QuickBooks Online vs. Spreadsheets: Which Bookkeeping Method is Best for Your Business?
When it comes to bookkeeping, the question I get all the time is:
“Should I use QuickBooks Online or just stick with a spreadsheet?”
The truth is, there’s no one-size-fits-all answer. The best method depends on you—your business model, your comfort level with technology, and your goals. The good news? Both options can work beautifully if you have the right system in place.
Let’s break down the pros and cons of QuickBooks Online and spreadsheets so you can confidently choose what’s best for your business right now.
QuickBooks Online: A Powerhouse for Automation
Why People Love It:
Bank Syncing: Transactions import automatically from your business accounts.
Rule-Based Categorizing: Once you set up rules, QBO starts categorizing expenses for you.
Built-In Reports: Profit & Loss, Balance Sheet, Cash Flow—ready to go with a click.
Collaboration-Friendly: Your accountant or bookkeeper can log in anytime.
Best For:
Business owners with multiple income streams or a higher volume of transactions
Service providers working with contractors or sending frequent invoices
Anyone looking to scale and automate their bookkeeping as they grow
Things to Consider:
There’s a monthly cost, typically around $30–$90 depending on the plan.
There is a learning curve. Many users get overwhelmed and underutilize it.
Set up is critical. A bad setup leads to messy data (which is harder to fix later).
My Take:
If you’re ready to grow, want automation, and feel comfortable learning a new tool (or getting support from someone like me), QuickBooks Online can absolutely be worth it.
Spreadsheets: Simple, Familiar, and Totally Customizable
Why People Love It:
Free or low-cost: Most business owners already have access to Excel or Google Sheets.
Complete control: You can set it up exactly how you want, no software rules or restrictions.
Simple to start: Ideal for new business owners just getting used to tracking expenses.
Best For:
New or very small businesses with a single income stream
Solopreneurs who want to understand what’s happening behind the numbers
DIYers who prefer a hands-on approach and aren’t ready for software yet
Things to Consider:
No automation—you’ll need to enter everything manually.
You have to build your own formulas or rely on a pre-made system.
It’s easy to make errors without realizing it (especially when things get busy).
My Take:
Spreadsheets can absolutely work if you use a system that’s designed for business tracking. (I’ve created a fully built-out Spreadsheet Bookkeeping System for just this reason!)
So… Which One Is Right for You?
Here’s a quick gut-check:
If you...
Are just getting started and want to keep it simple → Try This → Spreadsheet
Want to automate and grow confidently → Try This → QuickBooks Online
Feel overwhelmed by tech but want structure → Try This → Start with a Spreadsheet, then upgrade
Have a bookkeeper or accountant on your team → Try This → QuickBooks Online
There’s no wrong choice—only the right fit for where you are now.
Want Help Choosing (or Setting Things Up Right)?
📊 I offer step-by-step support for both options:
QBO Academy for female founders ready to automate and understand QuickBooks Online
Spreadsheet Bookkeeping System for small business owners who want a simple, one-time purchase solution with lifetime access
Whichever path you choose, make sure it’s one that gives you clarity, confidence, and control over your business finances.
Your books are the story of your business. Choose a system that helps you write a powerful one. 💛
