QuickBooks Desktop vs Online:

• Intuit will stop selling QuickBooks Desktop versions (except Enterprise) to new U.S. subscribers after September 30th, 2024 [1]
• QuickBooks Desktop continues to generate more revenue than the Online version [2]
• The most significant difference between versions is accessibility – Online is cloud-based while Desktop is locally installed [2]

The accounting world has been buzzing with speculation about the future of QuickBooks Desktop for years. With Intuit’s increasing focus on cloud-based solutions, many accounting professionals are asking a critical question: QuickBooks Desktop vs Online—what’s the better choice in 2024 and beyond?

This question has become even more pressing after Intuit’s announcement to discontinue new sales of all Desktop versions (except Enterprise) after September 30th, 2024. As cloud adoption accelerates across the accounting industry, understanding the differences between QuickBooks Desktop and QuickBooks Online is essential for making informed technology decisions.

The Current State of QuickBooks Desktop

QuickBooks Desktop has long been a staple for businesses needing robust accounting capabilities. Despite rumors of its demise, the desktop version continues to be a powerful tool with extensive features that many businesses rely on. However, there have been significant developments that are reshaping the QuickBooks ecosystem.

Recent Announcements from Intuit

In a major development that has sparked renewed discussion about QuickBooks Desktop’s future, Intuit has announced that they will stop selling all QuickBooks Desktop versions (except Enterprise) to new U.S. subscribers after September 30th, 2024 [1]. This announcement has naturally led many to question whether this signals the beginning of the end for the desktop product line. This shift is significant in the ongoing QuickBooks Desktop vs Online conversation. Many small firms are now reassessing which version aligns with their long-term strategy.

QuickBooks Desktop vs Online: Key Differences That Matter

Understanding the fundamental differences between QuickBooks Desktop and QuickBooks Online helps explain Intuit’s strategic direction:

QuickBooks Desktop:

• Self-hosted accounting software installed locally on your computer
• Offers robust features for report generation, payroll handling, inventory tracking, and sales tax management
• Available in different versions including Pro, Premier, and Enterprise to meet specific business needs
• Provides industry-specific features for contractors, manufacturers, retailers, and other sectors [1]

QuickBooks Online:

• Cloud-based solution accessible from any device with an internet connection
• Offers mobile accessibility for on-the-go functionality
• Simplifies accounting tasks like bookkeeping, budgeting, expense tracking, and customer management
• Provides more third-party integrations than the Desktop version [1]

Why People Think QuickBooks Desktop Is Dying

This perception often comes from comparing QuickBooks Desktop vs Online, particularly around accessibility and support.

Intuit’s Cloud-First Strategy

Intuit has made no secret of its focus on cloud-based solutions. The company’s strategic direction has increasingly emphasized the development and promotion of QuickBooks Online, with less visible marketing for the desktop products. When visiting the QuickBooks website, references to desktop products are less prominent than their online counterparts [2].

Changing User Preferences

The accounting industry, like many others, has been shifting toward cloud-based solutions that offer flexibility and accessibility. Modern accountants and business owners increasingly value the ability to access their financial data from anywhere, a capability that QuickBooks Online provides but Desktop lacks without additional hosting solutions.

Limited Market Expansion

QuickBooks Desktop has faced challenges in expanding beyond its core markets of the USA, Canada, and the UK. This limited international presence has restricted its growth potential compared to the more globally accessible online version [2].

The Case for QuickBooks Desktop’s Survival

Despite these concerns, there are compelling reasons to believe that QuickBooks Desktop will continue to exist, albeit potentially in a different form or capacity.

Revenue Generation

One of the most significant factors supporting QuickBooks Desktop’s continued existence is that it still generates more revenue than the online version [2]. This financial reality makes it unlikely that Intuit would completely abandon such a profitable product line in the near term.

Advanced Feature Set

QuickBooks Desktop remains the powerhouse when it comes to advanced features. Its robust reporting capabilities offer deeper insights into financial data, and its comprehensive tools for complex inventory management make it the preferred choice for businesses with sophisticated accounting needs [3].

