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Tally vs Odoo

How to decide which one is better for your business?
8 August 2025 by
Tally vs Odoo
Areterix Technologies

Tally (TallyPrime) is one of the most widely used Financial management software in India, especially for small and medium enterprises (SMEs). It has been around for 3 decades now. 

But is this argument enough to qualify for running your business on Tally? or you need a more comprehensive solution like Odoo that looks after the overall Business Management. Lets find out.

To have a clear idea we will try to understand this by two company stories. 



Story 1

 Why TallyPrime Was the Better Choice for Sharma Electricals.

Business Name: Sharma Electricals

Business Type: Local Electrical Goods Distributor

Location: Jaipur, India

Employees: 4

Core Needs: Billing, GST compliance, inventory management, and simple accounting


🔹 The Challenge:

Sharma Electricals was using manual billing and excel. When GST came into effect, managing compliance became a burden. The owner, Mr. Sharma, needed a simple, reliable accounting solution that his existing staff could learn quickly.


🔹 The Decision:

 Mr. Sharma chose TallyPrime because:

  • Tally is the 1st software that comes to mind when thinking about business software in India 
  • Handles GST return filing with ease
  • Staff already had basic familiarity with Tally

🔹 The Outcome:
  • Fast invoicing and real-time inventory tracking
  • Simplified GST return filing
  • Smooth audit process with clean financial reports


 “I knew I will need tally to run my business at some point of time. Tally gives speed, simplicity, and compliance.”

 Mr. Sharma
Owner at Sharma Electricals


That was a easy choice. 

Now lets move to story 2


Story 2

 Why Odoo Was the Better Choice for Nexon Tools.

Business Name: Nexon Tools Pvt. Ltd.

Business Type: B2B Trading of Industrial Tools & Safety Equipment

Location: Ahmedabad, India

Employees: 12 (Sales, Warehouse, Accounts, Admin)

Sales Channels: Field sales reps, distributors, and website inquiries


🔹 The Challenge:

Nexon Tools was growing fast, but their operations were scattered:

  • Sales team used excel and WhatsApp
  • Warehouse was managed manually with Excel
  • Accounting was done in Tally (separate system)
  • Customer data was fragmented across emails, files, and notebooks

As the order volume increased, they struggled with:

  • Stock mismanagement (items shown in stock but actually out)
  • Delayed responses to inquiries
  • No visibility into sales team performance
  • Time-consuming reconciliation between departments


🔹 The Decision:

After consulting with a digital transformation partner, Nexon Tools chose Odoo over continuing with Tally because:

  • They needed real-time inventory visibility across multiple warehouses
  • Salespeople needed a mobile-friendly system to create quotations on the go
  • Management wanted to track leads, inquiries, and team performance
  • They planned to launch B2B e-commerce and didn’t want another disconnected system

🔹 Modules Implemented in Phase 1:
  • Sales (quotations, orders, follow-ups)
  • Inventory (multi-location stock, real-time updates)
  • CRM (lead pipeline, contact management)
  • Accounting (GST-enabled, directly linked with sales and stock)
  • Website (catalog + inquiry form)


🔹 The Outcome: 
  • Reduced sales-to-dispatch time by 40%
  • All customer conversations and quotes tracked in one place
  • Salespeople started generating on-the-spot quotes during client visits
  • Inventory accuracy improved drastically
  • Management had a live dashboard showing sales pipeline and targets


"We didn’t just need accounting—we needed structure. Odoo gave us a connected system where sales, stock, and accounts work as one.”

Mr. Ashish Mehta
Managing Director, Nexon Tools


Comparison Summary

Feature / Outcome Sharma Electricals (Tally) Nexon Tools (Odoo)
Size of operations Local retail + B2B B2B across multiple cities
Pain Point Solved GST + Inventory + Accounting Unified sales, CRM, stock & accounts
Tools Used Tally + Excel + phone Odoo (all-in-one ERP)
Growth Readiness Local growth Regional/National scale
Stock accuracy Manual tracking Real-time multi-location
Customer management Paper/phone-based Central CRM with follow-ups
Team reporting Not available Dashboards & performance tracking

Final Takeaway:

Tally fits businesses where accounting is the core need.

Odoo fits businesses where growth depends on coordination, automation, and visibility.


What if? Sharma Electricals chose Odoo instead of Tally!


