How Much Does QuickBooks Cost For A Small Business

QuickBooks prospect downloaders usually have only one question that will QuickBooks prove costly or affordable while maintaining or starting a small business. So, we decided to jot down all the essentials to let people know the effectiveness of it.

QuickBooks Online Cost For A Small Business

QuickBooks Online has a lot of versions tailored to serve different purposes such as self-employed, simple start, plus, essentials, and advanced. 

QuickBooks Online pricing range starts from $15 and $150 on a monthly subscription. Here we will compare all QuickBooks versions so that you can have a clear insight on which plan to choose according to the number of users and a variant of business requirement features such as accounts payable, advanced reporting, or inventory.

Let’s discuss where each version of QuickBooks is applicable.

QuickBooks Online Self-Employed

The business owners who report their business income with schedule  C of their return and are having zero employees or contractors to pay over $600 per year are suitable to subscribe to QuickBooks online self-employed. However, even schedule C business may require a robust version of QuickBooks online if they need or have access to inventory more than one user in addition to an accountant. 

Pricing and features:

QuickBooks online self-employed subscription is $15 per month. This self-employed QBO is the most economical plan and is a great solution for individual workers trying to track their expenses and income. An additional $10 per month can provide you with the additional feature of intuit turbo tax self-employed to prepare federal and other tax returns.

It allows these features:

  • Import bank transactions
  • Track vehicle mileage
  • Create customer invoices
  • Quarter estimation of taxes 
  • Separate business and personal expenses.

QuickBooks Online Simple Start

QuickBooks Online Simple Start is perfect for small service businesses trying to track both expenses and income, along with assets and liabilities. This feature allows one to generate a balance sheet, that is required at some corporate as well as partnership tax returns. Simple Start comes as a package with a single user plus a single accountant.

It is the most cost-effective double-entry software for accounting, but doesn’t offer additional features that are available with Essentials, Plus, and Advanced QBO. Simple Start is the right choice for businesses that currently track income along with expenses using only one or more manual options, akin to the “shoebox” method or the old school Excel spreadsheets.

Pricing & Features

QuickBooks Online Simple subscription Starts at $25 per month, and is the kind of plan that will generate an income statement as well as a balance sheet. It even offers to add payroll to a simple start for an additional price, which depends on the level of service.

It allows these features:

  • Manage all income and expenses
  • Invoice customers
  • Connect bank and credit card accounts
  • Track sales tax
  • Run basic financial statements
  • Generate income and balance sheet

QuickBooks Online Essentials

QuickBooks Online Essentials is another great choice for small businesses that need a little more than just tracking income, expenses, and managing account receivables like tracking money owed to suppliers. It is also ideal if you want data to be accessible by three people. QuickBooks Online Essentials can also be implied to manage all aspects of payable accounts, including the entry of bills and paying them later on.

Pricing & Features

QBO Essentials is available at a decent price of $40 per month, which is $15 more than Simple Start. However, the heftier price tag, allows more people to access data( i.e. three users and two accountants in comparison to solitary user and accountant with Simple Start).

It allows these features:

  • Manage all bills
  • 40 prebuilt reports
  • Good for heavy accounts payable
  • Allows access to 3 more people.

QuickBooks Online Plus

QuickBooks Online Plus is highly ideal for wholesalers and retailers as well as any businesses that pay their contractors over $600 a year. Unlike Simple Start and Essentials QBO, you get access to track inventory costs, quantities, create purchase orders, and additional features to issue 1099s to contractors with Plus. QBO Plus is also capable enough to run more than 100 reports at a time, including the budgeting versus the actual income and also expenses. It allows up to five people to access your data. 

One of the significant differences that make QBO Plus an in-demand accounting software from others is that it allows one to track inventory costs and quantities. Neither Simple Start QBO nor Essentials QBO has this capability. QBO Plus is ideal for a business exports products and needs to keep a track of every purchase and record of products into inventory plus the sale of those products in the market.

Pricing & Features

QBO Plus is available with a subscription of $70 per month, which is almost triple the cost of Simple Start QBO ($25 per month) and nearly double the cost of Essentials QBO ($40 per month). For some extra money, you can add more people (five plus two accountants).

It allows these features:

  • Track all inventory costs
  • Track all quantities
  • 3x reports

 If you don’t require cloud access to data, you can consider QuickBooks Desktop, as it has decent features for lesser money than QBO Plus.

QuickBooks Online Advanced

QuickBooks Online Advanced is efficient for businesses having complex needs that are beyond the general capabilities of QBO Plus. If your business requires up to 25 people, and detailed performance reporting, along with a dedicated account manager, then you can choose QBO Advanced.

This makes Advanced QBO ideal for a business that incorporates a growing staff. QBO Advanced is a solitary product with a dedicated manager and provides free training for the entire staff.

Pricing & Features:

At $150 per month, QBO Advanced is more than twice the price of QBO Plus ($70 per month). 

It allows these features:

  • Add up to 25 people
  • Customize permissions
  • Smart reporting tool called Fathom
  • Check detailed reports for key performance . 

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