Best posts made by Spiral

Not sure how old this thread is, nonetheless, it was a good read. As a CPA myself, I deal with QB all the time, and agree with all its flaws, and yes, some are major flaws, as in the multi-user DBMS hack they implemented. I had to verify with Intuit, that users direct network access to the database file was an absolute requirement, because I did not want the fault, for requiring the QBW database file to be directly accessible and victim of a crytoware attack.

I make it my prerogative to become familiar with all accounting packages/tools my target business clients may use or benefit from. However, “for better or worse” the majority of the small business clients I see, are using QuickBooks.

I get the impression for the local small businesses, it is very difficult to find a decent experienced bookkeeper or accountant, for the right price, who knows anything, but QuickBooks. Granted, there are alternative options like "https://bench.co/", but those options only work for very small businesses, or when you do not need in-house accounting personnel onsite. (which could ask another question) Seems in small businesses at the 10-20 million gross revenue range, with staff budgeting constraints, and one or two full time in-house accountants, this continues to be a problem. This issue has gotten better over the past 10 years or so, as some younger bookkeeper/accountants are leaning more than one accounting platforms, but QuickBooks is still one of them.

I like all the answers above, and would like to add how important it is, to have a stress relief routine. Stress and related burnout are critical issues to seriously consider, and have a plan to manage.

Fast forward >>>> I was evaluating DMS and it seems like OpenKM did change the code, as it appears to not require any client-side java anymore.

https://demo.openkm.com/OpenKM/login

I would say at any age, depending on one's facts and circumstances, you presumably could make the switch. Currently, during this economic environment, there are many opportunities for entrepreneurial pursuits. Because of the inherent risk of starting a business and complicated by current uncertainty, the SBA has many loan programs in the 7a series, which, if applied for before September 27, 2020 qualify for 6 months of tax free principle and interest paid by the SBA. https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/sba-debt-relief For example, if you took out a $500k 7a working capital loan, the SBA would basically give you a $33k tax free gift. Along with the SBA programs, there are also many other grant programs for small businesses out there.

Few thoughts on the subject:

I think cyrpto currencies and blockchain tech is super interesting, and has many exciting use cases. However, forget the history of the tulip mania and the south sea bubble, I hesitate from the idea of investing in currency exchange speculation or storing value with cryto currencies, because for me, the economic risk-weighted-return may not be worth it. Crypto currencies have a benefit, such as, a tech in a decentralized transactional system, but as a vehicle to store value, not so sure.

It could be problematic treating tech as an investing commodity like this, because the commodity itself is based on abstractions of current knowledge. The problem with storing long-term value in abstractions of current knowledge, is what do you do when new knowledge in or new solutions are found?

For example, in computational complexity theory, if the problem of “P vs NP” were solved, there would be huge issues for encryption as we know it. Transactional systems could just change to other methods to secure the transactions, however, static monetary value, validated with encryption, may have much more serious issues once the math used no longer can be relied upon.

Just a thought...

As a fellow certified public accountant, one thing I will say, I do believe SAAS accounting products is the future, but there are some major issues still. For example, one disadvantage, with the online versions of popular accounting software is the data entry lag. Could be caused by many, many different things, however, I have noticed it across many different systems in different locations. Granted most data entry these days hopefully is automated, however, there are still enough times where the online data entry lag is enough to make you want to throw the monitor out the window. Seasoned accountants are used to banging-out calculations on a mechanical 10-key tape, or spreadsheet as fast as possible. Sometimes the half second latency delay, on creating adjusting journal entries for 100 transactions, for whatever reason, just kills productivity.

As a small single member LLC, when the LLC owner is performing all the work, the articles of organization is of limited effectiveness in minimizing exposure to personal liability. For example, many people acquire rental property in an LLC. (which is reasonable) Nonetheless, if the landlord him/herself personally fixes something in the rental property, and later, that thing breaks and hurts the tenant, the landlord is pulled into the dispute personally, along with the LLC. An insurance policy would be the greatest defense against liability in this case. Also, as a small single member LLC, any loan applied for, the bank most likely will require a personal guarantee by you as well, keeping you on the hook personally for the loan. However, the articles of organization becomes much more important when the LLC has multiple members.

I think what was meant possibly was "FreshBooks". More similar in functionality to Wave.

@eddiejennings

Next order of business is to decide your income tax strategy.

As a sole proprietor LLC you generally have 3 taxation choices:

(These are tax elections only)

• Disregarded entity - this is the default for a single member LLC. It is the most simple, and is filed with your personal taxes on a Sch C.

