Both individuals and business owners enter their income and expenses into accounting software to keep track of their finances. The best accounting software for small businesses need it the most because it is more effective and produces fewer errors than manual processing. With features like automation, it can also save time, and the owner has a place to keep important papers and receipts that can be accessed whenever needed. 64.4% of small business owners use accounting software, which is encouraging given that 60% of them admit to lacking financial or accounting knowledge.
Read on to find out which accounting software is best for your small business if accounting isn’t your strong suit or even if it is and you want to save time. The best accounting software for small businesses ought to be simple to use, have robust reporting and invoicing features, and at the very least integrate with your payroll program and/or point-of-sale system. Below we have mentioned some of the best accounting software for small businesses.
7 Best Accounting Software for Small Businesses
QuickBooks Online
One of the best accounting software for small businesses solutions used by small businesses and their bookkeeping and tax professionals is Intuit’s QuickBooks Online. The software is accessible via a web browser or a mobile app and is cloud-based. The four choices for monthly subscription plans following the 30-day free trial are: Simple Start. $50 for Essentials, $80 for Plus, and $180 for Advanced. For the first few months, a sizable discount is frequently provided.
The software’s monthly subscription can be increased as a company expands, and the mobile app’s numerous customization options can be used to accept payments, review reports, scan receipts, and track business mileage. QuickBooks Payroll fully integrates with QuickBooks Online for companies looking for a payroll solution.
MarginEdge
MarginEdge offers a suite of features made especially for food service businesses, making it the best accounting software for restaurants. You can track your margins in real time and automatically import sales data thanks to its integration with well-known point-of-sale (POS) systems. This is the best accounting software for small businesses.
The software also generates thorough reports on food consumption, which can assist you in minimising waste and boosting profitability. You must pay MarginEdge $330 per month, per location, to use all of its services. Although there is no free trial available, you can still try the product out.
Xero
Every subscription tier of Xero supports an unlimited number of users, which is a useful feature for businesses where multiple users may require at least restricted access to the system to run reports or analyse performance.
One of the biggest competitors to QuickBooks Online in terms of functionality and features is Xero, which has a more adaptable dashboard that enables each user to rearrange or hide panels. This is one of the best accounting software for small businesses.
FreshBooks
FreshBooks, a Canadian business, was established in Toronto to serve the accounting requirements of small businesses. It makes use of iPhone, Android, and iPad apps to access cloud-based accounting and invoice software. It is our pick for the best accounting software for small businesses because it is simple to use for business owners with little to no accounting experience, provides a wealth of features and practical functions, is reasonably priced, and is available whenever and wherever you need it.
Recurring bills that can be customised with due dates and discounts. Recurring payments, auto bills, and bank integration for deposits. Integrations of tax preparation tools, estimates, deductions, and filing software. easily integrates with additional products, such as Gusto and Google Workspace.
Wave
The Toronto-based company Wave was established in 2010. The business, which employs more than 250 people, was acquired by H&R Block in 2019. This free software includes all of the essential accounting features required by the best accounting software for small businesses, including income and expense tracking, financial reporting, invoicing, and receipt scanning. You can access these features online or through the mobile app.
Payroll and customer payment processing are premium services that have an additional cost; however, all bookkeeping, invoicing, and reporting functions are offered without charge. The payment gateway is how Wave generates revenue. Wave charges 2.9% plus 60 per transaction for Visa, Mastercard, and Discover and 3.4% plus 60 per transaction for American Express to process a customer’s payment. These costs are marginally more than those for other accounting software.
Zoho Books
If you enjoy Zoho apps, you’ll enjoy Zoho Books as well. One of the best accounting software for small businesses available today. Send invoices, reconcile accounts, keep track of expenses, and create reports Zoho Books can handle it all. The integrations of Zoho Books are its strong suit. You can integrate Zoho Books with your bank account, payment processor, e-commerce platform, and more. This provides you with a current picture of your finances.
Advanced features like project accounting and time tracking are also available in the software. You can subscribe to the Zoho Books Free plan if your annual revenue is less than $50,000. You can manage clients and invoices, make recurring invoices, import bank and credit card statements, track expenses and mileage, and use the one user or accountant included with it.
Sage Accounting
The best accounting software for small businesses with up to 10 employees, Sage Accounting, also known as Sage Business Cloud Accounting, offers two reasonably priced plans that cover the essentials. Additionally, it has some third-party integrations and audit trails, in contrast to Wave Accounting, another budget software product. Additionally, the more expensive $25/month plan allows you to forecast cash flow and supports unlimited users. If you like this app you can get it from official website.
Conclusion
We examined a number of variables to determine the best accounting software for small businesses. We started by thinking about the features each piece of software provides and how they can help small businesses. The cost of each piece of software was then examined to determine which was most reasonable for small businesses. Finally, we took into account how user-friendly and helpful each software was. To make sure its marketing claims correspond with actual customer experiences, we also looked at real customer reviews.
