17 Best Accounting Software For Consultants Reviewed For 2024
10 Best Accounting Software For Consultants Shortlist
Here's my pick of the 10 best software from the 17 tools reviewed.
Our one-on-one guidance will help you find the perfect fit.
Choosing the right accounting software for consultants is tough with so many options out there. You need to manage your finances efficiently, but figuring out which tool fits best can be daunting. I've got you!
Drawing from my years of experience using various accounting tools for businesses, I'll help you find the best options. These tools simplify financial management, offering features like invoicing, expense tracking, and financial reporting. They save you time, reduce errors, and help you stay organized. Let's solve your accounting headaches together.
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Best Accounting Software For Consultants: Comparison Chart
| Tools | Price | |
|---|---|---|
| Xero | From $29/month | Website |
| Zoho Books | From $15/user/month (billed annually) | Website |
| FreshBooks | From $19/month | Website |
| Sage Business Cloud Accounting | From $10/month | Website |
| FreeAgent | From $13.50/user/month | Website |
| Kashflow | From $14.50/user/month | Website |
| Wave | From $16/business/month | Website |
| QuickBooks | From $35/month | Website |
| Kashoo | From $27/user/month (billed annually) | Website |
| ZipBooks | From $15/user/month | Website |
Compare Software Specs Side by Side
Use our comparison chart to review and evaluate software specs side-by-side.
Compare SoftwareHow To Choose Accounting Software For Consultants
As you work through your own unique software selection process, keep the following points in mind:
- Integration Capabilities: Consultants often use various tools and services to manage their business operations. The ability of accounting software to integrate easily with other essential applications, such as project management tools, CRM systems, and payment gateways, is crucial. For example, Zoho Books offers robust integration with other Zoho applications, enhancing productivity and streamlining workflows.
- User-Friendliness: Ease of use is a significant consideration, especially for consultants who may not have extensive accounting knowledge. Software that is intuitive and easy to navigate can save time and reduce the learning curve. QuickBooks Online is renowned for its user-friendly interface, making it a popular choice among consultants who need to manage their finances efficiently without a steep learning curve.
- Time Tracking and Billing: Accurate time tracking and billing are essential for consultants who bill clients by the hour. The software should allow for easy tracking of billable hours and easy integration of these hours into invoices. FreshBooks excels in this area with its built-in time tracking features, allowing consultants to track billable hours and add them directly to client invoices.
- Mobile Accessibility: Consultants often work on the go, so having access to accounting software via mobile devices is vital. Mobile apps should offer the same functionality as the desktop version, enabling consultants to manage their finances from anywhere. Zoho Books and FreshBooks both offer powerful mobile apps that allow users to perform essential accounting tasks, such as invoicing and expense tracking, directly from their smartphones.
- Scalability and Customization: As consulting businesses grow, their accounting needs may become more complex. The chosen software should be scalable and offer customization options to accommodate the evolving needs of the business. Xero is a great example of scalable software, offering various pricing plans and features that can grow with the business, including project tracking and multi-currency support.
Best Accounting Software For Consultants Reviews
This in-depth analysis provides overviews of each accounting software for consultants. It walks through the pros and cons of each tool, their features, and their best use cases.
Xero is a cloud-based accounting software designed for small businesses, accountants, and bookkeepers. It makes its interface accessible for users with varying levels of accounting knowledge.
Why I Picked Xero: I chose Xero for this list because of its intuitive and easy-to-navigate interface, which stands out among other accounting software. This makes it particularly suitable for consultants who may not have extensive accounting experience. I believe Xero is best for its user-friendly interface because it simplifies complex accounting tasks, allowing users to manage their finances efficiently without needing specialized training.
Standout Features & Integrations:
Features include invoicing, expense tracking, bank reconciliation, and financial reporting. Xero also offers project tracking and payroll management, making it a comprehensive tool for small business accounting needs.
Integrations include Stripe, PayPal, Square, HubSpot, Shopify, Gusto, Bill.com, Expensify, Vend, and Zapier.
