Cannabis-friendly accounting software solutions pose some challenges for business owners. In order to remain compliant and organized in today’s cannabis world, there are several key pieces of software that every business owner needs. One of these is accounting software.
Two of the top accounting software on the market are Freshbooks and Quickbooks. In order to help you decide which of these might be right for your cannabis business, we’ve created a detailed comparison with reviews on everything from features, support, pricing models, integrations and reporting.
In this article, we will provide a detailed comparison of Freshbooks vs. Quickbooks to help you decide, which accounting software is best for my small business. We will review everything from features, support, pricing, integrations, reports, platform and more.
A comparison of FreshBooks and QuickBooks features
Both FreshBooks and QuickBooks have the essential features to make bookkeeping easier. These include invoices, recurring billing, expenses claims, profit-loss statements, and real-time reporting. There are a few differences between the feature availability. For example, Freshbooks has a receipt management feature while QuickBooks has stronger cash-flow statement features.
If you’re interested in planning tools, FreshBooks forecasting and budgeting features are top-notch. FreshBooks can do time tracking, invoicing, and expense tracking. They do have a limited amount of finance reports available as well.
QuickBooks can do income and expense tracking, payroll, and create and send estimates and invoices. You can also create financing reports such as profit and loss, balance sheet, trial balance, and many more. If you are working with an accountant or an accounting team, these are all reports that they may need from you. Check with your accountant to see what accounting software they can accept.
For both QuickBooks and Freshbooks, features can vary depending on the pricing plan you choose. As with many things in the cannabis industry the software structure and reporting was not specifically designed for cannabis, so it is important to check during the demo about any specific functionality you might need.
Freshbooks vs. Quickbooks Reports
QuickBooks and FreshBooks both have a bank reconciliation feature that allows you to automatically syncs your bank to your credit card information. This, of course, depends on the caveat of having a bank that is willing to work with cannabis customers. If you are struggling in this area, we can help.
QuickBooks reporting includes sub-reports that drill down to the details you or your accountant would need for proper account analysis:
- Accounts Payable
- Accounts Receivable
- Products and Inventory
- Expenses and Purchases
While this list is impressive, you’ll find that many of these reports only work with manual-entry and tagging, so you’ll need to keep detailed company records as well.
FreshBooks reporting centers on profit margin, and their central dashboard shows your periodic input vs. output. Because FreshBooks works best as an invoicing and time tracking tool, the reports focus on payment collection and a couple of tax-related reports.
For both QuickBooks and FreshBooks you can tackle your accounting tasks from almost anywhere. Data automatically syncs, allowing you to store your data across all devices. This way, if your laptop or desktop dies, you won’t lose anything.
When it comes to a comparison of support features between QuickBooks and FreshBooks, FreshBooks is the clear winner here. Many clients have complained about their poor experience with QuickBooks’ customer support team. There is no email support, and the support team usually takes a long time to resolve any issue.
In contrast, FreshBooks prides itself on its excellent customer support. FreshBooks also has a very resourceful support page and organizes weekly webinars to cover the fundamentals of the software. They have both phone and email support, and the customer representatives are friendly and helpful.
Integrations with other Cannabis Software
While QuickBooks and FreshBooks both have many integrations, when it comes specifically to cannabis software these can be quite limited. It is one drawback for both pieces of software and poses a challenge for business owners and accountants alike. Depending on the type of cannabis business you are running, QuickBooks may integrate with the track-and-trace software or point of sale you are using. For example, QuickBooks does integrate with a few of the available seed-to-sale software options.
So which accounting software is right for your cannabis business?
Because neither QuickBooks or FreshBooks was originally built for the cannabis industry, it will be important to book a consultation in order to understand the specific ins-and-outs of how the accounting software will fit into your whole software ecosystem.
In general, QuickBooks has been in existence longer and has more bells and whistles that are designed for small business owners. On the other hand, FreshBooks was created for freelancers and service-based businesses and is geared towards this business model.
If you want more of a side-by-side comparison, book a no-strings-attached chat with one of our experts.