Counting Cents: Unveiling the Top 3 Accounting Software in 2023
Accounting software helps small business owners track accounts receivable and accounts payable, have a clear understanding of their profitability and maintain proper records when it comes tax season and general compliance. While there is no shortage of small business accounting software available today, choosing the right tool to manage your business finances can certainly be challenging among the millions of things business owners must deal with.
To help you find the best accounting software for small businesses, here are the top picks in 2023:
1. Xero - Best tool for growing businesses
For business owners who find themselves constantly on the go, Xero might just be the accounting tool you’ve been waiting for. Xero is an intelligent accounting software tool aimed at small businesses, with an emphasis on ease of use and mobile utility. It can be synced across multiple devices and offers users updates in real time, giving business owners the latest information wherever they might be.
The product features a clean, intuitive user interface and can handle a range of accounting tasks, including payroll, expense tracking, billing and invoicing, and sales tax calculation, among other features.
Pros:
- Free unlimited users
- Affordable accounting software
- User-friendly software
- Integration with 1000+ third-party apps
Cons:
- Expense tracking with most expensive plan only
- Plan limited invoicing
2. Zoho Books - Best for Businesses with 50+ Customers/Vendors
Zoho stands well above the crowd, recognized for its versatility, and its ability to connect with hundreds of everyday programs used by millions. Cloud Storage is seamless whether you’re using the box, Dropbox, Google Drive, or anything else you can name. Its mobile versions run on iOS, Android, and even Windows Phones so you’re never out of touch with your work. You can handle Sales, POs, billing, payments, banking, and stay in touch on estimates, projects, and workflows. Additionally, nowadays one of the most important aspects is VAT integration - you must be able to track VAT, if you want to avoid costly penalties.
Pros:
- Free plan option
- Excellent integration with other Zoho apps
- Affordable monthly fee for additional users
Cons:
- No payroll integration
- Manual journal entries only with cheapest plans
3. FreshBooks - Best for Freelancers and Solopreneurs
One of the most popular and well-known small business accounting tools available today is FreshBooks.
FreshBooks is an accounting software designed for solo business owners, freelancers and sole proprietors. The software makes it easy to stay organized, keep track of payments owed and expenses made, send invoices and accept payments.
Pros:
- Excellent invoicing
- Thorough automation
- Affordable starting price
Cons:
- No bank reconciliation with the cheapest plan
- Single-entry accounting with the cheapest plan
Xero topped our list, simple because of its fully featured accounting software with an excellent app and clean dashboard. Based on its features, it is certainly a great bookkeeping and accounting software to cater for businesses as small as freelancers to all the way to LLCs.
Do you also think that Xero is the best accounting software for your business? Are unsure how to set it up properly? We can help you with that, feel free to contact us for assistance
