Are you looking for free accounting software for small businesses with inventory management? There are hundreds of free accounting programs out there, but which ones can help you keep track of your inventory? And which ones offer the right capabilities for a small business?
Free accounting software for small businesses with inventory has become essential to the success of the modern business. Inventory software is a vital part of any small business. It provides the foundation you need to manage and keep track of inventory, accounts receivable, accounts payable, and everything else you need to run your business. With all the facets and features available today, it can sometimes be difficult to determine which software is right for your business.
If you are one of the business owners who are stuck with managing their inventory via an excel sheet, it is surely time to think outside the box and introduce accounting business software that can help you manage your inventory effectively.
Is There Any Free Accounting Software for Small Businesses that includes Inventory?
Totally free accounting software with inventory might seem like a myth-in reality, this is because, many software options that claim to be free end up charging you in some way, whether you need to upgrade for a key feature or have to pay for installation.
When choosing billing software, it’s also important to consider how you will get paid. It wasn’t uncommon for small businesses to accept only cash or checks for many years. Those days are long gone. Especially for small businesses, credit cards are considered a must-have payment option. Credit card acceptance is a feature of many billing platforms. It is always required to pay a fee for this, which can be a percentage of the transaction or a per-transaction fee. It’s important to read this fine print carefully since the charge may be on top of the percentage fee charged by the actual credit card processor. You need to consider whether this kind of charge is worth it. It is often well worth the charge to be able to access the payment almost immediately, which is deductible from revenue as a business expense in any case.
When searching for free accounting software with inventory for your small business, be sure to know exactly what your options might cost. We have compiled the best free accounting software with inventory that is available. Of course, most of these options will include versions and add-ons that will cost you, but their most basic versions are completely free. With that said, let’s dive in.
List of Free Accounting Software for Small Businesses with Inventory
Here is a list of free accounting software that you can try if you are a small business owner looking for new accounting software with an inventory.
ZipBooks
Easily track time and invoices with the best free accounting software.
With ZipBooks, you have access to powerful tools and you’re equipped with the intelligence needed to take your business to the next level.ZipBooks lets you create and send invoices and estimates in a matter of seconds. You can also accept and process credit card payments using ZipBooks. Automate your billing with recurring auto bills and seamlessly integrate your books with your billing.
It is a cloud-based accounting and payment service tailored to accountants and small businesses. The service allows users to customize invoices with their own messages, themes, and logos. Furthermore, this software supports account receivables and bank reconciliations for free. With the help of bank integration, the system automatically imports transactions and generates reports of company expenses in real-time.
ZipBooks’ Starter plan is free. This plan includes payroll integration, reputation management, and bookkeeping as add-ons.
Pricing
There is a free starter plan with ZipBooks, and the Smarter Plan ($15 monthly) and Sophisticated Plan ($35 monthly) are the only monthly payment plans. ZipBooks also offers custom pricing options for accountants who might prefer this.
Advantages
- Simple to use
- A free plan is available
- Customer support is good
- Pricing options are more affordable than most of its competitors
- Time tracking and project management features are good
Cons
The focus is on the United StatesFocused on mobile devices such as iPhones and iPads The platform helps you increase your potential for new and sustained revenue, guides you towards optimal performance in all business areas and cuts down on late payment with features like the ZipBooks Score, Invoice Quality Score, and smart recommendations.
Wave Accounting
Overall, the best free accounting software.
Wave Accounting software is a free, cloud-based accounting program that is designed to be particularly useful for small businesses. Using this software, you have access to your data from anywhere, work on all your different businesses with a single login, and add unlimited collaborators.
Wave requires two additional accounts in order to handle inventory accounting: an Inventory asset account and a Cost of Goods Sold expense account. Here’s how you can create your new accounts:
- On the left-hand menu bar, head to Accounting > Chart of Accounts
- Under the Asset account type, click on the Inventory account to add it.
- On the next line enter the name of this new account. Click Save to create a new account.
- Under the Expense account type, click on the Cost of Goods account. On the next line enter the name of this new account.
- Click Save to create a new account.
- Now you have two distinct accounts.
There are a couple of distinct target markets for Wave: small businesses with less than ten employees, solo entrepreneurs, and freelancers.
Wave Accounting enables you to manage all of your accounting, invoicing, and bookkeeping functions all from one place. If you are a small business owner looking for a free bookkeeping program, then Wave Accounting is what you need. In addition to being user-friendly for people with no prior accounting experience, it is also fully functional.
If you are looking for double-entry accounting software, Wave Accounting provides access to an excellent solution that provides an unlimited number of bank and credit card connections, unlimited invoicing, unlimited income and expense tracking, as well as many other features that are not usually found in paid accounting software.
Pricing
Wave Accounting does not charge monthly fees, setup fees, or other hidden fees.
Pros
- Free of charge
- Easily accessible on all devices
- Simple to use
- Collaboration with unlimited users
Cons
- Live Chat is not available
- At this time no plans have been made for increased functionality
- Not suitable for large to medium businesses
- As opposed to some other free accounting software options
Wave Accounting can be fully functional without requiring you to purchase expensive add-ons. If you apply for Wave Payment, you will be able to accept online payments from your customers and get automatic reconciliation of those payments.
