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Best Invoicing Software for Small Businesses of April 2024

Invoicing software can help your business handle more than just billing.
By Hillary Crawford, Rosalie Murphy, Whitney Vandiver
Last updated on February 22, 2024
Edited byRyan Lane
Fact checked and reviewed

⏰ Estimated read time: 5 minutes

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

Invoicing software, also known as billing software, helps small-business owners and freelancers track the goods and services they provide and how much customers owe. The best options help you automate the entire invoicing process online — from creating estimates to tracking hours to collecting payments. Our top invoicing software picks offer a combination of these features, plus mobile apps and more.
Many times, has built-in invoicing features that may offer everything you need. If you dislike that software’s invoicing templates or you’d benefit from specific features, like project management tools, separate invoicing software could be worth it. An invoicing-only product can also be a less expensive, simpler solution if you need only invoicing and expense tracking.
Here are the best invoicing software products.

Best Invoicing Software for Small Businesses

Product
Promotion
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FreshBooks

Learn more

on FreshBooks' secure website

4.5/5

Best for All-in-one invoicing and accounting software

$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

QuickBooks Online

Learn more

on QuickBooks Online's secure website

5.0/5

Best for All-in-one invoicing and 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

Xero

Learn more

on Xero's secure website

5.0/5

Best for All-in-one invoicing and 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

Square Invoices

Learn more

on Square Invoices' secure website

5.0/5

Best for Sending digital contracts

$0

Additional pricing tiers (per month): $20.

30-day free trial

of the Plus plan.

Learn more

on Square Invoices' secure website

Zoho Invoice

Learn more

on Zoho Invoice's secure website

4.5/5

Best for Free invoicing software

$0

Free.

N/A

Learn more

on Zoho Invoice's secure website

Wave Invoicing

4.5/5

Best for Free invoicing software

$0

Additional pricing tiers (per month): $16.

N/A

Invoice Ninja

4.0/5

Best for Payment flexibility

$0

Additional pricing tiers (per month): $12, $16.

N/A

Hiveage

4.5/5

Best for Simple billing software

$0

Additional pricing tiers (per month): $19, $29, $49.

14-day free trial

of the Pro plan.

Harvest

5.0/5

Best for Project invoicing

$0

Additional pricing tiers (per month): $12 per user.

30-day free trial

of the Harvest Pro plan.

Hopscotch

3.5/5

Best for Cashing unpaid invoices

$0

Additional pricing tiers (per month): $45.

45-day free trial

of the Pro plan.

Our picks for

All-in-one invoicing and accounting software

These selections are some of NerdWallet’s top-rated accounting software solutions that also include strong invoicing tools. They’re an excellent choice for businesses that want to streamline bookkeeping tasks and the invoicing process from one place.

FreshBooks

Learn more

on FreshBooks' secure website

Starting at
$19/month

Additional pricing tiers (per month): $33, $60, custom.

Promotion
30-day free trial

or monthly discount (terms vary).

QuickBooks Online

Learn more

on QuickBooks Online's secure website

Starting at
$30/month

Additional pricing tiers (per month): $60, $90, $200.

Promotion
50% off

for first three months or free 30-day trial.

Learn more

on Xero's secure website

Starting at
$15/month

Additional pricing tiers (per month): $42, $78.

Promotion
30-day free trial

or monthly discount (terms vary).

Our pick for

Sending digital contracts

Square stands out among many of its invoicing competitors with its built-in contracts feature. In addition to creating and sending estimates, which you can auto-convert to invoices, Square Invoices allows you to create custom contracts, send the contracts to clients as part of your estimate and invoice workflow, and collect digital signatures.

Square Invoices

Learn more

on Square Invoices' secure website

Starting at
$0

Additional pricing tiers (per month): $20.

Promotion
30-day free trial

of the Plus plan.

Our picks for

Free invoicing software

Free invoicing software doesn’t have to be light on features and functionality. Zoho Invoice delivers quality invoicing software with the option to send hundreds of invoices a year at no cost. Unlike competitors that offer free and paid plans, all of its features are available at no cost.

Zoho Invoice

4.5
NerdWallet rating 
Learn more

on Zoho Invoice's secure website

Starting at
$0

Free.

Promotion
N/A

Wave Invoicing

Starting at
$0

Additional pricing tiers (per month): $16.

Promotion
N/A

Our pick for

Payment flexibility

Invoice Ninja integrates with more than a dozen payment gateways. Some are strong on accepting foreign currencies, some let customers use a variety of payment methods and some have highly competitive processing fees. Invoice Ninja gives you the freedom and variety to choose the right option for your business and your customers.

Invoice Ninja

4.0
NerdWallet rating 
Starting at
$0

Additional pricing tiers (per month): $12, $16.

Promotion
N/A

Our pick for

Simple billing software

If you’re feeling overwhelmed by all of the features other software programs offer and all you need to do is send professional invoices and receive payments, Hiveage stands out for its simplicity.

Hiveage

4.5
NerdWallet rating 
Starting at
$0

Additional pricing tiers (per month): $19, $29, $49.

Promotion
14-day free trial

of the Pro plan.

