16 Best Business Accounting Software For Accurate Financial Records In 2024
10 Best Business Accounting Software Providers Shortlist
Here's my pick of the 10 best software from the 16 tools reviewed.
Our one-on-one guidance will help you find the perfect fit.
There are seemingly countless accounting software solutions available, so figuring out which one is best for you is tough. You want to track income and expenses, generate financial reports, and ensure accurate financial records for informed decision-making but need to figure out which tool is the best fit. I've got you! In this post, I make things simple, leveraging my first-hand research of dozens of different tools and experience with accounting as an entrepreneur to bring you this shortlist of the best business accounting software.
What is Business Accounting Software?
Business accounting software is a tool used to record and track financial transactions, manage accounts, and generate reports, contributing to efficient accounting processes and effective financial planning.
Key features like general ledger management, invoicing, expense tracking, financial reporting, and tax preparation tools streamline financial management tasks, improve accuracy, and save time for businesses in managing their finances.
Overview Of The Best Business Accounting Software
Based on the selection criteria described below, these are the best business accounting platforms on the market today.
Xero is a popular accounting platform that’s widely used in Australia and Europe—and it’s quickly gaining ground in the United States. It’s fully cloud-based, with an intuitive UI on both desktop and mobile.
The basic functionality is simple and approachable. While its financial reporting features are somewhat limited, Xero easily integrates with tons of third-party apps for enhanced functionality. Xero partners with Gusto for seamless payroll integration starting at $40/mo.
Xero is also very cost-effective. The Early plan is just $13/mo and includes up to 20 invoices or quotes and up to 5 bills. This is ideal for new businesses, solopreneurs, contractors, and consultants. If you need higher volume or full features, the Growing ($37/mo) and Established ($70/mo) plans are competitively priced.
The premium plans from Xero include other unique features, like multi-currency support, bulk reconciliation, and in-depth analytics.
One useful feature that’s included in all Xero plans is Hubdoc, a data capture software that can grab key data from receipts, PDFs, bank statements, and more—and automatically import said data into Xero.
Why I picked Xero: I picked Xero as the best consultant accounting software because of its low-cost plans for small businesses.
Xero Standout Features and Integrations
Standout features include multi-currency support, simple bill and receipt capture, and an excellent mobile app.
Integrations include Square, Stripe, PayPal, Gusto, and more.
Pros and cons
Pros:
- Slick receipt scanning and data capture tool
- Full-service payroll integration option with Gusto
- Budget-friendly base plan for smaller companies and contractors
Cons:
- ACH payment fees
- Limited customer support
While popularity doesn’t necessarily dictate quality, QuickBooks Online really has earned its reputation as a favorite among small business owners. There is a lot to dig into here, but I’ll start with this: QuickBooks is perhaps the easiest to learn. There is a huge library of training materials available from Intuit (the maker of QuickBooks), as well as thousands of third-party creators who offer tutorials and training programs for QuickBooks.
Plus, the popularity of QuickBooks Online makes it simple to integrate—not only with other software solutions but also with CPAs and other tax professionals. Any tax pro worth their salt will be familiar with QuickBooks, so if you outsource bookkeeping or tax preparation, you’ll face no issues there.
Why I picked QuickBooks Online: I selected QuickBooks Online because it’s feature-rich, simple to integrate with most industry standard business software, and the most popular accounting software by far.
QuickBooks Online Standout Features and Integrations
Standout Features include easy report and financial statement preparation tools, extensive learning resources and tutorials, and free guided setup with a QuickBooks expert.
Integrations include Amazon Business, PayPal, Shopify, Square, Gusto, and 750+ other popular business apps.
Pros and cons
Pros:
- Syncs with banks and credit cards
- Hundreds of integration
- Extensive training materials
Cons:
- Limited number of users
- Above-average price point
Microsoft Dynamics 365 Finance is a part of the Dynamics 365 business suite. It’s a financial insights and analytics tool, first and foremost. Birds-eye-view financial reports paired with AI-driven insights and analytics make this tool a solid choice for firms adapting to changing business environments, but it might be overkill for smaller companies.
