QuickBooks has more than 7 million online customers, according to the most recent data from its parent company, Intuit. But it isn't the best accounting software choice for every small business. Self-employed entrepreneurs and micro-business owners, especially, might find that QuickBooks alternatives offer simpler solutions at a lower price point. Other competitors can accommodate an unlimited number of users, unlike QuickBooks, and provide a similarly robust feature set.
Here are the best QuickBooks alternatives for small businesses, including what sets them apart.
Best QuickBooks Alternatives
Product | Promotion | Learn more | ||
|---|---|---|---|---|
Xero Learn more on Xero's secure website | 5.0/5 Best for Overall alternative | $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 |
FreshBooks Learn more on FreshBooks' secure website | 4.5/5 Best for Freelancer-friendly features | $17/month Additional pricing tiers (per month): $30, $55, custom. | 30-day free trial or monthly discount (terms vary). | Learn more on FreshBooks' secure website |
Zoho Books Learn more on Zoho Books' secure website | 4.5/5 Best for Zoho suite integrations | $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 |
Sage 50 Accounting Learn more on Sage 50 Accounting's secure website | 3.5/5 Best for Desktop solution | $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 |
Wave Accounting | 3.5/5 Best for Free software | $0 Free (Wave makes money via paid money management products). | N/A | |
NetSuite | Best for Enterprise solution | N/A Quote-based. | N/A |
Our pick for
Overall alternative
Xero
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).
Xero allows unlimited users at every subscription tier, a valuable feature for businesses where several users may need at least limited access to the system to run reports or analyze performance. In terms of functionality and features, Xero is one of QuickBooks Online’s biggest competitors and has a more customizable dashboard that lets each user rearrange or hide panels.
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
Freelancer-friendly features
FreshBooks
Learn more
on FreshBooks' secure website
Starting at
$17/month
Additional pricing tiers (per month): $30, $55, custom.
Promotion
30-day free trial
or monthly discount (terms vary).
FreshBooks is a simple and affordable option for freelancers and very small businesses that don’t require many users and prioritize being able to operate on the go via mobile app. It’s an especially inexpensive choice for those who can work within lower-tier plans’ billable client limits, and all plans include time tracking.
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
Zoho suite integrations
Zoho Books
Learn more
on Zoho Books' secure website
Starting at
$0
Additional pricing tiers (per month): $20, $50, $70, $150, $275.
Promotion
14-day free trial
of the Premium plan.
Zoho Books packs an impressive collection of features and capabilities for an affordable price, and higher-tier plans let users automate workflows and track project profitability. It’s an especially good choice for users that already use the company’s other in-house apps.
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
Desktop solution
Sage 50 Accounting
Learn more
on Sage 50 Accounting's secure website
Starting at
$59/month
Additional pricing tiers (per month): $96.58, $160.
Promotion
Discount for the first year
(terms vary).
Sage 50 Accounting is a desktop product that has to be locally installed, but it includes features you’d find in cloud-based software, like automated bank reconciliation. This makes it a good solution for small-business owners who are hesitant to adopt an entirely cloud-based system or don’t have reliable internet access. Entrepreneurs who are newer to accounting will also appreciate having a dedicated account representative and free training modules to help them get used to the software.
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
Free software
Wave Accounting
Starting at
$0
Free (Wave makes money via paid money management products).
Promotion
N/A
Unlike some “freemium” software products, Wave doesn’t put out a bare-bones free product as bait, then load it down with costly upgrades. The free accounting software lets you add unlimited collaborators, along with unlimited bank and credit card connections. It can be a simple solution for small, service-based businesses.
Pros
- Free.
- Unlimited partners, collaborators and accountants.
- Intuitive, customizable invoicing capabilities compete with those of more robust accounting solutions.
Cons
- Lacks features that quickly growing companies need, like audit trails. There are no additional plans to increase functionality.
- Must subscribe to Wave’s 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
Enterprise solution
NetSuite
Starting at
N/A
Quote-based.
