Anyone running a small business is faced early on with the question of which program to use for invoices, receipts, and bookkeeping. DATEV, Lexware Office, and sevdesk are the names that come up most often. However, they take different approaches. Here, we compare them from the perspective of a bookkeeping firm, without promoting any specific provider.
Three programs, three approaches
The three solutions cannot be directly compared because they are designed for different ways of working. Lexware Office and sevdesk are programs for business owners who do their own bookkeeping or at least prepare the records themselves. DATEV, on the other hand, is primarily the software of tax firms, and businesses work with it through access tools such as DATEV Unternehmen online.
The real question, therefore, is not which program is the best, but who does what in your company: Do you write invoices yourself? Do you post entries yourself? And who prepares the advance VAT returns, financial statements, and tax returns?
In addition to these three, there are numerous other programs, ranging from desktop solutions to accounting functions in inventory management and industry-specific software. The considerations in this article apply to them just as well.
Lexware Office and sevdesk: do-it-yourself bookkeeping
Lexware Office and sevdesk run in a browser and as apps. They combine invoicing, receipt entry, bank reconciliation, and simple reports into a single interface. Receipts are photographed or uploaded and automatically parsed; bank transactions are imported via an interface, and the program suggests which receipt corresponds to which payment.
These are good tools for self-employed individuals and small businesses with a manageable volume of receipts. They guide you through day-to-day tasks, offer affordable subscriptions, and are quick to set up. Both provide access or export options for tax advisors, typically in DATEV format.
Limitations become apparent as the business becomes more complex: multiple payment methods, marketplaces, foreign currencies, cost centers, balance sheet accounting with open items, or industry-specific requirements such as construction services. Not every program includes payroll either, and some offer it only as an add-on. And the responsibility for correct entries remains with you; the program merely makes suggestions.
DATEV: the software of tax firms
DATEV is a cooperative whose software is used by a large number of tax firms in Germany. Bookkeeping, payroll, annual financial statements, and tax returns are all handled in a single system. Businesses get their own access, which they use to work with their tax firm or bookkeeping firm: uploading receipts, providing bank transactions, retrieving reports, and approving invoices.
The advantage lies in the end-to-end process: Entries go into financial statements and tax returns without any export. Payroll, cost centers, balance sheet accounting, and industry-specific solutions are all available. The downside: It is less common for business owners to do their own bookkeeping in DATEV, and the interface is designed for professionals. DATEV really shines when someone with specialized knowledge does the bookkeeping.
The comparison at a glance
- Who posts the entries: usually you with Lexware Office and sevdesk, usually a tax firm or bookkeeping firm with DATEV
- Invoicing: built into Lexware Office and sevdesk, with DATEV via separate modules or your existing program
- Receipts: in all three via app or upload, with automatic data extraction
- Banking: in all three via bank interfaces
- Payroll: fully supported in DATEV, in the others not always or only as an add-on
- Financial statements and tax returns: in the same system with DATEV, otherwise via export to your tax advisor
- Complexity: Lexware Office and sevdesk for straightforward cases, DATEV also for many accounts, cost centers, and industries
We’re deliberately not listing prices here because providers change them frequently. Compare the current rates directly with the providers and factor in your own time.
What all three must be able to do
Regardless of the program, there are requirements that every solution must meet. Bookkeeping must comply with the German principles of proper bookkeeping, the data must be tamper-proof and available for the entire retention period, and there should be procedural documentation that describes how receipts are recorded, checked, and archived.
Since 2025, e-invoicing has been added to these requirements. Your software must be able to receive, display, and archive e-invoices in their original format and, from the date the obligation applies to you, generate them as well. Most common programs now have this built in; still, check whether your plan includes it.
And finally: The data must be portable. If you switch programs or tax advisors, you’ll need a complete export. Ask about this before you commit.
What to look for when choosing
Before you decide on a program, it’s worth taking a quick look at the next two or three years. These questions will help:
- Number of receipts: How many invoices and bank transactions do you have today, and how many will there be?
- Employees: Are you planning to hire anyone? If so, you’ll need payroll, either within the program or through an external service.
- Profit calculation: Is a cash-basis income statement enough, or do you need to prepare a balance sheet?
- Integrations: Can your online store, point-of-sale system, payment services, and bank be integrated?
- Tax advisor: In what format does your tax advisor need the data, and do they work with the program?
- Data protection: Where is the data stored, and is there a data processing agreement in place?
- Language: Are the user interface and support available in the language you work in?
If several of your answers point to growth, you should either choose a program that grows with you or plan to work with a bookkeeping firm from the start.
What suits whom
- Founders and self-employed people with few receipts: Lexware Office or sevdesk, your own bookkeeping, export to the tax advisor
- Small businesses that write invoices themselves but don’t want to do the bookkeeping: invoices in Lexware Office or sevdesk, bookkeeping by a bookkeeping firm in DATEV
- Businesses with employees, multiple accounts, or industry-specific requirements: bookkeeping and payroll in DATEV, receipts and reports via the portal
- Online retailers using marketplaces and payment services: bookkeeping based on settlement reports, usually in DATEV, supplemented by tools for importing the reports
The lines between these groups are not clear-cut. Many businesses start with Lexware Office or sevdesk and switch later as their business grows. Switching is possible but takes time. If you can foresee that you’ll soon hire employees or have to prepare a balance sheet, you should factor that into your decision. If in doubt, ask your bookkeeping firm or tax advisor which solution they work with best.
What working with a bookkeeping firm looks like
You don’t have to choose between your software and a bookkeeping firm. Often, the combination makes the most sense: You keep writing invoices in the software you know, and the firm handles the bookkeeping, reconciliation, and reports. Invoices come into the books via export or an interface. You upload incoming receipts and bank statements to the portal; you can also forward receipts by email.
GKM posts entries preferably in DATEV, or in Lexware Office if you wish, and imports data from Lexware Office, sevdesk, and other common programs. If you’re just starting out, we’ll advise you on which program fits your workflow and set up the connection. More on the Digitization page.
This article is for general informational purposes only and does not constitute tax or legal advice in specific cases. A tax advisor is responsible for tax-related questions.
