QuickBooks vs Microsoft Dynamics 365 Business Central Compared

In the competitive world of business software, finding the perfect solution for your organization can be a daunting task. 

Two popular options, QuickBooks Online and Microsoft Dynamics 365 Business Central, are often compared by small and medium-sized businesses. 

In this article, we'll delve into a comprehensive comparison of QuickBooks vs Microsoft Dynamics 365 Business Central to help you make an informed decision. 

Please note that we'll be focusing more on QuickBooks Online, not on QuickBooks Enterprise, for this comparison. 

Join us as we explore the features, benefits, and limitations of these two powerful accounting and business management platforms.

What is the difference between Microsoft Dynamics and QuickBooks?

The main difference between QuickBooks and Microsoft Dynamics 365 Business Central lies in the scope of their functionality and target audience. QuickBooks is for small to medium-sized businesses, with a focus on bookkeeping. Microsoft Dynamics 365 Business Central targets small to mid-sized enterprises with advanced ERP and CRM features.

QuickBooks Online excels in providing straightforward accounting tools, invoicing, and expense tracking, making it an ideal choice for businesses with relatively simple financial management needs. 

On the other hand, Microsoft Dynamics 365 Business Central offers a more comprehensive suite of tools, such as inventory management, project management, and supply chain management, in addition to its financial management capabilities. This makes it suitable for businesses that require a more robust software solution to support their growth and operational complexity.

For an in-depth analysis of these platforms, we recommend checking out our Microsoft Dynamics CRM review and QuickBooks Online review. These reviews provide a detailed look at the features, pricing, and overall user experience of each platform to help you make an informed decision based on your specific business requirements.

QuickBooks vs Microsoft Dynamics 365 Business Central comparison chart

Below, we present a QuickBooks vs Microsoft Dynamics 365 Business Central comparison chart to provide a clear and concise overview of the key differences between these two business management platforms. This side-by-side comparison will help you better understand the features, capabilities, and pricing of each solution so that you determine which one best suits your organization's needs.

Microsoft Dynamics vs QuickBooks pricing

Microsoft Dynamics 365 Business Central offers two main pricing plans: Essentials ($70/user/month) for core financial and business management features, and Premium ($100/user/month) with additional manufacturing and service order management capabilities. 

Additionally, Microsoft offers a Team Members plan for users who only need limited access to the platform, such as read-only access, time and expense entry, or approval functionality. 

QuickBooks has four subscription levels, with prices ranging from $30 to $200 (Simple Start, Essentials, Plus, and Advanced). One advantage of QuickBooks is that it often provides a 50% discount for the first three months across all plans.

Winner: 

QuickBooks appears to have a more flexible and cost-effective structure for startups and small to medium-sized businesses. The 50% discount for the first three months across all plans also adds to its affordability. On the other hand, Dynamics 365 Business Central offers more advanced features at a higher starting price, which may be suitable for businesses with more complex needs.
 

QuickBooks vs Microsoft Dynamics free versions

Sadly, neither QuickBooks nor Microsoft Dynamics have a free version of their software. Both solutions offer a free trial. 

Winner: 

This round is a tie. 
 

Customer support

QuickBooks lacks email support but provides 24/7 chatbot assistance, guiding users to articles or live support. Phone support is available via callback service.

Microsoft Dynamics offers web and phone incident submissions in all plans, with 24/7 support for severe cases. The Professional direct support add-on costs $9/user/month, and it is recommended for businesses that need faster response times and access to experts for advisory and escalation services.

Winner:

Microsoft Dynamics 365 Business Central appears to offer more comprehensive customer support options, including web and phone incident submissions and 24/7 support for severe cases.
 

Knowledgebase & learning

QuickBooks boasts an extensive knowledge base with help articles, video tutorials, blogs, setup guides, troubleshooting advice, and a community forum. Microsoft Dynamics has a rich self-help portal and a community forum. 

Winner: 

This round is a tie. 
 

Microsoft Dynamics or QuickBooks for ease of use?

QuickBooks Online is generally considered to have better ease of use compared to Microsoft Dynamics 365 Business Central. Its user-friendly interface and straightforward navigation make it an ideal choice for small to medium-sized businesses with simpler financial management needs. 

Microsoft Dynamics 365 Business Central has a steeper learning curve and may be more suitable for businesses with complex needs that can invest time in training and onboarding.

Winner: 

QuickBooks has an edge in this category. 
 

Scalability 

Microsoft Dynamics 365 Business Central is generally considered a better option compared to QuickBooks Online. 

