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Are Xero and MYOB going to get SMASHED by QuickBooks Online?

Is QuickBooks Online the White Elephant in the Room?

I recently wrote about QuickBooks, once the great competitor to MYOB accounting software, and I thought I would delve a little deeper to see what has happened with the company that use to be their Australian distributor, Reckon and how big they are in the US. I looks to me like we have a period of consolidation on our hands with some very big companies and many of them listed trying to earn the cloud accounting dollar.

We have online courses in MYOB and Xero and are exploring a QuickBooks Online training course.

What do you Reckon about Reckon?

Reckon 5 year Share Performance
Reckon 5 year Share Performance. Information from Commsec. Click to Enlarge

As a public company you can see Reckons financial results and industry commentary at the ASX website and in their latest financial announcements they confirmed that they had parted ways with Intuit as the Australian distributor earlier this year (saving them $2.5M in royalty costs).

Reckon is now a competitor to their previous partners, Intuit, and a participant in the online accounting and bookkeeping software market with their own software service called Reckon Hosted.

If I were Reckon the scariest thing for me would be that the brand that I helped to build over such a long period is now strongly competing directly against me in the local market. Let’s hope they built some good relationships with accountants who’ll continue to work with and recommend their new product lineup. Their share price seems to indicate that they are currently falling out of favour.

Xero vs QuickBooks Online

Xero Oct 31 2014 Share Performance. From Commsec. Click to Enlarge
Xero Oct 31 2014 Share Performance. From Commsec. Click to Enlarge

Xero is the nameplate for online accounting software because they pioneered accounting software that ONLY works in the cloud. A major shareholder in Xero is Craig Winkler, the man who successfully helped MYOB dominate the accounting marketing in the PC era and sold out to Archer Capital who then sold to another large US private equity company Bain Capital.

I wrote about Xero’s financial performance not long after they listed their XRO shares on the ASX (they are a New Zealand company) but their recent share price performance seems to indicate that they are not popular in Australia. The next frontier in online accounting and bookkeeping seems to be integrations and accounting suite tools for accountants. These integrations and add-ons are one way of making their software more important in the suite of programs that small businesses use and a good example is the recent announcement of Xero’s integration with Microsoft’s Office 365.

Visit Xero’s website and you’ll quickly be able to get to their Add-on Market Place.

MYOB vs QuickBooks Online

Bain Capital paid over 1 billions dollars for MYOB to include it in it’s bag of technology investments – see if you can spot MYOB! Although they are no longer an Australian public company they are listed on the ASX and Aussies can invest in the company that now offers a wider range of services that just accounting software. Their revenue has grown significantly in the 2014 financial year according to their announcement on 25th August 2014.

MYOB had many partners in their PC based software but went through a very tough period when accountants were refusing to recommend MYOB customer upgrade their software. MYOB had to re-write their software to cater for the cloud accounting market and some integrations just didn’t work as a result. It appears that the online version is still popular with MYOB Partners and you can learn more about MYOB Add-ons here.

MYOB is still the market leader for accounting software in Australia an although they appear to be a laggard in the online space they are agressively competing with Xero for new customer acquisitions. A recent article by Peter Dinham at IT Wire about Xero and MYOB customer numbers highlights how dirty the fight is getting and how important accountants are in the sale of accounting software. Peter talks about MYOB being the 800 pound gorilla but when you explore the global market for accounting software you cannot ignore Intuit.

QuickBooks Online and the Global Accounting Software Market

Go to Intuit.com and you’ll be presented with a message that says “we’ve gone global” and the option to go to your local country website site. Let’s face it, they’ve been global for a while but it’s apparent that their online marketing for Quickbooks Online is becoming stronger. I read a recent blog post from Sholto Macpherson’s popular Digital First website about the Top 5 Most Popular Features of QuickBooks Online and note that at the bottom of his post he disclosed that he travelled to QuickBooks Connect as a guest of Intuit. It’s a sign of the impending marketing blitz that a massive US company is capable of.

Visit Intuit’s investor relations website and you’ll see that the revenue for Intuit in 2013 was almost 4 times the total capital purchase price that Bain Capital paid for MYOB when they bought it. With that size, established software brand in Quickbooks and a network of Intuit Pro Advisers ready to help small businesses I think this is the space to watch for online accounting software.