Promotion
N/A
Business owners that foresee extreme growth, like global expansion, may consider a cloud-based enterprise resource planning product like NetSuite, as opposed to accounting software intended only for small businesses. Clients can customize their plans with add-on modules and additional users.
Pros
- Can scale to accommodate larger, enterprise businesses.
- Offers an array of other software products, like CRM, HR, supply chain management, global business management and commerce software for larger companies.
- Industry-specific software solutions for a wide range of businesses, including nonprofits, advertising and digital marketing, consulting, retail and food and beverage.
Cons
- Pricing is not transparent.
- Setup fee.
Xero: Best overall QuickBooks alternative
Price:
- $15 for the Early plan.
- $42 for the Growing plan.
- $78 for the Established plan.
Why we like it: Business owners who prefer ease of use and simplicity will appreciate Xero’s minimalist design and jargon-free language. Like QuickBooks, it's widely used, which makes it easy to find accountants who support it. Unlike QuickBooks, however, Xero allows unlimited users at all plan levels — and at a lower price point. As a QuickBooks alternative, Xero offers less expensive software that competes with QuickBooks’ rich feature set. Read our full Xero Accounting review.
» MORE: Xero vs. QuickBooks Online
FreshBooks: Best for freelancer-friendly features
Price:
- $17 for the Lite plan.
- $30 for the Plus plan.
- $55 for the Premium plan.
Why we like it: With strong invoicing capabilities and an intuitive mobile app, FreshBooks is an affordable alternative for freelancers who might not need all of the features that QuickBooks offers its online customers. The software lets you log time, track mileage, snap photos of expense receipts, set up recurring invoices, send automatic payment reminders and accept payments online through FreshBooks Payments or Stripe. And unlike QuickBooks, which only lets you mark expenses as “billable” in the Online Plus plan and higher, FreshBooks lets you rebill clients for expenses in all plans. One downside: It comes with a stricter user limit. All plans, except the Select plan, include access for only one user; additional users cost $11 each per month. Read our full FreshBooks review.
» MORE: FreshBooks vs. QuickBooks Online
Wave: Best for free software
Price: $0.
Why we like it: Wave delivers on most of the basics for micro businesses and self-employed entrepreneurs without requiring expensive add-ons. It’s a solid QuickBooks alternative if you’re on a tight budget and run a small operation, but it’s not ideal for scaling your business. Still, it can be sufficient for businesses with straightforward financials, especially if your main objectives are keeping tabs on expenses, sending invoices and tracking income. Read our full Wave Accounting review.
» MORE: Wave vs. QuickBooks Online
Zoho Books: Best for Zoho suite integrations
Price:
- $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.
Why we like it: Zoho Books offers a lot of the same features as QuickBooks, like inventory management, reporting tags, invoicing and bank rules — but at a lower price. Higher-tier plans also include extra features you don’t find among all accounting software, like customizable workflow rules for email alerts and the ability to let your clients approve or comment on timesheets before adding billable hours to an invoice. If you commit to the Zoho ecosystem, you can smoothly integrate its CRM and other software with Zoho Books. If not, its third-party integrations might be limiting. Read our Zoho Books review.
Sage 50 Accounting: Best for desktop solution
Price:
- $58.92 for the Pro Accounting plan.
- $96.58 for the Premium Accounting plan.
- $160 for the Quantum Accounting plan.
Why we like it: If your business is smaller in size and you have need for only a few users to access your accounting software, then Sage 50’s desktop accounting software is an excellent alternative to QuickBooks Desktop Enterprise, which is designed — and priced — for much larger organizations. You can purchase Sage 50’s mid-level plan, Premium Accounting, for up to 3 users (with the company’s current promotion) and still come in under QuickBooks Enterprise’s lowest-tier plan. Sage 50 Accounting will give you dedicated customer support and advanced reporting, like you’d get with the least expensive QuickBooks Desktop Enterprise plan, in addition to some inventory tracking and management capabilities plus invoice tracking and additional features. Like QuickBooks, Sage 50 Accounting offers payroll as an add-on. Read our full Sage 50 Accounting review.