Pros and cons
Pros:
- Cloud-based access
- Comprehensive features
- Easy to use
Cons:
- Complexity in payroll setup
- Limited customer support
Zoho Books is a cloud-based accounting software designed to streamline financial management for small to medium-sized businesses. It stands out due to its extensive suite of features that cover all aspects of accounting, from invoicing to inventory management.
Why I Picked Zoho Books: I chose Zoho Books for this list because it offers a robust set of features that cater to the diverse needs of consultants. Its comprehensive financial management capabilities make it stand out from other accounting software. I believe Zoho Books is best for comprehensive financial management because it integrates various accounting functions into one platform, making it easier for consultants to manage their finances efficiently.
Standout Features & Integrations:
Features include automated bank feeds, invoicing, expense tracking, project management, and detailed financial reporting. These features help consultants keep their financial data organized and accessible.
Integrations include Zoho CRM, Zoho Projects, Zoho Inventory, PayPal, Stripe, G Suite, Office 365, Slack, Zapier, and Mailchimp.
Pros and cons
Pros:
- User-friendly interface
- Strong integrations
- Comprehensive features
Cons:
- Limited customer support availability
- Limited customization
FreshBooks is a popular accounting software for small businesses, freelancers, and consultants. It excels in providing comprehensive invoicing and billing features, making it the best choice for these tasks.
Why I Picked FreshBooks: I chose FreshBooks for its robust invoicing and billing capabilities, which stand out among other accounting software options. FreshBooks simplifies the invoicing process with customizable templates, automated reminders, and online payment options, making it ideal for consultants who need efficient billing solutions.
Standout Features & Integrations:
Features include customizable invoicing, automated payment reminders, and expense tracking. FreshBooks also offers time tracking, project management, and financial reporting tools, which are essential for consultants managing multiple clients and projects.
Integrations include G Suite, PayPal, Stripe, Shopify, Gusto, Trello, Slack, HubSpot, Zapier, and Mailchimp.
Pros and cons
Pros:
- Expense tracking
- Automated payment reminders
- Customizable invoices
Cons:
- Limited third-party integrations
- Limited customization for reports
Sage Business Cloud Accounting is a scalable accounting solution designed to grow with your business needs. It stands out due to its ability to support businesses as they expand, offering features that cater to both small and medium-sized enterprises.
Why I Picked Sage Business Cloud Accounting: I chose Sage Business Cloud Accounting for its robust scalability features, which make it stand out from other accounting software. This tool is particularly well-suited for consultants who anticipate growth and need a solution that can scale with their business. Its comprehensive suite of features ensures that as your business grows, Sage can handle increased complexity and volume.
Standout Features & Integrations:
Features include automated invoicing, real-time financial tracking, and comprehensive reporting tools. These features are essential for consultants who need to manage their finances efficiently and accurately.
Integrations include Gusto, Stripe, PayPal, Shopify, Zapier, AutoEntry, Expensify, Paya, Microsoft 365, and Google Workspace.
Pros and cons
Pros:
- Real-time financial tracking
- Comprehensive reporting tools
- Scalable for growing businesses
Cons:
- Limited integrations with third-party apps
- Limited customization options
FreeAgent is a comprehensive accounting software designed to help small businesses and freelancers manage their finances efficiently. It offers features that simplify the process of handling taxes.
Why I Picked FreeAgent: I chose FreeAgent for this list because it excels in tax management, a critical area for consultants who need to stay compliant with tax regulations. FreeAgent stands out due to its automatic tax forecasts and reminders, which help consultants avoid penalties and manage their tax obligations effortlessly. Its user-friendly interface and extensive features make it a top choice for consultants looking to streamline their accounting processes.
Standout Features & Integrations:
Features include automatic tax forecasts, invoicing, expense tracking, banking integration, and project management. FreeAgent also offers a dashboard for cash flow monitoring, making it easier for consultants to keep track of their financial health.
Integrations include GoSimpleTax, HubSpot, Stripe, GoCardless, PayPal, WooCommerce, Cushion, Syft Analytics, Corpay One, and Staffology.
