How to compare Quickbooks online vs Quickbooks desktop ?

QuickBooks Online and QuickBooks Desktop are accounting software.

Quickbooks Online is Intuit’s cloud-based accounting software for small businesses, launched in 2004, and is continuously adding new features and services to improve their software. However, the latest QuickBooks Online Advanced plan makes the software expandable for larger businesses as well. QBO delivers a robust feature set, strong accounting, online payroll, attractive invoices, more than 500 integrations, and a unique lending feature. As this software is cloud-based, it can work with any environment with an internet connection and enables the user to keep track of their business remotely.

Pros:

• Cloud-based
• Easy to use
• Monthly pricing
• Strong features
• Built-in lending
• 500+ integrations

Cons:

• Customer support
• More expensive than other SMB products
• Fewer features than Desktop
• No sales orders

QuickBooks Desktop was launched way back in 1992 and is still one of the primary software choices of accountants worldwide.

There are three by-products QuickBooks Desktop available in the market, such as:

1. QuickBooks Desktop Pro: Designed for small businesses
2. QuickBooks Desktop Premier: Designed for medium business
3. QuickBooks Desktop Enterprise: Designed for large businesses

Each desktop version of QuickBooks provides extensive accounting tools and incredible feature sets, comprising expense tracking, budgeting & job costing, 200 integrations, and positive customer reviews.

Pros:

• Strong features
• Traditional accounting
• Potentially more secure
• 200+ integrations

Cons:

• Customer support
• No remote access or mobile apps
• Expensive license structure
• Less automation than QBO

Some of the fundamental differences between QuickBooks Online & QuickBooks Desktop are explained below:

Cloud-Based VS Locally-Installed

• QuickBooks Online is cloud-based and runs with the Internet.
• QuickBooks Desktop is installed on a computer, which means that this software cannot be accessed remotely or on mobile apps.

Security

• Since QuickBooks Online is cloud-based, Intuit takes care of all the security-related aspects.
• QuickBooks Desktop is locally-installed which means that the concerned company or the individual is solely responsible for the security of all data.

Pricing Structure

• QuickBooks Online comprises a monthly SaaS pricing structure.
• QuickBooks Desktop has an annual licensing structure.

Number Of Users

• QuickBooks Online enables up to 25 users depending on their pricing plan, providing them access to unlimited time-tracking only users.
• Additional user licenses for QuickBooks Desktop Pro costs $299 each, which is a bit extortionate, and the software incorporates a maximum of 3 users.

Detailed Features

• QuickBooks Online offers one of the best feature sets of accounting software.
• QuickBooks Desktop provides an even more advanced feature set than that of QuickBooks Online.

Available Automation

• QuickBooks Online enables business owners to manage their accounts more efficiently and quickly.
• QuickBooks Desktop synchronizes all the information of their users, such as bank or credit card data, in real-time.

Learning Curve

• QuickBooks Online does not provide as steeper learning curve as the latter, and its UI is also not much modern or easy to navigate.
• QuickBooks Desktop offers a feature set that focuses on traditional accounting techniques.

How to identify which software works best for your business?

To understand which version works best with your business, you must be clear about your requirements:

Go For QuickBooks Desktop If:

• You want accounting software that is user-friendly and easy to learn.
• You want to access your accounting remotely or with mobile apps.
• You want time-efficient automation and real-time sync with your bank and other business integrations.
• It would be best if you had payment processing integrations to pay invoices directly online.
• It would help if you had international invoicing.
• You want access to QuickBooks Capital lending.

Go For QuickBooks Desktop If:

• You are looking for locally-installed accounting software.
• You need the industry-specific features of QuickBooks Desktop Premier or QuickBooks Desktop Enterprise.
• It would be best if you had sales orders.
• You have very complex accounting.

Final Words:

All the points mentioned above will help you pick the software as per your business’s requirements.

These are simple Key Differences Between Desktop & QBO

The differences in the two versions of QuickBooks are evident when accessing the software, creating reports, processing invoices and more. Here are a few of the key differences:

Initial Fee – There is no initial fee to try it Because QBO offers a free 30-day trial. In Desktop you have to purchase the software directly.

Monthly Fee - In QBO there is a monthly subscription. On the Other hand, Quickbooks Pro Desktop 2015 is a one-time payment.

Internet Connection- In Quickbooks Desktop is installed on your device and Can only be accessed from the particular device so it doesn't need an Internet connection. QBO is cloud Based an Internet connection is required and you can access it from anywhere at anytime

Automation Functions – With Desktop, transactions (invoice, receipt, reports, etc.) must be processed manually. QBO has several automated features for things such as customer billing, email reports and downloading bank transactions.

Remote Access – You can take the benefit of Remote Acess when you use Quickbooks Desktop because it is installed in your device. But QBO is cloud-based Users can access Quickbooks from multiple devices.

Customized Features – The QuickBooks Desktop version has several features that are not available in the online version. This includes the ability to prepare 1099s, budget and track mileage and expenses. In general, the desktop version allows more freedom to customize forms than QuickBooks Online.