QuickBooks are not only tools that help in easy and accurate accounting for a business but also hold the best fit according to the requirements of the business. The way QuickBooks Online promises easy finance management and utility goes beyond that in a true sense.
Still, then there emerges a comparison of the advantages of QuickBooks Online against the disadvantages of QuickBooks Online. Whether it really adds value to your workflow, or is there something that it lacks?
We will be breaking down for you the key benefits of QuickBooks, the merits of its online version, and the downsides to make your choice even clearer.
Key Benefits of QuickBooks
QuickBooks is a safe and efficient accounting system that makes the management of specific finances related to business very simple. QuickBooks comes with the very basic strengths that are common, making accounting jobs easy.
Here are the top 10 benefits of QuickBooks:
1.Easy for Everyone to Use
QuickBooks is designed to be user-friendly, even for people without a big accounting team. The interface is simple and easy to understand, so anyone in your company can use it without needing advanced training.
2.Simplifies Tax Management
Managing taxes is stress-free with QuickBooks. You can easily track income, file tax reports, and ensure everything is done correctly and on time. It saves you the worry of making errors during tax season.
3.Keeps Getting Better
QuickBooks is constantly improving to meet business needs. With regular updates, it introduces new features that help manage your finances better and make running your business smoother.
4.Secure and Adaptable Technology
Safety is a top priority for QuickBooks. It protects your financial data and works seamlessly across modern devices. This makes it easier for business owners to manage their finances from anywhere.
5.Improves Efficiency
QuickBooks offers built-in tools and shortcuts that save time and increase productivity. By automating tasks and simplifying processes, it helps you focus on other important aspects of your business.
6.Encourages Innovation
Using QuickBooks can boost your company’s productivity and motivate your team to think creatively. It helps businesses stay innovative and focused on growth.
7.Offers Great Value for Money
QuickBooks provides powerful features at a competitive price. It saves time, effort, and money, which you can reinvest in other areas of your business to drive success.
8.Grows Along with Its Users
With millions of active users, QuickBooks listens to customer feedback and keeps adding features to meet their needs. Once you start using it, you’ll see why so many stick with it as their go-to accounting tool.
9.Keeps Your Data Safe
QuickBooks includes an automated backup service to protect your financial information. You’ll never have to worry about losing important data, even in unexpected situations.
10.Supports Small Businesses
QuickBooks was developed keeping small business needs in mind. It has designed tools and facilities to grow and organize well to get profits on such business activities.
Having covered the basic benefits of QuickBooks, now it will be about the demonstration in which QuickBooks Online has taken these benefits a step further.
Advantages of QuickBooks Online
QuickBooks Online takes accounting to the next level by simplifying financial management for businesses of all sizes. It offers flexibility, reliability, and tools that help streamline your day-to-day tasks. Let’s explore the advantages of QuickBooks online:
Access Your Finances Anywhere
QuickBooks Online is a cloud-based accounting platform, which makes it easy for anyone to manage their business and finances from anywhere, as long as you have a good internet connection.
Work Easily with Your Accountant
You can share your QuickBooks account with your accountant, so they can review, fix, or handle your bookkeeping in real-time. There’s no need to worry about backups or losing data, and you avoid the usual limits of the Accountant’s Copy in QuickBooks Desktop.
Keep Your Accounts Updated Automatically
QuickBooks Online’s Banking Center downloads your bank and credit card transactions automatically. This keeps everything updated with almost no effort, even when you’re not using the software.
Affordable and Easy to Use
QuickBooks Online is much easier to set up than traditional systems, and it costs less because you only pay a simple monthly subscription fee.
No Need to Worry About Updates
QuickBooks Online updates itself automatically. You don’t need to handle patches or upgrades—everything happens in the background as part of your subscription.
Let’s take a closer look at how it simplifies and supports the unique needs of small businesses.
QuickBooks Features for Small Businesses
Running a small business is no small task, and managing finances can often feel overwhelming. QuickBooks Online is designed to tackle the unique challenges small business owners face every day.
1. Simplifies Accounting for Business Owners
Most small business owners are not accountants, and that’s perfectly fine. QuickBooks Online actually serves a complete, simple purpose with which self-explanatory aides are helpful for differing functions: expenses tools, invoices, and tax matters.
