If you’re reading this, you may already know what business bookkeeping software is. If not, no worries. If you ever wondered why some businesses rely on technology more than others, the answer is simple—efficiency. More than ever before, more business owners are propelled to go paperless to keep up with their growth and more so to increase responsibility and reliability of their records.
Bookkeeping Software For Small Business Free – A business will require finance in one form or another and managing it effectively is the key to ensuring that you and your employees receive their money in a timely manner and that your accounts remain accurate and up-to-date. No one wants to be in a position where they are unable to pay their staff on time, or not know how much cash they have in hand.
In this Article I will explain about the different cloud-based bookkeeping software that is available online that can help ease your workload if you’re a small business owner. Now everyone needs a little help every once in a while and this is why more and more small business owners are heading online to find some online bookkeeping software to make their lives a little easier. This article will give you information on some of the top alternatives for accounting as well as helped me with your decision on which one might be right for you. So let’s jump right into it!
Accounting software can be your secret weapon when it comes to managing your small business finances. Think of the software as your assistant, helping you track cash flow, revenue, and expenses. But if you’re budget-conscious, you probably don’t want to overspend on software loaded with bells and whistles you’ll never use.
The good news is that several decent accounting programs out there are free for the taking. It’s just a matter of choosing the most suitable one for your small business’s financial needs.
Top free accounting software for small business owners
If you decide to take on your accounting duties, there are several suitable free software options to choose from. We’ve done the research for you, and here are our top seven free accounting software packages.
Read on for our breakdown of the best free accounting software for your small business finances.
Note: All software options are compatible with Windows and Mac computers. Several are also cloud-based and compatible with mobile devices where indicated in the description.
GnuCash: no-frills but plenty of features
GnuCash is an open-source accounting program that offers many features to help you manage your small business accounting. Volunteer developers update the software regularly, which means the program is always kept up-to-date.
GnuCash pros
GnuCash’s strength is that it contains advanced features such as customer and vendor tracking, job assignments, invoicing, bill pay, sales tax management, payroll management, and budget creation and management.
The checkbook-style register is an easy-to-use interface for entering all of your checking and credit card transactions. You can also enter income, stock, and currency transactions.
You can split transactions, mark transactions as canceled or reconciled, autofill entered transactions, and display multiple accounts in a single register window.
GnuCash cons
Since GnuCash is not cloud-based and only locally installed on a desktop computer, access to your financial data is limited to only one machine and one user. While GnuCash offers a mobile app, it is only for Android-based devices and requires you to manually import the data, which can be a pretty tedious process.
The interface of the program is also a bit dated and requires some time to get used to. Many users report problems with manually importing their transactions.
GnuCash’s customer support is through a public email-based discussion board, so it may take a while before you get a response to your question. Their chat support uses an obsolete IRC channel system, which can be tedious to set up.
Wave Accounting: powerful and cloud-based for anywhere, anytime access
Wave Accounting checks all the boxes for many powerful features that are well-suited for your small business.
Wave Accounting pros
One of Wave’s most powerful features is that it’s cloud-based, which means real-time access and instant updates from anywhere. Your information is stored and backed up on highly secured servers.
Wave also includes unlimited and customizable income and expense tracking, receipt scanning, invoicing, and a smart dashboard for easy viewing.
Wave offers unlimited bank and credit card account connections, and there’s no charge if you want guests to sign in and collaborate on the financials with you. If you need someone else, like your accountant or another member of your financial team, to log in and check the numbers, relax: there’s no limit to the number of users you can add.
Wave has a robust Help Center for self-service support, and they also provide email support for all invoicing and accounting questions related to their free features.
Wave Accounting cons
While Wave allows you to track accounts receivable (aka any money your customers owe you), it doesn’t allow you to track accounts payable (meaning the money you owe your suppliers or creditors). Wave also does not offer inventory management.
And while all of Wave’s basic features are free, there is a per-transaction credit card processing fee of 2.9% plus .30 for Visa, Mastercard, and Discover and 3.4% plus .30 for American Express.
Wave’s payroll application is available at $20 or $35 a month, depending on which state your business is located in.
Live chat support is only available for paid features. If you’d like to speak to an expert about your bookkeeping questions, you’ll have to purchase it from their Wave Advisors.