Dynamics 365 Business Central offers a more comprehensive set of modules, including advanced ERP (Enterprise Resource Planning) and CRM (Customer Relationship Management) capabilities. These features are designed to support businesses with more complex requirements or those looking to scale and expand their operations.

While QuickBooks Online is an excellent choice for small to medium-sized businesses with simpler financial management needs, it may not offer the same level of advanced functionality and customizability as Dynamics 365 Business Central. 

Winner: 

Businesses with rapid growth or more complex requirements may find Dynamics 365 Business Central to be a more suitable and scalable solution.

Microsoft Dynamics vs QuickBooks features & functionality

Now that we covered the basics, let's compare QuickBooks vs Business Central in terms of key features and functionality to see which one stands out in each category.

Dynamics 365 Business Central vs QuickBooks online versions

In this round, we'll be comparing the online versions of MS Dynamics vs Quickbooks Online. Both Dynamics 365 Business Central and QuickBooks Online are SaaS solutions hosted on the cloud. 

Microsoft Dynamics 365 Business Central is hosted on the Azure platform that's highly scalable, secure, and reliable. This means you don't need to invest in your own servers, which makes the online version a more convenient option for small to medium-sized businesses.

With an internet connection, you can access your financial data and manage your accounts from any device. 

Winner: 

This round is another tie. The better option for your business will depend on factors such as your company size, industry, and the specific features and functionality you require.
 

QuickBooks vs Dynamics 365 desktop versions

QuickBooks provides a desktop version of its software, with plans starting at $799 annually. It includes a variety of features, such as advanced inventory management, job costing, and industry-specific editions. This option may be suitable for users who prefer local data storage over cloud-based solutions.

Business Central is primarily designed as a cloud-based solution. However, there’s a downloadable app called "Dynamics 365 Business Central (On-Premises)" that can be installed on a Windows desktop. This app is intended to provide a familiar user interface for those who prefer working on a desktop application. 

Microsoft has another on-premise ERP system called Dynamics Great Plains. The difference between the Great Plains software vs QuickBooks is that Dynamics GP is an on-premise ERP solution with a focus on financial management and supply chain management. 

QuickBooks is an accounting software with features such as invoicing, expense tracking, and payroll management.

Winner: 

QuickBooks has a better desktop version when compared to Dynamics 365 Business Central. With QuickBooks, you can simply download the software to your device and enjoy its extensive features. 

Dynamics 365 Business Central's on-premise solution requires investing in servers, storage space, and power, which makes it less convenient and more costly for users that need a traditional desktop experience.
 

Microsoft Dynamics 365 vs QuickBooks mobile apps

QuickBooks has mobile apps for both Android and iOS that let you manage your finances while on the go. You can create and send invoices, track expenses, and receive real-time updates on your financial status.

Microsoft Dynamics 365 Business Central also has mobile apps for both iOS and Android devices. These apps let you access your financial real-time data, manage accounts, and perform various business management tasks on the go. 

Winner: 

QuickBooks has more powerful mobile apps. The mobile apps of Dynamics 365 Business Central have received many negative reviews online, citing issues like login problems, a confusing interface, slow performance, and bugs. 
 

Integrations

QuickBooks integrates with over 650 popular business apps, such as Stripe, Square, PayPal, Amazon Business Purchases, Method: CRM, and Gusto. It also connects seamlessly with other Intuit apps like QuickBooks Payments, Payroll, and Time. Via Zapier, it connects to 5,000 more apps.

Microsoft Dynamics 365 integrates with Microsoft business applications like Microsoft Office and Outlook. It can also connect to third-party apps like Gmail, Zoho, HubSpot, and Salesforce.

Winner: 

QuickBooks has a slight edge as it offers more integration options than Microsoft Dynamics 365. However, companies that use Microsoft products for business operations will have a better time using Microsoft Dynamics 365. 

A note on Microsoft QuickBooks integration

There isn't a direct QuickBooks Dynamics CRM integration. However, you can still connect the two platforms using third-party integration tools like Zapier that can help bridge the QuickBooks Microsoft gap by syncing data and automating business processes.
 

Financial management 

QuickBooks Online streamlines financial management with features such as invoicing, expense tracking, bank reconciliation, and reporting. You can create and send invoices, monitor expenses, categorize transactions, and generate detailed reports. 

The platform simplifies bookkeeping and accounting tasks, making it ideal for SMBs.

Microsoft Dynamics 365 Business Central offers extensive financial management features, such as general ledger management, accounts receivable/payable, bank reconciliation, and financial reporting. 

