Most small businesses spend at least $1,000/year on accounting administrative costs, internal expenses, and legal fees.
Think about it.
If you could get that number down from $1000/year to only $100.
That’s 10x fewer expenses for the same service.
That means that choosing the right accounting software can save you up to 10x the accounting expenses if you’re a small business owner.
In this blog post, I’ll discuss the top accounting programs available, as well as their features, pricing and benefits.
I’ll also provide a few tips on choosing the right accounting software for your business.
What's the best accounting software for self-employed business owners?
There are a lot of different accounting apps out there, so it can be tough to know which one is the best for you.
The best accounting apps will depend on a few different factors, such as the type and size of your business, your budget, and the features you need.
Here are my top pics for the best accounting software:
Price comparison: QuickBooks vs. FreshBooks vs. Xero vs. Invoice Crowd vs. Wave
If you’re looking for a free accounting app then you should go with Wave since it’s the only one that offers a free plan.
However all the others are in a similar price range and the deciding factor will be the features that these plans offer.
Here’s an in-depth review of each of these online accounting tools.
1. QuickBooks
Best features:
QuickBooks is one of the most popular accounting software programs for small businesses.
This is because it offers a wide range of features and is very user-friendly.
Here are some of the best features of QuickBooks:
- The accounting software is very easy to use. Even if you have no accounting experience, you should be able to use QuickBooks with ease.
- QuickBooks offers a wide range of features. You can use it to track your income and expenses, create invoices and estimates, track inventory, manage customers and vendors, and more.
- QuickBooks integrates with a number of other software programs and services. This makes it easy to track all your business transactions in one place.
- QuickBooks offers excellent customer support. If you ever have any questions or problems, you can reach out to QuickBooks customer support and they will be happy to help.
- QuickBooks is affordable compared to other accounting software. There are a number of different pricing plans available, so you can find one that fits your budget.
Price:
QuickBooks subscription starts at $15/month for the basic plan and goes up to $100/month for the plus plan.
You can read more about pricing options here.
If you are looking for accounting software for your small business, QuickBooks is a great option.
It is easy to use, offers a wide range of features, and isn’t too expensive.
Get started with QuickBooks.
2. FreshBooks
Best features:
FreshBooks is a cloud accounting software that helps small business owners and freelancers manage their finances.
It is easy to use, which makes it an ideal choice for people who are just starting out in their business careers.
Here are its best features:
- Easy to use: FreshBooks is intuitive and easy to navigate, making it perfect for those who are just starting out in the world of entrepreneurship.
- Budgeting: FreshBooks has a budgeting feature that allows you to track your expenses and income, as well as set up budgets. This will help you keep track of your finances and stay on top of your spending habits.
- Automatic updates: This software automatically updates itself so that you always have the latest version available for download.
- Customer service: You can contact customer service 24/7 if you have any questions about the software.
- A safe and secure way to store your personal information: This software uses advanced encryption technology so that all of your personal information is kept confidential and secure.
- Encrypted data transfer: All data transfer between your computer and the company happens in an encrypted format to keep your personal information safe and secure.
- Advanced security features: This software uses advanced security features that are designed to keep your information safe from threats such as malware.
- Export data: You can export data from your account, such as your contacts, text messages, and call history.
Price:
FreshBooks subscription starts at $7.50/month for the lite plan and goes up to $ 27.5/month for the premium plan.
You can read more about pricing options here.
What I like/dislike about it:
If you are looking for an invoicing and accounting solution that is easy to use, fast and efficient, and affordable, then you need to check out FreshBooks.
Get started with FreshBooks.
3. Xero
Best features:
Xero is a cloud-based accounting software that provides its users with a variety of features.
Some of the best features of Xero include:
- Simplified bookkeeping – Xero’s easy-to-use interface makes bookkeeping a breeze, even for those with no accounting experience.
- Automatic bank reconciliation – Xero automatically reconciles your bank accounts, so you can be confident that your books are always up-to-date.
- Invoice reminders – Xero can send automatic reminders to your customers when invoices are due, so you can get paid faster.
- Detailed reporting – Xero’s detailed reports give you insights into your business finances, so you can make informed decisions about where to invest your resources.
- Flexible pricing plans – Xero offers a variety of pricing plans to suit businesses of all sizes, so you can find a plan that fits your budget.
Price:
Xero subscription starts at $12/month for the yearly plan and goes up to $65/month for the established plan.
You can read more about pricing options here.
There’s no doubt that Xero is one of the best accounting software platforms on the market. If you’re looking for an easy-to-use platform with all the features you need to manage your business finances, Xero is the perfect choice.
Get started with Xero.
Best features:
Invoice Crowd is a cloud-based accounting software that helps small businesses focus on their core competencies.
It automates the tedious tasks of invoicing, billing, and collecting money from customers.
Invoice Crowd is an affordable and easy-to-use accounting software that comes with a host of features.
Its best features are:
- It integrates with most major financial institutions to make it easy for you to send invoices and collect payments from customers.
- It has the option to automate your billing process by generating bills automatically based on your customer’s payment history.
- Invoice Crowd has a mobile app that lets you manage your finances on the go.
- You can set up automatic reminders for overdue bills so that you don’t have
With Invoice Crowd, you can do the following:
- Send out professional invoices and estimates, in a secure channel.
- Choose an invoice template, upload your company logo, fill in the invoice items, and drop in the customer details.
- The software allows you to create multiple business profiles from your single account.
Price:
The solo plan starts at $10/month and the business plan goes all the way up to $30/month.
You can read more about Invoice Crowd pricing here.
However, instead of paying monthly, you can get Invoice Crowd for life for $69 on AppSumo!
Get started with Invoice Crowd.
5. Wave
Best features:
If you’re looking for accounting software that is easy to use and has all the features you need, then you should definitely check out Wave.
Wave is a cloud-based accounting software that is perfect for small businesses and freelancers.
Here are some of the best features of Wave:
- Free to use – Wave offers a free plan for businesses with up to 10 employees. This is perfect for small businesses and startups that are on a tight budget.
- Easy to use – Wave’s interface is user-friendly and easy to navigate. Even if you’re not an accounting expert, you’ll be able to use Wave with ease.
- Wave has all the features you need – Wave offers a wide range of features, including invoicing, payments, and reporting. Wave also has a built-in CRM system, so you can manage your customers and sales in one place.
- Integration with other software – Wave integrates with a wide range of software, including QuickBooks, Xero, and FreshBooks. This makes it easy to switch to Wave if you’re using another accounting software.
- Excellent customer support – Wave has a dedicated customer support team that is always ready to help. If you have any questions or need help using Wave, you can contact customer support via live chat, email, or phone.
Price:
The basic plans of Wave are free but go up to $149/month for the most expensive advisors plan.
Overall, Wave is an excellent accounting software that offers a wide range of features and is easy to use. If you’re looking for an affordable accounting solution, then Wave is definitely worth considering.
Get started with Wave.
Was this list of the best accounting apps useful?
There are a ton of accounting apps out there, but in order to find out which ones are the best you have to compare various features and pricing options.
I hope that this list was useful in making up your mind in terms of which one to use.
I’ll leave you with a few more resources that will help you grow your online business:
Best Online Business Ideas 2023 (One-Person Business Model)
11 Best Books For Online Entrepreneurs (About Money)
Best Online Business Ideas To Start With AI ($12,610 / Month)
Thanks for reading 👋!