The Day One consensus is that there’s the potential for a beautiful marriage to benefit small business owners between the market’s largest financial management platform and the leading time tracking and scheduling software maker.
TSheets was already an important QuickBooks partner — 12,000 customers are using both products. But acquiring TSheets suggests that QuickBooks sees the potential for more.
The deal isn’t scheduled to close until Q2, but it’s already got me thinking about how this deal could help QuickBooks Online improve its job costing functionality. While the desktop version of QuickBooks easily enables labor costs to be tracked by customer, QuickBooks Online currently requires manual intervention. If TSheets is able to fill that gap, it’s a major game changer.
Officially, all the company will say publically is that “Time Capture will become a new offering within Intuit’s Small Business and Self-Employed Group.” TSheets founder and CEO Matt Rissell will lead this group and report to Senior VP Alex Chriss, chief product and platform officer for Intuit’s Small Business and Self-Employed Group.
In an interview with Accountex Editor Jess Scheer, Chriss wouldn’t add much to my speculation. Clearly, it’s too early to talk about new features that could be created by the yet-to-be formed team, but it sounds like it’s on his radar.
“We know that job costing is a real need,” Chriss said. And if customers and ProAdvisors say it would be a game changer, “I’d tend to agree.”
For now, the message is “business as usual.” The reseller community was initially worried that the deal could affect their free access to TSheets or their commissions. For now, Chriss reiterated, “nothing changes.”
Experts Weigh In
With any change comes fear of the unknown. But my friends inside TSheets and Intuit — as well as other QuickBooks ProAdvisors — are optimistic and are overwhelmingly focused on the potential to improve the job costing functionality. Here’s a sampling of what they shared:
“I am hoping this is a step towards job costing in QuickBooks Online.”
“TSheets will probably help them bring labor job costing to QuickBooks Online.”
“I would love to see job costing added to QuickBooks Online, but of course no one knows what will happen when a company is acquired. We hope they keep moving forward and it does not slow down operations and development.”
“I’ve seen a few buyouts that led to better product and service (Right Networks for example), but very few. Capital for growth generally comes with some more corporate trade-offs. So much of TSheets culture is family and generosity; I find it hard to believe it will stay exactly the same. However, if a corporation that acquires a company maintains similar values it can be a successful merger.”
“I just wonder what this means for other large vendors that TSheets integrates with such as Sage/Xero/Microsoft? Maybe this will make users of other software programs consider QuickBooks and make a switch.”
“Another positive is that TSheets will continue to be headquartered in Idaho and grown from that location. They have a great corporate culture and beautiful new headquarters. It would not make sense to move it. It seems promising that they will be able to retain their energy and momentum through the merger process. In regard to development, my wish list includes continued development of job costing inside of QuickBooks Online where TSheets can enhance this product as it does with QuickBooks Desktop.”