Adding to and managing your customers’ profiles is another great feature, as well as sending payment reminders, receipts, and follow-up emails to your customers. You can also track payments and communicate with your customers from any device with Wave. There are more than 200 countries that use Wave, and Wave’s ecosystem consists of over 4 million users.
Akaunting
Free Accounting Software for Tax Management.
Small business owners will love this free and open-source accounting software that has a unique spelling of the word accounting in its name and offers a number of useful features. The software allows small business owners to save money that they would otherwise spend on hiring an accountant by enabling them to use the program instead.
One of the most interesting features of this software is its support for a wide range of languages. In case English isn’t your first language, you have the option of switching to one of several other available languages.
Besides its multi-language capabilities, this software platform allows you to do quite a lot of things. To start with, you can manage and track expenses with Akaunting. The system lets you create journals. Akaunting also lets you manage and plan your taxes.
It is particularly useful for tax management because you can make a list of all taxes you must pay. If you want to save time, you can connect each tax bill to the transaction or product it is associated with. By doing so, you can keep track of every penny you spend on taxes.
Invoicing is also handled by Akaunting. It will generate and send invoices to clients automatically after every project while making the process of collecting payments from clients simple and easy.
In addition, financial records can be accessed from any device with internet access.
Pricing
Akaunting is completely free.
Pros
- Free to use
- Simple to use
- Available in multiple languages
- A great way for small businesses to manage their finances
Cons
- It requires some learning
- It supports only single-entry accounting you need to pay for double-entry accounting
SlickPie
Managing multiple businesses? Need to manage several small businesses, including Etsy shops, nonprofits, or eateries? With SlickPie’s free plan, you can do unlimited bank reconciliations, expense tracking, estimates, and invoices for up to 10 companies.
SlickPie is a good choice if you want to separate the finances of each company because it offers the following free features for up to ten companies:
- Tracking of sales tax, expenses, and income
- Creating an automatic late payment reminder and recurring invoice
- Reconciling bank transactions
- Processing online payments (using PayPal, Stripe, or credit cards only)
- Creating quotes, estimates, and invoices
The dashboard of SlickPie isn’t as attractive as Wave’s, but it’s pretty legible and user-friendly, especially when it comes to free software. While SlickPie doesn’t offer inventory tracking upfront, it does offer a basic item tracker that lets you enter sales tax, one of the most important things that sellers need to keep track of.
With the exception of Wave, SlickPie offers email-based customer service, making it easier to get help. The company also offers a variety of ways to contact customer support. get help. SlickPie’s invoicing feature offers little customization, so if professional invoices are high on your list of needs, ZipBooks or Wave might be better options.
NCH Software (Express Accounts)
Business owners who want to stay on top of their books will find Express Accounts a perfect fit with 20 easy-to-generate financial statements.
NCH Software, which owns and operates Express Accounts, has a very dated website. Despite the fact that multiple users can log on to your account, the software requires an initial download, making it less flexible than cloud-based providers. Although Express Accounts has an old-fashioned look, it can be a great bookkeeping tool for those who don’t mind the dated look.
First of all, it offers 20 financial reports (much more than ZipBooks’ two) that help you understand your financial standing. You can also track your payables and receivables easily with Express Accounts. The software even allows you to print checks to streamline bill payments.
In comparison to our other top five picks, Express Accounts’ customer service is much less robust. In case of a problem with your download, you can email technical support, but that’s the extent of your support. In contrast, most customers only use Express Accounts to track their business’s figures – so you won’t need the kind of support you would with a more complex accounting or payroll program.
QuickBooks
The customizable and comprehensive features of QuickBooks make it a great choice for most types of businesses. Due to its quote and estimate features, it is perfect for plumbers and HVAC contractors. Companies with employees who travel a lot, such as real estate agents who visit houses, can benefit from GPS mileage trackers. The secure invoicing via text feature is also helpful for freelancers who need to be paid on time. If you’re looking for a portable, easy-to-use tool that does it all, look no further than QuickBooks Online’s mobile app.
- Send financial reports to other stakeholders and access over 50 common financial reports.
- Text, email, or messaging apps can be used to send invoices with attached receipts, with the added security of an encrypted link.
- Keep track of expenses automatically.
- Use GPS to track mileage automatically.
- You can create, accept, and sign estimates while you’re out of the office.
- Receive payments via your preferred payment gateway.
- Have your bank automatically set up to receive your QuickBooks payments.
There are an array of things you can do with QuickBooks Online, which is a big deal, considering many apps have little to no heft when compared to desktop versions.
FreshBooks
Is it a challenge for you to manage project time, manage expenses, and send accurate invoices to clients on the go? Does accurate, professional invoicing play a crucial role in your freelancing business? Billing clients on the go is a breeze with FreshBooks’ fantastic invoicing app.
