Did you know that 70% of small businesses handle their own finances without an accountant? Tracking expenses, sending invoices, ensuring compliance with tax obligations – there’s a lot to keep on top of and it’s easy to feel overwhelmed.
Fortunately, the right accounting software programs for small business can help. And while premium options offer all the advanced features, small businesses often need something more affordable, especially when budgets are tighter than ever.
The easy way to cut down costs is to find free accounting package software. There are many great tools out there available free of charge, your only problem is choosing the best one.
What to look for in free Accounting package softwares?
When choosing accounting package software for your small business accounting package needs, it’s important to find an option that offers everything you need. These are the main things to consider:
- Ease of use
- Core features (invoicing, expense tracking and basic reporting)
- Scalability
- Security
- Customer support
- Integration
- Tax compliance
Top 10 free Accounting package softwares for small businesses
There are a wide range of free accounting apps for small business out there, each offering different advantages.
It’s important to find efficient accounting cloud based software solutions to save time and focus on growth. To help, here’s a breakdown of our top 10 free small business accounting packages, selected for their features and user reviews:
Wave Accounting
Wave offers an all-in-one accounting software for payroll solution for small businesses. Features include invoicing, receipt scanning, payroll management and detailed financial reporting.
It’s praised for being a complete and user-friendly package, making it a great choice for small businesses needing a straightforward system without the complexities of traditional accounting applications.
Strengths: Free to use, flexible and the ideal small company accounting software that integrates with platforms such as Etsy and PayPal
Weaknesses: Slow customer service, limited payroll options outside of US and Canada, and some of the more advanced features are only available in paid versions.
ZipBooks
For very small businesses looking for easy-to-use free accounting package software, ZipBooks covers basic accounting needs, such as invoicing, expense tracking and reporting. Users rate ZipBooks highly for its simplicity.
Strengths: Simple interface, easy setup and the ideal bookkeeping software for small business and freelancers.
Weaknesses: Lacks advanced features such as payroll, inventory management and multiple user access, which may affect scalability.
GnuCash
GnuCash is highly rated for its open-source accounting program free that offers double-entry accounting and detailed financial reports. It’s perfect for those who need highly detailed financial analysis and its open-source nature means it is constantly updated.
Strengths: Extensive financial features, detailed financial tracking and highly customisable.
Weaknesses: Quite complex and can be difficult for beginners, limited customer support.
Slickpie
SlickPie offers cloud bookkeeping software with automation features and is particularly useful for small businesses with international transactions due to its multi-currency support. The MagicBot feature automatically scans invoices, saving you time.
Strengths: Excellent for multi-currency transactions and MagicBot saves time with automated data entry.
Weaknesses: Limited reporting features and very basic customer support.
Akaunting
Akaunting is the best software for accounts for those that require scalability. It can also easily integrate with other tools and offers useful features like tax management and expense tracking. Note that the free version does have limited features compared to the premium version though
Strengths: Open-source, customisable invoicing, scalable and suitable for growing businesses.
Weaknesses: Some features only available on the paid version and the interface can be challenging for beginners.
Zoho Books
Zoho Books offers a free version with limited features, but is an excellent choice of accounting software for self employed and small businesses that already use Zoho’s other products with its useful integration features. However, the free version limits the number of users and transactions.
Strengths: Strong integration with Zoho ecosystem, excellent automation and ideal for businesses using Zoho CRM.
Weaknesses: The free version is limited compared to paid features and the interface is a bit cluttered.
FreeAgent
FreeAgent is great for freelancers and small businesses that need simple bookkeeping accounting software combined with project management tools. It’s known for being easy to use with an all-in-one approach to accounting and project management.
Strengths: All-in-one solution, project management integrations and great for freelancers and small businesses.
Weaknesses: Lacks advanced features that larger businesses with complex needs may require.
Money Manager Ex
An open-source personal finance manager that can be used as bookkeeping software for self employed looking for basic accounting software features. However, Money Manager Ex lacks some advanced features though, such as multi-user support and integration with external tools.
Strengths: Open-source, easy to use, strong reporting features.
Weaknesses: Lacks advanced features, not scalable for larger businesses.
Adminsoft Accounts
Adminsoft offers the best vat software and basic financial tracking making it the best accounting software for small business uk needing simple tax and accounting tools.
Strengths: Great for UK businesses, VAT support and full accounting features.
Weaknesses: Outdated interface and lacks modern user experience and design.
TurboCASH
Finally, TurboCASH is a great free accounting software uk for small to medium-sized businesses, looking for a range of features plus flexibility. However, it can be challenging, particularly when setting up more complex functions like general ledger.
Strengths: Inventory management, multi-currency support, best for businesses needing customisation.
Weaknesses: Difficult for beginners, interface a little outdated.
Key features comparison
| Software Name | Key Features | Pricing | Best For |
|---|---|---|---|
| Wave Accounting | Invoicing, receipt scanning, payroll, reporting | Free | Small businesses needing an all-in-one solution |
| ZipBooks | Smart invoicing, expense tracking, reporting | Free, Paid options | Freelancers and small businesses with simple needs |
| GnuCash | Double-entry, accounting, financial reports | Free, Open source | Businesses requiring detailed accounting and flexibility |
| SlickPie | Automatic data entry, multi-currency, tax management | Free | Businesses with international transactions |
| Akaunting | Customisable invoicing, expense tracking, tax reporting | Free | Growing businesses needing scalability |
| Zoho Books | Automated workflows, bank reconciliation, invoicing | Free (limited) | Business using Zoho’s suite of products |
| FreeAgent | Time tracking, project management, invoicing | Free for 30 days, Paid plans | Freelancers and small businesses needing project management |
| Money Manager Ex | Expense tracking, budgeting, reports | Free | Small businesses or individuals with basic needs |
| Adminsoft Accounts | VAT management, invoicing, accounts payable/receivable | Free | UK-based businesses needing basic tax support |
| TurboCASH | Multi-currency, inventory management, general ledger | Free | Small to medium businesses needing robust features |
FAQs
What’s the best free accounting package software for freelancers?
For freelancers, FreeAgent and ZipBooks are the best accounting software for bookkeepers due to their simplicity, smart invoicing, time tracking and expense management tools.
How secure is free accounting software for handling my business finances?
Security is an important factor to consider when choosing accounting package software. There are various free accounting softwares in UK, such as Wave Accounting and Akaunting, which uses encryption and secure cloud storage to protect financial data.
Can free accounting software handle tax reporting and compliance?
Yes, many free bookkeeping software online tools, like SlickPie and Adminsoft Accounts, offer tax management features to help your business stay compliant.
Will free accounting software be enough for my growing business?
Some free accounting apps for small business may fall short of your growing business’s needs. Consider software that offers scalability, like Akaunting, which allows you to upgrade to paid plans with additional features.
How do I choose between free accounting software and paid options?
It all depends on your business size, budget and which features you’re looking for. Free accounting package software is great for basic invoicing and expense tracking. However, as your business grows, you may find yourself requiring more advanced features like project management or advanced tax filing.
Conclusion
Choosing the right accounting package software for your business can significantly streamline your financial management. The best accounting software for small businesses will ultimately depend on your specific requirements, but there are certain online accounting packages which will provide excellent starting points without the cost of cheap accounting software alternatives that may lack essential features.
