20 Best Invoicing Software For Small Business Reviewed In 2024
10 Best Invoicing Software Tools for Small Businesses Shortlist
Here's my pick of the 10 best software from the 20 tools reviewed.
Our one-on-one guidance will help you find the perfect fit.
Invoicing software is a valuable asset for any company- especially small businesses. With the right software, teams can improve financial tracking efficiency and automate billing processes. But finding the right invoicing software can be a challenge, especially with so many options available.
Using my experience with finance and accounting software, I tested and compared several of the top invoicing software for small businesses available. From there, I compiled my results into detailed reviews to help you find the best software for your needs.
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Best Invoicing Software for Small Businesses Summary
This comparison chart summarizes pricing details for my top invoicing software for small business selections to help you find the best one for your budget and business needs.
| Tools | Price | |
|---|---|---|
| Paddle | Pricing upon request | Website |
| Invoice Home | Pricing upon request | Website |
| Sage Accounting | From $19/month | Website |
| Harvest | From $10.80/user/month | Website |
| Invoicely | From $7.99/month (billed annually) | Website |
| QuickBooks | From $35/month | Website |
| Hiveage | From $16/month (billed annually) | Website |
| InvoiceNinja | From $10/month (billed annually) | Website |
| Wave | From $14/month | Website |
| Square Invoices | Pricing upon request | Website |
Compare Software Specs Side by Side
Use our comparison chart to review and evaluate software specs side-by-side.
Compare SoftwareHow to Choose Invoicing Software for a Small Business
It’s easy to get bogged down in long feature lists and complex pricing structures. To help you stay focused as you work through your unique software selection process, here’s a checklist of factors to keep in mind:
| Factor | What to Consider |
| Scalability | Ensure the software can grow with your business, handling increased invoice volume. |
| Integrations | Check if it integrates with your current accounting tools and other business systems. |
| Customizability | Look for options to tailor invoices to your branding and specific needs. |
| Ease of Use | Choose software that's intuitive for your team to use without extensive training. |
| Budget | Consider your budget and compare pricing models to find what fits financially. |
| Security Safeguards | Ensure it complies with data protection regulations to keep your financial data safe. |
| Customer Support | Reliable support can assist you quickly when issues arise, saving time and stress. |
| Mobile Access | Consider if you need to manage invoices on the go through mobile apps. |
Best Invoicing Software for Small Businesses Reviews
Below are my detailed summaries of the best invoicing software for small businesses that made it onto my shortlist. My reviews offer a detailed look at the key features, pros & cons, integrations, and ideal use cases of each tool to help you find the best one for you.
Paddle is a full-featured billing platform tailored for SaaS companies and software vendors. It integrates billing, subscription management, and compliance to help businesses manage their sales and revenue efficiently.
Why I picked Paddle: Paddle is designed specifically for SaaS businesses, offering features like automated billing and subscription management. It simplifies global tax compliance, which can be a headache for international operations. The platform also handles payment processing, allowing you to focus on growth. These features make it particularly beneficial for software vendors navigating complex billing needs.
Standout features & integrations:
Features include detailed analytics dashboards that provide insights into your business performance. You can also easily manage customer subscriptions, ensuring flexibility for different pricing models. The platform supports global payment processing, allowing you to operate in multiple currencies without hassle.
Integrations include Salesforce, HubSpot, Xero, QuickBooks, Slack, Zapier, Stripe, FreshBooks, Mailchimp, and PayPal.
Pros and cons
Pros:
- Handles complex billing needs
- Automated subscription management
- Simplifies global tax compliance
Cons:
- Learning curve for new users
- Pricing transparency lacking
Invoice Home is an online invoicing tool geared towards small businesses and freelancers. It provides an easy way to create and send invoices, focusing on customization and simplicity.
Why I picked Invoice Home: Invoice Home offers a wide variety of invoice templates, allowing you to create invoices that match your brand's style. You can quickly generate invoices with pre-made templates, saving your team time. The platform also supports multiple currencies, which is beneficial for international clients. These features make it ideal for those who need diverse invoicing options.
