Not sure which accounting software you should use for your business? Many business owners struggle to select finance software due to the complexity of these programs. Whether you’re new to business finance or are interested in exploring other accounting options, choosing the right software can be daunting.
However, we have some recommendations: QuickBooks Desktop, QuickBooks Online, and Xero. Below, we’ll give you a rundown on these three programs.
QuickBooks Desktop
QuickBooks Desktop is available in several versions tailored to different business needs: Pro Plus, Premier Plus, and Enterprise. Each version offers robust features for accounting, including advanced reporting, inventory management, and job costing. As of 2024, the pricing for QuickBooks Pro Plus is approximately $549.99 per year, Premier Plus is around $799.99 per year, and Enterprise starts at $1,740 per year depending on the level of features required.
Notably, Intuit has announced that new subscriptions for QuickBooks Desktop (Pro, Premier, Mac) will no longer be sold in the U.S. after July 31, 2024, though existing users can continue their subscriptions
QuickBooks Online (QBO)
QuickBooks Online is a cloud-based accounting software ideal for small to medium-sized businesses. It provides extensive features like invoicing, expense tracking, inventory management, and integration with over 650 third-party apps. The subscription plans range from $30 to $200 per month, depending on the features and number of users required.
QuickBooks Online also offers a unique service called QuickBooks Live Bookkeeping, which provides businesses with access to professional bookkeeping assistance. This flexibility and range of features make it a popular choice for businesses seeking comprehensive, user-friendly accounting solutions.
Xero
Xero’s cloud-based software is currently growing in popularity in the U.S. Xero boasts very loyal customers who enjoy the program’s user-friendliness, price, and excellent customer service.
The prices range from $15/month to $78/month, however Xero has substantial discounts for new buyers. It offers three primary pricing plans: Early ($15/month), Growing ($42/month), and Established ($78/month). Each plan includes core features such as online invoicing, inventory management, and a mobile app for managing finances on the go. The Early plan limits users to 20 invoices and five bills per month, while the Growing and Established plans offer unlimited invoices and bills. Additionally, Xero includes a 30-day free trial for new users.
In conclusion, while Xero excels with its unlimited user policy and comprehensive feature set in higher-tier plans, QuickBooks offers more flexibility in invoice customization and has a broader range of versions to cater to different business needs. The choice between Xero and QuickBooks will depend on your business's specific requirements, budget, and preference for cloud-based versus desktop-based solutions.
