We’ve taken on the task of comparing the best free accounting software on the market. We researched and reviewed features, including invoicing options, receipt scanning functionality and secure document management capabilities. Digital payments integrations with Stripe, Square, and Paypal are not supported unless you move up to the Plus plan, free accounting software download which starts at $19.99 per month. With the paid Plus plan, your credit card and ACH payment processing fees are lower, and you get access to cash flow insights and expense categorization. Paid plans start at INR 749 per month, billed annually, and offer features that include multiple users, bulk updates, timesheets and sales tax tracking.

While this is rarely found in free tools, it’s often a feature of premium providers. For example, if you have a team of employees to manage, payroll integration is an advantage. ZipBooks seems to have found favor with consumers, earning 4.7 out of 5 stars on G2 and 4.5 out of 5 stars on Capterra. Small business owners or entrepreneurs who see themselves scaling up in the future can benefit from ZipBooks’ flexible pricing. Our team of experts evaluates hundreds of business products and analyzes thousands of data points to help you find the best product for your situation.

What is free accounting software?

The free version lacks some of the bigger features suitable for larger enterprises, but still has much to offer. Examples of financial statements you can generate include income statements, balance sheets, profit and loss (P&L) statements and sales analysis by item, customer and salesperson. With a user-friendly interface and a solid mobile application, Zoho Books is one of the more straightforward, accessible solutions listed here.

• The bookkeeping tool lets you create professional-looking, customized invoices and accept payments through your bank, credit card and Apple Pay directly from the invoice.
• When you’re leveraging a free accounting program, you’re likely settling for less until you can justify springing for the premium option.
• Wave’s credit card processing is 2.9% plus $0.60 per transaction and 3.4% plus $0.60 per transaction for American Express.
• All free accounting software comes with caveats and drawbacks, which is why it might be worth the extra few pounds to find the perfect accounting software for your firm.
• From its Toronto home, it has gradually spread worldwide, and has a tailored offering for the UK.
• On the other hand, if your company has more complex needs, such as payroll or billing for time, or even just multiple departments, you may need to invest in a paid platform.
• The free accounting software SlickPie is also worth looking into for your small business finances.

It also features a client portal — allowing you to share the transactions and invoices with your clients and accept bulk payments. Akaunting boasts a base of over 270,000 users and is available in over 50 languages, making it one of the most popular, wide-reaching open-source solutions on this list. Lendio is one of the more prominent bookkeeping applications available for small businesses.

Is It Worth Paying for Accounting Software?

Lendio enables you to process credit cards and ACH payments, with 3.55% plus $0.30 per credit card transaction and 1.5% plus $0.30 per ACH transaction. Wave’s free plan isn’t a scalable solution for growing businesses, as it only supports a single user and lacks enhanced accounting features, like project profitability tracking and inventory management. If you envision your business to grow in the near future, we recommend choosing paid accounting software like QuickBooks Online. For only $30 per month for one user, you get the most basic bookkeeping functions you’ll ever need as a startup. However, Expensify is an expense tracking platform and does not accept payments or offer invoicing functions. All plans also come with reporting capabilities and 24/7 customer support.

We built our Payroll tool for small business owners, so it’s easy to use AND teaches you as you go. Our data-driven intelligence goes beyond the historical reports in other accounting software to automate, predict, and advise. Free accounting software is hugely attractive to UK small businesses, especially those that are just starting out. As we edge closer to the tax year flip in April 2024, setting up accounting software, or upgrading or changing your current software, might just be the smartest move you make.

Best Free Accounting Software for Small Businesses of April 2024

Look for options that not only meet your current requirements but also have the potential to grow with your business. Remember, the right accounting software can streamline your financial management, save time and provide valuable insights into your business’s financial health. If you’re selling physical products, you might want to have some software to stay on top of your inventory. Some paid accounting software can keep tabs on your stock, as well as tracking any orders as they’re sent, both of which are crucial if you’re hoping to run a smooth business.