Differences Between QuickBooks Desktop and QuickBooks Online
QuickBooks is a great tool for business owners to take control of their accounting. But they’re often faced with a difficult question: which QuickBooks is best for my business? QuickBooks Desktop Pro is the traditional accounting software that requires users to download and install on their computer. QuickBooks Online is a cloud-based accounting software. Both options offer many benefits to business owners, but do you know the difference between the two?
What They Share
Both QuickBooks Desktop and QuickBooks Online offer a wide range of benefits, including:
- Income and expense tracking
- Bank reconciliation
- Accounts payable
- Inventory management
- Tax support
- Payroll add-ons
- And more!
These are just some of the many features QuickBooks Desktop and QuickBooks Online share.
Advantages of QuickBooks Desktop
Some of the many features you can expect from QuickBooks Desktop that you can’t get with QuickBooks Online include:
- Industry-specific editions and reports
- Unlimited companies for no additional cost
- Advanced pricing rules
- Inventory assembly management
- Estimated vs. actual project costs comparison
Advantages of QuickBooks Online
Some of the advantages of QuickBooks Online include:
- Cloud accessibility
- Multiple user access
- Batch invoicing
- Sales tax calculations
- Mileage tracking
When is it Best to Use QuickBooks Desktop?
Now that you know some of the advantages of each version of QuickBooks, you may be wondering which one is best for your business. QuickBooks Desktop is ideal for business owners who want to manage books across multiple businesses, need intensive inventory tracking, or work in specialized industries. QuickBooks Desktop allows users to manage books for an unlimited number of companies at no additional cost; as long as businesses don’t need to consolidate reports, QuickBooks Desktop is a great solution for their accounting needs. Additionally, QuickBooks Desktop is an ideal for businesses that need intensive inventory management because the software has more advanced tools that make inventory tracking easier. Finally, QuickBooks Desktop is best for companies in specialized industries such as retail, nonprofit, contracting, manufacturing, and professional services.
When is it Best to Use QuickBooks Online?
QuickBooks Online is best for businesses that need to invoice customers, want cloud-based accounting, and are e-commerce businesses. QuickBooks Online provides users with a dependable invoicing feature that automatically calculates sales tax for every invoice based on the customer’s address. The software also integrates with third-party payment processing, which means customers can pay their invoices online. In addition to being able to send invoices online, QuickBooks Online is also best for businesses that want cloud-based accounting. Cloud-based accounting makes it easier than ever for anyone with permission to access important accounting information. Lastly, e-commerce businesses can benefit from QuickBooks Online as it seamlessly integrates with many e-commerce platforms.
Want to Know More?
The QuickBooks professionals at CFO Source are here to help business owners understand QuickBooks better and help you choose the best version for your business. With over 20 years of experience in accounting, we know the ins and outs of QuickBooks and can get your business the accounting services it needs without the high cost of a full-time manager. Contact us today to learn more.