QuickBooks Online is one of the most widely used accounting software systems for small businesses and for a good reason! It automates tasks making accounting less time-consuming, enables easy sharing of financial information with others in your company, and is easily scalable. Additionally, QuickBooks Online is cloud-based, meaning you can easily access information from any device with an internet connection.
However, the software is challenging to use. This post will walk you through everything you need about QuickBooks Online and why you should outsource bookkeeping services to get the most out of this software.
What is QuickBooks Online?
QuickBooks Online is a software designed to help business owners manage their financial and accounting operations more efficiently. It is more than just an online version of the original QuickBooks; QuickBooks Online offers a wide range of features (some of which aren't available in the desktop version) that enable users to track expenses, create invoices, generate reports, and more.
Businesses can customize this software to meet their needs, including tracking employee time and attendance, setting up payrolls, creating budget reports, and creating project estimates.
QuickBooks Online is priced competitively with four service tiers designed to meet the needs of various business types. They include:
- Simple Start: This plan is designed for small businesses with a single user. It costs $30 per month. Simple Start allows users to capture and organize receipts, track income and expenses, track mileage, maximize tax deductions, and manage cash flow.
- Essentials: This plan is also suitable for small businesses with a single user. It costs $55 per month. In addition to the features in the Simple Start Plan, Essentials plans also include the ability to manage and pay bills, time tracking, and general accounting reports.
- Plus, users can inventory and project profitability in addition to the features of the Simple Start and Essential plans. Also, the accounting reports are comprehensive. Plus goes for $85 per month.
- Advanced: This plan allows up to 25 users and offers the features of all the lower plans and the most powerful accounting reports. It costs $200 per month.
What Business Owners Should Know About QuickBooks Online
Business owners need accounting software that saves them time while ensuring that financial records are accurate. QuickBooks Online can help towards this end. Here are some of the things you should know about QuickBooks Online.
1. It Automates Worlflows
Manual data entry is not only time-consuming and tedious but also prone to human error, and so can lead to inaccuracies in our books. QuickBooks Online automates tasks, making accounting less stressful and time-consuming for small business owners. With this software, you can sync data from credit card and bank transactions, send recurring invoices and payment reminders, and reconcile expenses, among other tasks, eliminating the need to do so manually.
2. It Stores Data in the Cloud
Nowadays, cloud storage is the most secure way to store accounting records and other information. Even if your computer malfunctions, your data is stored remotely and unaffected by physical damage. Also, your accountants can conveniently access invoices, receipts, books, and other essential documents, regardless of where they are—talk of seamless accounting.
Unlike most accounting systems that require you to reinstall or update the program, QuickBooks Online is cloud-based and is updated centrally by its parent company. As such, you won't have to worry about whether you have a revised version. With QuickBooks online, you don't have to lift a finger since all updates are handled in-house.
3. It Allows Data Sharing
You'll appreciate this software suppose your business shares its accounting tasks with other users. Since the software is cloud-based, your accountant and any other staff can log in to QuickBooks Online to access various documents without necessarily being on your computer. All they need is need a password and username to access the data.
The software also has packages that enable you to add more users. Thus, you can have multiple people using this software at once. Suppose you are worried about anyone stealing your password and destroying your data; you can subscribe to packages that allow you to control what you see.
And even though your plan has different users, the users can run reports from any location. This interconnectivity simplifies the accounting process.
4. It is Compatible with Mobile Devices
QuickBooks Online accounts include Android and iOS apps for phones and tablets, allowing users to access their accounts from anywhere. With these apps, you can:
- Create, customize, send, and track an invoice
- Reconcile transcations
- Take pictures of receipts and attach them to expenses
- Accept payments on the go (but you first have to activate QuickBooks Payments)
- Add new customers, view customer information, and message customers directly
- View dashboard data
5. It Offers Multiple Reporting Options
Reports are crucial to seeing a clear picture of your finances. QuickBooks Online's built-in reporting feature spares you the tedious task of creating financial reports from scratch. It allows you to set up the software to run reports and automatically send them to you via email.
QuickBooks Online also offers several reporting options. Each report contains information that may help you make sound decisions about your business operations.
6. It Integrates with Other Tools
Another excellent feature of QuickBooks Online is its ability to work with third-party applications. This capability opens a whole new market that allows you to create efficiencies in your processes or solve other pain points your business may face. While determining which apps to use can be overwhelming, creating a technology stack for running your business can be game-changing.
Things Business Owners Don't Need to Know About QuickBooks Online If They Outsource Bookkeeping Services
A Bookkeeper is tasked with keeping records of all financial statements and transactions a business makes. An outsourced bookkeeper is an individual or entity that performs bookkeeping tasks out of the office.
When you outsource bookkeeping services, your bookkeeper will relieve you of the burden of having to understand the ins and outs of QuickBooks Online and will use the software to:
- Keep track of the transaction and the purpose of the transaction
- Handle payroll and payroll taxes
- Send invoices
- Handle accounts payable and accounts receivable
- Keep track of overdue accounts
- Ensure ledgers are up to date
- Generate financial statements
When you outsource a bookkeeper, you need not worry about the following:
- The specific integrations QuickBooks Online offers
- Live bookkeeping support provided by QuickBooks Online
- How to set up QuickBooks Online
Need Bookkeeping Services? Contact Two Arrows Admin Bookkeeping & Consulting Today
Our team is conversant with QuickBooks Online and uses it to assist our clients. We can help with QuickBooks migration, set up automated invoicing, track your transactions, create custom reports, analyze your financial information, and more. Contact Two Arrows Admin Bookkeeping & Consulting today.