Choosing the right accounting software is an important decision for any business operating today. The accounting software you use is vital for managing your business’s day-to-day finances, and for ensuring long-term compliance with any tax laws and other financial requirements that apply to your company.
However, with so many different options for business accounting software on the market today, finding the best one for your business can be a long and arduous process.
NetSuite and QuickBooks have been two of the most popular options for many years now, and both are worth considering for businesses on the lookout for new accounting software. In this article, we take a look at what each of these options has to offer so you can choose the best option for your business’s needs.
What is NetSuite?
NetSuite is a cloud-based all-inclusive Enterprise Resource Planning (ERP) platform that is aimed at larger businesses whose accounting needs go beyond what more basic accounting software can provide. Saying this, due to its flexibility and surprisingly affordable cost, many SMEs have also adopted the software.
Because NetSuite is cloud-based and offered as Software-as-a-Service (SaaS), businesses pay an annual subscription fee to use the platform. This subscription fee will vary according to the specific features the business needs, and comprises three primary components; access to the core platform, any optional modules the business wants to implement, and the number of individual users who will be using the account. There’s also an initial one-time set-up fee for new subscriptions.
A key benefit of cloud-based platforms like NetSuite is that users can alter the parameters of their subscriptions as their needs change over time. This flexibility makes NetSuite an ideal option for businesses that are expecting to grow and want software that can grow with them, avoiding the inevitable disruption changing software can bring further down the line.
If you would like to learn more about NetSuite, you can read our comprehensive article What is NetSuite and how does it work?
What is QuickBooks?
QuickBooks is widely regarded as the best accounting software for sole traders and small businesses, with the important caveat that it isn’t well-suited to larger businesses and enterprise customers. Like NetSuite, QuickBooks is available via an online platform and the cost of a subscription will depend on the number of users and features the user wants to be included with their subscription.
However, QuickBooks Online supports a maximum of 25 users on an individual subscription, while NetSuite supports an unlimited number. QuickBooks also offers QuickBooks Enterprise, which is aimed at larger businesses and falls somewhere between QuickBooks Online and NetSuite’s offerings, although doesn’t feature the ERP capabilities of NetSuite.
Benefits of NetSuite
NetSuite’s ERP solution is aimed at enterprise customers, which generally means larger businesses. However, small businesses will also find NetSuite’s feature-rich platform an attractive proposition for their accounting needs. Because NetSuite is modular and enables businesses to select the features that are most relevant to their needs, while foregoing any that they don’t need, businesses will only pay for features and capabilities that they will actually use.
As an all-inclusive ERP platform, NetSuite’s software provides users with a vast array of features that any business will find beneficial in managing their finances and accounting. By providing access to its platform through the cloud, NetSuite positions itself as one of the most flexible and accessible accounting platforms available to businesses of all sizes.
Another area where NetSuite outsmarts QuickBooks is Professional Service Automation (PSA). Whilst QuickBooks has no PSA functionality, NetSuite has it in abundance. Perfect for service-based businesses, PSA software allows businesses the bid-to-bill lifecycle of their projects with incredible control. Project accounting, resource management, expense management and reporting combine in a singular place where they can be managed for maximum customer satisfaction and profitability.
Customer Relationship Management (CRM) is also an area where NetSuite triumphs. Although there a host of third-party CRM software available for integration with QuickBooks, NetSuite has CRM engrained in it’s very heart. Every aspect of a customers lifecycle and engagement can be tracked and managed, including marketing automation to increase sales and maintain strong customer relationships.
For larger businesses or small businesses that are projecting strong growth in the near future, the range of features NetSuite offers, combined with the flexibility it can offer as a cloud-based platform, NetSuite offers significant additional value over competitors like QuickBooks and other business accounting platforms on the market.
Benefits of QuickBooks
QuickBooks has historically positioned itself as the best choice for small businesses and sole traders looking for accounting software. However, QuickBooks has expanded its offering in recent years and now has subscription packages suitable for businesses of all shapes and sizes. The array of features on offer makes it a highly versatile platform with a very user-friendly interface that makes it easy for users to manage their subscriptions and interact with the platform itself.
For individual sole traders and small businesses that aren’t anticipating significant growth in the immediate future, QuickBooks remains one of the best accounting software options.
Small businesses and sole traders will appreciate the flexibility that QuickBooks’ Online platform offers by enabling them to add only the features and functions they actually need to their subscription. QuickBooks’ clear and transparent pricing structure also enables small businesses to easily see the value their chosen subscription package offers them.
The main drawback to QuickBooks is its relatively high pricing in comparison to its features. Whilst cheaper than NetSuite, it doesn’t offer nearly as many features and doesn’t come close to satisfying the needs of larger businesses in the way NetSuite does.
NetSuite vs QuickBooks Online Feature Comparison
Below, we have compared some of the features on offer in both NetSuite and QuickBooks!
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NetSuite or QuickBooks?
Choosing between NetSuite and QuickBooks is easy for some businesses but the decision is less clear for others. Most SMEs and larger businesses are definitely served far better by NetSuite, thanks in large part to the ERP features it offers in addition to its accounting tools.
However, that’s not to say that smaller businesses should automatically choose QuickBooks instead. On the contrary, NetSuite’s versatility and support for bespoke subscription plans that the customer can tailor for their individual needs mean that it’s an excellent platform for SMEs who want a platform that they can continue using as their business grows.
QuickBooks is better suited to individuals who are working as freelancers or sole traders. These people are less likely to feel the benefits of the additional features that NetSuite’s ERP platform offers. It’s here that QuickBooks’ Self-Employed subscription tier excels by providing individual traders who only need basic invoicing and accounting tools with a platform that focuses only on these features.
Managing accounts and finances is essential for any business, and the software you choose to support you will play a pivotal role in determining how effectively you can achieve these goals.
For SMEs that plan on growing in the near future or any business that wants ERP tools as well as accounting software, NetSuite is among the best options out there. On the other hand, sole traders and small businesses with little plans for significant growth may find that QuickBooks suffices their lesser accounting needs.
Why choose Eventura to deliver your NetSuite Project?
As an official NetSuite partner, we have successfully delivered countless NetSuite implementations. Our expert team of business analysts, developers, consultants, technicians and support staff can guide you through your entire project, from initial scoping through to implementation and on-going support.
If you would like to speak to one of our NetSuite experts, you can request a free call back here.