7 Questions to Ask Before Choosing Billing Software
1. Do you sell products or services? Product businesses need inventory management. Service businesses only need invoicing. If products, your billing and inventory must be linked.
2. Are you GST registered? If yes, GST compliance is non-negotiable. Your software must handle HSN codes, CGST/SGST/IGST, and GSTR reports. If not registered, basic invoicing is sufficient.
3. Do you extend credit to customers? If yes, you need a customer ledger that tracks credit sales, payments, and outstanding. If all sales are cash/UPI, basic invoicing suffices.
4. Do you have multiple staff who bill? Solo or small team — free single-user plan works. Multiple billing counters — you need multi-user access, which is a paid feature on most tools.
5. Do you need to bill away from your shop? Delivery billing, field sales, or billing at a customer's location requires mobile access — cloud billing software is essential.
6. What is your budget? Start with free — Khata Billing's free plan covers most needs. Pay only for specific features you genuinely need.
7. Do you need accounting beyond billing? If you only need invoicing, inventory, and GST reports — Khata Billing is sufficient. If you need full accounting (P&L, balance sheet, payroll) — consider Tally.
Decision Matrix — Which Software Based on Your Answers
Small retail/kirana shop, GST registered, sole owner, credit customers: → Khata Billing free plan — covers everything
Wholesale trader, multiple buyers, inter-state IGST: → Khata Billing free/paid based on buyer count
Service business, no inventory needed: → Khata Billing or Zoho Invoice
Large business needing full accounting + payroll: → Tally Prime
Shop in area with no reliable internet: → Vyapar (best offline support)
Why Start with Khata Billing Regardless
Even if you're unsure which software is right for you, starting with Khata Billing has no downside:
- Free — no financial commitment
- No installation — start in 5 minutes
- Data exportable — you can always switch later with your data
- Covers 80-90% of what most Indian shops need
- If you find a feature gap, you'll know exactly what you need in any alternative