Pros and cons
Pros:
- Comprehensive feature set
- User-friendly interface
- Automatic tax forecasts
Cons:
- Primarily UK-focused
- Limited to small businesses
KashFlow is an online accounting software that provides bookkeeping, payroll, and accounting services for small businesses and sole traders. It simplifies accounting processes and helps businesses stay compliant with tax regulations.
Why I Picked KashFlow: I chose KashFlow for this list because it stands out with its strong focus on compliance with the UK's Making Tax Digital (MTD) initiative. This makes it particularly valuable for consultants who need to ensure their tax submissions are accurate and timely. KashFlow is best for Making Tax Digital compliance because it offers features that ensure businesses can easily manage and submit their VAT returns online, staying compliant with UK tax regulations.
Standout Features & Integrations:
Features include VAT management, invoicing, payments, and payroll management. KashFlow also offers a customizable dashboard, bank feeds, and multi-currency support, making it a versatile tool for small businesses.
Integrations include WorldPay, GoCardless, PayPal, iwoca, ConnectMyApps, Receipt Bank, MailChimp, Message Horizon, Dropbox, Amazon, and eBay.
Pros and cons
Pros:
- Customizable dashboard
- Comprehensive payroll features
- Easy VAT management
Cons:
- Lacks advanced inventory management
- Limited to UK tax regulations
Wave Accounting is a small business software that offers tools for invoicing, accounting, and payroll. It excels because it provides a comprehensive suite of financial management features at no cost, making it accessible for small businesses and freelancers.
Why I Picked Wave Accounting: I chose Wave Accounting for the list because it stands out by offering a robust set of accounting tools for free, which is rare among its competitors. This makes it particularly appealing for small businesses and freelancers who need to manage their finances without incurring additional costs. I believe Wave Accounting is best for free accounting tools due to its extensive features that cover invoicing, payments, and payroll without any subscription fees.
Standout Features & Integrations:
Features include customizable invoices, online payment processing, and a smart dashboard that organizes income, expenses, payments, and invoices. These features help users streamline their financial management and get paid faster.
Integrations include PayPal, Stripe, Shoeboxed, Etsy, Zapier, Google Sheets, Slack, HubSpot, Mailchimp, and QuickBooks.
Pros and cons
Pros:
- Comprehensive features
- User-friendly interface
- Free accounting tools
Cons:
- No inventory management
- Limited customer support
QuickBooks is a cloud-based accounting software designed to help businesses manage their finances efficiently. It offers a variety of features including income and expense tracking, invoicing, and tax preparation.
Why I Picked QuickBooks Online: I chose QuickBooks for its robust support system, which includes live expert assistance. This feature sets it apart from other accounting software by providing users with real-time help from certified bookkeepers. This makes it particularly valuable for consultants who may need immediate and reliable financial advice. QuickBooks is best for live expert assistance because it provides access to QuickBooks-certified bookkeepers who offer setup help and ongoing bookkeeping guidance, ensuring users can manage their finances with confidence.
Standout Features & Integrations:
Features include income and expense tracking, invoicing, tax preparation, and banking with a high annual percentage yield (APY). The software also offers bookkeeping automation, receipt capture, and mileage tracking, making it a comprehensive tool for financial management.
Integrations include QuickBooks Time, Amazon, Bill.com, PayPal, Shopify, Square, Stripe, TSheets, WooCommerce, and Gusto.
Pros and cons
Pros:
- High APY on banking
- Comprehensive financial tools
- Live expert assistance
Cons:
- Limited to QuickBooks ecosystem
- Steep learning curve for new users
Kashoo is an accounting software solution designed for small business owners, accountants, and bookkeepers. It offers automated accounting features that streamline financial management tasks.
Why I Picked Kashoo: I chose Kashoo for its unique focus on automated accounting, which sets it apart from other accounting software for consultants. Kashoo's ability to connect directly to your bank and automate redundant tasks makes it a time-saving tool for busy professionals. This automation ensures that your financial data is always accurate and up-to-date, which is crucial for consultants who need to focus on their clients rather than bookkeeping.
Standout Features & Integrations:
Features include automated bookkeeping, simplified invoicing, and easy expense tracking. Kashoo's automation capabilities eliminate the need for manual data entry, allowing users to focus on more important tasks. The software also offers customizable chart of accounts and detailed reporting, making it a versatile tool for various accounting needs.
