Runway

Most finance teams don’t struggle with building a Profit & Loss statement.

They struggle with how long it takes to get to one they actually trust.

One system holds the actuals while another holds the headcount. The forecast lives in a spreadsheet. The insight you need regarding the "why" behind an important change is buried three layers deep. By the time you finish collecting actuals, categorizing spend, reconciling inconsistencies, and formatting for presentation, the month is over.

Everyone else has moved on.

The right financial reporting software changes that dynamic.

What good financial reporting software actually does

Let's get on the same page about what this tool actually is. Financial reporting software acts as the translation layer between your raw data and the people who need to understand it. It sits directly on top of your ERP or General Ledger. It pulls in transaction-level detail and automatically structures it into financial statements like your P&L, balance sheet, and cash flow.

It occupies a specific spot in the finance stack and works differently than the other tools you use every day:

It isn't accounting software. Your ERP records transactions for compliance and tax. Reporting software extracts that data so you can analyze performance without messy spreadsheets.
It isn't a generic BI tool. General business intelligence tools often require data teams and SQL knowledge to maintain. Dedicated reporting software understands financial logic like debits and credits natively.
It supports FP&A. Planning tools look forward, while reporting tools organize historical data. You need accurate reporting on actuals before you can build a reliable forecast for the future.

Once you have the right tool in place, here is what good financial reporting software actually does:

It keeps the numbers fresh. The report updates itself. Actuals come in automatically from the systems that already know them, including your ERP, CRM, payroll, and ad platforms.
It makes the numbers clear. This works for finance and for your business partners. Dashboards show how the business performs without needing a long email explanation.
It ties the numbers to decisions. The report goes beyond stating what happened. It helps you figure out what to do next.
It gives you leverage. You adjust logic, groupings, and drivers directly. You do this without waiting on IT, SQL scripts, or outside consultants.

Great software connects financial planning and analysis directly to business outcomes.

What to look for (and what to avoid)

Most tools focus on features. The best financial reporting software focuses on flow and how work actually happens.

Here’s what matters:

Native integrations The tool should connect cleanly to the systems your team already uses. NetSuite, QuickBooks, Gusto, Salesforce, HubSpot. The list doesn't need to be long. It needs to work.
Real time updates If you still export CSVs and paste them in, it is not real time. A good P&L tool pulls data in continuously.
Customizable logic Every business categorizes things differently. Your P&L should adapt to how you think rather than the other way around.
Collaboration with guardrails Teams should see and use the numbers they own. The finance team should control the structure and logic.
Scenario planning The best tools let you move from "What happened?" to "What if we changed it?" You see the impact instantly.

How the tools stack up

QuickBooks

A reliable starting point for getting your books in order.
It offers built-in templates that handle invoicing, expense tracking, and basic financial reporting with ease.
The system connects directly to bank feeds to simplify reconciliation and keeps your historical data organized for tax time.
It serves effectively as a system of record for past transactions but lacks the functionality for forward-looking collaboration or complex scenario modeling.
You typically need to export data to spreadsheets or other tools to perform deep cause-and-effect analysis.

Xero

Similar to QuickBooks but offers a more flexible reporting layer and a cloud-first design philosophy.
It suits companies that want to get the basics right quickly with a user-friendly dashboard and strong bank reconciliation features.
The extensive app marketplace allows you to connect various operational tools for a customized tech stack.
Like QuickBooks, it functions best as an operational ledger.
Planning, forecasting, and deeper strategic analysis usually happen outside the platform.

Planful

Built for established organizations with structured requirements, similar to Workday Adaptive Planning.
It offers deep customization, machine learning capabilities, and modules for financial consolidation and close.
You get layered approval workflows that help manage governance in large finance teams.
The platform requires dedicated administrator resources to manage and maintain due to its complexity.
Workflow approval steps ensure control but can create bottlenecks during fast-moving budget cycles.

Vena

Ideal for teams that want to keep working within the native Excel interface while adding database control.
It provides strong workflows, version control, and audit trails that serve compliance-heavy environments well.
The tool locks down numbers effectively but relies on a check-in/check-out process that can slow down real-time iteration.
It focuses on enforcing logic and process on top of Excel rather than changing how teams visualize and interact with data.

Pigment

Focuses on visual modeling and handles multi-dimensional data sets for complex planning needs.
It offers a modern interface that makes it easier to build dashboards and present data to non-finance stakeholders.
You can create scenarios and play with assumptions using a formula syntax that mimics spreadsheet logic.
Implementation often requires trained experts or consultants to set up the data blocks correctly.
It works well for teams that prioritize visual storytelling but requires a significant time investment to build and maintain the underlying models.

Abacum

Targets mid-market companies looking to streamline the data collection process from other business units.
It emphasizes collaboration features that allow business partners to input their own numbers directly into the system.
The platform automates data mapping from ERPs to reduce manual copy-pasting during the close process.
It offers structure for reporting but is less flexible than a full modeling platform for complex, driver-based simulations.

Runway treats the financial report as a living part of your financial model.

Actuals flow in automatically from 750+ systems.
Dashboards update in real time. Non-finance stakeholders can actually understand and use the platform, which makes alignment much easier.
You adjust drivers and assumptions to see immediate effects on margins, cash flow, and hiring plans. This helps you run and compare scenarios fast without waiting for a sync.
Teams view the metrics relevant to them and collaborate directly in the platform without overwriting formulas.
You keep complete control of your model. You can change the structure as the business changes to match your current reality.
It empowers the model owner to simulate complex cause-and-effect relationships across the entire business instantly.
This approach serves scrappy finance teams and cross-functional planners who need total control without vendor bottlenecks.

For any modern finance team, that combination of clarity, collaboration, and simulation unlocks better decision making.

How to choose what’s right for you

Start with identifying the gaps in your current process.

If you're spending hours each month building the P&L by hand, look for tools that help automate actuals.
If you’re getting the numbers out but struggling to explain them, focus on clarity and visualization.
If your board asks “What if we cut burn by 20%?” and your answer takes a week, you need scenario planning.

Think about where your business is now. Are you focused on speed and flexibility, or do you need advanced options? If one or two finance owners do most of the work, prioritize tools that give them leverage. If you coordinate dozens of entities and rigid approval workflows, you may need heavier systems like Planful or Workday Adaptive Planning.

Next, estimate your current costs. If your team spends 20 hours a month at $50 an hour preparing P&L reports, that’s $1,000 a month saved when you automate. Add in fewer errors and quicker insights for an even bigger return.

Test migrations before committing. Switching from spreadsheets or legacy systems can be tricky. Some vendors offer full migration support and training.
Check the vendor’s support and onboarding. Great interfaces and collaborative onboarding give you better results long term.
Plan for the future. As you look for a tool for 2026, remember that scenario planning and forecasting will matter more as you grow.

Push the numbers forward

Your financial reports shouldn’t just be a reflection of the past.

They should be a starting point for what’s next.

That is what modern software unlocks. It provides a better way to work with the numbers that actually matter rather than just delivering faster reporting. Runway gives you that leverage while keeping everyone aligned on a live view of the business. You will be ready for 2026 and beyond.

Book a demo to see how Runway can help.

The best financial reporting software for finance teams that want to move faster