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AnchorDesk

David Coursey
How I run my business with online software

David Coursey
Executive Editor, AnchorDesk
Monday, Mar. 8, 2004
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Remember back when the Internet was going to change the way business software was delivered? The idea was that, instead of buying software, you'd subscribe to it as a service delivered over the Net. Our applications and data would reside on someone else's server, and we'd be free to follow our bliss, knowing that someone else was taking care of the updates and patches, that we'd never have to break open a box, insert a CD, or type in an activation code again.

If you like to buy
Rather use CDs than rely on an online subscription to get your applications? Here are a few small-business staples.
For most companies, software-as-a-service is still nothing more than a nice idea. But here at David Coursey Consulting, Inc. (when I'm not writing this column, I help tech companies organize events), it's real. We've been pioneering this world of new software, and I want to tell you about it because I think it could be tremendously useful for all sorts of companies, big and small.

FIRST EXAMPLE: accounting software. My bookkeeper (and bank accounts) are back in Texas. In the past, that's worked out pretty well, but insulated me from the realities of my cash position. As I was revving up my consultancy business, I wanted to be more in control of the money--without losing my accountant, Marilyn Younger, who has done a good job.

Boxed software--at least the small business accounting variety--is a pain to run across the Internet with multiple users and would require some serious setup time back in Texas. It's also expensive. And while I love Mrs. Younger, I don't love her that much--or rather, I can't afford to love her that much.

The solution is to do my accounting online. That way Marilyn and I both see the same reports, write checks, enter expenses, invoice clients, and do all the other things a small business accounting system should do.

For all this, we use use Intuit's QuickBooks Online. It costs between $20 and $65 a month and neatly solves the problem. If I didn't know about all the features in the boxed software, I'd never know I was getting just a subset of them in the online version. I find QuickBooks Online does everything I need--though if I didn't need the multiuser and Internet access features, I'd probably use the boxed product.

I pay $35 a month for three users and for some additional premium features that allow me to create client-specific project budgets. I can't tell you what your particular business needs, but QuickBooks Online works for me and a bunch of other people I know.

ANOTHER Intuit online product is currently priced out of my reach. QuickBase, an online database application platform, costs $249 a month for 10 users. If you need it and can afford it, QuickBase is an excellent product. I just can't rationalize spending $3,000 a year on it.

I've also been playing with Marc Benioff's Salesforce.com, which offers five-user pricing at $995 a year. Salesforce.com is an online customer relationship management (CRM) system that isn't entirely perfect for my business, but which I've grown to like the more I use it.

Salesforce.com has signed some major deals with big corporate customers. There is a lot to recommend it and once I've played with the service some more I'll write a full review. It's worth looking at if you are looking for a better way to manage sales, leads, customers, and support.

I'm also using a Mac CRM package called DayLite that works fairly well and is very easy to network, but only has Mac client software. This would be fine, if I were able to get an important contractor, also in Texas, to start using a Mac. But that's not going to happen until I can buy her the computer--and that's not likely anytime soon. DayLite isn't as built out as some of the Windows-based competitors, but we've found it does a good job for us.

I back up my most important files online to a server farm in the sky someplace, using Apple's iDisk for the Macs. The important PC data either lives at Intuit or on a server here that has a RAID array and tape drive for backups.

FOR COLLABORATION, I use Microsoft's bCentral, which offers a hosted version of SharePoint that solves a bunch of problems involved in sharing documents and other information with clients. I'm probably going to use their ListBuilder to maintain a business mailing list. And my Web site is about to be hosted there as well.

Last, but not least, I use Stamps.com for postage and shipping services. I wish the service wasn't so expensive, but it's also really convenient and saves me money compared to the amount it would cost to pay someone to drive down to the post office and stand in line.

Online software services aren't anything new to me. But I honestly never expected them to play such important roles in my business. For a distributed organization like mine, it makes lots of sense, as does paying for applications on a subscription basis--that's already saved my start-up a bunch of money.

It's also made my business more flexible. We can all work from anywhere--a good thing when you're as mobile as I need to be and have contractors all over the place. It's also comforting to know that my most important data gets backed up both here and on someone else's server.

For my business, software-as-a-service is a winner.

What do you think? Have you ever used an online software service? Did it work well or not? TalkBack to me below! 

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