Integrations include Stripe, PayPal, Square, FreshBooks, QuickBooks, Xero, Gusto, HubSpot, Shopify, and WooCommerce.
Pros and cons
Pros:
- Customizable reports
- Easy expense tracking
- Automated bookkeeping
Cons:
- Basic user interface
- Limited advanced features
ZipBooks is a free accounting software and online invoicing platform designed to simplify bookkeeping for consultants and small businesses. It provides actionable data-driven intelligence to help users make informed business decisions.
Why I Picked ZipBooks: I chose ZipBooks for its unique focus on delivering smart insights and reports, which sets it apart from other accounting software. The platform's ability to provide actionable intelligence based on millions of data points makes it an invaluable tool for consultants who need to make data-driven decisions. Additionally, its user-friendly interface and comprehensive feature set make it a standout choice for managing finances efficiently.
Standout Features & Integrations:
Features include a full suite of reports and insights, automated expense tracking, and easy invoicing and billing. ZipBooks also offers smart tagging, time tracking, and team management capabilities, making it a versatile tool for consultants.
Integrations include Google Drive, PayPal, Stripe, Square, Gusto, Slack, Trello, Asana, QuickBooks, and Xero.
Pros and cons
Pros:
- Automated expense tracking
- User-friendly interface
- Smart insights
Cons:
- No phone support
- Limited advanced features
Other Accounting Software For Consultants
Below is a list of additional accounting software for consultants that I shortlisted, but did not make it to the top list. Definitely worth checking them out.
- MYOB
Best for all-in-one business solutions
- Harvest
Best for time tracking and invoicing
- Invoice Ninja
Best for invoicing and billing features
- ClearBooks
Best for UK-specific accounting needs
- Patriot Accounting
Best for payroll integration
- AccountEdge
Best for desktop-based accounting
- NetSuite
Best for scalability for growing businesses
Accounting Software For Consultants Selection Criteria
Selecting accounting software for consultants involves evaluating functionality and meeting specific use cases that matter most when choosing this particular type of software. The criteria relate to specific software buyer needs, pain points, and the intended use of the software.
Core Functionality: 25% of Total Weighting Score
- Invoicing and Billing
- Expense Tracking
- Financial Reporting
- Time Tracking
- Tax Preparation
Additional Standout Features: 25% of Total Weighting Score
- Integration with CRM tools
- Mobile App Accessibility
- AI-driven Financial Insights
- Customizable Dashboards
- Multi-currency Support
Usability: 10% of Total Weighting Score
- Intuitive User Interface
- Customizable Workflows
- Drag-and-Drop Functionality
- Real-time Data Sync
- Minimal Learning Curve
Onboarding: 10% of Total Weighting Score
- Availability of Training Videos
- Interactive Product Tours
- Pre-built Templates
- Chatbots for Instant Assistance
- Webinars for In-depth Training
Customer Support: 10% of Total Weighting Score
- 24/7 Availability
- Multi-channel Support (Email, Phone, Chat)
- Dedicated Account Managers
- Comprehensive Knowledge Base
- Fast Response Times
Value For Money: 10% of Total Weighting Score
- Competitive Pricing Plans
- Transparent Pricing Structure
- Free Trial Periods
- Discounts for Annual Subscriptions
- Comprehensive Feature Set for the Price
Customer Reviews: 10% of Total Weighting Score
- High Overall Satisfaction Ratings
- Positive Feedback on Usability
- Strong Endorsements for Customer Support
- Frequent Updates and Improvements
- High Retention and Recommendation Rates
Trends For Accounting Software For Consultants
Consultants need efficient tools to manage their finances. Here are some key trends shaping accounting software in 2024.
- AI-Powered Automation: AI is automating repetitive tasks. This reduces human error and saves time. It's crucial for consultants managing multiple clients.
- Cloud-Based Solutions: Cloud-based accounting software offers accessibility from anywhere. It ensures data is always up-to-date. This is vital for consultants on the go.