While this software can help automate certain accounting tasks and help firms think on their feet, it’s not really accounting software in the traditional sense. It’s designed to be used in combination with a third-party accounting solution.
Why I picked Microsoft Dynamics 365: I selected Microsoft Dynamics 365 because of the insights it offers into a firm’s financial condition.
Microsoft Dynamics 365 Standout Features and Integrations
Standout features include advanced financial reporting, AI-assisted financial insights, and cost reduction analysis.
Integrations include other Microsoft ERP solutions and third-party apps, including HubSpot and LinkedIn Sales Navigator.
Pros and cons
Pros:
- Embedded analytics
- Birds-eye-view of your firm’s entire financial picture
- AI-driven insights and automations
Cons:
- Designed more for financial decision making rather than day-to-day accounting
- Expensive
Zoho Books is an intuitive accounting platform from Zoho, an up-and-coming business software provider. Zoho currently has 50+ different business apps across sales, marketing, finance, legal, and more—and they all integrate seamlessly with Zoho Books.
Although it’s simple and user-friendly, Zoho Books has surprising depth of features across payables, receivables, inventory, time tracking, and more. And business owners on the go will appreciate the slick mobile app, which is full-featured and has excellent ratings on the Apple Store and Google Play.
Why I picked Zoho Books: I selected Zoho Books because of its top-notch mobile app, which outperforms most mobile accounting apps on the market.
Zoho Books Standout Features and Integrations
Standout features include a full-featured mobile app, customizable financial reports, and integration with business contacts for efficient pitching, invoicing, and merchant payments.
Integrations include Zoho’s 50+ other business apps, plus some third-party integrations like Square, PayPal, and Stripe.
Pros and cons
Pros:
- Free for businesses with under $50,000 in annual revenue
- Full-featured accounting with clean UI
- Great mobile app
Cons:
- May be overly complex for some small businesses
- Primarily integrates with other Zoho apps; third-party app integrations are a bit lacking
FreshBooks is an intuitive invoicing and accounting platform that’s fully cloud-based. The backbone of the software is invoicing, but accounting, payroll, and bookkeeping features are also included.
You can create a professional-looking invoice with FreshBooks in seconds—but what really sets it apart from the competition are its advanced features, like upfront deposit requirements, which allow you to require a portion of the payment upfront (25%, for example).
It’s also easy to invoice for billable expenses by simply marking qualified expenses as billable to a certain client. Plus, you can even track billable time with built-in time tracking (a feature that’s rare in accounting software solutions).
Proposals and quotes are also simple to create and send with FreshBooks. And remember, FreshBooks does also have full-fledged bookkeeping and accounting features. Its most impressive features are invoicing-related, but FreshBooks has expanded to be a full-service accounting, payroll, and invoicing solution.
Why I picked FreshBooks: I picked FreshBooks as the best business invoicing software because it offers advanced invoicing tools (like upfront deposit requirements), while also being very simple to use.
FreshBooks Standout Features and Integrations
Standout features include fully customizable invoicing, advanced proposals and quotes, and integrated time tracking.
Integrations include Acuity Scheduling, Gusto, HubSpot, and third-party apps via Zapier.
Pros and cons
Pros:
- Free trial with no credit card required
- Affordable plans
- Advanced invoicing and proposal features
Cons:
- Not well suited to large firms
- Limited functionality in the mobile app
BlackLine is a cloud software solution for finance and accounting automation. It’s designed primarily for mid-sized to large firms. The company does not publish pricing information, as quotes are custom and based on client needs—but suffice it to say, this is a comprehensive solution designed primarily for large companies.
While it can be used on its own, BlackLine is designed to augment existing software solutions—namely ERP platforms, including Oracle and Microsoft Dynamics. BlackLine focuses on helping finance and accounting teams free up valuable resources by automating various processes in three key areas: Financial closing, accounts receivable, and intercompany financial management.
