QuickBooks Desktop vs. QuickBooks Online- Which One is Better for Small Businesses?
Small businesses are always looking for ways to improve their accounting processes. With the rise of accounting software, the task has become far easier. One of the most popular accounting software, QuickBooks, has two versions - Desktop and Online. But which version is better for small businesses? Let's compare.
QuickBooks Desktop
QuickBooks Desktop is a software that is installed on the computer. This version provides all the features one would expect from accounting software, such as invoicing, bill payment, and inventory tracking. A significant advantage of using QuickBooks Desktop is the one-time payment for the software. This means there is no monthly fee or subscription. QuickBooks Desktop also comes with industry-specific versions that cater to retail, nonprofit, and manufacturing businesses, among others.
QuickBooks Online
QuickBooks Online is cloud-based software that can be accessed from anywhere using an internet connection. It provides features similar to QuickBooks Desktop. However, it has some additional benefits for small businesses. QuickBooks Online allows multiple users to collaborate on the same file at the same time. This is particularly useful for businesses with multiple locations. QuickBooks Online also provides automatic backups, mobile accessibility, and integration with other cloud-based applications.
Comparison
| Features | QuickBooks Desktop | QuickBooks Online |
|---|---|---|
| Installation | On computer | Cloud-based |
| Cost | One-time payment | Monthly subscription |
| Accessibility | Limited to the computer | Accessible from anywhere |
| Multiple users | Not available | Available |
| Scalability | More suited for on-premise businesses | More suited for online businesses |
Conclusion
Choosing between QuickBooks Desktop and QuickBooks Online depends on your business's needs. QuickBooks Desktop is more suited for businesses that don't require online accessibility and have a one-time budget for accounting software. QuickBooks Online is more suited for businesses with multiple locations that require remote access and regular updates.
In any case, both versions of QuickBooks provide everything a small business needs to manage its finances. So, it comes down to the specific requirements of the business.