What Are the Uses of Tally ERP 9 in Business?

Tally.ERP 9 offers business owners a bulk of features to perform complete business functionalities such as Accounting, Finance, Inventory, Sales, Purchase, Point of Sales, Manufacturing, Costing, etc. Using TallyPrime, Tally 9 with GST is one of the small businesses’ most reliable software accounting records. 

Did You Know? Tally was launched in 2006 as Tally 8.1 by Tally Solutions Pvt. Ltd. The company reports that more than 7 million customers use its software.

Introduction to Tally ERP 9 

Tally 9 accounting software helps businesses improve their financial operations, reduce human error, and increase accuracy. The software is powered by a combined development of inventory and accounting management systems that gives the ability to manage accounting transactions, finance, sales, and other records to reduce the risk of any human and clerical errors. Also, the software is designed to integrate with other ERP software of the business, like payroll, purchase, finance, and other process management systems.

How to Install Tally ERP 9?

Tally ERP is designed with simplicity and is very convenient to use in businesses. Getting familiar with the software’s user interface takes very little effort. Tally 9 is a paid subscription-based software that requires a product key license to get used in the business’s commercial operations.  An Individual can purchase the software from the company’s official website, a nearby store or through e-commerce websites. You can purchase it in digital or a physical format like a DVD drive. Also, you will be required to have a strong internet connection to install the software and the license key to use it. 

Also Read: The TallyPrime Edit Log Feature for Audit Trail — How it Works?

Step-by-step Process to Install Tally ERP 9

Step 1: Download Tally 9 ERP

You can download the software from the Tally 9 official website, or you may purchase a physical copy of the software from a nearby store. In case you download it from the website, you will be required to purchase the license key separately. 

Step 2: Locate the Setup.exe file

If you downloaded it online, you could locate the setup.exe file in the download folder of your computer system. If you have purchased a physical copy of the software, you could open the external drive on your computer and locate the setup.exe file in the folders.

Step 3: Click on the Setup.exe File

Once you locate the setup.exe file, right-click on it and choose “Run as administrator”. A pop-up window will be opened, asking your permission to install the software. Click on “Yes” to get started.

Step 4: Tally Setup Manager

After step 3, the Tally setup manager will open up and will state the version of the software and the location of the software where it will be installed. Without making any changes, Click on “Install” or press I from your keyboard to initiate the installation process.

Step 5: Getting Started

In step 5, the Installation process will start on your computer system. Once installed, another window will appear on your screen, prompting “Installation successful.” That also means a shortcut to the software has been created on your desktop. Click Start Tally ERP 9 or press S on your keyboard.

Also Read: A Beginner-Friendly Guide to Creating a Company in TallyPrime

Step 6: Application Startup

Once Tally is opened, another popup window on your screen, “Application Startup”, stating “Tally ERP will start with the following settings. Click Configure to change these settings”. You won’t be required to make changes. However, check them carefully and then Click “Accept” or press A on your keyboard.

Step 7: Licence

After the application has been set up, You will be required to purchase the license to use the software for commercial use. The following options will appear on your screen:

1. Try it for Free (Educational): This is the option for those who want to learn and would better be used as a tutorial for students or learners. It is will very limited features but best for those who want to get started with the software. However, You won’t be required for this option. 
2. Use Licence From Network: A network license is yet an innovative way to use the software. Under this option, The license for the software is configured through the network you are connected with. You will be required to enter login details to configure the license for the software.
3. Reactivate Existing Licence: If you have already purchased the software once, you simply need to reactivate your licence. Use the existing license to configure the software and get started with it. 
4. Activate New Licence: If you are a first-time user of the software. You will be required to purchase the license online from the official website of Tally. After making the specified payment, You will be required to use the license for activation. Under this option, You will be required to fill in “The Serial Number”, “Activation Key”, and “Email ID”, through which the activation key will be managed.

Step 8: Tally Navigation

Once the installation is complete, you can navigate the various options on the dashboard. You may notice that for every option, there is a shortcut key. It is designed by Tally Solutions to provide easy navigation to the users. These easy navigation are designed to increase the users’ productivity over time.

Getting Started With Tally

Once the tally is installed, you will be curious to understand how to use it. Well, it is an easy process, and we have some steps to get you started. Here are a few of them:

Step 1: Create a Company

You will be required to create the company by filling in the required details in the column. Press K or click on the company to create a company. There you will be required to fill in the details of the company name, Its mailing name, address, email address, financial years, Currency symbols, and other details. 

Step 2: Create Ledgers

Press C from the keyboard on the dashboard and choose Ledgers from the menu. Tally has built-in features for some opened ledgers, like Cash books, Sales ledgers, Purchase ledgers, etc. Once you click on the ledger, a new window will appear on your screen, requiring you to fill in the ledger name. Under which account type will your ledger fit? There is a long list of account types with different characteristics in accounts, like Capital Account for the owner’s fund in the business or an expense account for different expenses in the business. Choose the one that fits the type of account, and then enter the account holder’s address, PAN number, and GST details if applicable. 

Also Read: Benefits of Using TallyPrime for Banking

Step 3: Create Vouchers

To create vouchers, click on vouchers on the dashboard or press V on the keyboard. There are multiple types of vouchers in the tally. Here is a list of the most commonly used vouchers:

• Contra Vouchers

Contra Vouchers are nothing but transactions involving cash inflows or outflows from bank to cash in hand or vice versa. These are most transitions in a small organisation as businesses are mostly carried on cash rather than on credits. 

• Payment Vouchers

These vouchers are used to make payments to a 3rd party for any sort of credit or dues, etc.

• Receipt Vouchers

It is used in tractions involving the flow of cash within the businesses either from operation or financing activities.

Advantages of Tally ERP

• The data in the tally are auto-populated into cross-functional areas. This enables the entity to work productively. Like, when goods are sold, Inventory gets reduced.
• Tally ERP uses distinct data for running approaches. The authorisation is enabled to access only sales data and not other data like purchases and expenses, saving the entity from data mismanagement.
• Tally is used for effortless tax audits. The trouble of moving data, in this case, is bypassed completely.
• Tally ERP is used in multiple functions, enabling entities to save automation costs.
• Another prime application of Tally software is  one-click generation of financial and accounting reports, which could otherwise be a headache when made manually.

Also Read: How to Record Transactions in Multiple Currencies in TallyPrime?

Conclusion

We hope now you got a proper introduction of Tally ERP 9. It is one of the most trusted platforms for accounting and financial solutions for small businesses. Their easy-to-use interface makes the platform smooth for the business. It is also not very costly software for businesses. The band has been widely accepted for its excellent deliveries for the needs of businesses. Since its inception, Tally has gone through various updates and software patches to develop as a prominent software. In 2022, The company renamed Tally “Tally Prime”, designed and developed with Amazon Web Service (AWS) as a flagship product on its cloud-computing platform.