ZipBooks
Pros:
- Ability to send unlimited invoices, manage unlimited vendors and accept digital payments.
- Task, time and project tracking.
- Can work with third-party online payment platforms.
Cons:
- Payments and payroll integrations cost extra.
- Overall lack of integrations with other platforms.
- Lack of advanced features.
Why we like it:
ZipBooks provides a great set of features at a price that works for small-scale businesses or companies in their early stages that don’t necessarily need much in order to manage their finances. ZipBooks’ Starter plan is free, with two higher-level tiers that include more sophisticated features for a flat monthly fee, as well as a custom-priced Accountant plan. The ZipBooks Starter plan includes unlimited and customizable invoices, estimates and price quotes. You’ll also get a virtual dashboard to keep track of your business’s outstanding and paid invoices, as well as your overall finances. Plus, if you like ZipBooks Starter, you can always upgrade to a more feature-laden plan as your business grows.
There are a few downsides to ZipBooks, however. You’re limited to one bank account connection, unlike other free accounting software platforms that are more generous. If you want to use ZipBooks’ integration with Square and PayPal, you’ll have to pay credit card processing fees, just as you would with Wave.
Akaunting
Pros:
- Open-source software means you can customize however you want.
- Extensive library of integrations.
- Robust user support via online forums.
Cons:
- Design is not as intuitive as other platforms.
- Advanced features cost extra.
- Not as ready-to-use as other options.
Why we like it:
Akaunting is an open-source accounting platform that has the capability for customization, primarily through its library of add-ons. The primary features are available right out of the box: You can invoice, track receipts and take care of the everyday needs of your company’s finances. Plus, with a robust library of integrations, you can build your own Akaunting setup with a degree of customization other free platforms don’t provide. However, you or someone on your team will likely need some coding knowledge to use this software to its full potential.
Zoho Books
Pros:
- Free version is feature-packed.
- Easy to upgrade to paid versions as your business grows.
- Easy to use.
Cons:
- Free plan available only for businesses with annual revenue of less than $50,000.
- Limits on the number of users, contacts and workflows for free plan.
- Free plan provides email support only. (Paid plans include email, voice and chat support.)
Why we like it:
Zoho Books provides an easy way to manage your business’s books from anywhere. This software allows you to handle a variety of accounting tasks, including creating and sending customized invoices and estimates, plus reminder emails for overdue invoices and simple conversion from estimate to invoice. As long as your business’s annual revenue is less than $50,000, you can use the free version for as long as it makes sense for your business. And if you use Zoho’s other business apps, you can integrate them all seamlessly. Outside of those, though, you are somewhat limited in terms of third-party integrations.
NerdWallet’s full review of Zoho Books
How to compare accounting software options for small businesses
Even though you’re not investing money when picking a free accounting software platform, you are investing your time. Plus, changing apps may mean inputting your financial data each time. Consider these questions when deciding which accounting software is best for your business.
How accessible is it?
You won’t always be in front of a computer, which means that on-the-go accessibility is a must. Look for platforms that have robust mobile sites or apps, when possible, to help you manage your money from wherever you are.
Can it scale?
Your bookkeeping needs may be modest today, but they may not stay that way forever. That’s why it’s important to pick a platform that accommodates your changing needs.
Is it compatible with your bookkeeper or accountant’s software?
Your financial professionals need to be able to access your books easily and with minimal risk of error. Check with your bookkeeper or accountant before choosing software.
Does it include must-have features?
If you have specific needs for your business’s financial management, you may find that some of these free options don’t have everything you’re looking for. That means you’ll need to consider add-ons or upgraded, paid versions of these apps.
Is there a paid option that better fits your needs?
Free accounting tools are great when they cover your requirements. If a tool doesn’t make it easy for you to manage your money, however, then it may save you time and headaches to go with a paid option instead. You can usually opt for free trials before committing to a platform, too.
Conclusions
Good financial management plays a big role in the success of a small business, and it starts with having a solid bookkeeping system. If you’re like me and like to manage the finances for your business yourself, then you’ve probably wondered “Is there professional bookkeeping software that I can use without breaking the bank?”