» MORE: Sage 50 vs. QuickBooks Online
NetSuite: Best for enterprise solution
Price: Quote-based.
Why we like it: If you run a large business or anticipate rapid growth of your business, then you may be interested in enterprise-level accounting software. While QuickBooks’ enterprise solution is locally installed on a desktop (unless you pay extra for cloud access), NetSuite’s solution is cloud-based from the start. That means you can get real-time access to your financial data anytime, anywhere. In addition to its core accounting features, NetSuite also offers CRM and HR solutions (including payroll) so you can centralize all of your software under one umbrella.
» MORE: NetSuite vs. QuickBooks Online
QuickBooks is a great option for growing small businesses that work frequently with an accountant or bookkeeper and that could benefit from detailed transaction tracking and in-depth reporting. With robust reporting, more than 750 integrations, scalable plans and customer support that’s available seven days a week, QuickBooks helps you keep a finger on the pulse of each area of your business. If you’re considering one of QuickBooks’ small-business products, the Plus plan gives you access to a range of useful features like inventory tracking, project profitability tools and billable expenses.
Just because QuickBooks comes with a lot of benefits, though, doesn’t mean it’s the right choice for every business. Here are some reasons you may want to explore QuickBooks alternatives:
- The cost of QuickBooks can be high.
- Simple Start and Essentials plans don’t let you mark expenses as billable.
- Each plan limits how many users you can add.
And if you're a solopreneur who plans to keep your business very small, you can find simpler, more affordable options in our list of the best accounting software for freelancers and the self-employed.
The best QuickBooks alternative for your business depends on your budget, the type of business you run and which features you need. In other words, the right fit will vary from business to business.
In terms of QuickBooks’ biggest competitors, Xero is a strong contender. It offers a lot of the same key features as QuickBooks at a lower price point and is growing in popularity in the U.S. Your accountant or bookkeeper will almost certainly be familiar with QuickBooks, but they might also know the ins and outs of Xero.
One of the best free accounting software options is Wave Accounting. It’s not as scalable as QuickBooks, but it can accommodate solopreneurs and, in some cases, businesses with a handful of employees.
Wave has income and expense tracking, invoicing, basic reports and bank feeds, and it lets you add as many collaborators as you need for free. It doesn’t, however, integrate with point-of-sale systems or third-party apps for payroll.
Former NerdWallet writer Amrita Jayakumar contributed to this article.
Last updated on November 16, 2023
Methodology
NerdWallet’s accounting software ratings favor products that are easy to use, reasonably priced, have a robust feature set and can grow with your business. Ratings are based on weighted averages of scores in several categories, including range of features, cost, ease of use, accounting standards compliance, scalability, ease of sharing with accountants, integrations, customer support, pricing transparency and availability of a free trial period. Learn more about how we rate small-business accounting software.
These ratings are meant to provide clarity in the decision-making process, but what’s best for your business will depend on its size, growth trajectory and which features you need most. We encourage you to research and compare multiple accounting software products before choosing one.
NerdWallet does not receive compensation for any reviews. Read our editorial guidelines.
Frequently Asked Questions
Xero is one of QuickBooks’ biggest competitors and offers many similar features, including a wide range of reports, transaction tracking capabilities and integration options. If you want to get a better idea of what Xero’s user interface is like, you can try out the software free for 30 days.
QuickBooks does not have a free version, but it does offer free 30-day trials if you want to test it out before committing. Free QuickBooks alternatives include Wave and Zoho Books’ entry level plan.
QuickBooks Online offers promotions for new customers who are willing to skip the free trial and jump straight into a monthly subscription. Usually, it’s 50% off for the first three months, which can save you a total of $45 to $300 the first year, depending on the plan. QuickBooks sometimes offers larger discounts around particular holidays, like Memorial Day.