Choosing the most suitable accounting software can be a difficult task. At Fragnoli & Company, CPAs in Brentwood, TN we frequently assist current and prospective clients in this decision process. After my tweet introducing contacts to Wave Accounting Software, I received requests to provide a comparison and some details pertaining to Wave Accounting. At our Firm, we have worked with almost every packaged accounting software available. From the most popular product on the market, by far, Quickbooks Pro desk top version to Peachtree Accounting to MAS 90, SAP, Freshbooks and more. All of the products have their pluses and minuses. Then I was introduced to Wave Accounting by a new client prospect and he asked that I look at the product. It is a web based accounting software. The first intriguing factor to the product is that it is FREE. The site promotes other business product services on the ribbon and, apparently, that is how the company makes its money. There is also a payroll service tied to the accounting package that is very affordable and easy to use. In fact, we have decided to test the service in our own Firm prior to making any formal recommendation. So far, the payroll service works well and support is good.
We have set-up a test set of books using our own records to see how the accounting package performs and to compare with Quickbooks Online, the number one online accounting software and a product we are very familiar with. Like QB Online, Wave does integrate with bank accounts. I downloaded my Firm transactions without any issues and it was very simple and easy. They have a integrated credit card service that is comparable in price to Square. Wave does not offer all of the features that QB Online offers. The biggest difference and issue that I have with Wave versus QB’s is that Wave does not allow for division, or “class” accounting as it is called on Quickbooks, accounting. So if you want to separate out locations or product lines it cannot be efficiently done with the Wave software. As a Firm with two locations to account for and to break out revenue by partners, the Wave product does not allow for this in a simple manner. It can be down through some detailed general ledger maintenance; however, not efficiently and precisely correctly. So if you have an enterprise that needs divisional or subsidiary accounting, I would stay with Quickbooks even though the costs are higher because those costs are still relatively small. However, if you are a start-up small business or have fairly basic accounting demands, I would recommend you visit this site: https://www.waveapps.com/.
Please note, this is not a recommendation of this product. Rather, it is an introduction. We at Fragnoli and Company, CPAs believe that it is our responsibility to introduce small business and individuals to services and products that may favorably assist them in their business and financial lives. We hope to make your accounting and financial operations a little easier and more cost effective. If you want to know more about our Firm, please contact us at Fragnoliandcocpa.com.