Again, as a very established software publishing company Intuit have an impressive range of Add-ons to help improve the functionality of the software as small business look for ways of integrating the ever widening range of cloud-based software they use.

QuickBooks Pro Adviser Offer

Whilst writing this post I became aware of the big launch that Intuit are doing in Australia to strengthen their network of accountants and advisers. It’s started with a blubbery story about the great history of a 30 year old US company, but I found this video which shows what they are willing to do to help Australian Bookkeepers increase their knowledge, get new sales and better support their customers (Small Businesses).

Here it is..

Join our Bookkeeper Directory

Startup Academy - work from home as an independent contractorIf you are a MYOB bookkeeper and want us to help you get exposure and find new small business bookkeeping clients register with our partners at Workface as we build a national bookkeeping database to help you find new clients and help small businesses find honest, hardworking bookkeepers who operate their own home based bookkeeping business.

To be a bookkeeper in this cloud accounting era means that you can perform bookkeeping from your own home office if you do a great job and have a good reputation. Although you can perform this work from home its becoming more important to get that reputation and one of the tried and trusted ways is by meeting people face to face at networking events. When people get to know you and like you they’ll start recommending you to people who they know need a bookkeeper and that is when you’ll discover the power of referral marketing.

Registering for the bookkeeper directory is the first step in our plan to help people operate a business from home. If you want to read more about how we plan to help ordinary people start their own business as independent contractors visit the StartUp Academy website and learn more. You can subscribe for the free guide that I created to help people on that journey.

 

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Google Displays Mixed Messages about Quickbooks Online

Who is Behind QuickBooks Online?

Intuit QuickBooks Google Ad with free trial button
Intuit QuickBooks Google Ad with free trial button

It was once seen as the biggest competitor to MYOB in Australia when accounting software reduced in cost from several thousand dollars (for software like Attache) to several hundred dollars. It was the time when the PC was the craze and suddenly normal people could do their own bookkeeping – so they say. I’m talking of course about QuickBooks.

I was doing some Google searches this morning about QuickBooks Online because I was interested in seeing how Reckon and Intuit now differentiate themselves online and I discovered a couple interesting things. The most interesting to me is how many companies are now putting up a landing page that expects you to make a purchase or sign up right there and then.

Landing Pages

Intuit QuickBooks Google Ad with buy now button
Intuit QuickBooks Google Ad with buy now button

Here are the two landing pages that I discovered when searching for QuickBooks Online on Google. One offers a massive 40% off if you skip the trial and the other says the same message but the action button says “Start My Free Trial”. To me it seems like they are still perfecting their online strategy and are doing some beta testing on what potential customers will do.

What I find most interesting about the current QuickBooks strategy is the expectation that people will register or buy straight away! Perhaps they will when this ad comes up because they have actually searched specifically for “QuickBooks” rather than just online bookkeeping or accounting software, cloud accounting comparisons etc.

Marketing Your Business on Google

Pretty soon, we’ll feature our own bookkeeper directory so every piece of information like this we see we make a note of to see if it is something we can use ourselves.

This also demonstrates something we cover in our Small Business Management Course about testing and measuring – that you don’t always get your message across perfectly every time. The most important thing to do is to make a plan and get started. The best thing you can do is take action and start, then you can measure the results and fine tune, tweak or completely change your marketing strategy.

Share Your Opinion About QuickBooks

I was looking at some of the bookkeepers in our bookkeeper directory and noticed that a good number of bookkeepers still use QuickBooks and know about it. I’m interested in hearing your thoughts and opinions about it.

  • Do you use it?
  • Do you prefer it to MYOB or Xero?
  • Are there things that QuickBooks Online do better than MYOB or Xero?
  • Do you still work with Reckon (who use to distribute Intuit products in Australia) and their online accounting software?

If you have something to share simply send us an email to support @ ezylearn.com.au or post your comments on our Facebook page.

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How Do Business Recruit Staff?

