10 Best Accounting Software for Small Business | 2025
Therefore, Accounting Software for Small Business comes in handy. It eases bookkeeping, tax calculation, and provides you with an obvious picture of the financial condition of your business. A recent survey indicates that over 64 percent of small businesses have adopted the use of Accounting Software used by Small Business as a way of curtailing manual labor and eliminating accounting errors.
Therefore, accounting platforms comes in handy. It eases bookkeeping, tax calculation, and provides you with an obvious picture of the financial condition of your business. A recent survey indicates that over 64 percent of small businesses have adopted the use of accounting tool as a way of curtailing manual labor and eliminating accounting errors.
This blog will discuss some of the top accounting software used by small businesses, freelancers, and startups. You will have a clear picture of their features, price, and even the kind of user they are most ideal for.
Why Small Businesses Need Accounting Software
All small business owners have a number of roles to fulfill, such as marketing, customer service, and financing. In the absence of efficient accounting, the deductions may be missed, a tax may be calculated inaccurately, and spending can be forgotten. And this is why accounting software is necessary:
- Saves Time/ Errors: Automates invoicing, reconciliation, and reporting, thus saving hours of manual work.
- Better cash flow management: Real-time tracking of cash and income, expenses, receivables, and payables.
- Assists in Tax Compliance: Automatically computes tax and prepares GST, VAT, or income tax compliant reports.
- Professional Invoicing & Quotes: Generate and send custom invoices, subscription bills, and estimates within a few minutes.
- Available Anywhere: Cloud-based program will enable you to use accounts via desktop, mobile, or tablet.
Key Factors to Consider When Choosing Accounting Software
When selecting the best accounting software to fit your business, there are several essential criteria you should have in mind before making the plunge into our top picks:
- Ease of Use: A simple interface and user-friendly navigation are essential, particularly among non-accountants.
- Pricing & Scalability: Low-cost pricing with flexible plans that scale with your business.
- Invoicing and Billing Tools: Billing and invoicing should be automated and customizable.
- Inventory/Expense Tracking: Assists in monitoring stock, purchases, and payments to vendors.
- Tax Filing & Compliance: Create invoices and GST/VAT reports.
- Multi-User Access: Capable of allowing the team members or accountants to securely use the system.
- Integration: Synchronization with banks, POS, eCommerce, payroll, and CRM.
- Mobile Access: Mobile access is a must-have feature to access your financial dashboard anywhere, anytime.
List of Top Accounting Software for Small Businesses
1. QuickBooks Online
Website: https://quickbooks.intuit.com
QuickBooks Online is one of the most popular accounting tools for small businesses. It helps you manage everything in one place, like creating invoices, tracking expenses, handling bills, and checking your profits. Even if you’re not good with numbers, QuickBooks makes things easy with a clean dashboard and helpful tools.
It also offers AI-powered features that automate tasks like organizing expenses, tracking payments, and spotting issues in your accounts. Whether you’re a solo business owner or running a growing team, QuickBooks gives you all the tools to stay in control of your finances.
Key Features:
- Create and send professional invoices
- Track income, expenses, and bills in real-time
- Automatically sort and organize your transactions
- Accept payments through ACH, credit cards, PayPal, and more
- Smart reports for cash flow, profit & loss, and budgeting
- AI tools to suggest actions and highlight unusual entries
- Mobile app to manage everything on the go Connects with over 650 business apps
- Option to get help from bookkeepers and tax experts
Pricing:
- Simple Start – $3.50/month (then $35/month) – 1 user
- Essentials – $6.50/month (then $65/month) – up to 3 users
- Plus – $9.90/month (then $99/month) – up to 5 users
- Advanced – $23.50/month (then $235/month) – up to 25 users
- 30-day free trial available
2. Zoho Books
Website: https://www.zoho.com/books
Zoho Books is a reliable and easy-to-use accounting software built for small and growing businesses. It helps you manage all your finances, from sending invoices and tracking expenses to managing inventory and filing taxes. The software is fully GST-compliant, making it a great choice for Indian businesses.
