I love QuickBooks Online for many reasons; specially because of features that QuickBooks Online has that QuickBooks Desktop (Pro, Premier, or Enterprise) do not have:
- Setup recurring sales receipts with automated credit card or ACH payments
- Smartphone/Mobile device application (iPhone, iPad, and Android) that can perform certain key transactions in QuickBooks
- Data is 100% on the cloud, no need for Desktop remote access or costly hosting solutions
- No need for specific operating system or servers (works with both PC and mac users simultaneously)
- Automatically schedule invoices to be created and e-mailed
- Easy accountant access and collaboration
- Powerful Bank Feeds and Bank Rules
- Can upgrade to up to 25 users in one-click
- Monthly updates and improvements
It is also important to point out that a 1-user of QuickBooks Pro is about $250 (every 3 years with forced upgrades to use banking, payroll, and/or merchant payments) and QuickBooks Online is $30 a month (3 users, no inventory support) or $40 a month (5 users, with inventory, classes/locations, and some job costing support)
However, there is a plethora of features that QuickBooks Desktop Pro has, that you will NOT find in QuickBooks Online; such as:
- Progress Invoicing: the ability to create an invoice based on a percentage or specific item originating from an Estimate, and the system keeping track of what I have invoiced so far. This is not really so innately used on Inventory transactions; but I have seen it used in many occasions.
- Partially Received Purchase Orders: in QBO Plus, you either receive a PO or not receive a PO; yes you can partially receive it, but it will not track the PO as being still open. These vendor backorder tracking are VERY important.
- Item Receipts: in QBO, to receive the inventory you must use a BILL only. In QuickBooks Desktop, you can use Item Receipt to receive the Inventory and later on when the bill arrives, you can convert the item receipt to Accounts Payable… this is a nice workflow for many companies that want to separate receiving inventory from creating accounts payables.
- Fixed % Price Levels: this feature allows you to create different levels of pricing that reduces the sales price of an item based on predetermined percentages, like 10%, 25%, 30%, etc.. which makes it much easier for the user to apply a specific price level to an item.
- Reorder Points (Min): this is a way to track how many of these items do you want to have in the warehouse as a Minimum at all points, to make sure when the amount falls bellow this number, that replenishment is ordered.
- Manufacturer’s Part Number (MPN): is an additional field that allows to also put the part number from the manufacturer or vendor to use a reference in Purchase Orders
- Custom Fields: you can add up to 5 custom fields on each item that allows you to record information like weight, color, lead time, category, etc…
- Custom Summary Reports and high level of customization of Transaction Detail Reports
- Fully Customizable forms, such as: Invoices, Estimates, and Purchase Orders with formatting and customizable fields.
- Job Costing on Payroll Checks
There are also 3 other versions of QuickBooks Desktop: Premier, Accountant, and Enterprise which contain a lot more features not mentioned here. On the next article, there is a full comparison of all QuickBooks Desktop versions