The site now has an Other Income account (to capture, well, other income), Cost of Goods Sold, bank reconciliation, and all the standard financial reports, like Trial Balance and Cash Flow. If you’re using the Lite version, though, you can’t access the bank reconciliation, account access, or some of the other advanced tools, which is just as well for novices. I’ve been trying out FreshBooks for a few weeks and while it’s still lacking in some areas, it is pretty good for a free app. I needed something to track/log expenses, mileage, hours and invoices. I use the app along with the online version and set up was fairly straightforward. Both versions are easy to use and I like that the functionality I’m using is free.

I also wish there was a way to have daily recurring expenses (like parking or mileage) for a given project, instead of just weekly/monthly. Trying to log my parking and mileage daily via the app without the duplicate feature gets tedious. However in the end this is a free app that still has a lot of features so it’s hard to be too critical. When it comes to features and capabilities, FreshBooks offers the commonly required features that all accounting software does. What sets it apart from the competition isn’t any one unique feature, but its simplicity.

FreshBooks Customer Support

NerdWallet’s accounting software ratings favor products that are easy to use, have a robust feature set and can grow with your business. Ratings are based on weighted averages of scores in several categories, including scope of features and integrations, customer support and cost, among others. The FreshBooks family has all the tools very small businesses—and some larger ones—would need.

All this data is at your fingertips so that you can share it with your accountant. The higher-tiered plans do offer accountant access, making it even easier for a business owner to share necessary data with their tax preparer and reduce the chance of errors. The invoice screen shows you exactly how your documents will appear when you send them, so you don’t have to click a preview button to make sure they look right. You click the applicable fields to add new customers, products or services, descriptions, terms, and notes. We like that you don’t have to create them on a separate screen and then add them to an invoice, which was the case with other software we reviewed. If you want to rearrange lines on an invoice, you drag and drop them into place.

Best business software

Once you connect your business bank accounts and credit cards with your preferred software, Wave or FreshBooks automatically pull in transaction data to keep you up to date on your finances. It offers plenty of features to streamline your bookkeeping, and it’s simple enough for users to learn the ropes fast. Thanks to its competitive pricing, it’s one of the top bookkeeping software choices for small business owners and freelancers. The addition of the new Digital Bills and Receipt Scanner makes that process even easier.

You can also mark it as billable if you want to add it to a client bill later, or you can add it to Cost of Goods Sold (although it’s unlikely you need lunch in order to provide services to your client). If you’re creating custom invitations, though, you can add the expense of the paper purchased to Cost of Goods Sold. Katelyn is a Junior Research Analyst at SoftwarePundit, where she conducts in-depth analyses of technology markets & products and writes software-related content. She graduated summa cum laude with degrees in English and Psychology. Her main areas of interest are content creation, user experience, and search engine optimization.

Honest, Objective, Lab-Tested Reviews

The lowest-tier Lite plan doesn’t include basics like bank reconciliation tools or double-entry accounting fundamentals (i.e., a general ledger, chart of accounts and trial balance). Most accounting software companies provide these basic services even in their cheapest plans. FreshBooks’ suite of invoicing features is one of the product’s strong suits.

• The application is available for iOS and Android devices, and is also accessible through any mobile web browser.
• However, if you find your business growing, there are more suitable products available.
• Zoho Books’ paid plans all come with free live chat and phone support.
• So you’ll know exactly why it’s the accounting software used by over 30 million business owners.
• It’s even harder to find cost-effective invoicing software with accounting features.
• Once setup is complete, you’ll see charts displaying your outstanding revenue, total profit, revenue streams, spending, and unbilled time.
• FreshBooks is an accounting software designed for solo business owners, freelancers and sole proprietors.

These ratings are meant to provide clarity in the decision-making process, but what’s best for your business will depend on its size, growth trajectory and which features you need most. Less scalable products are typically simpler, but diminished functionality can cause headaches down the road for growing businesses. We encourage you to research and compare multiple accounting software products before choosing one. Whether you are navigating from entering expenses to collecting payments, the sidebar is intuitive to use and doesn’t get lost in confusing jargon. Additionally, freshbooks has a user-friendly mobile app that allows you to enter data as you need to while out of the office. This helps you from falling behind on entries when working away from your desk.

Who Is FreshBooks For?

Links in the upper right take you to pages where you can invite team members, including an accountant (not in Lite), and create new records and transactions. Regrettably, you have to scroll a lot to see the charts, and you don’t get a to-do list. There is a charge of 2.9 percent plus $0.30 on each credit card transaction, with the exception of American Express, which is 3.5 percent plus $0.30 per transaction. For ACH payments made with bank transfers, FreshBooks charges 1 percent. FreshBooks supports multiple languages and currencies – a useful and convenient feature if you have international clients. Supported languages and currencies include those used in Denmark, England, Estonia, France, Germany, Greece, Italy, the Netherlands, Norway, Portugal, Romania, Spain and Sweden.

• Other versions offer more advanced features and could go head to head with accounting services that cater to small and mediums-sized businesses (SMBs).
• The product is designed with the user in mind, and that’s evident as you make your way through the various features and functions.
• FreshBooks, which starts at $17 a month, has more expansive invoicing features and multiple plans that scale up to support growing and midsize businesses.
• FreshBooks is a great option for freelancers, small business owners and anyone who needs to send invoices and accept payment as part of a business.
• This means that you can access the platform from anywhere as long as you have an internet connection.
• This addition allows FreshBooks to compete with products such as QuickBooks Online and Xero.