You can also automate tasks like payment reminders, recurring bills, and approval workflows. Zoho Books lets you create custom reports, manage multiple users with role-based access, and access your data from desktop or mobile. Its connected banking feature allows you to fetch bank feeds and reconcile them automatically. With powerful features and affordable pricing, Zoho Books makes daily accounting work simple and stress-free.
Key Features:
- GST-ready invoicing, billing, and tax filing
- Track income, expenses, and vendor payments
- Built-in inventory and stock level tracking
- Recurring invoices and payment reminders
- Bank feed integration and auto-reconciliation
- Project tracking with time and expense logging
- Multi-user access with role-based permissions
- Mobile app for Android, iOS, and Windows
- Supports multiple currencies for international business
- Automation features like workflows, triggers, and alerts
Pricing (billed annually):
- Free Plan – ₹0/month (for small businesses with turnover under ₹25 lakh)
- Standard – ₹749/month
- Professional – ₹1,499/month
- Premium – ₹2,999/month
- Elite – ₹4,999/month
- Ultimate – ₹7,999/month
- 14-day free trial available
3. Xero
Website: https://www.xero.com
Xero is a powerful cloud-based accounting tool designed for small businesses, freelancers, and sole traders. It helps users manage invoicing, track expenses, pay bills, and stay on top of cash flow, all from a simple and clean interface. Xero supports real-time bank feeds, so your transactions are automatically updated and categorized.
It also integrates with over 1,000 third-party apps, giving you flexibility to run your business the way you want. Whether you’re sending quotes, managing inventory, or collaborating with your accountant, Xero makes daily accounting faster and easier. With 24/7 online support and no credit card required to get started, it’s beginner-friendly and scalable as your business grows.
Key Features:
- Create professional invoices and accept payments online
- Automatically import and match bank transactions
- Track expenses and attach receipts easily
- Manage bills and due dates to avoid late payments
- Multi-currency support for international business
- Inventory management with real-time updates
- Collaborate with your accountant in real-time
- Works on desktop and mobile devices
- Connects with over 1,000 third-party business apps
- 24/7 online support and easy setup with no credit card required
Pricing:
- Starter – $2.90/month (then $29/month)
- Standard – $4.60/month (then $46/month)
- Premium – $6.90/month (then $69/month)
- 30-day free trial available
4. FreshBooks
Website: https://www.freshbooks.com
FreshBooks is user-friendly accounting software built for freelancers, self-employed professionals, and small business teams. It simplifies your day-to-day tasks like invoicing, tracking expenses, logging time, and handling taxes. The platform is designed to help you get paid faster with online payments and recurring billing features.
It also includes built-in reporting tools to help you understand where your money is going. Whether you’re managing a solo business or working with a small team, FreshBooks lets you stay in control with its mobile-friendly design and strong support. You can even invite your accountant for seamless collaboration and tax-time prep.
Key Features:
- Create and customize unlimited invoices
- Accept credit card and bank transfer (ACH) payments
- Track time, expenses, and mileage on the go
- Generate tax reports and business health dashboards
- Double-entry accounting and bank reconciliation
- Proposals, estimates, retainers, and client portals
- Automated reminders, late fees, and recurring billing
- Add team members, track project profitability, and scan bills
- Access via desktop or mobile (Android and iOS)
- 30-day free trial with no credit card required
Pricing:
- Lite: $8.40/month
- Plus: $15.20/month
- Premium: $26.00/month
- Select: Custom pricing (Contact sales)
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5. TallyPrime
Website: https://tallysolutions.com
TallyPrime is India’s most trusted accounting and business management software, designed for small and medium-sized businesses. With over 2.5 million users globally, it helps streamline invoicing, GST compliance, inventory, and payroll processes effortlessly. Tally is known for its offline-first experience with secure cloud sync and powerful reporting.
You can generate e-invoices, track input tax credit (ITC), and manage cash flow using built-in tools. The software also integrates with 145+ Indian banks for automated reconciliation and is regularly updated to meet government regulations. It’s intuitive, requires no prior accounting knowledge, and is available in multiple flexible plans.