The platform simplifies bookkeeping and accounting tasks while providing advanced capabilities, making it suitable for businesses with more complex needs.

Winner: 

QuickBooks Online excels in ease of use and basic accounting functionalities, which makes it a great choice for small to medium-sized businesses with straightforward financial management requirements. 

Microsoft Dynamics 365 Business Central provides more advanced financial management capabilities, so it’s a more suitable option for businesses with complex needs or those looking to scale.
 

QuickBooks or Microsoft Dynamics 365 for reporting and analytics 

QuickBooks comes with 80+ reports that are fully customizable. You can generate Profit and Loss, Sales, and Expense reports, depending on your plan. You can view Sales and Expense reports by day, week, month, or year. 

Additionally, the platform offers visual dashboards and trends analysis to help monitor business health and make data-driven decisions.

Microsoft Dynamics 365 Business Central offers advanced reporting and analytics capabilities. You can create customizable financial reports, use built-in Power Business Intelligence (BI) integration for data visualization, and access real-time insights through dashboards. 

The platform supports multi-dimensional analysis to help you make informed business decisions. Microsoft Dynamics 365 Business Central's audit trail functionality provides businesses with a detailed record of all transactions, modifications, and actions performed within the system.

Winner: 

With built-in Power BI integration, real-time insights, and multi-dimensional analysis, Dynamics 365 Business Central offers more comprehensive reporting options.
 

Inventory management 

QuickBooks Online comes with basic inventory management features that help small to medium-sized businesses efficiently track and manage stock. Capabilities include real-time inventory tracking, setting reorder points, managing suppliers and purchase orders, and categorizing products using SKUs or custom fields.

Dynamics 365 Business Central offers advanced inventory management capabilities, including real-time inventory tracking, automated reorder points, multiple warehouse support, and item categorization. The platform streamlines supply chain operations, optimizes stock levels, and enhances order fulfillment.

Winner: 

The best tool for your business will depend on your business needs. Microsoft Dynamics 365 Business Central typically offers more advanced inventory management features compared to QuickBooks Online. On the other hand, QuickBooks Online's inventory management capabilities are sufficient for small to medium-sized businesses with simpler requirements.
 

Project management 

QuickBooks Online provides essential project management features, including project profitability tracking, budget creation, and client billing based on milestones or hourly rates. These capabilities allow users to monitor the financial performance of projects, manage budgets, and ensure efficient project execution for small to medium-sized businesses.

Microsoft Dynamics 365 Business Central offers comprehensive project management capabilities, such as project tracking, resource allocation, time and expense management, and budget control. The platform enables users to monitor project progress, optimize resource utilization, and gain insights into project profitability, ensuring efficient project execution.

Winner: 

Microsoft Dynamics 365 Business Central generally offers more comprehensive project management features compared to QuickBooks Online. If you’re looking for advanced PM capabilities, go with this software. 

Is Microsoft Dynamics better than QuickBooks? Key takeaways

To end the Microsoft Dynamics vs QuickBooks debate, determining the better solution will depend on your business's unique requirements and circumstances. 

Here are some key takeaways to consider:

Use QuickBooks Online if:

• Your business is a small to medium-sized enterprise with straightforward accounting needs.

• You need a user-friendly interface and simple navigation.

• A wide range of third-party integrations is essential for your operations.

• Budget and affordability are major concerns.

Use Microsoft Dynamics 365 Business Central if:

• Your business has more complex financial management and supply chain management requirements.

• Seamless integration with other Microsoft products is crucial for your operations.

• Scalability and extensibility are important as your business grows.

• You need advanced reporting, analytics, and business intelligence features.

To sum up, both Microsoft Dynamics and QuickBooks cater to different business needs and circumstances. Carefully evaluate your company's specific requirements to make an informed decision on the ideal solution for your organization.

When comparing QuickBooks and Microsoft Dynamics, consider our list of the best accounting system for small business, featuring tools like Xero, Freshbooks, and Wave. Evaluating these alternatives against QuickBooks and Microsoft Dynamics will help you make a more informed decision for your business.

FAQs

Is QuickBooks a Microsoft product?

No, QuickBooks is not a Microsoft product. It’s an accounting software developed by Intuit Inc. QuickBooks offers both cloud-based and on-premise solutions for small to medium-sized businesses, providing features such as invoicing, expense tracking, and payroll management. Microsoft has its own financial management software called Microsoft Dynamics 365 Business Central.