- 250+ small-business products reviewed and rated by our team of experts.
- 95+ years of combined experience covering small-business and personal finance.
- 75+ categories of best business software selections.
- Objective and comprehensive business accounting software ratings rubric. (Learn more about our star ratings.)
Best Accounting Software for Small Businesses
Product | Promotion | Learn more | ||
---|---|---|---|---|
QuickBooks Online Learn more on QuickBooks Online's secure website | 5.0/5 Best for Overall accounting software | $30/month Additional pricing tiers (per month): $60, $90, $200. | 50% off for first three months or free 30-day trial. | Learn more on QuickBooks Online's secure website |
Zoho Books Learn more on Zoho Books' secure website | 4.5/5 Best for Startup accounting software | $0 Additional pricing tiers (per month): $20, $50, $70, $150, $275. | 14-day free trial of the Premium plan. | Learn more on Zoho Books' secure website |
FreshBooks Learn more on FreshBooks' secure website | 4.5/5 Best for Freelancers | $19/month Additional pricing tiers (per month): $33, $60, custom. | 30-day free trial or monthly discount (terms vary). | Learn more on FreshBooks' secure website |
Xero Learn more on Xero's secure website | 5.0/5 Best for Simple accounting software | $15/month Additional pricing tiers (per month): $42, $78. | 30-day free trial or monthly discount (terms vary). | Learn more on Xero's secure website |
Striven Learn more on Striven's secure website | 3.5/5 Best for Industry-specific features | $35/month Per user. Additional pricing tiers per user (per month): $70. | 7-day free trial | Learn more on Striven's secure website |
Sage 50 Accounting Learn more on Sage 50 Accounting's secure website | 3.5/5 Best for Desktop accounting software | $59/month Additional pricing tiers (per month): $96.58, $160. | Discount for the first year (terms vary). | Learn more on Sage 50 Accounting's secure website |
QuickBooks Enterprise | 4.0/5 Best for Enterprise accounting software with advanced reporting capabilities | $1,410/year Additional pricing tiers (per year): $1,830; $2,250; $4,400. Adding users or cloud access costs extra. | 30-day free trial | |
Wave Accounting | 3.5/5 Best for Free accounting software | $0 Additional pricing tiers (per month): $16 | N/A | |
Odoo | 4.0/5 Best for All-in-one business management app | $0 For use of a single app. Additional pricing tiers per user (per month): $38.90, $58.40. | Monthly discount for the first 12 months. | |
ZarMoney | 3.5/5 Best for Inventory management features | $15/month Additional pricing tiers (per month): $20, $350. | 15-day free trial | |
TrulySmall Accounting | 3.0/5 Best for Accounting software for sole proprietors | $20/month | 14-day free trial |
Our pick for
Overall accounting software
QuickBooks Online is a popular accounting software that ticks all the boxes. It offers a range of features that are scalable and easy to use, complies with accounting standards, allows for easy sharing with accountants, integrates with top payroll and bookkeeping software, offers live customer support and keeps costs reasonable.
QuickBooks Online
on QuickBooks Online's secure website
Additional pricing tiers (per month): $60, $90, $200.
for first three months or free 30-day trial.
Pros
- Easy to share information with your accountant and to find QuickBooks experts and online resources if needed.
- More than 750 app integrations, including live, in-house bookkeeping.
- Robust feature set includes thorough record-keeping, comprehensive reporting, excellent invoicing and inventory management, plus a capable mobile app.
- Daily phone support and 24/7 chat support in all plans.
Cons
- Expensive compared with the competition.
- Limited account users with each plan.
Our pick for
Startup accounting software
Zoho Books offers one of the largest selections of paid plan tiers among competitors, including a free plan. For this reason, and because of Zoho's suite of additional business software that will integrate seamlessly with its accounting software, Zoho Books is a great choice for startups and young businesses that intend to grow quickly.
Zoho Books
on Zoho Books' secure website
Additional pricing tiers (per month): $20, $50, $70, $150, $275.
of the Premium plan.
Pros
- Less expensive than some competitors; free plan available for businesses with less than $50k in annual revenue.
- Email support in free plan; phone and chat support in paid plans.
- Rich feature set includes excellent invoicing, inventory management, workflow rules and a capable mobile app.
- Add accounting widgets to your phone’s home screen; track time using your Apple Watch.
Cons
- Fewer third-party integrations and reports than some competitors.
- No plan includes more than 15 users (can add additional users for a fee).
Our pick for
Freelancers
With strong invoicing and project tracking features and a low-cost plan designed specifically for freelancers, FreshBooks’ accounting software makes great sense for those looking to efficiently manage finances for a business of one.