- Blockchain Integration: Blockchain ensures secure and transparent transactions. It minimizes fraud risks. Consultants benefit from increased trust and reliability.
- Real-Time Data Analytics: Real-time analytics provide instant insights. This helps in making informed decisions quickly. Consultants can better advise their clients.
- Mobile Accounting Apps: Mobile apps allow accounting on the move. They offer convenience and flexibility. This is essential for consultants who travel frequently.
These trends are shaping the future of accounting software for consultants.
What Is Accounting Software For Consultants?
Accounting software for consultants is a tool designed to help consultants manage their financial transactions, invoicing, and reporting. Consultants, freelancers, and small business owners commonly use this software to track income, expenses, and client billing.
The software typically includes components such as invoicing, expense tracking, financial reporting, and time tracking. These features allow users to efficiently manage their finances, ensure accurate billing, and maintain compliance with financial regulations.
Features Of Accounting Software For Consultants
As a consultant, managing finances efficiently is crucial for the success of your business. Choosing the right accounting software can streamline your financial processes, save time, and ensure accuracy. Here are the most important features to look for in accounting software for consultants:
- Invoicing and Billing: This feature allows you to create and send professional invoices to clients, ensuring timely payments and maintaining cash flow.
- Expense Tracking: With expense tracking, you can monitor and categorize your business expenses, making it easier to manage budgets and prepare for tax season.
- Time Tracking: Time tracking helps you record billable hours accurately, ensuring you are compensated for all the work you do.
- Financial Reporting: Financial reporting provides insights into your business's financial health, helping you make informed decisions and plan for the future.
- Tax Preparation: Tax preparation features simplify the process of filing taxes by organizing your financial data and ensuring compliance with tax regulations.
- Integration with Other Tools: Integration with other tools, such as project management and CRM software, allows for easy data flow and improved efficiency.
- Mobile Access: Mobile access enables you to manage your finances on the go, providing flexibility and convenience.
- Multi-Currency Support: Multi-currency support is essential for consultants working with international clients, allowing you to handle transactions in different currencies.
- Client Management: Client management features help you keep track of client information, communication, and billing history, ensuring a smooth client relationship.
Security: Security features protect your sensitive financial data from unauthorized access and cyber threats, giving you peace of mind. - Accounts receivable: Money owed to a business by its customers for sales.
- Add-ons: Optional features or extensions that enhance core software functionality.
- General ledger: Centralized record of all financial transactions within an organization.
- Credit Card Payable: Outstanding amounts owed on credit card purchases by a business.
- Recurring invoices: Automatically generated invoices for regular, ongoing services or subscriptions.
Choosing accounting software with these features will help you manage your finances more effectively, allowing you to focus on delivering exceptional services to your clients.
Benefits Of Accounting Software For Consultants
In today's fast-paced business environment, consultants need efficient tools to manage their finances and streamline their operations. Below are five primary benefits of using accounting software for consultants.
- Time Savings: Automating financial tasks such as invoicing, expense tracking, and payroll processing saves consultants valuable time, allowing them to focus more on their core consulting activities.
- Improved Accuracy: By reducing the need for manual data entry, accounting software minimizes the risk of human error, ensuring that financial records are accurate and up-to-date.
- Enhanced Financial Reporting: The software provides comprehensive financial reports and analytics, enabling consultants to gain deeper insights into their financial performance and make informed business decisions.
- Better Cash Flow Management: With features like automated invoicing and payment reminders, accounting software helps consultants manage their cash flow more effectively, ensuring timely payments and reducing the likelihood of cash shortages.
- Scalability: As a consultant's business grows, accounting software can easily scale to accommodate increased financial transactions and more complex financial needs, providing a flexible solution that grows with the business.
Investing in accounting software can provide consultants with the tools they need to manage their finances more efficiently and effectively. By leveraging these benefits, consultants can enhance their productivity, accuracy, and overall business performance.
