QuickBooks is a popular accounting software for small and medium-sized businesses. It has two versions: QuickBooks Online (QBO) and QuickBooks Desktop (QBD).
Each version has its own advantages and disadvantages, and the version you choose should depend on your business needs.
To help you decide which version of QuickBooks to use, here are the top 10 advantages of QuickBooks Online vs Desktop. You will learn about the features of each version, how they differ, and which one is best suited for your business. So let’s get started!
1. Easy Access from Anywhere
One of the greatest advantages of QuickBooks Online vs Desktop is that it can be accessed from anywhere with an internet connection.
This makes it easier for business owners to manage their finances and accounts, regardless of where they are located.
Additionally, multiple users can access the same account at the same time, making collaboration easy and efficient. No more waiting for others to finish their work before you can begin yours!
2. Automatic Updates
One of the most significant advantages of QuickBooks Online over QuickBooks Desktop is that it automatically updates whenever there is a new version available.
This eliminates the need for manual updates, which can be time-consuming and prone to errors. Additionally, the online versions offer more features than desktop versions, so you’ll always have access to the latest and greatest features.
Plus, since you can access your books from any device with an internet connection, you’ll never miss an update!
3. Free Backups and Restore Options
One of the greatest advantages of QuickBooks Online over Desktop is that it offers free backups and restore options.
This means that any data you enter into QB Online will be automatically backed up, providing an extra layer of security to your business’s financial information.
Also, if you ever need to restore previous data for whatever reason, it’s easy to find in the Backup & Restore tab on QuickBooks Online.
This is a feature that you can’t get with QuickBooks Desktop, meaning you have to take extra steps – such as manually backing up files – to ensure your data is safe should something unexpected happen.
4. Security Features
QuickBooks Online offers the best in terms of security features and data protection. It is compliant with the highest standards of security and uses 256-bit encryption to ensure that all your financial information is stored securely.
It also has two-factor authentication, which adds an extra layer of security to protect against unauthorized access. Additionally, it offers built-in audit trails that help you track user activities for greater transparency.
QuickBooks Desktop does not offer these advanced security features, making the online edition a more secure choice for users who have sensitive data to store.
5. Automated Bank Transactions and Reconciliation
One of the main advantages of QuickBooks Online over its desktop version is that it offers automated bank transactions and reconciliation.
When you connect your bank account to QuickBooks Online, it pulls all your transactions automatically. This feature makes it much easier to track and reconcile all your financial data in one place, saving you time and effort.
Additionally, QuickBooks Online allows you to set up rules for categorizing expenses and other transactions, further simplifying the process of reconciling accounts.
6. Collaboration with Multiple Users
One of the primary advantages of QuickBooks Online compared to QuickBooks Desktop is its collaboration capabilities. With an online version, multiple users can access and work on the same set of data at the same time.
This means that you can have multiple people working on financial tasks without having to worry about overlapping data entry or conflicting information.
Plus, with QuickBooks Online, you can manage user permissions and customization features to ensure that only the right people have access to the right parts of your financial records.
7. Reporting Tools
QuickBooks Online offers more than 80 reports to track your business performance and finances. This includes reports on sales, customers, vendors, taxes, job costs, and more.
QuickBooks Desktop offers fewer types of reporting but is still sufficient for most businesses. The main advantage that QuickBooks Online has over Desktop is customization capabilities.
You can customize the columns in reports to show only the data you want to see and create custom filters based on the criteria you define.
Additionally, you can create custom formulas to calculate metrics such as project profitability or individual employee performance.
These features aren’t available in QuickBooks Desktop and are especially useful if you want to track specific data or metrics for your business.
8. Cloud Storage Option
QuickBooks Online offers cloud-based storage and access to your financial data from anywhere, anytime. This is a great advantage over the desktop versions of QuickBooks which require you to be at a certain location in order to access or use the software.
With cloud-based QuickBooks Online, you can access the program from any device with an internet connection, giving you the freedom and flexibility to work from anywhere.
Additionally, all your data is stored securely in the cloud, making it easy for you to back up your financial information and share it with colleagues or bookkeepers.
9. Mobile Apps for iOS and Android Devices
QuickBooks Online has mobile apps for both iOS and Android devices. The apps let you access your QuickBooks data from anywhere, anytime.
You can even use them to snap a photo of receipts and add them to your expenses. This is an incredibly convenient way to manage your finances while on the go.
Plus, with the ability to access real-time data, you can always stay up-to-date with how your business is doing.
10. Integration with Other Software and Applications
QuickBooks Online integrates seamlessly with other software and applications, allowing users to sync their data efficiently. This makes it easier to track expenses, manage invoices, and receive payments.
It also allows users to access their data from any device as long as they have an internet connection. Additionally, QuickBooks Online can integrate with over 200 third-party apps such as PayPal, TSheets, Square, and more.
This means that you can transfer data between the two platforms without a hassle.
With QuickBooks Desktop, however, the user is limited only to those integrations that are built-in or supported by Intuit’s certified software developer program.
Key Takeaways
- QuickBooks Online offers several advantages for businesses over the desktop version, including easier access from anywhere, automatic updates, free backups and restores, security features, automated bank transactions, and reconciliation, collaboration with multiple users, reporting tools, cloud storage option, mobile apps for iOS and Android devices and integration with other software and applications.
- QuickBooks Online provides a more efficient way to manage your business’s accounting needs.
It’s nice that you talked about how one of the greatest advantages of QuickBooks Online vs desktop is that it could be accessed from anywhere with an internet connection. I was reading an online article yesterday and I learned about QuickBooks Online. It sounds like a very useful tool, and I heard there are plenty of online QuickBooks providers.