The 5 Best Accounting Software for Small Business of 2024

Bisnis.RumahBudidaya.Co.IdAccounting software for small business owners track their accounts and expenses, prepare for tax season and keep tabs on financials easily.

For many small businesses, software is a more affordable alternative to hiring an accountant or a large firm to manage their taxes and payroll. However, with so many options on the market today, choosing a reliable solution can be a challenge.

To help you find the right option for your needs, we’ve compiled a list of the best accounting software for small business available today.

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Best Accounting Software for Small Business Reviews

accounting – The accounting software picks that made the list were primarily evaluated based on their features, pricing plans and customer service.

Since a small business doesn’t always stay small, we also considered each platform’s scalability along with usability in terms of ease of use and multiple-user support.

1. FreshBooks

One of the most popular and well-known small business accounting tools available today is FreshBooks.

FreshBooks’ accounting software includes smart technologies and back-office automation designed to reduce manual data entry and make bookkeeping easy. For instance, FreshBooks can be configured to automatically reconcile credit and debit amounts and can automatically import financial data from a range of sources.

Users can easily access important financial statements like:

  • Balance sheet
  • Income statements
  • Cash flow statements

Users can also adjust access permissions on an individual basis. For example, employees can be granted limited access to financial reports, while accountants can be provided with additional administrator privileges.

Pros:

  • Highly rated customer support
  • Time-tracking and mileage tracking features included in all plans
  • Wide range of cloud accounting features

Cons:

  • Limited number of users and clients
  • Lowest-tier plans don’t offer bank reconciliation or accountant access
  • No quarterly tax estimates

Available for: Web application (cloud-based software)

Mobile app: Android, iOS

Price: Plans begin at $4.50 per month for lite plan

Free trial length: 30 days

Shopify app or integration: Yes

2. Wave

Many of the small-business accounting software tools on this list are inexpensive. But for newly launched independent businesses with little cash to spare, any additional expense can break the bank. Wave, an accounting tool designed for small businesses, understands that problem, which is why it’s 100% free.

Available for Windows and OS X, and with Android and iOS apps for invoicing and receipts, Wave is ideal for independent businesses still finding their feet. Wave Accounting can do almost everything premium accounting software tools can do, including expense management, banking reconciliation, payroll, and invoicing.

If all this sounds too good to be true, sign up for a free account and see how Wave can help you manage your business’s accounts in less time––all without spending a dime.

Pros:

  • Completely free
  • Double-entry accounting reports
  • Unlimited users with control over user permissions
  • Unlimited invoice creation with customizable templates
  • Mobile invoicing accounting app

Cons:

  • No phone support; live chat only available for paid add-ons (Wave Payments and Payroll)
  • No updates planned for current features
  • No advanced accounting options

Available for: Web application (cloud)

Mobile app: Android, iOS

Price: Free

Free trial length: n/a

Shopify app or integration: No

3. Zoho Books

Zoho Books is an online accounting software with accounts payable, accounts receivable, and inventory management capabilities. The invoicing software is blazing fast and its bookkeeping software offers a lot of features for a good price. Zoho Books is a great alternative to more expensive options like QuickBooks Online and can still meet all your business needs quickbook. 

Pros:

  • Most accounting tasks possible through the mobile app
  • Fairly powerful free version of software
  • More affordable than similar accounting software
  • Multicurrency capabilities in top tier plan

Cons:

  • Must pay for advanced features like project tracking and workflow automation
  • No ability to track fixed assets like real estate, land, or equipment
  • Limited number of users with each tier

Available for: Web application (cloud)

Mobile app: Android and iOS

Price: Free for businesses generating less than $50,000 per year in revenue; paid plans start at $15/month

Free trial length: 14 days

Shopify app or integration: Yes

4. QuickBooks Online

Intuit’s QuickBooks Online is a popular accounting platform that can help business owners handle their accounting quickly and easily.

QuickBooks Online has everything small business owners need to take control of their bookkeeping. It features a clean, simple interface and intuitive reporting, meaning even newcomers can get up to speed quickly. All QuickBooks Online plans include mileage, income, and expense tracking, sales and tax reporting, and tools to manage 1099 contractors.

QuickBooks Online’s other plans offer additional functionality, such as inventory tracking, support for up to 25 individual users, and even access to a dedicated customer support manager. Plans start at $15 per month.

Pros:

  • Inventory management included with QuickBooks Online Plus and Advanced
  • Double-entry accounting reports
  • Third-party app integration
  • Plenty of QuickBooks Online tutorials, experts, resources, online

Cons:

  • Monthly plans are pricier than other accounting software options
  • Each plan allows only a limited number of account users
  • Advanced features come with a learning curve

Available for: OS X, Windows, web application (cloud)

Mobile app: Android, iOS

Price: Plans begin at $15 per month

Free trial length: 30 days

Shopify app or integration: Yes

5. Sage 50cloud

Sage 50cloud Accounting offers comprehensive, cloud-based accounting software for small businesses with extensive customization options and advanced features.

Sage 50cloud’s Pro Accounting plan––the least expensive option, available for less than $30 per month––is aimed at smaller independent businesses. It can handle a range of accounting tasks, including expense management, invoicing, and inventory tracking. Sage 50cloud Accounting also integrates seamlessly with Microsoft Office.

Sage’s other plans offer additional advanced features, such as role-based security privileges and account management for multiple companies, but may be prohibitive for smaller businesses with more modest budgets.

Pros:

  • Lots of customization options to fit your needs
  • Tools to manage and track inventory
  • Microsoft 365 integration

Cons:

  • No mobile app
  • Clunky user interface
  • Time tracking not included with any plan option

Available for: Web application (cloud), Microsoft 365 integration

Mobile app: No

Price: Plans begin at $346/year

Free trial length: None, but you can get a live demo of the software

Shopify app or integration: No

How We Chose the Best Accounting Software for Small Business

We based our ranking methodology for our best accounting software picks based on the following categories.

User reviews and trustworthiness

We favored companies that receive mostly positive customer service reviews on third-party consumer review sites.

Accounting features

We considered how many accounting features each software platform offers and the functionality and customization aspect of each platform’s features.

Integrations

Of the software platforms we researched, we chose those that provide easy integration with other third-party solutions that can enhance the software’s functionality and usability.

Plan options

We evaluated plan options to determine which companies provide the most features for the best price.

Additional resources

We considered any additional resources and benefits a platform offers that sets it apart from other solutions.

Accounting software FAQ

Which accounting system is useful for small businesses?

While the accounting software you choose will depend on the individual needs of your small business, we recommend selecting one of the cloud-based accounting solutions from the list above.

What software do most small businesses use?

Most small businesses need good accounting software, document management software, and CRM software. Your best bet is to find comprehensive software that can perform all three of these functions, or integrate seamlessly with existing platforms.

Why is QuickBooks best for small business?

QuickBooks is one of the more versatile accounting software available for small businesses, and offers all the core accounting features small business owners need, including expense tracking, inventory management, and sales tax tracking, among others.

Which accounting software is the cheapest?

Wave’s accounting software is completely free. However, before you opt for free accounting software like Wave, be sure that it has all the features you need for your business.