Ease of use gets the highest weight in this case study because we want to give more credit to easy accounting software. For this section, we considered customer service, support network, and a subjective expert opinion score. Users must have easy access to customer service channels in case of problems, questions, or assistance. Although QuickBooks Online earned a perfect score and Enterprise took a slight hit in this criterion, we consider this a tie.
- This is useful for businesses with multiple departments or divisions and those that provide various types of services.
- The A/P section focuses on vendor management, bill management, bill payments, and other payable-related transactions.
- QuickBooks Desktop, on the other hand, is installed locally, meaning you download and install the software on your computer or multiple computers in your office, for example.
- There’s also a feature that facilitates inviting your accountant to the platform, so they can have direct access to your data.
The dashboard does an excellent job dividing all accounting aspects into a flowchart type of view, while the sidebar provides quick access to a list of features. That said, it can feel overwhelming and confusing if you don’t have prior accounting knowledge. QuickBooks Desktop, on the other hand, is installed locally, meaning you download and install the software on your computer or multiple computers in your office, for example. Once installed, your accounting data will only be accessible on one of these devices, making it difficult to work on the go.
With QuickBooks Online, you also get the latest security capabilities. Know that your data is protected without downloading and installing product updates. You don’t have to worry about losing everything in a fire or an unforeseen event. QuickBooks Online is user-friendly, but it requires some prior accounting knowledge to get the most out of it.
Best Accounting Software for Small Businesses of 2024
As a QuickBooks ProAdvisor, Mark has extensive knowledge of QuickBooks products, allowing him to create valuable content that educates businesses on maximizing the benefits of the software. This takes into account customer management, revenue recognition, invoice management, and collections. QuickBooks Online offers more features on the go and is a better overall value than QuickBooks Desktop.
Why QuickBooks Online is a better choice
Each offers a detailed chart of accounts, journal entries, bank reconciliation, accounts payable, accounts receivable, and the basic reports needed to run a company. However, QuickBooks Desktop offers accrual accounting concepts and examples for business better reporting and supports more complex accounting. Four pricing plans for QuickBooks Online are available, ranging from $35 to $235/month (with an additional $50+/month for payroll). QuickBooks Desktop also has several additional features you won’t find with QBO, including sales orders and lead management. Because it is locally installed software, you also have more control over keeping your financial data secure. In contrast, QuickBooks Desktop tends to have a steeper learning curve, offers fewer integrations, and has had its previous versions discontinued by QuickBooks.
Make the switch to QuickBooks Online
However, QuickBooks Online offers over 750 integrations to QuickBooks Pro’s 260+ integrations. In the battle between QuickBooks Online and Desktop, it’s best to focus on the differences between the two accounting software options since they are so similar. At Business.org, our research is meant to offer general product and service recommendations. We don’t guarantee that our suggestions will work best for each individual or business, so consider your unique needs when choosing products and services. The software must have enough reports that can be generated with a few clicks. Moreover, we’d also like to see customization options to enable users to generate reports based on what they want to see.
Another key difference between QuickBooks Online and Desktop is that the former allows you to track your activity, such as income and expenses, by class and location. This is useful for businesses with multiple departments or divisions and those that provide various types of services. Meanwhile, QuickBooks Desktop allows you to set up classes, but you can’t track your income and expenses by location.
QuickBooks Desktop provides better security and control over data than QuickBooks Online
The higher your plan tier, the more reports and users you can add, although it’s important to understand concurrent users are each sold separately. We at the MarketWatch Guides team spent over 100 hours researching and testing 15 accounting software providers. We looked at all-in-one tools, such as QuickBooks, as well as specific tools for mileage tracking and expense management. During our extensive research of the business accounting industry where we interviewed financial experts and surveyed accounting software users, QuickBooks came up often as a widely used solution.