FreshBooks
on FreshBooks' secure website
Additional pricing tiers (per month): $33, $60, custom.
or monthly discount (terms vary).
Pros
- Stay in touch with clients through the FreshBooks mobile app and get notified when invoices have been viewed or become overdue.
- Intuitive, customizable invoicing capabilities compete with those of more robust accounting solutions.
- Track time and add billable hours to invoices in all plans.
- Weekday phone support in all plans.
Cons
- Lacks features that quickly growing companies need, like audit trails for accountants to review.
- Highest-tier Select plan only comes with two users (additional users add $11 per month) and lower-tier plans put limits on billable clients.
- Least expensive plan lacks double-entry accounting reports, bank reconciliation and accountant access.
Our pick for
Simple accounting software
Accounting itself can be complex, but that doesn’t mean the software should be. Xero is another popular accounting software product that stands out for its clean design, user-friendly experience and automation capabilities.
Xero
on Xero's secure website
Additional pricing tiers (per month): $42, $78.
or monthly discount (terms vary).
Pros
- Unlimited users in all pricing plans.
- Integrates with more than 1,000 third-party apps.
- Feature set includes an excellent mobile app and suite of reports, capable invoicing features, plus automated bill and receipt capture through Hubdoc.
- Simple layout and easy to use.
Cons
- No phone number for customer support listed.
- Entry-level plan limits bills and invoices to five and 20 per month, respectively.
Our pick for
Industry-specific features
Striven offers versions of its software that are tailored to particular industry needs. From manufacturing, legal and field services to consulting, retail, education and others, Striven has designed the features your business most needs in its accounting, CRM and inventory software.
Striven
on Striven's secure website
Per user. Additional pricing tiers per user (per month): $70.
Pros
- Offers industry-specific features for consulting businesses, nonprofits, manufacturing companies, professional services and more.
- Tools to ensure tax compliance.
- Other features include inventory tracking, reporting, invoicing, project management tools and the ability to categorize transactions using classes.
- Customer support available by phone and live chat.
Cons
- Monthly costs could add up quickly if you require multiple users.
- No mobile app.
- Limited third-party integrations available; no POS or payroll integrations.
Our pick for
Desktop accounting software
If you prefer a locally installed software option to access solely from your desktop business hardware, rather than a cloud solution you can access from any device anywhere, Sage 50 Accounting offers strong accounting tools for your needs. And if you later decide you're ready to make the move to the cloud, Sage offers cloud solutions as well.
Sage 50 Accounting
on Sage 50 Accounting's secure website
Additional pricing tiers (per month): $96.58, $160.
(terms vary).
Pros
- Advanced inventory tracking and job costing features.
- Industry-specific features for construction, retail and professional services businesses.
- Phone and chat support, plus a dedicated account representative in all plans.
Cons
- Lowest-tier plan doesn’t include audit trails.
Our pick for
Enterprise accounting software with advanced reporting capabilities
Businesses that fall on the larger end of the spectrum of small- to medium-size businesses may find they quickly outgrow some of the free and low-cost accounting software options on the market. They may find a worthy solution in QuickBooks Enterprise, desktop enterprise accounting software with cloud-access add-on options. It’s costlier than any of the other options on this list, but it’s built to fulfill the more sophisticated accounting needs of larger businesses.
QuickBooks Enterprise
Additional pricing tiers (per year): $1,830; $2,250; $4,400. Adding users or cloud access costs extra.
Pros
- Strong feature set includes thorough record-keeping, invoicing and advanced inventory management and pricing rules.
- More than 200 reports, including industry-specific options for various industries.
- 24/7 phone and chat support.
Cons
- Outdated user interface.
- Limited direct, third-party integrations for payroll software and popular point-of-sale systems.
- Annual subscriptions are expensive; each additional user license costs extra.
Our pick for
Free accounting software
Wave offers free accounting and free invoicing. If you're a newer or smaller business with simple accounting needs, Wave's free software will likely meet your requirements. And as your business grows, if you find you're in need of payroll software and/or the ability to accept online payments for the invoices you're sending out, Wave offers paid plans for those solutions.
Wave Accounting
Additional pricing tiers (per month): $16
Pros
- Free plan available.
- Intuitive, customizable invoicing capabilities compete with those of more robust accounting solutions.
Cons
- Lacks features that quickly growing companies need, like audit trails.
- Must subscribe to Wave’s Pro plan or other paid services (payroll, payments, advisor, etc.) to receive customer support from a human.
- No third-party integrations, mileage tracking feature or ability to accept in-person card payments.