In addition to automating manual accounting processes, BlackLine also helps to unify diverse systems, data, and processes to deliver greater efficiency and accuracy for finance teams. Its analysis and reporting tools also enable teams to make real-time decisions with up-to-date company-wide data.
Why I picked Blackline: I selected Blackline as a top option for large, data-heavy firms that could benefit from the software’s advanced automation features.
Blackline Standout Features and Integrations
Standout features include financial close management tools, AR automation and analysis, and advanced tools for disputes and collections.
Integrations include common ERP platforms from Oracle, NetSuite, SAP, and Microsoft Dynamics.
Pros and cons
Pros:
- Tax-efficient processes for multi-company and multi-industry firms
- Improves efficiencies and accuracy for finance teams
- Advanced automation features in accounts receivable, closing, and more
Cons:
- Designed to augment, rather than replace, other software tools
- Steep learning curve
Oracle ERP Cloud is much more than business accounting software—it’s a full-fledged ERP solution.
ERP tools enable firms to oversee, analyze, and manage business operations with a birds-eye-view. They are a useful tool to plan out operations, HR, finance, supply chain management, and more, all in one centralized location.
Oracle Cloud ERP is one of the best ERP software solutions on the market. It’s fully cloud-based, making it a good fit for distributed teams. The software is designed to handle the workload of the largest firms out there—so it may be overkill for smaller firms with simpler operations.
Like most ERP solutions, Oracle Cloud ERP is offered at custom pricing determined during the onboarding process.
Where software like Oracle really shines is in planning and resource management. Its accounting features are robust, with predictive algorithms, advanced automation, and the capability to handle massive transaction volume.
But the real value of Oracle Cloud ERP lies in its tools that allow managers to gauge how a firm’s current financial situation fits in with the bigger picture across operations, finance, HR, procurement, and more.
Why I picked Oracle Cloud ERP: I picked Oracle Cloud ERP as a top option for large firms because it’s far more than just an accounting tool—it’s a full-fledged ERP platform and one of the best on the market.
Oracle Cloud ERP Standout Features and Integrations
Standout features include advanced automation for over 80% of financial processes, rapid processing speed for high-volume firms, and predictive algorithms for cash flow forecasting.
Integrations include Oracle Cloud products and various third-party SaaS tools (via Oracle Fusion Cloud ERP).
Pros and cons
Pros:
- Advanced automation and predictive analytics
- Birds-eye-view of your firm’s entire operations
- All-in-one enterprise resource planning solution
Cons:
- Steep learning curve
- Expensive
Infor Enterprise Financial Management is part of Infor’s suite of business software solutions. This module focuses on financial insights, accounting automation, and supply chain management. It’s best suited for decision-making and insights rather than day-to-day accounting tasks.
What’s unique about this software is that it combines financial insights with substantial procurement, expense management, and supply chain management features.
Why I picked Infor Enterprise Financial Management: I selected Infor because of its advanced supply chain and financial insights for mid-sized to large firms.
Infor Enterprise Financial Management Standout Features and Integrations
Standout features include a global ledger with unlimited sub-ledgers, unlimited attributes, and streamlined sourcing and procurement insights.
Integrations include other Infor software tools.
Pros and cons
Pros:
- Cloud-based
- Designed for large firms
- Integrated supply chain management features
Cons:
- Better suited for financial insights rather than day-to-day accounting tasks
- Steep learning curve
Sage 50cloud Accounting is a robust accounting solution for small businesses, with a key focus on inventory management, job-costing, and payroll integration. The tool is affordably priced and easy to use, but I particularly like it for retail companies due to its advanced inventory management features.
Overall, Sage 50cloud Accounting offers enterprise-level features at surprisingly reasonable prices.