Standout features & integrations:
Features include the ability to add your logo to invoices, which enhances brand recognition. You can also generate PDF invoices instantly for easy sharing. The tool provides a dashboard that gives you an overview of your invoicing activities and payment statuses.
Integrations include PayPal, Stripe, and Authorize.Net.
Pros and cons
Pros:
- Instant PDF invoice generation
- Supports multiple currencies
- Extensive template variety
Cons:
- No time tracking feature
- Limited advanced features
Sage Accounting is an accounting software solution tailored for small to medium-sized businesses. It offers invoicing, expense management, and compliance features, helping businesses stay organized and compliant.
Why I picked Sage Accounting: Sage Accounting caters specifically to UK businesses with its compliance features for UK tax laws. You can easily manage VAT and submit returns directly to HMRC. The software also provides detailed financial reporting, aiding in informed decision-making. Its focus on UK-specific regulations makes it ideal for businesses operating in this region.
Standout features & integrations:
Features include automated bank reconciliation, which helps you keep your accounts accurate and up-to-date. It also offers cash flow forecasting, allowing you to plan your finances effectively. Invoice templates let you customize your branding on every bill sent.
Integrations include Microsoft 365, AutoEntry, Stripe, PayPal, Shopify, eBay, Amazon, GoCardless, Zapier, and Expensify.
Pros and cons
Pros:
- Automated bank reconciliation
- Cash flow forecasting
- VAT compliance tools
Cons:
- Steep learning curve
- Limited mobile app features
Harvest is a time-tracking and invoicing tool designed for freelancers and small businesses. It helps manage time, expenses, and billing, offering a streamlined approach to project management and invoicing.
Why I picked Harvest: Harvest excels at integrating time tracking with invoicing, making it ideal for businesses that need accurate billing for hourly work. You can easily convert tracked time into invoices, ensuring you get paid for every hour worked. The tool also provides detailed project reports to monitor progress. These features are valuable for teams needing efficient time management and billing.
Standout features & integrations:
Features include intuitive expense tracking, which helps you manage project costs effectively. You can also set up reminders for timesheets to ensure timely submissions. The reporting feature offers insights into project performance and team productivity, helping you make informed decisions.
Integrations include QuickBooks Online, Xero, Stripe, PayPal, Slack, Trello, Asana, Basecamp, Google Workspace, and Zapier.
Pros and cons
Pros:
- Intuitive expense tracking
- Easy conversion to invoices
- Accurate time tracking
Cons:
- No offline access
- Limited customization options
Invoicely is an online invoicing tool designed for small businesses and freelancers. It facilitates invoicing, expense tracking, and client management, offering value through simplicity and unlimited invoicing capabilities.
Why I picked Invoicely: Invoicely allows you to send an unlimited number of invoices, making it suitable for growing businesses with frequent billing needs. You can easily track expenses and manage multiple businesses under one account. Its straightforward interface simplifies the billing process. These features make it a practical choice for businesses needing flexibility in invoicing.
Standout features & integrations:
Features include multiple business management, allowing you to handle separate business entities from one account. You can also manage invoices in different currencies, supporting international business operations. The tool offers customizable invoice templates that let you maintain your brand identity.
Integrations include PayPal, Stripe, Authorize.Net, 2Checkout, Mollie, Braintree, WePay, Amazon Payments, CardConnect, and BitPay.
Pros and cons
Pros:
- Straightforward interface
- Supports multiple businesses
- Unlimited invoicing capability
Cons:
- Basic reporting options
- Limited advanced features
QuickBooks is an accounting software solution that caters to small businesses and freelancers. It offers invoicing, expense tracking, and payroll management, providing a comprehensive financial management platform.
Why I picked QuickBooks: QuickBooks integrates accounting features with invoicing, making it a one-stop solution for small businesses. You can manage invoices, track expenses, and handle payroll all in one place. The ability to sync bank transactions helps you keep finances accurate. These features make it a strong choice for businesses needing integrated accounting solutions.
Standout features & integrations:
Features include automatic transaction categorization, which saves you time on bookkeeping. You can also generate detailed financial reports to better understand your business finances. The software offers tools for tax preparation, helping you stay compliant with tax regulations.
Integrations include PayPal, Shopify, Square, TSheets, Bill.com, HubSpot, Expensify, Salesforce, Mailchimp, and Zendesk.
