The Best Accounting Software for Small Businesses in 2024

That should make collaboration easier for Xero-using small-business owners who (wisely!) work with financial advisors around tax time. And thousands of accountants and bookkeepers do use Xero already, so you can search Xero’s directory to find a local accountant who’s already familiar with the software. Even though we generally prefer Xero to QuickBooks, QuickBooks Online remains the most popular accounting software for US-based accountants, bookkeepers, and auditing clerks. For instance, most virtual and outsourced bookkeeping services still use QuickBooks or proprietary in-house software—though some, like Bookkeeper360, also sync with Xero. If QuickBooks Online has too many features for your needs but you still want QuickBooks’s stellar reporting, QuickBooks Self-Employed might be a better fit.

But if you’re willing to tough out its tricky installation and don‘t need your accounting solution to be particularly pretty, you’re left with a solid application that covers a lot of bases for free. If you need to shift from one accounting application to another, your existing data will have to shift too. Some free accounting solutions make that process more convoluted and frustrating than others — bear that in mind when you pick your preferred platform. In this post, I’m going to share 11 top free accounting and bookkeeping software for small businesses.

FreshBooks stays in sync across the desktop and the mobile accounting app so you can work on whatever device you prefer without missing any important information. Check out our review of the year’s best free accounting software to find budget-friendly bookkeeping. If you’re a new user, you can opt for either a 30-day free trial or sign up to get your first three months for 50% off. Note that you can’t take advantage of both options—if you choose one, you waive the other (as per industry standard). But as much as we hate to recommend an accounting solution with such a poor iOS app, OneUp’s unique sales and inventory features should keep it on your radar—at least if you own an Android.

The 8 Best Bookkeeping Apps for Small Business Owners

Bench will save you a ton of time because they completely take bookkeeping off your plate. Still, the Sage Accounting app is fully featured regardless of the plan small business hiring trends end the year on a positive note you choose—especially for invoicing. You can use it to create and send invoices, generate estimates and quotes, and follow up with customers who have overdue invoices. The app also has a solid expense-tracking service that includes thorough transaction records. Yes, most of the same features are available in the app, making FreshBooks the best accounting app. You can run your business from your tablet or phone, log expenses, track time, and send invoices.

Bill.com: Best for Automating Accounts Payable and Accounts Receivable

She supports small businesses in growing to their first six figures and beyond. Alongside her accounting practice, Sandra is a Money and Life Coach for women in business. We’ve tested the top accounting tools to help you find the best one for managing your company’s money and—hopefully—improving profitability. We built our payroll tool for small business owners, so it’s easy to use AND teaches you as you go.

Bench: Best for Full-Service Bookkeeping

And while those upper-tier plans are reasonably priced, they’re obviously not what someone who wants a free plan is looking for. Again, the solution itself is sound, but if you want a free program that will remain free as you scale, you should look elsewhere. Manage your business and personal finances with these five financial planning templates.

1. The bookkeeping apps listed above make it easier and faster to complete these tasks.
2. Seth David is the chief nerd and president of Nerd Enterprises, Inc. which provides consulting and training services in accounting and productivity based software.
3. Our partners cannot pay us to guarantee favorable reviews of their products or services.
4. Some modules are interactive, giving you a “Large View”—for example, a close-up look at working capital or accounts receivable.

QuickBooks Online also has the best reporting functionality, with over 50 pre-built reports and the ability to create custom reports. You can also schedule reports to run on a periodic basis and be emailed to other individuals on your team. Reports are important, because it is the ultimate output of your books.