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Free Open Source Accounting Software -- LedgerSMB

Open Source Accounting Software for Small Businesses

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LedgerSMB is an open source accounting program and Enterprise Resource Planning (ERP) system. The program is designed to help you manage your business, track your revenues and expenses, and keep your books and accounting records in order. LedgerSMB will run on many operating systems, and is designed to run with minimal technical support. LedgerSMB is designed as a software for small businesses that need a software program to manage all aspects of their business.

Features
Ledger SMB lets you manage your accounts receivable, accounts payable, customer contacts, and more. You can perform all basic accounting tasks with Ledger SMB. However, if you need Ledger SMB to perform specific tasks, this free open source accounting software has a community of developers and consultants that can assist you in getting the program to do what you need to run your business.

Core modules
LedgerSMB had the following modules:

  • General Ledger Module - You can manage your accounts, post journal entries, transfer money between your bank accounts in the general ledger module of LedgerSMB.

  • Sales Module - You can track customers, quotations, sales orders, and create invoices in LedgerSMB's sales module.

  • Purchasing Module - You can track vendors, create purchase orders, and manage invoices in the purchasing module of LedgerSMB.

  • Contact Management Module - This module lets you track customer information and customer orders.

  • Cash Management Module - The cash management module is where you can cut checks, track cash receipts, and perform bank reconciliations to bank statements.

  • Fixed Assets Module - The fixed asset module will let you track fixed assets.

  • Inventory Management and Light Manufacturing Module - LedgerSMB has some ability to track materials and labor through the manufacturing process.

  • Point of Sale Module - The Point of Sale module is designed specifically for retailers and other business owners who need an accounting system that will interface with their point-of-sale system.

  • Reporting Module - You can run a variety of accounting and financial reports from this module.

Other Features
LedgerSMB did not always have adequate segregation of duties. However, a full separation of duties is planned for LedgerSMB version 1.4. As of version 1.3, you can separate invoicing documents to form a voucher package in a manner similar to the way the documents would occur in a paper-based accounting system. LedgerSMB is a double-entry accounting application, with integration and compatibility with other add-ons so you can import transactions, create template transactions, and track budget information.

Platforms
LedgerSMB works well on any UNIX-type platform, including Linux, *BSD, and Apple's OS X. Ledger SMB has also been tested on the Windows operating system as well.

Licensing
LedgerSMB is distributed under the GNU General Public License. This licensing is the most widely used for free software license, and guarantees that you can use the software, modify, and distribute it for free.

Support
LedgerSMB has a FAQ page, forums, and community of consultants that are available to help you with the program if needed. Ultimately, you will be responsible for learning the program, because this is a free and open source program. There are enough resources available that with some accounting and bookkeeping knowledge that you can learn to use the program.

Download LedgerSMB
You can learn more about LedgerSMB or download the program for free here.

Conclusion
LedgerSMB is a rapidly developing open source ERP system for small to mid-sized businesses. Small business owners can download the program to test it out to see if the program meets their needs at no risk. You can run into difficulties if the software is no longer supported by the development community, but LedgerSMB has been growing in popularity over the years. The program is designed to run in an ordinary web browsers, so small business owners should not have difficulty getting the program up and running.

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