It’s not fancy—in fact, it looks quite simple on the surface. But the functionality doesn't disappoint, and the intuitive interface makes it easy to use, as well.
Why I picked Sage 50cloud Accounting: I picked Sage primarily because of its advanced inventory management features, which are well-suited for retail businesses and e-commerce firms.
Sage 50cloud Accounting Standout Features and Integrations
Standout features include job costing, cash-flow monitoring with predictive analytics, and customizable one-click reports.
Integrations include other Sage products with optional add-ons for payroll, check writing, payment processing, and tax e-filing.
Pros and cons
Pros:
- Reasonable pricing, given the advanced functionality
- Advanced inventory management
- Extensive features for retail firms
Cons:
- Additional cost for multiple users
- Simple interface without many bells and whistles
Wave is a free accounting software solution for small businesses. It’s a perfect fit for service-based businesses, as it has surprisingly robust invoicing features—and it’s totally free to use. Wave only charges for payment processing and payroll, both of which are optional.
And unlike other “free” services, Wave doesn’t place limits on the number of invoices you can send or the number of clients or team members you can add as users. With that said, Wave’s payment processing fees are a bit higher than some competitors.
Why I picked Wave: I picked Wave because it has a surprisingly useful, completely free tier for basic accounting and invoicing tasks.
Wave Standout Features and Integrations
Standout features include support for an unlimited number of users and unlimited free invoicing.
Integrations include other Wave apps and third-party integrations via Zapier.
Pros and cons
Pros:
- Mobile app works well
- Unlimited users and invoices
- 100% free invoicing and accounting
Cons:
- Visit WebsiteOpens new window
- Payment processing fees are higher than average
- Limited features for larger companies
| Tools | Price | |
|---|---|---|
| Xero | From $1.40/month | Website |
| QuickBooks Online | From $10.50/month (for 3 months, then $35/month) | Website |
| Microsoft Dynamics 365 | From $70/user/month | Website |
| Zoho Books | From $15/month (billed annually) | Website |
| FreshBooks | From $10/month (billed annually) | Website |
| BlackLine | Pricing upon request | Website |
| Oracle ERP | Pricing upon request | Website |
| Infor | Pricing upon request | Website |
| Sage 50cloud | From $57.17/month for one-user plan, billed annually | Website |
| WAVE | From $16/user/month | Website |
Compare Software Specs Side by Side
Use our comparison chart to review and evaluate software specs side-by-side.
Compare SoftwareOther Business Accounting Software Options
The options above are my picks for the best accounting software solutions. If you didn’t quite find what you were looking for, here are some other options to consider.
- MarginEdge
Business and finance software for restaurants
- CS Professional Suite
Software for accounting
- NetSuite
An automation-rich software suite with regulatory compliance features
- Neat
A simple accounting software solution for the self-employed
- Sage Accounting
A simple, cloud-based accounting solution with budget-friendly plans
- Kashoo
A budget-friendly software for startups and growing businesses
Related Reviews
If you still haven’t found what you’re looking for here, check out these other tools that we’ve tested and evaluated:
Selection Criteria for the Best Business Accounting Software
Here’s a short summary of the main selection and evaluation criteria I used to develop my list of the best business accounting software—and the factors you should consider when making your selection.
Core Functionality
A software’s core functionality includes the tasks and processes that the software is designed to handle. Here are the basic capabilities that each software on this list provides:
- Enable you to handle basic bookkeeping tasks in-house
- Allow you to prepare basic financial reports, like a P&L, balance sheet, or cash flow statement
- Help streamline account reconciliations, the closing process, and tax preparation.
Key Features
Key features set each tool apart from the competition. Here are some of the key features I looked for in my search business accounting software:
- Automation & real-time syncing: The best business accounting software providers offer ways to speed up your accounting workflow and synchronize your financial data so it's accessible from anywhere.
- Receipt capture: OCR-powered document scanner or mobile app is a useful feature in business accounting software–and it can help you save a ton of time.
