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SAAS STRUGGLES ON THE CPA SIDE

Cloud-based applications have yet to become the preferred applications in the mid-market And those watching the traditional tax and accounting side – a lot since there are a lot of CPAs in the VAR market – may note that the major players are having trouble moving premise-based software to web-based. The biggest announcement at the Midwest Accounting Show this year was CCH’s introduction of an on-premise version of its ProSystem fx document package. 

While Document was originally an on-premise package, the SaaS product was introduced to make it more affordable for smaller CPA firms. Intuit has is having bumps in the road on its way to the connected enterprise. The growth in subscriptions for its QuickBooks Online is significantly less than that decline in sales of desktop QuickBooks units. And its plans for a significant new practice management product aren’t going as smoothly as hoped. First, the product was to be called Intuit ProLine Practice Management. But after two years, Intuit is dropping the effort to make ProLine a brand that crosses product lines sold to accountants. And its planned May 1 introduction came and went and the company now is announcing a second pilot; but not target roll out. Thomson seems to have less problems but I think part of that was its online focus has been more for hosted systems than SaaS, and with its GoSystem RS tax product it went through its new product woes years ago and has a mature product on the market. I’d guess that the announced sale of the Bureau of National Affairs to Bloomberg could reflect that BNA could fund all the R&D to get major systems to the cloud without deeper pockets.

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