Our pick for
All-in-one business management app
Odoo is an ecosystem of business software applications that are intended to smoothly integrate with one another. Because the core software is developed through the open-source model, thousands of business professionals and coders work together to ensure seamless integration of all of Odoo’s apps.
Odoo
For use of a single app. Additional pricing tiers per user (per month): $38.90, $58.40.
for the first 12 months.
Pros
- Unlimited users.
- Vast library of directly integrated apps means the software can grow with your business.
- Open-source model encourages regular testing and improvement of the software.
Cons
- Paid plan is required to access the full list of features for most apps and any additional apps.
- Phone support is only available for database emergencies.
Our pick for
Inventory management features
If your business involves managing inventory, particularly moving and tracking stock within and across warehouses, then ZarMoney’s accounting software, which includes tools for managing warehouse inventory, is a solid choice.
ZarMoney
Additional pricing tiers (per month): $20, $350.
Pros
- Inventory management tools are robust enough to support multiple warehouses.
- Other features include invoicing, automated billing and the ability to categorize transactions by class and location.
- Weekday phone support available in all plans.
Cons
- No mobile app.
- Limited number of integrations.
Our pick for
Accounting software for sole proprietors
Many accounting programs on this list are scalable, meaning they have multiple plans that can accommodate small businesses as they grow. Some businesses plan to stay very small, though, and only need basic accounting software that’s simple to use.
TrulySmall Accounting
Pros
- Features include basic reporting, mobile app, invoicing and reconciliation tools.
- No cap on the number of users or invoices.
- Phone, chat and email support.
Cons
- Not a good fit for growing businesses, due to lack of audit trails and third-party integrations.
- Can’t tag transactions to enable more granular reporting.
- No inventory management or mileage tracking features.
QuickBooks Online
- $30 per month for the Simple Start plan.
- $60 per month for the Essentials plan.
- $90 per month for the Plus plan.
- $200 per month for the Advanced plan.
Xero
- $15 per month for the Early plan.
- $42 per month for the Growing plan.
- $78 per month for the Established plan.
Zoho Books
- $0 per month for the Free plan.
- $20 per month for the Standard plan.
- $50 per month for the Professional plan.
- $70 per month for the Premium plan.
- $150 per month for the Elite plan.
- $275 per month for the Ultimate plan.
FreshBooks
- $19 per month for the Lite plan.
- $33 per month for the Plus plan.
- $60 per month for the Premium plan.
- Custom pricing for the Select plan.
Sage 50 Accounting
- $58.92 per month, for 1 user, for the Pro Accounting plan.
- $96.58 per month, for 1 user, for the Premium Accounting plan.
- $160 per month, for 1 user, for the Quantum Accounting plan.
- Prices increase with each additional user.
Wave Accounting
- $0 for the Starter plan.
- $16 per month for the Pro plan.
QuickBooks Enterprise
- $1,410 per year for the Silver plan.
- $1,830 per year for the Gold plan.
- $2,250 per year for the Platinum plan.
- $4,400 per year for the Diamond plan.
Striven
- $35 per month per user for the Standard plan.
- $70 per month per user for the Enterprise plan.
Odoo
- $0 per month for use of a single app.
- $38.90 per user per month for access to all apps.
- $58.40 per user per month for access to all apps across multiple companies plus Odoo’s external API.
ZarMoney
- $15 per month for the Entrepreneur plan.
- $20 per month for the Small Business plan.
- $350 per month for the Enterprise plan.
TrulySmall Accounting
- $20 per month for the Accounting plan.
- TrulySmall also offers standalone Invoices and Expenses plans for businesses that opt out of the Accounting plan. They cost $8.99 per month each.
- Enter and organize financial transactions.
- Record income and expenses.
- Reconcile accounts.
- Generate financial statements and reports.
- Keep track of how much money you’re owed and vice versa.
Learn more about how accounting software works
Accessibility
Scalability
Your business’s budget
Ease of use
Integrations
Customer support
Sharing with your accountant
How much does accounting software cost?
Small-business accounting software
Enterprise resource planning (ERP) software
Cloud-based accounting software
Desktop accounting software
Integrated accounting software
Open-source accounting software
Accounting software for startups
Industry-specific accounting software
Accounting software by industry
- Double-entry accounting: This means your accounting software enters a balancing debit or credit for each transaction, so that you don’t have to do it manually.
- Chart of accounts: Most accounting software comes with a built-in chart of accounts you can use to categorize transactions. You should be able to add or remove accounts as needed.
- Income and expense tracking: Tracking money-in and money-out transactions is central to bookkeeping.
- Online bank connections: You may have the option to automatically pull transactions from your business’s bank and credit card accounts into your software. This reduces time and error from manual entry.