Our pick for

Project invoicing

Harvest’s invoicing and time tracking software is particularly strong on features for project tracking and management. The software contains an easy start-stop timer for tracking time spent by client, task and project.

Harvest

5.0
NerdWallet rating 
Starting at
$0

Additional pricing tiers (per month): $12 per user.

Promotion
30-day free trial

of the Harvest Pro plan.

Our pick for

Cashing unpaid invoices

Hopscotch’s Flow feature is comparable to invoicing financing, in that it lets you access invoice funds before your client pays them. Since this service comes with a fee, it’s not something you’ll want to use for every invoice. However, if you trust that your customers will promptly pay their outstanding invoices, it can be a helpful short-term solution to cash flow issues.

Hopscotch

3.5
NerdWallet rating 
Starting at
$0

Additional pricing tiers (per month): $45.

Promotion
45-day free trial

of the Pro plan.

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What is invoicing software?

Invoicing software makes it easier to bill clients for products or services and accept payments. It allows you to create estimates and convert them into invoices, keeps track of outstanding invoices and may send payment reminders to clients as due dates approach or pass. Some options also let you set up recurring invoices for clients who make the same to your business on a set schedule.
Invoices for products typically include line items for each product, while invoices for services can be a bit more complex and might include line items for billable expenses (like gas, meals or material costs) and billable hours (organized by task, project, etc.). For that reason, invoicing software usually comes with time and , too. Other invoice components include , descriptions of products or services, billable rates and fields for adding sales tax.
Each of NerdWallet’s invoicing software picks enables online invoicing, meaning you can send invoices and accept payments digitally. They’re also cloud-based and accessible via iOS or Android app.

How to choose invoicing or billing software

Consider the following factors to help determine what invoicing software is right for you.

Scalability

Make sure to think about the future, not just the present. Because most invoicing software determines pricing based on how many clients you have, business growth could mean rising costs. Look for software that will support the business you’re planning to be running in a year without requiring you to leap to a much higher pricing tier.

Ease of use

Most invoicing software makers offer free trials to potential customers. Take advantage of these to make sure you understand how to use the features you need. Choose that accommodate your clients, especially if you have clients abroad and need to support multiple currencies. Take time to test the software from the client's end, too.

Software integrations

If you rely on other software programs already, look for an invoicing option that integrates with them. Many of the options on this list integrate with other software via Zapier, intermediary software that users have to set up themselves. Make sure to test those integrations before you commit to one program.
The right invoicing software might allow you to consolidate some of your tasks into one place. If you use a , for instance, consider switching to an invoicing software with native, or built-in, integrations that can meet those needs, too.

Cost

The “freemium” model of most invoicing software programs can make it hard to project costs. Growth in your client base or changes to your staffing levels might bounce you into a different price tier. Plus, some important features might actually be add-ons with additional fees. If budget is top of mind, though, there are plenty of options available.

How does online invoicing work?

The online invoicing process is similar to paper invoicing in that you send customers the same information but in a digital format. You can use online invoicing software to select a template and add the billing information. Once you generate the invoice, the software notifies the customer by email. The customer can view the invoice immediately and pay digitally on the spot if you've enabled online payments.

Should your small business use online invoicing?

Online invoicing software, as opposed to paper invoicing, has become the norm for many small businesses. Consider online invoicing if you’re interested in the following benefits:
  • Immediate customer receipt. Customers receive online invoices immediately, cutting out the delivery time of nondigital methods.
  • Faster payments. Adding a link in an invoice to pay it online is not only convenient for customers but also good for your . And if you’ve connected your bank account to the invoicing software, the funds should get directly transferred. 
  • Streamlined accounting records. Invoicing software options usually integrate with accounting programs and consolidate record-keeping in one location. For example, lots of accounting software products let you view unpaid invoices right from your dashboard. 
  • Saved time. You’ll spend less time tracking which invoices are paid, prepping new ones by hand and mailing them to customers.
While online invoicing is preferable to paper invoicing in most situations, there are a few potential pitfalls to be aware of:
  • Processing fees. Offering your customers the option to pay online is convenient, but it often comes with a , unlike receiving payment by check. 
  • Spam filters can hide invoices. Sending invoices by email means a customer’s inbox could tag them as spam, so you might still have to call a few customers who are unaware they have an invoice waiting.
  • Email can be hacked. Privacy might be compromised if a customer’s email is hacked, which is much less likely if an invoice is mailed.
Last updated on February 22, 2024

Methodology

To determine the best invoicing and billing software, NerdWallet considered the following features:
Invoicing capabilities. The best invoicing and billing software should offer invoice customization options, the ability to send automatic payment reminders and accept online payments, a dashboard to easily track invoice and billing status plus some reporting capabilities. Standout products also make it easy to convert estimates to invoices and offer most or all features within a mobile app as well. Affordability. Most of the plans for the software included on our list start below $20 per month (and many offer free plans). Integrations. Ideally, standalone invoicing and billing software directly integrates with popular accounting software, like QuickBooks Online and Xero. Some of the higher-rated products on our list also offer direct integrations with e-commerce, CRM, inventory and other software applications.
Additional consideration was given to customer support availability, pricing transparency and whether a free trial is offered for paid products.
NerdWallet does not receive compensation for any reviews. Read our .

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