Pros and cons
Pros:
- Tax preparation tools
- Automatic transaction categorization
- All-in-one financial management
Cons:
- Limited customization for invoices
- Can be overwhelming for beginners
Hiveage is an online invoicing and billing tool aimed at freelancers and small businesses. It focuses on streamlining billing processes with features like invoicing, expense tracking, and time management.
Why I picked Hiveage: Hiveage excels in managing recurring billing, making it ideal for businesses with subscription models. You can easily set up automated invoices for regular clients, reducing manual work. The tool also tracks expenses and mileage, which is helpful for businesses on the move. These features make Hiveage a strong choice for those needing efficient billing management.
Standout features & integrations:
Features include the ability to create customizable invoice templates, which helps maintain brand consistency. You can also utilize its time-tracking feature to ensure accurate billing for hourly projects. The platform offers detailed financial reports that give insights into your business's performance.
Integrations include PayPal, Stripe, Authorize.Net, Braintree, WePay, Dwolla, 2Checkout, Razorpay, BitPay, and Coinbase.
Pros and cons
Pros:
- Expense and mileage tracking
- Time tracking capabilities
- Efficient recurring billing
Cons:
- Occasional performance issues
- Limited offline access
InvoiceNinja is an invoicing and billing tool popular among freelancers and small business owners. It supports invoicing, time tracking, and expense management, adding value through its open-source nature.
Why I picked InvoiceNinja: InvoiceNinja provides flexibility with its open-source platform, allowing you to tailor it to your needs. It's ideal for those who want control over their invoicing system. The software offers multiple payment gateways and customized invoice templates. These features make it appealing to users who prefer open-source solutions.
Standout features & integrations:
Features include time tracking for projects, which helps you bill accurately. You can also automate invoice reminders, making sure you never miss a payment. The ability to create custom quotes is another standout, offering flexibility in client communications.
Integrations include Zapier, Stripe, PayPal, Slack, QuickBooks, Xero, Google Suite, FreshBooks, Mailchimp, and Trello.
Pros and cons
Pros:
- Multi-currency support
- Custom invoice templates
- Open-source flexibility
Cons:
- Steeper learning curve
- Limited customer support
Wave is a financial software platform designed for small businesses and freelancers. It provides core functions like invoicing, accounting, and receipt scanning, all aimed at simplifying financial management.
Why I picked Wave: Wave offers free invoicing software, making it an attractive choice for cost-conscious small businesses. You can create and send invoices without any fees, which is ideal for startups and smaller organizations with limited budgets. The software also includes accounting features, allowing you to manage your finances in one place. These capabilities make it especially appealing for those seeking budget-friendly solutions.
Standout features & integrations:
Features include customizable invoice templates, which let you maintain a consistent brand image. You can also set up automatic payment reminders to ensure timely payments. The receipt scanning feature helps you keep track of expenses and organize them.
Integrations include PayPal, Etsy, Shoeboxed, Zapier, Google Sheets, Stripe, BluePay, Shopify, QuickBooks, and FreshBooks.
Pros and cons
Pros:
- Includes receipt scanning
- Automatic payment reminders
- Free invoicing service
Cons:
- No inventory management
- Limited mobile app functionality
Square Invoices is a billing and invoicing tool designed for small retailers and service providers. It simplifies payment processing and invoicing, helping businesses manage their sales transactions efficiently.
Why I picked Square Invoices: For small retailers, Square Invoices offers straightforward payment processing and easy setup. You can send unlimited invoices and accept card payments online. The tool also allows you to track invoice status in real time. These features make it a suitable choice for small retail businesses looking for simplicity.
Standout features & integrations:
Features include the ability to create custom invoice templates, helping you maintain brand consistency. You can also send invoices via SMS, increasing the chances of timely payments. The reporting and analytics feature gives insights into your invoicing and payment trends.
Integrations include QuickBooks, Xero, WooCommerce, Wix, GoDaddy, BigCommerce, Adobe Commerce, Weebly, Drupal, and Ecwid.