Could Odoo Be a Better Strategic Fit for Sharma Electric?

While Tally solves today's problems, Odoo sets up Sharma Electricals for tomorrow’s growth:

1. Future-Ready from Day One
  • Built-in CRM to track leads if they expand into wholesale
  • E-commerce module ready if they decide to go online
  • Mobile access for salespeople on the go
💡 “Why invest again when you grow? Start with the system that grows with you.”
2. All-in-One Simplicity

Even for a small team, Odoo combines:

  • Sales + Inventory + Accounting in one seamless flow
  • No switching between apps or modules like in Tally (Inventory → Accounts → GST → Excel)
  • Odoo’s dashboards give real-time insights into cash, stock, and sales trends
📊 "One login. One interface. Total control."
3. Cloud-Based Convenience
  • No need for local servers or backups
  • Owners can check reports from home, shop, or while traveling
  • Automatic updates, no software installation drama
🌐 "Your business in your pocket — anytime, anywhere."
4. Smarter Inventory Management

Odoo gives smarter tools, even for a small store:

  • Alerts for low-stock items
  • Batch & serial tracking (great for electronic items)
  • Integration with barcode scanning
📦 “Stockouts? Over-purchasing? Odoo keeps your inventory lean and clean.”
5. Affordable with Community Edition
  • Odoo Community is free and open-source
  • A local Odoo freelancer or small agency can set up basic modules with Indian GST support
  • Long-term cost may be lower than Tally + Excel + WhatsApp + other disjointed tools
💰 "You don’t need to be big to think big. You just need the right tools."
🔁 Alternate Outcome with Odoo:
  • No manual reporting – real-time dashboard
  • Smoother GST returns with automation
  • No double-entry between inventory and accounts
  • Ready for online expansion, B2B CRM, and more
  • Accessible from anywhere — even by the owner’s son managing WhatsApp orders

About Odoo

Odoo is a business management software with 50+ business modules. It has headquarters in Belgium and Gandhinagar, India. It is used by 15 million users worldwide.


​​Want to Inquire if Odoo is the right fit for your business or not?
​Fill the form below and we shall ​get back to you soon.

Thank you for your feedback!

Our team will message you back as soon as possible.

In the meantime we invite you to visit our website.



If you want to have a detailed comparison between Odoo and Tally, refer the table below


TallyPrime vs Odoo (ERP) 

Detailed Comparison Table
Category TallyPrime Odoo (Community & Enterprise)
Type Desktop-based accounting software Fully-featured ERP (Web-based & modular)
Target Users SMEs needing strong accounting & GST SMEs & Enterprises needing integrated business apps
Deployment Desktop/server (Windows only) Cloud, On-premise, or Hybrid (Cross-platform)
User Interface Traditional keyboard-based Modern, web-based GUI
Modules Accounting, Inventory, Payroll, GST 50+ apps: Accounting, CRM, Sales, Inventory, HR, Project, MRP, Website, etc.
Customization Limited (via TDL) Highly customizable (Python & XML)
Cloud Access Indirect (via Tally.NET or RDP) Native cloud access with real-time sync
Mobile App Not official (some 3rd party apps exist) Official apps (Android, iOS)
GST & Compliance Supported (GST, TDS, TCS, EWB, E-invoice) Supported (GST, TDS, TCS, EWB, E-invoice)
Multi-user Supported (via LAN or Tally.NET) Native multi-user (role-based access)
Multi-company Supported Supported
Multi-currency Yes Yes
Integration Limited API-friendly, connects to payment gateways, marketplaces, etc.
Reporting Strong in financial reports Strong in financial + operational + business intelligence reports
Workflow Automation Basic Advanced (automated actions, approval flows, triggers)
Manufacturing Very limited Advanced MRP, BOM, Routing, PLM
CRM & Sales Not available Fully integrated
E-commerce/Website Not available Built-in website builder, e-commerce
Learning Curve Steep but quick for accountants Moderate; depends on modules used
Community Support Strong in India, local training Global open-source community + Odoo Partners
Cost One-time license + AMC(Tally Prime Silver/Gold) Odoo Community: Free

Enterprise: Paid per user/month

Thankyou for reading. 

Call us +91 63542 36817 today to explore how Odoo can help grow your business

Tally vs Odoo
Areterix Technologies 8 August 2025
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