2. Built for Small Business Operations
Small businesses have specific needs, like managing day-to-day expenses, staying on top of cash flow, and preparing for tax season. QuickBooks Online provides these tools without adding unnecessary features that larger companies use. It keeps things simple, saving you time and effort.
3. Supports Busy, On-the-Go Owners
Small business owners often work beyond their desks, meeting clients or managing operations. QuickBooks Online’s cloud-based platform ensures your financial data is always within reach, whether you’re at home, on-site, or traveling. With just a device and internet access, you stay in control.
4. Fits Tight Small Business Budgets
Every dollar counts for small businesses, especially when starting out. QuickBooks Online offers affordable plans that grow with your business. You start with what you need, avoiding unnecessary expenses, and upgrade when your operations expand.
5. Provides Access to Expert Guidance
Small businesses do not usually have accountants on their payrolls. However, they use QuickBooks Online, which connects them with ProAdvisors-certified accountants who specialize in small business accounting. They can either help you in a few complex cases or give you advice that meets your specific business needs.
Disadvantages of QuickBooks Online
QuickBooks Online (QBO) offers many great features, but there are some challenges to keep in mind. Here are some of the disadvantages of Quickbooks online users face:
1.Automatic Rules May Be Wrong
QBO automatically sets rules for transactions, but these rules might not always be accurate. Double-check every transaction before accepting it to make sure the details are correct.
2.Don’t Delete Transactions
If you need to remove a transaction, use the “exclude” option instead of deleting it. Deleting a transaction will make it show up again, causing confusion.
3.Pulls in Old Transactions
When you connect your account, QBO imports all available transactions, including old ones. You’ll need to exclude transactions from previous years that were already reconciled to avoid duplicate entries.
4.Duplicate Entries from Transfers
When you transfer money between accounts, QBO might create duplicate transactions. Accept one entry and exclude the other to keep your records clean.
5.Uncategorized Deposits
If QBO can’t match a deposit or payment, it puts it in the “Uncategorized Asset” account. For example, if you deposit multiple checks together, QBO may not know how to handle it. Review this account regularly—monthly is a good habit—to fix and properly categorize any incorrect entries.
6.Prefilled Details Can Be Incorrect
QBO sometimes prefills payment details based on past transactions, but these aren’t always right. Double-check prefilled entries for vendors before accepting them.
7.Subscription-Based Pricing
Unlike the desktop version, QBO operates on a subscription-based pricing model. While this ensures access to the latest updates and features, QuickBooks pricing and plans can become expensive over time. Additionally, discontinuing the subscription may restrict access to your data, which can be a concern for some users.
Conclusion
Ultimately, deciding whether QuickBooks Online is best for your business really comes down to an understanding of the specific needs and priorities of the QuickBooks user experience. keeping that in mind, the advantages of QuickBooks Online include flexibility, ease of access and automation. on the other hand, disadvantages of QuickBooks Online would then highlight the areas where more attention might need to be focused.
When comparing QuickBooks Online vs Desktop, it’s essential to consider how each version aligns with your workflow and business goals. This is where Focus CPA can help. With their expertise, they ensure you fully leverage the benefits of QuickBooks while addressing its limitations so they don’t overpower your business processes.
QuickBooks supports multi-currency transactions, allowing you to assign different currencies to customers, vendors, bank accounts, and credit cards. It automatically updates exchange rates, ensuring accurate financial records. Once enabled, this feature cannot be turned off.
QuickBooks is primarily designed for business accounting, but it can be adapted for personal finance management, such as tracking household expenses or managing budgets. However, for personal use, Intuit offers a dedicated app called Mint, which is tailored to individual financial management.
QuickBooks offers various customer support options, including:
- 24/7 access to help articles, tutorials, and community forums.
- Live chat or phone support during business hours for QuickBooks Online users.
The type and availability of support depend on your subscription plan.
QuickBooks uses advanced security measures, including:
- 128-bit SSL encryption for data transmission.
- Multi-factor authentication for account access.
- Regular software updates to comply with industry security standards.
These measures ensure your financial data remains secure and private.
Yes, QuickBooks Online allows you to create custom financial reports using its Modern View, which is gradually replacing the Classic View. You can adjust filters, add or remove columns, and set specific date ranges to fit your reporting needs. This enhanced reporting experience, already rolled out to many users since mid-2024, can be accessed by looking for the magic wand icon in your report title