LinkedIn, Job recruiters and the Internet

Hiring-Time-vs-Money-comparison infographic by recruitloop-small - shows Linkedin is far cheaper than the old job ad alternativesToward the end of 2012, LinkedIn, the social media platform for professionals, reported that their stock had jumped a massive 20 percent in just one day, taking their annual revenue to $860 million. The results were impressive. Forbes magazine was speculating that the company, which was first publically just two years earlier, could soon outpace the revenues of employment website giant, Monster.com. It even looked as though LinkedIn could achieve what other employment websites hadn’t: combining job ads with the art of recruitment.

The main driver of LinkedIn’s success – and indeed the company’s main focus – is its Talent Solutions service, which allows companies to market itself and target talent directly, without the need for a middleman, like a recruiter. This, many have speculated, sounds the death knell for an already wounded recruitment industry, which has been about as secretive about the talent procuring process as Colonel Sanders was about those 11 herbs and spices.

Great For Jobseekers and Entrepreneurs

LinkedIn is a fantastic networking tool for businesses and individuals alike and an equally fantastic online resume for independent contractors and jobseekers; both are topics we’ve written about quite extensively on this very blog. But to truly determine how useful it is to jobseekers, we thought we should look at how useful it is for businesses.

The usefulness of something, particularly for a business, is usually determined in monetary terms – in other words, how much does it cost and how much time or money (though both time and money are synonymous in business) will it save us?

Fortunately, Aussie start-up, RecruitLoop, which is now based in both Sydney and San Francisco after opening offices there when they secured venture capital in 2013 for their new kind of online recruitment agency, ran the numbers for us. (they’ve subsequently grown via acquisition!)

The Old Recruitment Process

Traditionally, if you wanted to locate top-tier talent for your organisation, you had little choice but to hire a recruitment agency. They possessed the secret formula for procuring the right candidates and charged handsomely for it, usually in the vicinity of 15-30 percent of the salary on offer, per hire. RecruitLoop says you should expect to pay about 20 percent.

But first you have to find a recruiter you like. Conservatively speaking, this could take about two hours, including the time it takes to brief the recruiter on the position and candidate you’re looking for. Then it’s over to them – for now.

The recruiter may weed out the good candidates from the bad, but that’s literally it. You still need to interview each candidate, whether it’s two or three or more. After a customary 30 minute pre-interview phone call, it’s standard practice for a candidate to meet with the hiring manager at a company at least twice, sometimes three times. That’s a minimum of 7.5 hours.

RecruitLoop also pencils in time to wine and dine candidates. I don’t know about you, but I rarely hear of a junior or mid-level executive being wined and dined by an employer. This is a practice usually reserved for the top brass, so I’m going to reassign that time to checking out each candidates’ references.

Yes, this is the recruiter’s responsibility and it’s what you’re paying the big bucks for, but it’s precisely because you’re shelling out those big bucks that you should do your due diligence and check out each candidates’ references yourself. (I give you two good reasons why in this blog post.)

Altogether, you’d have spent 13.5 hours on the hiring process, in addition to the 20 percent finders fee you pay to the recruiter. Assuming the candidate’s salary is $75k, and your salary is around $90k (or $47 an hour), you’ve just spent $19k.

The New DIY Recruitment Process

In the RecruitLoop example, they listed multiple employment websites to advertise a job vacancy, but we reckon you only need to use two websites: LinkedIn, which they estimate costs around $1,500 an ad, and Gumtree, which is free.

It should take you about an hour to write your job advertisement, perhaps two if you’re a little rusty or the position is not quite straight forward, which in small business it rarely is. We’ll note down two hours for ad writing, and thirty minutes to post them both.

The average corporate job advertisement yields about 200-300 resumes from jobseekers, but as a small business you may receive less than that. Even if you receive as little as twenty resumes, you still need to cull that down to two or three candidates. That should take you about 3.5 hours.

Then comes the interview process. This shouldn’t take any longer than it would if you were using a recruitment agency, which RecruitLoop estimated would take about 7.5 hours (though they estimated 12.5 hours in their info graphic). Then tag on 4 hours to check each candidates’ references.

You’re looking at about 17.5 hours of your time, plus the cost of advertising on LinkedIn. Assuming your salary is around $90k per year (or $47 an hour), altogether the new DIY hiring process has cost you just under $2,500, though it could cost you as much as $4,900, according to RecruitLoop.