• C-Corporation - this election will tax the LLC just as if it was incorporated at the state level, and is taxed as a distinct separate entity apart from the owner. The C-corp files its own income tax return, and pays its own tax. Can have tax benefits depending on the circumstance and corporate tax rates, however, adds layer of complexity, and introduces possible double taxation on dividends.

• S-Corporation - this election is a simultaneous election to be taxed as if it was incorporated, and elect the S status, which allows for pass-through tax treatment. S-Corporation files its own information tax return, but the income tax effect is passed onto the owners, and tax is paid at the individual level.

https://www.irs.gov/businesses/small-businesses-self-employed/llc-filing-as-a-corporation-or-partnership

Consult with a tax advisor, because, depending on your situation and circumstances, there may be great advantages with going with one election over the other.

You are correct, it seems there are way too many of these types of software which want admin rights for a user to utilize the software. However, I do believe that is correct to require admin rights to install it.

At my firm we follow the principle of least privilege. It is a pain, but a layer of our security model. Many of these common Accounting/Tax applications privilege issues must be debugged to run in a limited user account. I have used Systinternals Process Monitor to help find directories or registry keys for the offending software to allow the limited user access to those objects. Usually the problem can be sorted out this way, however, back in the XP days, I remember some software would just refuse to work unless using an admin account, then I would have to implement a “run as” link.

Good discussion.

This dichotomy happens with many specialized fields of knowledge. It is very important to develop the relevant rhetorical skills to communicate the value propositions of what you are trying to accomplish.

A LLC is, historically, newer form of business entity, which for tax purposes can elect to be taxed as many different ways. If a single member, by default it will be taxed as a disregarded entity (sole proprietorship). If multiple members, by default a partnership, or if elected, a S-corp or C-corp. While being a state entity, a LLC is not a corporation, but has many similar liability statutory protections, just like a corporation, but generally has less of the formalities as a corporation. If naming has conflicts, in most states you can do a nontaxable reorganization to change names, etc.

I would agree that QB online is not as robust as the desktop version, and depending on your tranctional load, the Online version can have some issues.

Xero is a good alternative to evaluate.

Also, https://xtuple.com/ has both a local and cloud hosted options. Also, they have a free version too. It is more in a class with Sage, which is good as well, but can get pricey. However, these two can scale better.

Could "Ping Plotter" help?

That is correct. LLC's still do not have much judicial history in the courts to know how certain facts and circumstances will play out in court.

@scottalanmiller yes it is. clarification: $30-40 K salary in the Midwest.

And for Delaware LLC, they have a $250 annual fee for LLCs, but many states have much less fees or only one first time initial fee of $50, such as for Missouri.

Also, while I am at it, if anyone does support a lot of QB installations, you may want to take a look at the Intuit Pro-advisor Desktop membership. It is targeted at accountants, however, you get the software, all versions, and a special tech support line. The tech support used to be direct access without any wait time, however, in the past year, I have noticed an increase queue delay with chat support.

Corporations in comparison, have annual registrations, corporate minutes, and other corporate formalities to comply with, in order to keep the business entity intact without the state doing an administrative dissolution, because of failure to comply.

@mike-davis I wish I had a good universal answer for that. Not until you analyze business needs, budget, personnel, environment, etc can you arrive at a conceivable solution. And even then, the most difficult variable is the personnel. The CFO or accountant of company could be top of their class at accounting, financial management and strategic planning, but if they are uncomfortable with their tool (accounting software) their productivity could decline. And if the company is paying the CFO or accountant a good salary to make critical decisions, they will get the tool they like, even if the tools is, from a technology point of view, inferior. It seems there is usually a comprise, but not always.

I hate to say, but as annoying as QuickBooks can be, it is the comprise in many situations I have dealt with. On the other-hand, there are many accountants who also despise QuickBooks, but for accounting type reasons, but prefer another solution with an entire different host of problems. For example, a few years ago, a couple clients where still using Accpac Plus. Accpac Plus has been unsupported for at least a decade, maybe two, and a wayyyyyy outdated DOS based accounting package. Nonetheless, some old-school accountants insisted on keeping it. The old-school accountants where masters at using it, and were superb at their job, albeit using an inferior outdated tool. I tend to think larger enterprises do not have this dynamic as small business do.

I will add, QuickBooks Online, does seem to be like the “gateway drug” which can pull some off of QuickBooks on the Desktop, and open eyes to the possibilities, but seems to be more effective with a younger group and only sometimes.