Key Features:
- Complete GST and e-invoicing compliance
- Smart bank reconciliation with 145+ banks
- Advanced inventory and business operations tracking
- Integrated payroll, taxation, and cashflow management
- Reports for audit, MIS, and business analysis
- Supports offline mode with sync to cloud (AWS support)
- TallyEdge for secure financial data sharing
- TallyCapital for easy loan access
- TallyEducation for certified accounting training
Pricing:
- 1 Month: ₹750
- 3 Months: ₹2,138
- 12 Months: ₹8,100
- Lifetime License: ₹22,500
6. Wave
Website: https://www.waveapps.com
Wave is a free, easy-to-use financial management tool built specifically for freelancers, solopreneurs, and small business owners. It combines invoicing, accounting, receipt tracking, and payment solutions into a unified dashboard. Trusted by over 350,000 small businesses, Wave stands out for offering essential accounting features at zero cost, with optional paid upgrades for those needing advanced functionality.
It supports secure online payments, auto-imports bank transactions, and provides an intuitive mobile app for managing finances on the go. Wave’s Pro plan unlocks powerful automation and personalization features to streamline your workflows and get paid faster.
Key Features:
- Create unlimited invoices, estimates, and bookkeeping records
- Accept online payments via credit card, bank transfer, or Apple Pay
- Auto-import and categorize bank transactions
- Mobile app for invoicing and profit/loss tracking
- Add receipts, automate reminders, and customize invoice branding
- Optional add-ons for payroll, receipts, and bookkeeping assistance
- No software installation required; fully cloud-based
Pricing:
- Starter Plan: $0
- Pro Plan: $170/year
7. Vyapar
Website: https://www.vyaparapp.in
Vyapar is one of India’s most trusted GST billing and accounting software solutions, designed specifically for small businesses, SMEs, and solopreneurs. With over 1 crore+ users, it offers a seamless experience for managing invoices, inventory, payments, and taxes. The platform supports online and offline billing, ensuring uninterrupted operations even in areas with poor connectivity.
Vyapar offers robust mobile and desktop applications, allowing users to send professional invoices, track inventory, record expenses, and generate GST reports such as GSTR1–GSTR9. The mobile app offers lifetime free access for Android users, while premium desktop plans come with expanded business management tools.
Key Features:
- Generate and share GST-compliant invoices and quotations
- Multi-device access (Desktop + Mobile), works offline and online
- Track inventory with batch, expiry, and warehouse data
- Automatic GST report generation (GSTR1, GSTR2, GSTR3, etc.)
- Send payment reminders via WhatsApp, SMS, and email
- Accept payments via UPI, QR, NEFT, IMPS, cards, and e-wallets
- Backup data to Google Drive or local storage
- Custom invoice branding with themes and logos
- Dedicated plans for industry-specific needs (retail, pharmacy, clothing, etc.)
- Access to advanced features like POS billing, barcode generation, audit trail, and more
Pricing:
- Silver Plan: ₹3,599.10/year
- Gold Plan: ₹3,869.10/year
- Platinum Plan: ₹9,999/year
8. Sage Accounting
Website: https://www.sage.com
Sage Accounting is a powerful cloud-based solution tailored for small and growing businesses that want to automate financial tasks and remain compliant with tax regulations. Known for its user-friendly interface and deep accounting capabilities, it offers tools for invoicing, cash flow forecasting, VAT submissions, bank reconciliation, and inventory management.
Sage now includes Sage Copilot, an AI-powered assistant that automates tasks like payment reminders, VAT filings, and communication, making it easier for business owners to stay ahead without needing accounting expertise. With GDPR compliance, phone support, and unlimited transactions, Sage is widely trusted with over 2 million global users.