Costs & Pricing Of Accounting Software For Consultants
This section provides an estimate of average accounting software plans and costs for consultants.
| Plan Type | Average Price | Common Features |
| Free Plan | $0/month | Basic invoicing, expense tracking, limited reporting |
| Personal Plan | $19 - $33/month | Time tracking, invoicing, expense management, basic reporting |
| Business Plan | $60 - $99/month | Advanced invoicing, project management, multi-user access, comprehensive reports |
| Enterprise Plan | $150 - $275/month | Customizable features, advanced analytics, multi-currency support, ERP features |
Accounting Software For Consultants FAQs
Here are some answers to frequently asked questions you may have about Accounting Software for Consultants and how it works.
How do I integrate my accounting software with other tools I use?
Integrating accounting software with other tools can streamline your workflow and improve efficiency. Most modern accounting software offers integration capabilities with popular tools such as CRM systems, project management software, and payment gateways.
To integrate, you typically need to access the software’s settings or integration section, where you can find options to connect with other applications. Some software may require API keys or OAuth authentication to establish a secure connection. It’s advisable to consult the software’s documentation or support team for detailed instructions specific to your tools.
Can I customize the invoicing templates in my accounting software?
Yes, many accounting software solutions allow you to customize invoicing templates to match your brand’s identity. You can usually add your logo, change colors, and modify the layout to include specific information such as payment terms, client details, and itemized services. Customization options can often be found in the settings or invoicing section of the software. If you need advanced customization, some software offers the ability to use HTML/CSS for more detailed adjustments.
What are the best practices for managing expenses in accounting software?
Managing expenses effectively in accounting software involves several best practices. First, regularly update and categorize expenses to keep your records accurate. Use the software’s receipt capture feature to digitize and store receipts. Set up recurring expenses for regular payments to save time. Additionally, reconcile your accounts frequently to ensure that your recorded expenses match your bank statements. Utilizing expense reports can also help you analyze spending patterns and identify areas for cost-saving.
How can I ensure data security in my accounting software?
Data security is crucial when using accounting software. Ensure that the software uses encryption to protect your data both in transit and at rest. Enable two-factor authentication (2FA) for an added layer of security. Regularly update your software to benefit from the latest security patches. It’s also important to control user access by assigning appropriate permissions based on roles. Regularly back up your data to prevent loss in case of a breach or system failure.
Is it possible to manage multiple currencies in accounting software?
Yes, many accounting software solutions support multi-currency management, which is essential for consultants working with international clients. This feature allows you to invoice clients in their local currency and manage expenses in different currencies. The software will automatically convert amounts based on current exchange rates and provide reports in your base currency. Ensure that the software you choose offers robust multi-currency support if you frequently deal with international transactions.
How do I handle tax compliance using accounting software?
Handling tax compliance with accounting software involves setting up tax rates according to your jurisdiction’s requirements. The software can automatically calculate taxes on invoices and expenses, ensuring accurate tax reporting. Many solutions offer tax filing features or integrations with tax filing services to streamline the process. It’s important to keep your tax settings updated and consult with a tax professional to ensure compliance with local regulations.
Can I track billable hours and link them to invoices in my accounting software?
Yes, tracking billable hours and linking them to invoices is a common feature in accounting software designed for consultants. You can log hours worked on specific projects or tasks, and the software will automatically calculate the billable amount based on your hourly rate. This information can then be easily added to invoices, ensuring accurate billing. Some software also offers time-tracking integrations or built-in timers to make this process even more efficient.
What should I do if I encounter an error or issue with my accounting software?
If you encounter an error or issue with your accounting software, the first step is to consult the software’s help documentation or knowledge base, which often contains solutions to common problems. If the issue persists, contact the software’s customer support team for assistance. Provide detailed information about the problem, including any error messages and steps to reproduce the issue. Many software providers offer support through various channels such as email, live chat, or phone. Additionally, participating in user forums or communities can provide insights and solutions from other users who may have faced similar issues.
Who uses accounting software for consultants?
Accounting software for consultants is widely used by a variety of professionals and businesses. Consulting firms rely on it to manage client billing and financial reporting. Small businesses and startups use it to streamline their bank accounts and business finances, ensuring accurate records. Professional services firms find it essential for tracking profitability and managing their operations efficiently. Even individual team members within organizations benefit from its features to handle day-to-day financial tasks, making it a versatile tool across industries.
What’s Next?
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