Pros and cons
Pros:
- Unlimited invoices
- Real-time invoice tracking
- Easy setup process
Cons:
- Transaction fees apply
- Limited customization options
Other Invoicing Software for Small Businesses
Here are some additional invoicing software options for small businesses that didn’t make it onto my shortlist, but are still worth checking out:
- Paymo
Best for project-based billing
- FreshBooks
Best for freelancers
- Zoho Invoice
Best for businesses needing unlimited user access
- Xero
Best for accounting integration
- Keap
Best for small business CRM integration
- Stripe
Best for online payments
- Float
Best for cash flow forecasting
- HoneyBook
Best for creative agencies and freelancers
- Paystand
Best for blockchain payments
- Thryv
Best for appointment-based businesses
Invoicing Software for Small Businesses Selection Criteria
When selecting the best invoicing software for small business to include in this list, I considered common buyer needs and pain points like managing recurring billing and ensuring timely payments. I also used the following framework to keep my evaluation structured and fair:
Core Functionality (25% of total score)
To be considered for inclusion in this list, each solution had to fulfill these common use cases:
- Create and send invoices
- Track payments and due dates
- Support multiple currencies
- Generate financial reports
- Manage client information
Additional Standout Features (25% of total score)
To help further narrow down the competition, I also looked for unique features, such as:
- Automated recurring billing
- Integration with accounting software
- Customizable invoice templates
- Mobile app availability
- Multi-user access and permissions
Usability (10% of total score)
To get a sense of the usability of each invoicing solution, I considered the following:
- Intuitive user interface
- Easy navigation
- Minimal learning curve
- Speed and responsiveness
- Aesthetic design
Onboarding (10% of total score)
To evaluate the onboarding experience for each platform, I considered the following:
- Availability of training videos
- Interactive product tours
- Access to templates
- Onboarding webinars
- Chatbot assistance
Customer Support (10% of total score)
To assess each software provider’s customer support services, I considered the following:
- 24/7 support availability
- Live chat options
- Email response time
- Availability of a knowledge base
- Personalized support
Value For Money (10% of total score)
To evaluate the value for money of each platform, I considered the following:
- Competitive pricing
- Features included in a basic plan
- Cost of additional users
- Free trial availability
- Discounts for annual billing
Customer Reviews (10% of total score)
To get a sense of overall customer satisfaction, I considered the following when reading customer reviews:
- Overall satisfaction ratings
- Feedback on customer service
- Comments on ease of use
- Praise for specific features
- Criticism of any limitations
Trends in Invoicing Software for Small Businesses
In my research, I sourced countless product updates, press releases, and release logs from different invoicing software for small business vendors. Here are some of the emerging trends I’m keeping an eye on:
- AI-driven insights: AI is being used to analyze invoicing data, offering insights into cash flow and client payment behaviors. Some vendors are integrating AI to predict late payments and suggest actions, making invoicing smarter and more proactive.
- Blockchain for secure transactions: Blockchain technology is being explored for secure and transparent invoicing transactions. This trend is gaining traction as businesses look for ways to improve trust and security in payment processes.
- Customizable dashboards: More vendors are allowing users to create personalized dashboards. This helps businesses focus on the metrics that matter most to them, improving decision-making and operational efficiency.
- Subscription billing models: As subscription services grow, more invoicing tools are supporting subscription billing. This trend reflects the shift in business models, where recurring revenue is becoming increasingly important.
- Enhanced data visualization: Tools are now offering better data visualization options, allowing users to see financial data in charts and graphs. This makes it easier for businesses to understand their financial status at a glance, without diving into complex reports.
What is Invoicing Software for Small Businesses?
Invoicing software is a tool that helps companies manage their billing processes by creating, sending, and tracking invoices. Invoicing Software tools that are generally used by small business owners, freelancers, and accountants are specific to these types of businesses and is catered to helping them manage financial transactions efficiently. Features like automated billing, customizable templates, and payment reminders help with cash flow management, client billing, and financial organization. Overall, these tools provide businesses with an efficient way to manage invoicing and maintain healthy finances.
Features of Invoicing Software for Small Businesses
When selecting invoicing software for your small business, keep an eye out for the following key features:
- Automated billing: Automates the recurring billing process, saving time and reducing manual errors.