- Reconciliation tools: Some accounting software products will automatically match your bank and credit card statements with the transactions in your accounting software to ensure alignment, meaning you only have to look them over and approve.
- Accountant access: Cloud-based accounting software makes it easy to invite your accountant to look over your books remotely.
- Reporting: Look for report templates — think a profit and loss statement, balance sheet and cash flow statement — along with reports on aged receivables and sales tax. You should be able to customize them by date so that you can compare time periods.
- Invoicing: The ability to invoice clients from your accounting software is key for service-based businesses. You want to be able to customize invoices with your logo, easily turn estimates into invoices, add terms and due dates, and accept online payments. While it might not be as convenient, third-party invoicing software is also available.
- Integrations: To minimize manual data entry, you’ll want to integrate your accounting software with the rest of your business software ecosystem so they can exchange information automatically. This may include your point-of-sale software, payroll software, inventory software and third-party time or mileage tracking tools.
- Mobile app: Accounting software for freelancers, for example, often includes mobile apps for iOS and Android devices that let you track time and miles. Accounting apps are also convenient for sending invoices on the go and snapping photos of receipts and other documents.
- Inventory tracking: It’s not uncommon for accounting software to include basic inventory management in lower-tier plans, though you might have to pay extra or integrate with a third-party app to sync in-store and online sales.
- Bill management: Just like you keep track of how much money your business is owed, you may need to keep tabs on what your business owes. Bill management features can help you schedule payments so you don’t risk late fees.
- Project tracking: Service-based businesses may want insight into each job’s profitability, so they know how to best spend their time.
Compare NerdWallet’s top accounting software picks by features
Maximum users | Invoicing | Time tracking | Inventory tracking | Phone support | |
---|---|---|---|---|---|
5.0 NerdWallet rating | Up to 25 in Advanced plan. | Unlimited. | Can manually enter time in Essentials plan and higher; automatic time tracking costs extra. | Yes, but only in Plus plan and higher. | Yes, available seven days a week. |
5.0 NerdWallet rating | Unlimited. | 20/month in Early plan; unlimited in higher-tier plans. | Yes, but only in Established plan. | Yes. | Does not provide a phone number, but a rep will call if necessary. |
4.5 NerdWallet rating | Up to 15 in Ultimate plan. Additional users cost extra. | 1,000/year in free plan; up to 100,000/year in paid plans. | Yes, in paid plans. | Yes, Zoho Inventory offers free, integrated plans. | Yes, available weekdays in paid plans. |
4.5 NerdWallet rating | Up to two in Select plan. Additional users cost extra. | Unlimited, but Lite and Plus plans cap number of billable clients. | Yes. | Yes. | Yes, available weekdays. |
3.5 NerdWallet rating | Free plan is limited to one user. Must subscribe to paid plan to add additional users. | Unlimited. | No. | No. | No live support available unless you subscribe to a paid Wave product. |
3.5 NerdWallet rating | Up to 40 in Quantum Accounting plan. | Unlimited. | No. | Yes. | Yes, available weekdays. |
4.0 NerdWallet rating | Up to 40, but each user license costs extra. | Unlimited. | Yes, but only in Diamond plan and fees apply. | Yes. | Yes, available 24/7. |
3.5 NerdWallet rating | Unlimited, but each user license costs extra. | Unlimited. | Yes. | Yes. | Yes, available weekdays. |
3.5 NerdWallet rating | Unlimited. | No. | No. | No. | No. |
3.5 NerdWallet rating | 30+ in Enterprise plan. | Unlimited. | No. | Yes. | Yes, available weekdays. |
3.0 NerdWallet rating | Unlimited. | Unlimited. | No. | No. | Yes. |
- Quickly generate reports: For example, you can easily pull up built-in reports to make sure you’re within your budget and dig into which products or services have the best margins.
- Centralize business operations: You can complete other tasks — like creating invoices, sending them and accepting payments — from within the program, as opposed to having to hop from a spreadsheet to an invoice generator and back.
- Collaborate with your accountant: Grant your accountant remote access to your account via email, so that they can look over your books, provide expert feedback and make necessary adjustments in real time.
- Prepare for tax filing: When tax season comes, you’ll need organized and current financial information, which accounting software helps maintain year round.
- Maintain accurate financial records: Accounting software makes it easy to record transactions as you go, because it automatically pulls in your business’s bank and credit card transactions. You can use it to reconcile accounts and calculate things like sales tax, too.
- Automate processes: Accounting software is often more accurate than spreadsheets because it minimizes manual accounting tasks, like balancing debits and credits. In the long run, this can save you both time and money.