Key Features:
- AI-powered Sage Copilot for productivity and insights
- Create unlimited invoices and submit VAT returns (MTD-compliant)
- AI-captured receipts and invoices with auto-data entry
- Cash flow forecasting and real-time reports
- Multi-user support (up to unlimited in top plan)
- Multi-currency invoicing and exchange rate auto-updates
- Budget creation, performance tracking, and inventory control
- Optional payroll addon (up to 150 employees)
Pricing:
- Accounting Start: £18/month
- Accounting Standard: £39/month
- Accounting Plus: £59/month
9. Akaunting
Website: https://www.akaunting.com
Akaunting is a free, open-source, cloud, and self-hosted accounting platform tailored for freelancers, small businesses, and accountants. Trusted by users in over 100 countries, it allows you to manage finances entirely online with features like invoicing, expense tracking, reporting, and multi-currency support.
The standard on-premise version is completely free, while cloud-hosted plans offer additional functionality like payroll, CRM, POS, and more through over 50+ modular apps. With no hidden charges in its base version and full privacy via open-source code, Akaunting is a flexible and scalable solution for modern SMEs.
Key Features:
- Online and self-hosted access with real-time financial management
- Create and send unlimited invoices with custom branding
- Track income, expenses, payments, and recurring bills
- Multi-currency support with live exchange rates
- Double-entry bookkeeping and audit trails
- Manage multiple companies, users, and invoices in one place
- Built-in client portal for bulk payments and document sharing
- 50+ business apps including Payroll, CRM, Projects, POS, etc.
- Detailed reports: Balance sheet, Profit & Loss, Trial Balance, etc.
- Fully open-source with GitHub access and developer tools
Pricing:
- Standard Cloud: $8/month – 1 user, 1,000 invoices, 4 apps
- Premium Cloud: $24/month – 10 users, 10,000 invoices, 10 apps
- Elite Cloud: $56/month – 30 users, 30,000 invoices, 30 apps
- Ultimate Cloud: $145/month – Unlimited users, all 50+ apps included
- On-Premise (Self-Hosted): Free (Lifetime, with access to source code)
10. Manager.io
Website: https://www.manager.io
Manager.io is a robust, free desktop accounting software built for small businesses that need a comprehensive offline solution. It supports double-entry accounting and comes loaded with features like invoicing, payroll, inventory tracking, and financial reporting—all without requiring a subscription.
Its simple UI makes it ideal for businesses that want to keep their data offline while maintaining full control. The software runs on Windows, Mac, and Linux, with optional cloud and server editions for advanced needs. It’s perfect for entrepreneurs, freelancers, and small firms who want powerful accounting without recurring costs.
Key Features:
- Full double-entry accounting with general ledger
- Create GST-compliant invoices and quotes
- Track inventory, fixed assets, and depreciation
- Manage payroll, payslips, and employee records
- Built-in modules for purchase orders, sales, and expenses
- Multi-currency support with real-time exchange adjustments
- Financial reports, including balance sheet, P&L, and cash flow
- Supports multiple businesses and projects
- Secure offline data storage on your local system
- Optional upgrades: Cloud Edition and Server Edition for collaboration
Pricing:
- Desktop Version: ₹0 (Lifetime Free)
- Cloud Edition: $49/month (Multi-user, web access)
Final Thoughts
Every business has its way of working, but one thing stays the same, keeping your finances in order is non-negotiable. Good accounting software doesn’t just record numbers; it gives you clarity, control, and confidence in your decisions.
Whether you’re a freelancer or running a team, testing out a few tools can help you find what truly fits your day-to-day needs. Don’t rush into features you won’t use, try what’s simple first, then scale.
Start with a free trial today and take back control of your business books, one entry at a time.
FAQs
Q1. Which accounting software is best for beginners?
Wave, Zoho Books, and FreshBooks are known for their beginner-friendly design.
Q2. Can I do GST billing using these tools?
Yes, tools like Zoho Books, Vyapar, and TallyPrime support full GST compliance in India.
Q3. Is there any free accounting software?
Wave and Vyapar (basic version) are free. Zoho Books also offers a free plan for businesses.
Q4. What if I don’t know accounting?
Most modern tools are designed for non-accountants. Plus, they offer tutorials and support.
Q5. Can I integrate payment gateways?
Yes, many tools integrate with PayPal, Stripe, Razorpay, and other payment apps.