- Financial reporting: Accounting software should help automate the financial statement preparation process and make it easier to meet internal and external reporting requirements.
- Forecasting & modeling tools: Some accounting software uses business intelligence to create financial forecasts and models.
- Invoicing & payment processing: Accounting software should give you a simple way to create and send invoices and process customer payments (either directly or through a third-party integration).
Usability
I paid close attention to each software’s user interface and overall user experience. It doesn’t matter how good the features and technical specs are on a tool if no one wants, or knows how, to use it.
Integrations
The software you choose should integrate with the tools and platforms your firm already uses. Consider integrations with your POS system, eCommerce platform, payment processor, payroll software, and more.
Compatibility with Accounting Systems & Providers
Beyond formal integrations with other software, the right accounting software should be compatible with as many of your existing systems and tools as possible. This includes both internal systems as well as external support (like a partnered CPA firm). While most accounting software can export data in a universal format, it’s often helpful to use solutions with widespread use in the accounting industry (such as QuickBooks).
Technical Support
Ideally, accounting software should work as advertised and not require direct support. But if your accounting software ever were to crash, Murphy’s law says it’ll happen in the middle of month-end close, or the night before taxes are due.
Hopefully it never comes down to that. But, given how important accounting and financial data is for your business, a software option that gives you access to 24/7 support is a huge plus.
People Also Ask
Answers to common questions related to business accounting software can be found below.
What is the most commonly used accounting software?
QuickBooks is the most popular accounting software among small business owners. Runners-up include Xero, FreshBooks, and Wave.
While “most popular” does not necessarily equate to “the best,” there are certain advantages to utilizing more commonly used software solutions.
For one, most employees with a background in finance or accounting will be at least somewhat familiar with software like QuickBooks, while they may need to be trained on other platforms.
To answer the question of which business accounting software is the best choice, you need to know who’s asking.
What is the cheapest business accounting software?
Wave is the cheapest software for basic business accounting—it’s completely free for the base plan, which includes accounting and invoicing features. Adding payroll functionality and payment processing increases the cost, however.
Another affordable option is FreshBooks, with plans starting at $17 per month.
However, FreshBooks and Wave won’t work for every business. For larger firms in particular, it’s important to weigh functionality vs. price when determining the right software solution.
Which business accounting software is easiest to use?
The two options that consistently earn good ratings for ease of use are Wave and QuickBooks.
Wave is perhaps the simplest and also most cost-effective for basic accounting. QuickBooks is more involved but also more feature-rich and widely used in the accounting community.
Other Accounting Software Options
If you still haven’t found what you’re looking for here, check out these other tools that we’ve tested and evaluated:
- Accounting Software For Midsize Businesses
- Accounting Software for PC
- Engineering Accounting Software
- Accounting Software for Teams
- Accounting Software With CRM
- Real Estate Accounting Software
- Accounting Software With Client Portals
- Multi-Company Accounting Software
- Legal Accounting Software
- Accounting Software for Startups
- AI Accounting Software
- Accounting Workflow Management Software
- Accounting Software With Payroll For Small Businesses
- Accounting Software For Service Companies
- Accounting Software For Rental Properties
- Accounting Software For Advertising Agencies
- Accounting Software For The Self-Employed
- Accounting Software For Large Business
- Accounting Software For Consultants
- Accounting Software for Mac
- Accounting Software For Accountants
- Cloud-Based Accounting Software
- Lease Accounting Software
- Small Business Accounting Software
- Property Management Accounting Software
- Construction Accounting Software
- Accounting Software For Nonprofits
- Online Accounting Software
Summary
Choosing the best business accounting software for your company is an important step. Having an in-house, full-featured software solution can save you a lot of money on accounting costs while ensuring that your books are kept accurately and in an easily shareable format.
The tools listed in this guide are the best business accounting software solutions on the market today. It’s up to you to choose the right one for your specific situation, but you really can’t go wrong with any of the options above.
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