need setting straight? Let me know…
List of accounting software online and on the web
When we first started Clear Books in July 2008 we thought we had hit on a great idea with our online accounting app. We still think that, but we are not alone…
There is nothing new about accounting software. Indeed, accounting itself can be traced back to 1494 and the father of double entry bookkeeping, Luca Pacioli.
We thought we were on to a winner with our online concept. Needless to say, a little market research soon showed that we were not the first to have the idea. Indeed, every day I seem to stumble across a new face and here they are: 
FreeAgent Central
FreeAgent Central is an online accounting package with a particular focus on servicing freelancers. The FreeAgent Central website has recently had a design makeover and, in our view, is looking much improved.
The design overhaul prompted me to have a nose around their online accounting offering. I like the fact that FreeAgent Central allows anyone to log in and preview the system, it is a capability we offer too: Try the Clear Books demo. I would encourage all online systems, accounting or otherwise, to let potential users easily trial their demos.