Top 7 Best Small Business Accounting Software Options to Keep Your Books in Check!
by Piyasa Mukhopadhyay Small Business 14 July 2025
Running a small business can be both exciting and challenging. But bookkeeping? Oh! Don’t even get me started with it!
Bookkeeping is a whole new full-time job in itself. You have to chase the invoices, calculate the taxes, and even manage the accounting—juggling all these while running a small business can be troublesome.
So, you just need the right tool, and that’d be enough for you to make you feel like a yafinance wizard! You will find yourself handling numbers like a pro.
You just have to look for the best small business accounting software; a free version would do the job as well. However, I suggest that you look for a solution that even includes payroll.
Wait! Before you get started with your immense research work, read this article! I have rounded up the top 7 small business software accounting software, which can be perfect for entrepreneurs, freelancers, and small teams.
Top 7 Small Business Accounting Software Picks for 2025
When you are choosing a small business accounting software, one thing you have to understand is that it isn’t always about saving time! The right kind of software can also help you save money and make better business decisions.
Here’s what the data are saying:
- According to the Software Advice survey in 2024, 68% of small business owners say that the small business accounting software has been helpful for them to manage their cash flow.
- Around 54% report talks about the financial accuracy right after the implementation.
Don’t worry! You don’t have to feel overwhelmed with all these options available online. To help you out, we’ve curated this list of the best small business accounting software in 2025.
We will cover everything from free tools to premium solutions with payroll integration. So, let’s dive in!
1. QuickBooks Online – Best Overall
QuickBooks Online is often the first name that comes to mind when we talk about the best small business accounting software. It’s packed with features and extremely user-friendly.
Features:
- Customizable invoices
- Expense tracking
- Sales and tax reporting
- Integration with 650+ business apps
- Automated payroll (on higher-tier plans)
Why it’s great:
QuickBooks Online is ideal for businesses that want an all-in-one solution. It also offers small business accounting software with payroll, which means you can run payroll directly from the platform—no need for a separate tool.
Pricing:
Starts at $30/month (Simple Start). Payroll begins at an additional $45/month + $5 per employee.
2. Wave – Best Free Accounting Software
If you’re on a tight budget (and who isn’t when you’re starting out?), Wave is one of the top small business accounting software free options available today.
Features:
- Unlimited invoicing and expense tracking
- Receipt scanning via a mobile app
- Basic financial reports
- Free bank connection
Why it’s great:
Wave offers genuinely free accounting tools, without hidden costs. You only pay for payroll and payment processing features. If you’re a solopreneur or a very small team, this is a great pick.
Pricing:
$0/ 0/ 0/month for accounting features. Payroll starts at $20/month + $6 per active employee.
3. FreshBooks – Best for Freelancers and Service-Based Businesses
FreshBooks makes accounting feel a little less like math class and more like managing your business. It’s one of the most intuitive tools on the market.
Features:
- Time tracking and invoicing
- Expense categorization
- Estimates and proposals
- Project tracking
Why it’s great:
Its simple UI and robust mobile app make FreshBooks ideal for service-based businesses. It also integrates smoothly with payment platforms like Stripe and PayPal.
Pricing:
Starts at $19/month. Add-ons like payroll and advanced payments are extra.
4. Zoho Books – Best for Automation and Integration
Are you looking for something that gives you more control over automation? Zoho Books is part of the Zoho suite and is perfect for businesses that already use Zoho CRM or Zoho Inventory.
Features:
- Smart automation for recurring transactions
- Online payments and banking
- Tax compliance tools
- Integrates with over 50 Zoho apps
Why it’s great:
Zoho Books combines affordability with powerful features, making it a solid choice for growing businesses.
It’s also great if you need small business accounting software with payroll, as you can bundle Zoho Payroll into the platform.
Pricing:
Starts at $15/month. Zoho Payroll is an add-on starting at $25/month.
5. Xero – Best for Collaborative Teams
Xero is loved by accountants and small business owners alike. It’s clean, efficient, and built for collaboration.
Features:
- Inventory management
- Bank reconciliation
- Financial reporting
- Unlimited users on all plans
Why it’s great:
One of the standout features is that you can add unlimited users, even on the basic plan. If you work with a team or an external accountant, Xero is one of the best small business accounting software solutions.
Pricing:
Starts at $15/month (Early Plan)
6. Kashoo – Best for Simplicity and Ease of Use
If you feel overwhelmed by feature-rich software, Kashoo is a simple and straightforward alternative.
Features:
- One-click invoicing
- Automatic expense tracking
- Real-time financial reporting
Why it’s great:
Kashoo is perfect for small business owners who just want to get in, input data, and move on. No fuss, no frills. It also has a clean mobile experience.
Pricing:
Starts at $216/year (which comes down to $18/month)
7. Patriot – Best for Affordable Payroll Integration
Patriot is an underrated gem when it comes to small business accounting software with payroll. Their payroll features are among the best in the industry, and the accounting side holds up well too.
Features:
- General ledger and bank reconciliation
- Invoicing and payments
- Payroll (full-service or self-service)
- Free setup and U.S.-based support
Why it’s great:
Patriot is ideal for businesses with employees because it offers one of the most affordable full-service payroll add-ons around. You get solid accounting plus robust payroll without breaking the bank.
Pricing:
Accounting: Starts at $20/month. Payroll starts at $17/month + $4 per employee
How to Choose the Right Small Business Accounting Software
There’s no one-size-fits-all when it comes to accounting tools. Here’s how to find the perfect fit for your business:
1. Budget
So, if you are just getting started and trying to cut costs, you should go for a small business accounting software like Wave.
This is a free version. However, you will get all sorts of features that can help reduce the financial pressure.
2. Employees
Now, you definitely have a team to pay? What can you do in that case? Well, small business accounting software, QuickBooks or Patriot, can help you manage your payroll.
3. Ease of Use
It is absolutely fine if accounting is not your string suit! You can choose platforms like Kashoo or FreshBooks that come with a lean and simple interface.
These platforms would add more value to your overall learning curve,
4. Growth Potential
What about the growth? Are you planning to scale your business? In that case, you must go for tools like Zoho Books and Xero.
These platforms support more users, their automations, and further provide you with advanced features to grow.
5. Integrations
Lastly, you have to ensure that your accounting software is playing nicely with the existing tools. This can be your payment gateways, CRMs, or even commerce platforms.
Small business accounting software platforms like QuickBooks, Zoho Books, and Xero can offer you the best integration options.
6. Mobile Access
Now, it is much easier for you to run your business while you are on the go. You just need to choose a software that also offers a solid mobile application.
FreshBooks, Wave, and QuickBooks can help you invoice your clients, view reports, and track all expenses right from your phone.
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