Customization Capabilities

While QuickBooks Online offers some project management features, Desktop allows for deeper tailoring to meet unique business requirements. This extensive customization capability, though sometimes making the software more complex to set up and manage, provides significant value to businesses with specific needs [3].

The Future of QuickBooks Desktop: Adaptation Rather Than Extinction

Rather than disappearing entirely, QuickBooks Desktop is more likely to evolve and adapt to changing market conditions and user preferences.

Potential Hybrid Approaches

One possible future for QuickBooks Desktop involves hybrid approaches that combine the robust features of the desktop software with the accessibility benefits of cloud solutions. This could involve enhanced cloud hosting options for the desktop software, providing the best of both worlds.

Focus on Enterprise Solutions

With Intuit continuing to offer QuickBooks Enterprise even after discontinuing other desktop versions for new subscribers, we may see a strategic shift toward positioning Desktop primarily as an enterprise-level solution for larger businesses with complex accounting needs.

Cloud Hosting as a Bridge Solution

For businesses that want to maintain the power and customization of QuickBooks Desktop while gaining the accessibility benefits of cloud solutions, cloud hosting provides an effective bridge. This approach allows users to access their QuickBooks Desktop software from anywhere with an internet connection.

How Verito Supports QuickBooks Desktop Users

As the QuickBooks ecosystem evolves, many businesses find themselves needing solutions that provide the best of both worlds—the robust features of QuickBooks Desktop with the accessibility of cloud-based systems.

Dedicated Private Server Hosting

Verito’s VeritSpace offers dedicated private server hosting specifically designed for accounting software like QuickBooks Desktop. This solution allows businesses to run their QuickBooks Desktop software in the cloud, providing remote access capabilities while maintaining all the powerful features of the desktop version.

Security and Compliance

For accounting firms and businesses handling sensitive financial data, security and compliance are paramount concerns. Cloud hosting solutions for QuickBooks Desktop must address these concerns comprehensively to be viable alternatives to local installations.

Making the Right Choice for Your Business

Whether QuickBooks Desktop is the right choice for your business depends on several factors:

Business Size and Complexity

Larger businesses with complex accounting needs often benefit from QuickBooks Desktop’s more robust feature set and customization options. As Forbes notes, Desktop is a good choice for businesses comfortable with accounting principles and that don’t require real-time collaboration [3].

Accessibility Requirements

If real-time collaboration and access from anywhere are top priorities, QuickBooks Online or a hosted Desktop solution would be more appropriate. The ability to update books from a mobile device while on the go is a significant advantage of cloud-based approaches [3].

Cost Considerations

QuickBooks Desktop’s one-time purchase model can lead to cost savings over time, especially for established businesses with predictable needs [3]. However, this must be weighed against the potential additional costs of hosting solutions if remote access is required.

Conclusion

Is QuickBooks Desktop dead? The short answer is no—at least not yet. While Intuit is clearly shifting its focus toward cloud-based solutions and will stop selling most Desktop versions to new subscribers after September 2024, the software continues to serve a vital role for many businesses with complex accounting needs.

Rather than disappearing entirely, QuickBooks Desktop is more likely to evolve, potentially becoming more focused on enterprise-level solutions while integrating more closely with cloud technologies. For businesses that rely on QuickBooks Desktop’s powerful features but also need the accessibility of cloud solutions, options like dedicated private server hosting provide an effective bridge during this transition period.

As the accounting software landscape continues to evolve, businesses should evaluate their specific needs and consider all available options to ensure they have the right tools to support their financial management requirements both now and in the future.

Citations

[1] https://www.finoptimal.com/resources/quickbooks-online-vs-desktop

[2] https://www.method.me/blog/quickbooks-online-or-quickbooks-desktop/

[3] https://www.finoptimal.com/resources/difference-quickbooks-desktop-online