The Importance of Choosing an Accounting Software
The success of your business is heavily influenced by making sound financial decisions and implementing efficient processes. One of the most important tools to have in order to make sound financial decisions is up-to-date accounting software. However, every business owner quickly learns that running a business means juggling an ever-increasing number of priorities. One priority that often gets overlooked early on is choosing the right accounting software and keeping it up to date. Choosing and maintaining an accounting software will give you significant power in running your business. QuickBooks Online is the accounting software of choice for Propell3r and we will review all the different options and features below!
QuickBooks Online Options
QuickBooks Online offers four different options including:
QuickBooks Online Simple Start
QuickBooks Online Essentials
QuickBooks Online Plus
QuickBooks Online Self-Employed
We’ll go through each QuickBooks Online option, except for Self-Employed which will be its own separate blog, and highlight what I believe is one of the most exciting features of that option!
QuickBooks Online Simple Start - $20.00 / Month
QuickBooks Online Simple Start may be the base option, but it includes several powerful features to help you run your business. You will be able to:
Track income and expenses
Send and track invoices
Connect your bank account
Print and record checks
Access your data via smartphone
Integrate with available applications
Understand your business with over 20 built-in business reports
Sending and tracking invoices is an important tool that allows you to electronically send invoices to your customers, see when they open it, answer questions regarding your invoice, and accept payments electronically via ACH or credit card. This tool can drastically decrease the amount of time it takes for you to get paid as it eliminates wondering if your customer received the invoice or the slow back and forth of traditional mail!
QuickBooks Online Essentials - $35.00 / Month
QuickBooks Online Essentials is the middle option and is the most common choice for business owners. Including everything mentioned in QuickBooks Online Simple Start, QuickBooks Online Essentials also includes the ability to:
Set up invoices to automatically bill on a recurring schedule
Manage and pay bills from vendors
Enter bills and schedule payments for later
Track billable hours by customer
Handle multiple currencies
Dive deeper into your business with over 40 built-in business reports.
Managing and paying bills from vendors and entering bills to schedule payments for later is an incredibly useful tool that saves business owners from suffering pesky late fees and keep track of who you are paying. Managing bills by vendor allows you to keep a historical record of who you are paying and how much, which means you can catch any increases in charges and potentially save some serious money! You may also find a mistake or decide to start looking at other options if one of your vendors is getting too expensive.
Business owners are busy and sometimes we get a bill, make a mental note to write a check and send it when it's due, and then forget until we get the next bill with a late fee attached! Entering the bill and scheduling payment for its due date lets you get the bill, enter it immediately in QuickBooks Online Essentials, schedule it for payment, and never have to deal with another late fee again!
QuickBooks Online Plus - $60.00 / Month
QuickBooks Online Plus is the top of the line option and includes everything from QuickBooks Online Essential and QuickBooks Online Simple Start. The features unique to QuickBooks Online Plus include:
Creating and sending purchase orders
Managing 1099 contractors
Limited access for employees and subcontractors to track time worked
Tracking sales and profitability for multiple locations
Categorizing income and expenses by class
Analyzing every part of your business with over 65 built-in business reports
Categorizing income and expenses by class is an awesome feature that allows business owners with multiple income streams to see which is the most profitable. Class tracking is useful when you have a common service but applied to different revenue streams. Propell3r, for example, uses class tracking to differentiate our consulting income between finance, marketing, general management, project management, and process improvement. Tracking by class allows business owners to see which revenue stream is the most profitable and focus their attention on continuing to improve that service or shift focus to improve less profitable services!
Ask for Help
All of the QuickBooks Online options have several features and it can overwhelming to choose the right one. I am one of four QuickBooks Online Certified ProAdvisors in Yakima, Washington and I’ve included a worksheet that will help you make the right decision. Propell3r also offers bookkeeping servicing which includes your QuickBooks Online subscription and backup, restoring, and copying of your QuickBooks Online data. If you would like to see how we can help your business reach out at www.propell3r.com/contact
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