QuickBooks Desktop was a revolutionary product for small businesses, dating back to the 1990s. This product still inspires strong loyalty. However, its cloud-based alternative, QuickBooks Online (QBO), launched about a decade ago, has been gaining traction despite initially mixed reviews. Many users remain loyal to the desktop version, citing its more intuitive interface and perceived lower cost, but a significant number have made the switch to QBO.
I personally resisted this change for many years. Two years ago, I finally relented and switched. The benefits of QBO and cloud-based accounting were too significant to ignore.
So, what are these benefits, and why should you consider switching now? Here are six compelling reasons to transition to QuickBooks Online for your business.
1. Anywhere, Anytime Access
QuickBooks Online offers unparalleled flexibility, allowing you to access your financial data from any device with a web browser – whether it's your phone, tablet, or computer. You can review transactions in your QBO bank feed over coffee, upload receipts from your phone, or retrieve financial data during meetings away from your workplace. It’s convenient and fast.
2. Automatic Updates and Backups
Forget manual updates and data loss worries. QBO automatically updates to the latest version and securely backs up your data in the cloud. This ensures you're always using the most current software, and your financial data is protected against unexpected events.
3. Collaborative Capabilities
One of the most significant benefits of QBO is its support for real-time collaboration. Multiple users, including your staff or external accountant, can work on the same file simultaneously improving efficiency and productivity. At our firm, we have noticed that we are often able to provide superior advice and collaboration for QBO clients compared to those using QB Desktop.
4. Integration with Third-Party Apps
QuickBooks Online integrates seamlessly with a vast array of third-party applications, enhancing its functionality. This includes e-commerce platforms, inventory management systems, and payment gateways, streamlining your business processes.
5. Location Independence
Struggling to find a local bookkeeper? With QBO, geographic location is no longer a constraint. You can hire the right person for your accounting needs, regardless of where they are located.
6. Phasing Out of QuickBooks Desktop
Intuit, the creator of QuickBooks, seems to be gradually phasing out the Desktop version. Finding QB Desktop on their website is becoming increasingly difficult, and many Intuit sales representatives are unfamiliar with it. Additionally, QB Desktop is no longer supported in most countries, with only Canada and the US remaining, and Intuit has ceased incentivizing resellers for selling most versions of QB Desktop.
Another indicator of the shift towards QBO is the pricing. QuickBooks Desktop Pro 2023 is now only available as an annual subscription for $549.99, while QBO starts at $30 per month.
In conclusion, while QBO may not be perfect and might require some adjustment, its benefits are undeniable. Whether it's powerful third-party integrations, the ability to collaborate instantly with your team or an advisor, or the convenience of accessing your account anywhere, the advantages of cloud accounting are clear.
Schanel & Associates is a CPA firm specializing in accounting, tax, and business valuation serving Palm Beach, Martin and St. Lucie Counties and beyond since 1993. Our CPAs and accounting professionals work with individuals, businesses, estates and trusts to provide everything you need under one roof. For more information, contact us today at 561-624-2118.
