I have not heard that cloud based is not as good. Online softwares have some advantages over server based, but unfortunately usually their cost reflects that. We have found that for our service the online options are not affordable. It is important that you pick a software that will work for you and allow you to grow. Switching down the road is not a good option. Some start with cheap/free thinking they will upgrade when they start making money. I personally don't think that's a good option. Do as many demos as you can and see what clicks with you and what is in your price range. Some will hate a certain software while others love it. It's really a personal choice.
Best wishes as you move forward!