The beginning of a new era has followed a rapid change in business accounting systems with the introduction of Goods and Services Tax. Since the year of 2000, a considerable number of large and small scale businesses have computerized their account details and communications. The thought of computerizing their past data was unnecessary, with any professionals refraining from it because of additional work introduced by GST. However, use of electronic accounts can save your business from complete failure. Particularly in case of small scale business, many think further reports like BAS are unnecessary. The automation of small business accounts can provide programmed reports to government, which cuts short the hassle and cost of accumulating ATO cost.
Desktop Vs Cloud:
The movement of using online accounting software has overpowered desktop accounting software. Desktop software remained powerful for almost a decade. There is no doubt about the desktop software accuracy, also not requiring consistent internet connection. Though, there are countless problems that have been resolved by online accounting software.
Desktop software can be purchased for single computer, which makes them way more expensive than online software. Desktop software also cannot be accessed when a person is traveling whilst requiring constant repairing and updating.
Cloud softwares are far more reliable than desktop software in this digitally focused era. They provide an automatic connection to online payment gateways, bank accounts and management systems. According to Australian statistical report, 67 percent of accounting firms and 27 percent of businesses have transferred to cloud accounting software for the following reasons:
• Business enhanced Security
• Reduced IT Costs
• Reduced Chances of Loss in Case System Breaks Down
• Increased Networking and Functionality
• Accessibility at Any Place and Time
• Automatic Updates and Backup
• Less Failure Susceptibility
Comparison of XERO, MYOB and Quickbooks Online
How easy are these programs to use?
MYOB is very easy to operate and can be easily learned with a few hours of training. However, it’s reporting options are also simple and limited, which makes it less suitable for large businesses. It has no ABA files. Payroll report can be printed out in PDF format, but MYOB doesn’t provide suppliers and payroll files.
Xero is a complete package. It has been designed, keeping in mind the user experience. For online support, the software also provides training facility. This software has a vast employee portal, which increases understanding. It is also plugged with auto-superannuation payment facility, which makes it favourite of all.
Quickbooks Online has the edge of excellent reporting. It has been designed to hide complex tasks to avoid confusion. One drawback of Quickbooks Online is its design layout. Sometimes, you are unable to locate things where you logically would have thought they would be. On the positive side however, QBO can be fully explored with the help of video tutorials and online training.
Mobile App Facility
A shift in user behaviour in favour of mobile internet surfing has led ninety percent of websites to develop mobile apps for maintaining traffic inflow and popularity. Likewise, this trend has seeped its way to push accounting software to provide mobile app facility. These days, it is largely favourable because you can approach your account’s dashboard anytime you want.
Xero provides multiple options on mobile apps. User can create invoices, upload files, send receipt and take photos of receipts. Managing contacts and viewing of bank account balances is also possible. One can also take payments by third party plugin apps, like Ezi Debit and Paypal.
Quickbooks Online also provides a functional mobile offering. It is well designed to offer quoting, bank reconciliations, invoicing, P&L balance sheet reporting and tracking down recent activities. If you are approaching the app on your tablet, you can also get location based pre-filling information of invoices and GPS service. Quickbooks Online no doubt has the best mobile app facility.
MYOB mobile app is quite simple and provides only three primary functions: Invoicing, Contacts Information and Payments. However, payments can be done directly via PayDirect app by MYOB.
The primary function of all accounting software is bookkeeping. Additional features include time-sheets, quoting and inventory tracking. Any software should be adaptive enough to smoothly integrate with all kinds of businesses, like e-commerce, stock, inventory, etc. In this regard, QBO surpasses XERO and MYOB with 138 add-ons available in online app store. Xero has 400 adds, whereas MYOB has 200, apart from 22 certified ones. On certain common apps, high importance is given to time-sheets, job quoting and POS systems.
Looking at our handy comparison sheet its obvious that the Leader is Xero with Quickbooks coming in next by a hair. There is no doubt the three accounting systems are top leaders among the competitors, so you cannot go wrong with either one. It all comes down to analyzing what you need it for most and base your decision on the most relevent and effective features that will benefit your business.