Accessing What’s Behind the Curtain

Since hiring a recruitment agency only saves you about four hours, but costs exponentially more in agency fees, it would seem that the only reason to go with a recruiter is to access to that secret Talent Procuring Process.

But given that the majority of recruiters are now using LinkedIn to target new talent, in addition to their existing database – and who cares about one recruiter’s database when LinkedIn has the biggest in the world? – wouldn’t you rather save your money, invest the time, and go behind the curtain yourself? I would.

The key, of course, is to ensure you’re using LinkedIn correctly, in the first place. After that, the rest is up to you. Next time you’re looking to hire a new staff member – or maybe even an independent contractor – I encourage you to think about the DIY way.

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Rapid Induction for Contractors Online

Online Inductions for Rapid Learning

Rapid Induct your contractors and staff. Image from John Rozum
Rapid Induct your contractors and staff. Image from John Rozum

I’ve written in the past about how our MYOB courses help students get inducted into the role of a bookkeeper because they take them through the steps a bookkeeper goes through in the daily operations of a small business. I’ve also written about the various other benefits of having an induction course:

  1. Induction for contractors who come to work at your site
  2. Keep staff engaged and motivated,
  3. What you should include in an induction course.

I am writing today to let you know that we are in the final stages of completing a course that teaches you how to create an online induction course! We have been creating online courses for over a decade and have gone through the course creation process hundreds of times and we realise that many companies need to create their own induction courses.

Rapid Induction for New Staff

Just the other week I was speaking with a successful small business bookkeeper who asked me about the best way to get his new staff up to speed. After a long conversation it dawned on me that this person needs a system to educate his new staff about his business. He needs an induction course for new staff to get them up to speed rapidly and if he created this course as an online course he could save hundreds of hours in person-time over the course of each year.

I explained that he would just need to convert any written document into a presentation using Powerpoint, record audio over it as a video presentation and then come up with some test questions and…. then I realised that most people aren’t as familiar with this stuff as we are.

Create an Online Induction Course

If you are interested in creating an online induction course to enable rapid induction of your staff, contractors, even customers then stay tuned as the launch date of our course is imminent. If you would like to learn but at this stage just want one created for you then learn more about our online induction course creation service.

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Zoho Books, You don’t want to be a high risk do you?

There’s always Zoho Books

Zoho Books and Bank Feeds

You may have a different opinion when it comes to paying your suppliers but I believe you should pay quickly. I’m talking mainly about service providers rather that product suppliers, but I think in small business it doesn’t matter.

Everyone loves to be paid on time and if you can get paid earlier, even better. It once took me 16 minutes to pay a supplier – OK, I was making other payments at the time, but still, it looked impressive.

I mention it today because one of my team told me that I was categorised by their accounting software as “high risk” and I wasn’t too happy.

Continue reading Zoho Books, You don’t want to be a high risk do you?
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MYOB Bookkeeper Triples Income With No Extra Advertising Budget

MYOB Bookkeeper Provides Customer Service

Ever seen these headings in online ads? It’s sensational I know and I’d rather not revert to such tactics, but the truth of the matter is that the personal work you do to become a better networker and learn how to become a good referrer of business to other people will turn you into the “go to” person a lot of small businesses would like. The result is that you’ll pick up more business because people trust you.

I’ve written before about the power of combining websites like LinkedIn and good Referral Marketing techniques, but they worth mentioning again, particularly as Michael Griffiths is holding his next Referral Marketing Master Class very soon.

A recent example that Michael gave me about the benefits that one bookkeeper received because of their new-found referral marketing skills is Don Doolan from First Class Accounts. He was able to triple his lead generation just by focussing his efforts on effective networking and finding a way to help his network on contacts improve their business.

Is Referral Marketing just good Customer Service?

Customer service is an important aspect in every business. It’s so important that even the largest of Australian and US companies use it as a tool to generate more sales! We include Customer Service tips in our Small Business Management and StartUp Course from David Hall and I’m mentioning it here because both customer service and networking require a similar effort in modifying your approach to customers and listening to them.

When you listen to your customers in your regular conversations you’ll discover many opportunities to either:

  • Mention a product or service that you offer, or
  • Mention that you know someone who could provide them with exactly what they are looking for.

