The Best Small Business Accounting Software of 2021

best small business accounting software badgeSage 50cloud is our top pick of small business accounting software. All the features you need for small business accounting are included in each plan, plus there's top-notch security. But every business has different needs, and if Sage 50cloud doesn’t meet yours, we have nine other accounting apps to help you run your small business.

Top 10 Small Business Accounting Software to Try

How We Chose the Best Small Business Accounting Software

We looked for cloud-based small business accounting software with key features like bank syncing and online invoicing. Learn how to choose the small business accounting software for your business.

Choose the small business accounting software that’s right for you

The majority of small business accounting software offer a free trial so you can see if they have the features you need. However, entering your data into multiple apps takes time away from running your business, so try to find the right app before you sign up. Consider which features your business needs, whether the cost fits your budget, and if it’s designed for people in your region. Word of mouth can be a good indicator of quality, so seek recommendations from other business owners in your network. 

Choose something that grows with your business

Some of our picks have pared-down features that are an affordable option for freelancers or owner operators who want to quickly do their books and don’t want to be confused by unnecessary features. However, if you’re planning to expand, you may want to choose an app that can scale as your business grows.

Our Small Business Accounting Software Reviews

Sage 50cloud Accounting — Top Pick

Sage 50cloud Accounting

Download: Android | iOS

Sage 50cloud boasts the reliability of desktop accounting with the flexibility of the cloud. Almost all features, including everything needed by a small business, are available at all plan levels, including inventory management, payments, and banking. There are more than 150 reports that can be customized so you can get both a big picture and a granular view of your business. Sage Security Shield helps you protect your data, and there’s industry- and country-specific functionality. Businesses that need extra help can schedule a one-on-one session with a Sage Accounting expert to get help setting up and managing the software.

Notable features:

  • 30-day free trial
  • In-app purchases: $56.08 – $842 per item
  • Support available: Help center, FAQs, Phone
Sage 50cloud Accounting Pros & Cons
What we like What we don’t like
Online payments available Photographic receipt tracking is an add-on
Manage multiple companies Fewer payment integration options
Remote data access

Xero — Best for Bank Reconciliation

Xero

Download: Android | iOS

Xero is a feature-filled accounting software app designed for small businesses. All your financial transactions can be managed through Xero, including paying bills, invoicing, and payroll. Xero even allows your customers to pay online directly through their invoice by connecting to Stripe, GoCardless, or other payment options. Employees can claim expenses on the go, and you can monitor their spending using robust analytics. Collaborate in real time by inviting an advisor who can share the screen, and if you’re moving from another app, you won’t lose historic data as Xero allows bulk import of CSV files.

Notable features:

  • 30-day free trial
  • In-app purchases: $5.50 – $31 per item
  • Support available: Help center
Xero Pros & Cons
What we like What we don’t like
Easy collaborations Some features only available on premium plan
Integrates with 800+ 3rd-party apps No one-on-one help available
Offers suggestions to categorize transactions

Wave — Best Free Version

Wave

Download: Android | iOS

Despite the fact that Wave is free, it has everything most small businesses need in accounting software. There are modules that manage accounting, invoicing, payments, and receipts, and it also connects to your bank accounts to easily sync expenses and balance your books. The dashboard gives an overview of your money situation, and there are robust reports to help you make business decisions. Clients can pay via the invoice through Stripe for as little as 1% per transaction, but you can also manually enter payments you receive through check or direct deposit.  

Notable features:

  • Free app
  • Support available: Help center, Request form
Wave Pros & Cons
What we like What we don’t like
Customizable sales tax Some features only available in U.S./Canada
Double-entry accounting No ability to send quotes
Run multiple businesses from one account

Intuit QuickBooks Online — Best Assistance Offered

Intuit QuickBooks Online

Download: Android | iOS

Intuit QuickBooks Online has the ability to organize all your accounting needs in one place including inventory, invoices, projects, and people; however, there are features you can’t get access to unless you’re signed up for the more expensive plans. QuickBooks will grow with your business, and if you have an accountant, it’s likely they’re already familiar with the software. QuickBooks also offers a Live Bookkeeping service to customers where a certified expert manages your books, including setting up the software, reconciling transactions, and closing books each month. 

Notable features:

  • 30-day free trial
  • In-app purchases: $0.99 – $124.99 per item
  • Support available: Help articles, FAQs, Online chat, Email, Ask the community
Intuit QuickBooks Online Pros & Cons
What we like What we don’t like
Lot of features Pay to access many features
Integrations with popular programs Some features irrelevant to small businesses
Scalable

FreshBooks — Best for Invoicing

FreshBooks

Download: Android | iOS

Businesses that charge hourly for services may wish to check out FreshBooks. The app has a time-tracking option that allows you and your team to log hours worked for each client and automatically puts the information onto an invoice for payment. The app also tracks overpayments and prepayments and automatically credits them to invoices, freeing up your time to offer more services. There are automatic checks and balances so your books stay accurate and compliant, a project module that helps your team stay on schedule, and plenty of reports to help you make smart decisions. 