You can’t recommend FreshBooks’ cloud-based accounting software highly enough. You can bill your clients the right amount per project with FreshBooks’ billing software for just $15 a month. It syncs easily with its time tracking features, so you can bill your clients the right amount. FreshBooks allows you to generate estimates on the app, send them along to clients for approval, and turn them into invoices once the project is completed.
Both Apple and Google users seem to be able to use the app smoothly. Additionally, it scores extremely well for both platforms, even with fewer users than QuickBooks. In general, users complain about the app’s lack of features, but FreshBooks is so full-featured that fewer mobile features still mean a lot of mobile features. Also, FreshBooks’ customer service team is very active on both review sites: if you have a problem, a customer service rep will usually forward your complaint to a developer within a few hours.
Xero:
Xero offers unlimited app users without incurring additional costs, so if collaboration is your game, pick Xero.
Accountant Xero makes accounting simple and affordable. The accounting plans offered by Xero are pretty comparable to QuickBooks’-but at a much more reasonable price of $11. Here are some of the key features of Xero’s app:
- Reconciliation of bank accounts
- Billing
- Management of employee time
Xero is the only accounting application that lets you add unlimited users, which is unprecedented in the world of accounting. Xero is an ideal solution for midsize to large businesses for whom paying an additional $4 to $6 per user per month adds up fast.
Xero’s apps aren’t quite as solid as QuickBooks’; Xero has fewer app users, but on the whole, they report more bugs. Xero’s accounting app isn’t as good as QuickBooks’, but it’s clearly making an effort to improve: its user base has grown over the past few months and its Apple score has gone from 3.5 stars to nearly 5 stars.5 If it keeps improving, who knows-Xero might one day surpass QuickBooks.
Inventory and Invoice Software for Small Business
Many business owners today are finding that operating numerous aspects of the business by themselves is taking a toll on their time. This is where small business software programs can help. Small business software can make running a business easier for many people. While there are several types of small business software, one of the most common types is inventory and invoice software for small businesses, and here are some that we recommend!
Zoho Invoice
Zoho Invoice lets you create personalized invoices with professional templates for free. It’s possible to send invoices to an unlimited number of customers, and Zoho does have an invoice limit, but it’s 1,000 invoices per year, which is more than enough for most freelancers, solopreneurs, and small businesses. (If you need more than 1,000 invoices, you can contact Zoho directly to discuss a custom plan.)
Although Zoho Invoice isn’t a total accounting solution, it includes additional features that compare to and even exceed those included in other standard accounting software, such as:
- Integrated project management and time tracking
- Tracking expenses, including receipt scanning
- Support for multiple currencies and payment gateways
- Automatic estimate approvals and customer self-service portals
The disadvantage of Zoho Invoice is that it only integrates with Zoho Books and not with other accounting solutions like FreshBooks or Xero. In my opinion, Zoho Books is an excellent (and affordable) accounting solution-but with no integrated payroll solution, Zoho’s accounting and invoicing software is best suited to freelancers and solopreneurs without employees.
Square Invoice
The Square Invoice app lets you charge clients and accept payments from anywhere, anytime. It is not necessary to have an unlimited number of clients or invoices. Once a client approves the estimate, you can instantly convert it into an invoice. Like Square’s payroll app, Square Invoice is geared toward contractors. You can fill out free contract templates and send them along with estimates, invoices, and bills.
Square Invoice isn’t just for freelancers and contractors. In terms of billing, the product integrates seamlessly with Square Point of Sale—a preferred point-of-sale and payroll solution for restaurant owners, food truck operators, and retailers. You’re already using Square’s mobile credit card reader, so Square Invoices just makes sense if your business fits into one of those categories. Square also offers a $20-a-month Plus plan for businesses with hefty invoicing needs if its free invoicing plan isn’t enough.)
Square Invoice recently added the ability to accept ACH transactions, bringing it on par with other billing and invoicing products. It still lags behind, however, in some key areas such as multicurrency support (which it does not offer) and project tracking (which many business owners need to correctly invoice their clients).
Conclusion
A small business cannot function without inventory software. Your business needs it to manage and keep track of inventory, accounts receivable, accounts payable, and everything else.
We found that many of the billing systems we reviewed let you enter and record the initial sales transaction, which is a good place to start. Accounting terms call this “Sales Order Entry” or “Order Entry.” You should also examine how Order Entry fits into your business, even if you’re just sending out a bill and receiving payment.
- We recommend starting with Zoho Invoice if you have no idea where to go. With its accounting features, it provides freelancers with an easy way to track finances without additional work. You can send up to 1,000 invoices a year. The Zoho Invoice software is also free, so if you don’t like it, you can move on to another option on our list.
- The high-quality invoices in FreshBooks complement its comprehensive accounting features, so if Zoho Invoice isn’t the right fit for you, it might be.
- It’s hard to beat Square Invoice, which is free and syncs easily with other Square products when it comes to invoicing and accepting payments on the go.
Invoice and billing software can help you keep track of your cash flow, bill clients precisely what they’re worth, and go home happy at the end of the day. The online invoicing solutions above should assist you in checking off all items on your small-business to-do list.