I will be closing on my first property in a couple weeks. I have been getting everything organized so I can operate as a business rather than a hobby. I have heard a lot about Quickbooks and other various software's but I don't think I'm at the point where I need something as robust as those right now.
Does anyone have a good beginner accounting software they recommend? I was planning to build a spreadsheet but thought I would reach out and see what others have used before doing so.
Thank you ahead of time for your response!
Hi @Joseph Stoick and congratulations on your upcoming closing!
What kind of investment is this? If it's a fix-and-flip, you may be able to operate with just a spreadsheet for now, but if it's rental property (and you plan to acquire more), then I recommend you start off on the right foot with accounting software.
There are numerous inexpensive options, among them QuickBooks Online, which is what we use. I definitely wanted a cloud-based solution, and I chose them because they are the category leader, so the pool of available accounting professionals who are trained and knowledgeable is very deep.
Thank you for response. It is a buy and hold 5-plex. I do plan to acquire many more as well!
QBO didn’t seem too bad, looks like they had some pretty cheap options as well.
Quickbooks’ little brother quicken is overkill for 14 properties in 2 states and my personal income and investing. Costs less than $50.
I recommend Quickbooks. It's a pain to learn and too big for what you have right now, but you're planning to scale, right? Learn it now so you don't have to migrate later. I used spreadsheeting for three years and it was madness to switch to Quickbooks. Better yet, consider hiring a bookkeeper.
I just saw someone recommend Stessa on here and it looks like a good option (I've only done the demo so far though).
You make a really god point. I have heard that it takes time to learn the system which is good to do while still small enough to have the time to actually learn.
QBO is great, but there are some up and coming software out there that are more cost effective for newer investors. Check out Landlord Studio. It combines accounting with some PM features.
I will take a look, thank you!