- Customizable templates: Allows businesses to create invoices that reflect their brand identity, enhancing professionalism.
- Payment reminders: Sends automatic reminders to clients about upcoming or overdue payments, helping maintain cash flow.
- Time tracking: Tracks billable hours for projects, ensuring accurate invoicing for hourly work.
- Multi-currency support: Enables invoicing in different currencies, which is essential for businesses with international clients.
- Expense tracking: Monitors and categorizes business expenses, simplifying financial management and reporting.
- Financial reporting: Provides insights into business performance through detailed reports, aiding in decision-making.
- Integration capabilities: Connects with other business tools like accounting software, enhancing workflow and data accuracy.
- Mobile access: Offers invoicing capabilities on mobile devices, allowing businesses to manage invoices on the go.
- Secure transactions: Ensures secure payment processing, protecting sensitive financial data.
Benefits of Invoicing Software for a Small Business
Implementing invoicing software for a small business provides several benefits for your team and your business. Here are a few you can look forward to:
- Time efficiency: Automated billing and payment reminders save time by reducing manual tasks.
- Improved cash flow: Timely payment reminders and efficient invoice management help ensure quicker client payments.
- Professional appearance: Customizable templates allow you to send branded invoices, enhancing your business’s professionalism.
- Accurate billing: Time tracking features ensure that every billable hour is accounted for, preventing revenue loss.
- Better financial insights: Financial reporting tools provide valuable insights into business performance, aiding in strategic decision-making.
- Global reach: Multi-currency support enables businesses to cater to international clients without hassle.
- Enhanced data security: Secure transaction processing protects sensitive financial information from unauthorized access.
Costs and Pricing of Invoicing Software For a Small Business
Selecting invoicing software for small businesses requires understanding the various pricing models and plans available. Costs vary based on features, team size, add-ons, and more. The table below summarizes common plans, their average prices, and typical features included in invoicing software for small business solutions:
Plan Comparison Table for Invoicing Software for Small Businesses
| Plan Type | Average Price | Common Features |
| Free Plan | $0 | Basic invoicing, limited templates, and basic reporting. |
| Personal Plan | $5-$25/user/month | Customizable templates, payment reminders, and basic expense tracking. |
| Business Plan | $25-$50/user/month | Multi-currency support, advanced reporting, and time-tracking capabilities. |
| Enterprise Plan | $50+/user/month | Automated billing, integration capabilities, and priority customer support. |
Invoicing Software for Small Businesses FAQs
Here are some answers to common questions about invoicing software for small businesses:
What information is mandatory for invoicing?
Your invoices should include a unique invoice number, a description of the products or services sold, and the quantity and price of each item. Also, mention the date the products or services were delivered. This information is not only needed for legal professional invoices, but helps ensure clarity and proper record-keeping for both you and your clients.
How does invoicing software work?
Invoicing software automates the billing process for services and products. It helps you create and send invoices, track payments, and manage client information. By using invoicing billing software, you can make your billing process more efficient, reduce errors, expand your payment options, and maintain a clear picture of your business finances.
Why is accurate invoicing important for small businesses?
Accurate invoicing can be advantageous for maintaining healthy cash flow, which is the lifeblood of any business. Small business invoicing can be unique because of the nature of your relationships with your customers and your tighter budgetary constraints on your cashflow. Timely and precise invoices ensure that you receive payments on time, avoiding disputes and lost relationships as well as potential revenue loss. This accuracy supports your business’s financial health and stability.
Can invoicing software handle multiple currencies?
Yes, many invoicing software solutions support multiple currencies and payment methods including ACH bank transfers and online debit and credit card payments, which is essential for businesses with international clients. This feature allows you to bill clients in their local currency, simplifying transactions and minimizing exchange rate issues.
Is invoicing software secure?
Most invoicing software providers prioritize security to protect sensitive financial data. They often use encryption and other secure invoicing features and standards to safeguard your information. It’s important to choose a provider that complies with industry standards to ensure your data is secure.
Can I use invoicing software on mobile devices?
Many invoicing software solutions offer mobile apps, allowing you to manage invoices on the go. This feature is particularly useful for small business owners who need flexibility and access to invoicing tools anytime, anywhere.
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