Just by writing this email I am referring Michael and his Referral Marketing course because I have seen the benefits from other people in our network and I know how important it is to have a good relationship with key customers.

MYOB Bookkeeper Marketing

If you are one of our MYOB Bookkeeping Course students and you are interested in taking the journey of becoming an independent consultant to provide bookkeeping services in your local area please make sure you read about our MYOB Bookkeeper Directory service.

Want help starting a bookkeeping business?

start a bookkeeping business
Business Opportunities for Ordinary People

We have now teamed up with the StartUp Academy to help our students (and anyone else) start their own home based business as a bookkeeper. You’ll be able to earn money by helping people learn how to use programs like MYOB, Quickbooks and Xero or doing the work for them. Learn more about starting a bookkeeping business.

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You’ve Already Got a Business Coach – YOU!

being your own boss
Every time you set goals and generally act like a boss, you’re serving much the same function as a business coach.

Ever since EzyLearn’s early days, when we still had our training centres in Sydney, I’ve always gained a real buzz out of helping our students start their own businesses.

I still do, which is why I recently presented a seminar at the Reinvent Your Career Expo and why EzyLearn has partnered with the StartUp Academy.

The StartUp Academy is a start-up incubator for entrepreneurs who want to work in industries currently experiencing rapid growth — like the work health and safety industry, for example — but who also want to have balance in their home and work life; to be their own bosses. Continue reading You’ve Already Got a Business Coach – YOU!

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Affiliate Marketing: Partner with Us to Start Your Own Business NOW

Start a Computer Training Business

start your own businessDo you want to start your own business? Perhaps a home-based business? At EzyLearn, we’re passionate about helping people follow their dreams and start their own businesses.

At the moment, we’ve got a host of opportunities available to people who would like to partner with EzyLearn and start their own home-based business with a focus on Bookkeeping. Continue reading Affiliate Marketing: Partner with Us to Start Your Own Business NOW

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Want to Earn a Thousand Bucks for Giving a Referral?

referral marketing
We’ve come across a great new referral marketing website that will pay you a grand for referring a colleague.

We’ve published numerous posts about referral marketing, which is an invaluable and cost effective way of marketing your business. In particular, we talked about LinkedIn. This is something that I, Steve Slisar, CEO of EzyLearn, am a big believer in — and so is small business marketing guru, Michael Griffiths.

You can learn more about using LinkedIn for referral marketing by attending one of Michael’s Sydney workshops and here’s a company willing to pay a good commission for referrals. Continue reading Want to Earn a Thousand Bucks for Giving a Referral?

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Thanks For Loving Us

MYOB online training courses
We are thrilled that our customers appreciate our attention to good, old-fashioned customer service.

In a recent post we talked about how you can use referral marketing and LinkedIn to market your business to grow your customer base. But once you get those new customers, the most important thing is making certain you keep them.

Great customer service is the key to ensuring you always have a happy customer. Providing consistently good customer service and being courteous to people in the way you communicate with them, be they suppliers or contractors, as well as customers, is also highly beneficial to your business in other ways. Continue reading Thanks For Loving Us

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Getting the Accreditation You Need for MYOB and Bookkeeping

MYOB bookkeeper
You don’t need to be a BAS agent to be a successful and profitable bookkeeper.

The reason many of our students complete our MYOB training courses is because they’re looking for a new job, and so we’re often asked if our MYOB training courses are accredited and whether they come with a certificate.

The answer to this question is a little more complicated than it may seem, and here’s why:

Continue reading Getting the Accreditation You Need for MYOB and Bookkeeping

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Is QuickBooks Taking on MYOB Online?

With the arrival of cloud-accounting software came the opportunity for old foes and new players to enter the accounting space, once dominated by MYOB.

We offer training courses in MYOB, because it’s still the most widely used software package by accountants, but we’ve also recently expanded our cloud-accounting courses to also include Reach Accounting and Xero; two new players to enter the accounting fray. Continue reading Is QuickBooks Taking on MYOB Online?

