Are you Outgrowing QuickBooks?

Are You Outgrowing QuickBooks?

For many businesses, including small to medium-sized companies, QuickBooks has been the go-to financial management tool for years. QuickBooks was launched in 1998 and quickly gained popularity among business owners, particularly those with limited resources and staff.

What is QuickBooks?

Let’s take a deeper look at what QuickBooks does and how it helps millions of businesses worldwide.

First, it’s essential to know that “QuickBooks is the accounting and finance software of choice for more than 29 million small businesses nationwide.”

“It is a full-featured business and financial management suite complete with tools for accounting, inventory, payroll, tax filing, invoicing, bank account tracking, reconciliation, expense management, budgeting, payment processing, and accounts receivable and accounts payable management.”

QuickBooks is a one-stop shop designed for small businesses that don’t have sizeable in-house accounting departments or many employees to run the show, but there comes a time when QuickBooks may not be enough. How do you know if you’ve outgrown QuickBooks?

QuickBooks Benefits 

• First, it’s essential to understand the many benefits that QuickBooks offers.
  
  
• Reliability. QuickBooks allows companies to perform most accounting functions independently, keeping employee costs low.
  
  
• Compatibility. QuickBooks is compatible and can sync with many software platforms and apps.
  
  
• Accessibility. QuickBooks allows you to connect from any device, from a smartphone to a PC, for 24/7 remote access.
  
  
• Credibility. QuickBooks provides an accurate record of accounting functions for auditing purposes.
  
  
• Trackability. QuickBooks provides easy-to-use reports and templates that record and report critical financial data.
  
  
• Environmentally Conscious. There is no need for a paper trail with QuickBooks. All financial and accounting data can be conveniently stored and accessed when needed.
  
  
• Usability. QuickBooks is user-friendly and easy to use and learn.
  
  
• Affordability. QuickBooks is one of the most affordable options, offering additional features at competitive prices as your business grows.
  
  
• Popularity. QuickBooks is widely recognized among accounting professionals worldwide. 

QuickBooks and Beyond 

While there are many benefits to QuickBooks, a company eventually realizes that it has outgrown the software and can no longer fulfill its needs. How do you know when you’ve outgrown QuickBooks? Here are a few signs to see that it may be time to explore other options.

• Storage limits. As businesses grow, many realize that they need more licenses and must grant access to more users, and that QuickBooks may be limited in meeting their needs.
  
  
• Manual processes. While QuickBooks is excellent, much of its functionality relies on manual processes, which can lead to data entry errors and human mistakes. If your business is booming and requires more attention, it may be time to explore other options.
  
  
• Lack of customization. QuickBooks provides standard templates and numerous options that enable businesses to operate efficiently. As your business grows and requires more customization, QuickBooks may not meet your needs.
  
  
• Manual processes. QuickBooks is great for small businesses, but as their needs change and they grow, it lacks the automation necessary to run efficiently.

Why Businesses Outgrow QuickBooks

As your business expands into new markets or launches additional product lines, your accounting needs become increasingly complex. You may need multi-entity consolidation, advanced reporting, or integrations with industry-specific tools. QuickBooks, while powerful for small-scale operations, often cannot handle these advanced requirements.

Another challenge is regulatory compliance. Businesses in heavily regulated industries such as healthcare, manufacturing, or financial services may require more robust audit trails, role-based security, and real-time dashboards. QuickBooks offers limited functionality in these areas, which can lead to inefficiencies or compliance risks.

Additionally, the need for real-time data analytics and forecasting often exceeds QuickBooks’ built-in reporting capabilities. Many businesses find themselves exporting data to Excel or third-party tools, which creates silos and manual work.

Moving On From QuickBooks 

While QuickBooks is the software of choice for many businesses worldwide, there comes a time when we learn that it’s time to move on. So, what are your options?
Fortunately, accounting and financial software options have proliferated rapidly since the days of QuickBooks and Quicken. There are numerous options available on the market today to help you make an informed decision.

Here are five alternatives:

• Square Invoices is a payment processing and point-of-sale platform used by businesses of all sizes.
  
  
• FreshBooks helps businesses manage multiple clients, deadlines, and invoices, keeping them organized in the process. “FreshBooks lets you invoice and collect payments from clients, track expenses, run reports, and track sales tax.”
  
  
• Zoho Invoice makes invoicing and managing receivables effortless, offering four plans that vary in price and functionality.
  
  
• Xero helps you do it yourself and “has many of the same accounting features as QuickBooks Online, including bank feeds, intuitive bank reconciliations, basic inventory tracking, and reporting.”
  
  
• Invoice Ninja helps with billing and invoicing.
  
  
• Sage is a complete accounting package that offers desktop and cloud products with various options to scale your business.

Choosing the Right Fit

When exploring new solutions, look for platforms that offer automation, scalability, and integration with your existing systems. Consider features such as:

• Cloud-based access for distributed teams.
  
  
• Multi-currency and multi-location support.
  
  
• Integration with CRM, ERP, or e-commerce platforms.
  
  
• Advanced security protocols and compliance features.
  
  Conducting a needs assessment can help you identify which features are most important to your business. It’s also wise to evaluate the total cost of ownership, including licensing, training, and implementation.

Finding the Right Option 

With numerous options available, selecting the right one can be a daunting task. At PC Methods, we value your business and want to understand the details so that we can offer the best solutions possible. Our commitment is to ensure that your IT systems, business information systems, and entire infrastructure run smoothly, allowing you to focus on what you do best – managing your business. We’d love to learn more about your business and your technology needs so that we can offer the right solution for you. Contact us today for a consult. 

FAQs

1. How do I know if my company has outgrown QuickBooks?
If you’re encountering limitations in user access, reporting, automation, or compliance, it may be time to evaluate other accounting solutions.

2. What are the most significant drawbacks of staying on QuickBooks too long?
You risk inefficiencies, manual errors, compliance issues, and a lack of real-time insight, which can impact decision-making and growth.

3. Are QuickBooks alternatives more expensive?
Not necessarily. Many alternatives are scalable and offer pricing tiers that align with your business’s size and complexity.

4. Can I migrate my QuickBooks data to another platform easily?
Most modern accounting systems offer data migration tools or services to import your QuickBooks data, though some customization may be required.

5. Should I consult a professional before switching from QuickBooks?
Yes. An IT or accounting systems consultant can assess your requirements and suggest a solution that aligns with your business goals, ensuring a smooth transition.

1. (2022) 7 Reasons Your Business Isn’t Outgrowing QuickBooks. Available at https://www.fourlane.com/blog/7-reasons-your-business-hasnt-outgrown-quickbooks/#:~:text=QuickBooks%20is%20the%20accounting%20software,and%20everything%20in%20between%20(QuickBooks accessed on 1 May 2022. 
2. (2022) Best QuickBooks Alternatives of May 2022. Available at https://www.forbes.com/advisor/business/software/best-quickbooks-alternatives/ accessed on 5 May 2022. 
3. (2022) 7 Best QuickBooks Alternatives for Small Businesses. Available at  https://www.fundera.com/blog/quickbooks-alternative accessed on 8 May 2022.