Frappe Books - A Free (Open Source) Accounting Software

Frappe Books is an open source software which makes it flexible and easy to customize business solutions to make the accounting aspect of your business easy and efficient.

It helps in managing your resources, reporting and accounting transactions simultaneously.

The GST flexibility of the Frappe Books helps your business to be updated with the regulations. The Frappe Cloud Technology ensures your business is equipped with efficient features for business operations.

It also allows easy and smooth access to your Frappe Book Database. Cloud Technology also helps in eliminating the tedious installation process and promotes an efficient working environment.

Users would be able to virtually access all applications and data on the centralized database on the Frappe Cloud. 

We understand that all businesses are different from one another in the ways of functioning, using the resources, managing the records, etc.

Also Read: Loan Management with ERPNext - Simplify Your Loan Processes

Hence, we also understand the need of having a flexible management system. That is exactly what Frappe Books aims to offer- a highly flexible and customizable accounting management system.

The open-source Frappe Books equips you with the flexibility to customize, modify and enhance the Frappe Books Accounting Software as per your business requirements. It also enables you to customize reports, invoices and other resources related to your business.

Also Read: ERPNext- Everything You Need To Know About It

Create Sales Invoices

These are the bills that you send to your customers. If you have set up your Frappe Books with Accounts, Taxes, Sales Items, and Customers, creating a sales invoice is a smooth process.

To edit the values of an Invoice Item click on the edit button on the item row. With this, you can change item description, HSN Code, check the taxed amount. You can also set the fixed taxed amount, Frappe Books will calculate the rate of the item automatically.

Purchase Invoices

These are the bills which are sent to you by your suppliers when you make purchase. It is the transactional activity that needs to be recorded.

Once you’ve made the payment, Frappe Books will make the necessary ledger entries to increase the payment amount in Accounts Payable and decrease the amount in your Bank or Cash Account. It will also update the Outstanding Amount on the invoice form.

Discount Accounting

it is the deduction that is applied to the cost of an item. Frappe Books automatically supports applying a discount on an item-wise basis. Note- once the discount accounting is enabled, it cannot be disabled.

A quick edit form will be used to edit the invoice item values. Discount can be set in two ways-

1) Setting a discount percentage               

2) Setting a discount amount

By default, the discount is applied before the tax is calculated. To apply the Discount after the Tax, select the Discount After Tax checkbox after opening the settings for the Invoice.

Multi-Currency Invoicing

Frappe Books allows you to create and print invoices for your customer’s currencies. The procedure used for creating a Multi Currency Purchase Invoice- just set a different currency when creating a Supplier entry.

Note- The Base Grand Total and Outstanding Amounts are displayed in the company currency. When a multi currency invoice is made, the ledger entries are created in the company currency (Company Currency = Customer Currency ⨉ Exchange Rate).

Payments

It will be the transactional entry that would indicate the transfer of funds. They usually follow the activity of sales or purchase, depending on this payment an entry will be made to either receive or pay funds.

If the Payment is being made for an invoice, you can add a reference to the invoice in the table at the bottom. This will update the Outstanding Amount on the invoice.

To make an Invoice Payment to complete the payment for the Outstanding Amount of a Sales Invoice or a Purchase Invoice, you can go to the Invoice form and click on the Make Payment button.

Journal Entries

These would be the transactional entries which are used to record transactions which don’t strictly identify as sale or purchase. For example- transfers made from a bank account to the cash account.

If you have expenses that you pay at the time of purchase, you can record expenses by directly using the journal entry. When a customer pays for a product or service that you haven’t delivered yet, it cannot be booked as Income yet. This is a Liability for your business to fulfill later. To make an entry that reflects this, add two rows to a new Journal Entry form.

One which Debits the amount into the Bank Account because you have received the payment.

Another which Credits the amount into a Liability account you may create known as Prepayments.

Frappe Books gives you the overview of your businesses’ financial state and its performance over the course of time. You will get a detailed view of the financial transactions.

You will get the benefits of the security features of control and authorization that helps you choose and limit the individual  access to the company data.

Frappe Books also allows you with real-time reports based on your specific requirements.

The Frappe Cloud allows you the virtual storage and backup of your precious data.

And the most distinctive feature of Frappe Books is that there is no dependency on the internet connection. It works offline too!

Frappe Books provides you with the invoice templates to choose from. You can customize those templates by using your brand logo and color.

Frappe Books stores its data in a simple file format using the portable SQLite database.

Conclusion

Frappe Books all-in-all is a one-stop shop for all your business accounting needs. It’s one of the safest and most flexible software in the market which is now beating tools like Tally. This new and coming accounting software is meant to transform your accounting processes.

To know more, book a consultation with the experts at Kanak Infosystems LLP right now!