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Reinvent Your Career: ‘Work At Home’ Seminar

I mentioned in my last post that I will be presenting a Work at Home Seminar at the Reinvent Your Career Expo in

Sydney on 30 and 31 August 2014. We call it the WAH Seminar and I really hope to see some of EzyLearn’s students there. We’ll have a stand there for our soon to be announced Start Up Academy!

Continue reading Reinvent Your Career: ‘Work At Home’ Seminar
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Reinvent Your Career, Become an Independent Contractor

Who wants to work from home?

Ever since we started offering our MYOB training courses online, thousands of students have enrolled and learned how to become MYOB bookkeepers. Many of those students are mums, who were looking to become skilled in a job they could do from home.

In 2012, we added the Small Business Management and Start-up course to our online training platform, to help students to learn a new set of skills that would help them start their own businesses as independent contractors, so they can earn more money, work their own hours, work closer to home, and spend more time with the kids.

Continue reading Reinvent Your Career, Become an Independent Contractor

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So You Think You Can Be an Entrepreneur?

entrepreneur
Entrepreneurs are strong-minded individuals – but we’ve found there are at least 5 other qualities they tend to possess that leads to their business success.

In running our Small Business Management Course and MYOB Training Courses, one of most common reasons we find that people want to start their own businesses is to be their own boss and work remotely from home.

This is a perfectly understandable sentiment — but it’s not necessarily conducive to making a small business work.

Entrepreneurs are known to be people who manage starting up and/or bringing to fruition their own businesses and ventures, but entrepreneurs are a certain breed and as many find out the hard way, self-employment is not for everyone. Continue reading So You Think You Can Be an Entrepreneur?

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Referral Marketing: LinkedIn is a Free Website and Resume

Michael Griffiths is holding a series of referral marketing workshops in Sydney.
Michael Griffiths is holding a series of referral marketing workshops in Sydney.

When you start a new business, it’s incredibly important that you consider how you’re going to market your business to gain new customers. We cover the more traditional marketing strategies in our Small Business Management course, such as print advertising and even Google Adwords, but you shouldn’t only focus on these methods of marketing, as there are other, more powerful ways to market your business to customers.

I’ve written about referral marketing on this blog before, where I said that having a blog was a very effective way of getting people to talk about your business. If you frequently publish blog posts that your readers find valuable, they’re more likely to refer you on to their contacts. This is a form of referral marketing.

Have LinkedIn?, Need a Website?

Some people use their blog as a way to drive traffic to their website, but if you have a LinkedIn profile, I would say you don’t even need a website, since LinkedIn already gathers your professional information and then recommends you to other LinkedIn users with similar interests and professional experience.

I used to have my own personal website at the domain www.slisar.com.au, where I used to write and publish blog posts. I wrote a couple of blogs on it and tried to make myself seem amazing. After all, I had this domain and I thought, what on earth will I do with it if I don’t fill it up with stuff about me?

Sometime later I discovered the benefits of a LinkedIn profile, and I did away with my personal website. Now if you type in my domain name it directs to my LinkedIn profile (feel free to try it and connect with me, if you’d like) where you can see my online resume.

For many independent contractors – home-based bookkeepers, virtual assistants, etc – this is all you need to get started working in the digital age. You can still keep a blog, just as I do with the EzyLearn blog, which is connected to my LinkedIn profile so that when I write something, my LinkedIn connections can read it, like it, and start a conversation about it.

However, I probably don’t use LinkedIn as much as I should, but someone who does is Michael Griffiths, a small business marketing guru. He has helped companies with their online marketing for several years, and with a background in sports coaching, it’s little wonder he started teaching people about online marketing.

He now mostly focuses on referral marketing, and LinkedIn is a powerful tool he uses a lot. In fact, he’s created a training workshop that’s being held this coming Tuesday, August 19 in Milsons Point (in Sydney). That only leaves you with a few days to register, but if you’re serious about finding new ways to market and grow your business, it’s worth it.

Otherwise, if you don’t think you can make it on Tuesday, he’s holding another workshop in November. To register or find out more about Michael Griffiths’ referral marketing workshop click here.

Free Video: Michael Griffiths explaining the benefits of having a live and active website

Here’s a video of Michael talking about the value of having a blog and an active website that is regularly updated with new content. When you hear Michael in action during a presentation you realised how freely he shares his knowledge and experiences, enjoy.