Notable features:

  • 30-day free trial
  • In-app purchases: $4.50 – $360 per item
  • Support available: Help center, Email, Toll free number
FreshBooks Pros & Cons
What we like What we don’t like
Double-entry accounting Limited features on less expensive plans
Manages sales tax No tax-time specific reports
Accountant access

Zoho Books — Best Inventory Management

Zoho Books

Download: Android | iOS

Zoho Books is part of a large suite of apps designed to control your whole business. It offers end-to-end accounting, from negotiating deals to invoicing, and is integrated with Zoho’s other apps. The robust inventory management system lets you track your inventory levels, set a reorder point, and replenish stock automatically. You can customize your dashboard and reports so you see the information you need and schedule reports so they’re sent automatically. Zoho Books also has a demo account so you can explore the features without having to enter your own data.

Notable features:

  • 14-day free trial
  • In-app purchases: $1 – $274.99 per item
  • Support available: Help center, Email, Toll free number
Zoho Books Pros & Cons
What we like What we don’t like
Role-based access No payroll
Third-party payment integrations Works best with other apps
Automations to save time

TrulySmall Accounting by Kashoo — Best Automation

Kashoo

Download: Android | iOS

TrulySmall Accounting by Kashoo is designed for freelancers and owner operators and gives you the essentials to ensure your business is running smoothly. The app eliminates redundant tasks, such as data entry and manual imports, so you have more time to spend on growing your business. There are a number of automations to save you time, including creating contacts from transactions and matching transactions with relevant invoices. It even categorizes transactions automatically to ensure you’re compliant and has built-in subcategories if you want detailed reports. The built-in pay system, KashooPay, lets clients pay directly from the invoice, and full encryption keeps everyone’s data safe.

Notable features: 

  • 14-day free trial
  • Free companion app to the TrulySmall web app
  • Support available: Help center, Email, Toll-free number, Live chat
TrulySmall Accounting by Kashoo Pros & Cons
What we like What we don’t like
Easy sales tax summary Harder to scale

Double-entry accounting
Can connect to 5,000+ banks

GoDaddy Online Bookkeeping — Best for Online Marketplace Sellers

GoDaddy Online Bookkeeping

Download: Android | iOS

Businesses that use online marketplaces to sell their goods will appreciate GoDaddy Online Bookkeeping’s integration options. The app can sync to Amazon, Etsy, eBay, and PayPal and automatically import your sales data from these platforms. The app prides itself on not having “feature bloat”; there’s just the essentials you need to run your small business. You can easily accept payments from your mobile device, and the app has the same security as banks, so you don’t need to worry about information being stolen. You can also access business reports to help you make business decisions.

Notable features:

  • No free trial
  • In-app purchases: $4.99 – $14.99 per item
  • Support available: Help center, Email
GoDaddy Online Bookkeeping Pros & Cons
What we like What we don’t like
Only the essentials Syncing only available on advanced plans
Payment via mobile device  
Sync to online marketplaces

Oneup — Best Full Business Solution

Oneup

Download: Android | iOS

Oneup provides businesses with an all-in-one business solution. Besides accounting tasks such as inventory, banking, and invoicing, Oneup has a surprisingly robust CRM that allows you to track leads, opportunities, and tasks. All functions are fully integrated, meaning you can send quotes from the CRM, convert the quote to an invoice, and track sales efficiency so you’re making improvements based on hard data. Oneup also has an AI that transfers bank feeds to the accounting system with 95% accuracy, meaning there’s less time needed to check accounting and fix mistakes. 

Notable features:

  • 30-day free trial
  • In-app purchases: $9 – $169 per item
  • Support available: Help center, Request form
Oneup Pros & Cons
What we like What we don’t like
Built-in inventory management Fewer integrations than other options
Customizable cash flow forecast  
Accurate transaction categorization

Sunrise — Best for Professional Bookkeeping

Sunrise

Download: Android | iOS

Sunrise is a full-featured small business accounting software solution. It’s free for people using the self-service software and has everything you’d expect, including linked bank accounts, customized invoices, and easy-to-read reports. You can set up recurring invoices, and your customers have the option of paying by credit card or setting up automatic payments. Sunrise’s real power is in professional bookkeeping services. These start at $149 per month and offer businesses one-on-one support from a professional bookkeeper who provides accurate monthly accounting. With this level of support, you can leave the books to professionals and concentrate on growing your business. 

Notable features: 

  • 30-day free trial
  • Support available: Live chat, contact form, phone support
Sunrise Pros & Cons
What we like What we don’t like
Expenses tracked automatically Fewer reports than other options
Professional assistance available Reports not customizable
Data backed up to multiple places

Small Business Software Accounting Apps: Features Summary Table

Small Business Software Accounting Apps Comparison Table
App In-App Purchases Features
Sage 50cloud Accounting  — Top Pick $56.08 – $842 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
Xero  — Best for Bank Reconciliation $5.50 – $31 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
Wave  — Best Free Version Free ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
Intuit QuickBooks Online  — Best Assistance Offered

$0.99 – $124.99 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
FreshBooks  — Best for Invoicing $4.50 – $360 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
Zoho Books  — Best Inventory Management $1 – $274.99 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
TrulySmall Accounting by Kashoo  — Best Automation $19.95 – $199 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
GoDaddy Online Bookkeeping  — Best for Online Marketplace Sellers $4.99 – $14.99 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
Oneup  — Best Full Business Solution $9 – $169 per item ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync
Sunrise — Best for Professional Bookkeeping Free ✓ Multiple Users
✓ Cloud Based
✓ Online Invoicing
✓ Bank Sync