QuickBooks Online: Uses, Versions, and more

What is QuickBooks?

QuickBooks is an accounting software from a US-based company, Intuit. QuickBooks is designed to help businesses manage their financial tasks efficiently. It offers a range of tools, add-ons, and integrations for tasks such as invoicing, expense tracking, payroll processing, tax preparation, and financial reporting.

QuickBooks is marketed and sold in the US, UK, and Canada, but it is widely used worldwide. It provides services and support all over the world, which makes it a popular choice for businesses of all sizes and structures.

It also offers support through its website and video tutorials. In addition, third-party independent service providers are also available to support you with any issues you may encounter. 

Now, talking about the versions QuickBooks mainly offers, QuickBooks Online is completely cloud-based, which signifies that it can be accessed anytime and from anywhere. It offers a collaborative environment that allows multiple users to work on the same file simultaneously.

Whereas QuickBooks Desktop can be installed on a computer, and it is a one-time purchase. It works as in-house software and can be integrated with software like Microsoft.

QuickBooks comes with a lot of features, such as inventory management, bank reconciliation, and tracking sales. Depending on the size and needs of your business, you can switch to the suitable plans provided by QuickBooks.  

Versions of QuickBooks Software

QuickBooks offers a range of products to help you manage your accounting and finances. The following are some of the QuickBooks versions available:

QuickBooks Desktop: This version is a comprehensive desktop solution that offers advanced accounting features. It is available in three different versions: QuickBooks Desktop Pro Plus, QuickBooks Desktop Premier Plus, and QuickBooks Enterprise.

Here is a brief comparison of the features of each version:

• QuickBooks Desktop Pro Plus: This version is ideal for small businesses that require advanced accounting features. It includes features like invoicing, expense tracking, and basic financial reporting. For example, A local bakery uses QuickBooks Pro to manage sales expenses and generate invoices.

• QuickBooks Desktop Premier Plus: This version is suitable for businesses that require industry-specific features. It offers advanced reporting and forecasting. For example, a construction company uses QuickBooks Premier for project-specific financial tracking.

• QuickBooks Enterprise: This version is designed for mid-sized businesses that require advanced inventory management and reporting features. It is suitable for larger businesses with complex requirements. It offers features like advanced inventory management, user controls, and customizable reporting. For example, an e-commerce business using QuickBooks Enterprise for large inventory and financial management.

QuickBooks Freelancers: Designed for freelancers, contractors, and sole proprietors.

It Simplifies tracking income and expenses, calculates quarterly taxes, and helps maximize deductions. For example, a freelancer uses QuickBooks Online Freelancer to benefit himself from this tool by estimating quarterly tax payments based on her income and deductions which helps his business to make budgets effectively and avoid making mistakes in the future.

QuickBooks Mac Plus: This version is designed for Mac users. It offers a Mac-friendly interface with accounting essentials. For example, a graphic design studio on Mac uses QuickBooks for Mac to integrate with their Apple ecosystem seamlessly.

QuickBooks Online: This version is available in four different versions: Simple Start, Essentials, Plus, and Advanced. Simple Start and Essentials are ideal for smaller companies, while Plus and Advanced offer additional features.

Here is a brief comparison of the features of each version:

• Self-Employed: It is tailored for freelancers and independent contractors. This version simplifies income and expense tracking, estimates quarterly tax payments, and separates personal and business expenses. For example, a freelance graphic designer using QuickBooks Self-Employed to effortlessly manage project income, track business expenses, and calculate taxes.

• Simple Start: This version is ideal for small businesses that require basic accounting features. It offers features such as invoicing, expense tracking, and sales tax tracking. For example, a writer uses QuickBooks Online Simple Start to invoice clients, track writing-related expenses, and generate basic financial reports.

• Essentials: This version is suitable for small businesses that require more advanced accounting features. It offers features such as bill management, time tracking, and multiple users. For example, a marketing consultant using QuickBooks Online Essentials to manage client invoices, track advertising expenses, and collaborate with a virtual assistant on bill payments.

• Plus: This version is designed for growing businesses that require more advanced accounting features. It offers features such as inventory tracking, project profitability tracking, and budgeting. For example, a web developer with multiple ongoing projects using QuickBooks Online Plus to manage inventory (digital assets) and analyze project-specific financials.

• Advanced: This version is designed for larger businesses that require more advanced accounting features. It offers features such as custom user permissions, enhanced custom fields, and premium customer support. 

How QuickBooks Online Software Benefits Small Businesses?

QuickBooks Online serves as a one-stop solution that can be tailored to various business needs. It adapts to the needs of the business and provides handy solutions for your financial stability and growth.

• Being a cloud-based software, a business owner can create, send, and track GST-compliance invoices from any device.

• Every application has its own features. So, connecting QuickBooks with apps such as PayPal, Tsheets, and Square can streamline your payment processing and reconcile transactions seamlessly.

• Customize invoicing, track expenses effortlessly, and gain insights with robust reporting tools.

• Get up-to-date financial information in real-time for better decision-making.

• Whether you own a freelancing business or run an industry-specific business, QuickBooks’ inbuilt GST features make it easy for you to meet compliance requirements without any hassle.

• Importing and exporting of data is made easy by just uploading files and map fields to import accounting data with simple steps.

• Claim the correct Input Tax Credit (ITC) by reconciling and comparing your purchases in QuickBooks with supplier invoices uploaded on the GST portal. QuickBooks’ inbuilt GST features make it easy for you to stay tax compliant by generating GSTR reports, adding HSN/SAC codes to your products and services, and calculating your tax liability accurately.

• Intuitive design makes it easy to navigate and use, even for those without deep accounting knowledge.

• Streamline your tasks like invoicing, expense tracking, and payroll, saving time and reducing manual errors.
• Get the teamwork facilitated with QuickBooks Online, which allows multiple users to access and collaborate on financial data simultaneously.

• Easily scale as your business grows, with different versions serving various needs.

• Get benefited from secure data storage and regular backups to ensure the safety of your financial information.