Quick comparison
The products on this list side by side: our score, a highlight and a link to our full review.
| Product | Score | Highlight | Review |
|---|
| 1Xero | 9.8Best Overall | Exclusive offer: Get Xero for 90% off for six months | Read review |
|---|
| 2FreshBooks | 9.5Great | Buy NOW to get 70% off for 3 months! | Read review |
|---|
Our picks in detail
A closer look at the products on this list, with what we like and what could be better.
Xero is a cloud-based accounting software tailored for small businesses, offering a comprehensive suite of tools to manage finances efficiently. With features like invoicing, bank reconciliation, expense tracking, and integration with over 1,000 third-party apps, Xero provides a scalable solution to meet diverse business needs. Its user-friendly interface and robust functionality make it a strong contender in the accounting software market.
What we like
- Comprehensive feature set with tools for invoicing, expense tracking, and bank reconciliation
- Over 1,000 app integrations to customize workflows
- Cloud-based access for real-time financial updates anywhere, anytime
What could be better
- Time entries must be linked to projects
- Modifying transaction templates can be challenging
FreshBooks began as a basic invoicing tool and has evolved into a robust, double-entry accounting solution tailored to service-based small and medium-sized businesses (SMBs). It features the most user-friendly interface among the accounting software we've reviewed, and its latest version adds improved reporting, time tracking, and performance enhancements.
What we like
- Wide range of powerful features
- Exceptional ease of use and navigation
- Adaptive, context-aware settings
What could be better
- Limited capabilities in inventory tracking
- Limited options for users with high-volume needs
How we rank these products
Our scores are editorial opinions out of 10 and are reviewed regularly. We look at four things:
- Features what the product does and how well it does it.
- Ease of use setup, everyday use and how it works on a phone.
- Value for money prices, free plans or trials, and what each plan includes.
- Security and support how your data is handled and what help is available.
This site earns a commission from some of the providers listed, which can affect the order in which they appear.
Frequently Asked Questions (FAQ)
What is invoicing software?
Invoicing software is a program that automates billing and allows you to collect timely payments for products and services you provide to your clients. It creates a complete, itemized list of all the products/services your client has received, along with all their accompanying costs.
Most commonly, invoicing software will provide you with a template where you’ll simply fill in the variables, such as the client’s name and contact information, specific products/services purchased, their quantity, and the prices.
What can invoicing software do?
Invoicing software performs three key processes:
- Generates invoices;
- Processes payments;
- Creates reports.
You can use invoicing software to create invoices from scratch or use its ready-made templates that enable you to fill in the blanks. Most commonly, the software will have advanced customization options, allowing you to add your branding and logos to make them look more professional. You can seamlessly create invoices for new clients, import your existing client information from your database, send one-time invoices, or create automated, recurring ones.
Many invoicing tools also enable you to process payments automatically. Your clients can choose to pay for your products/services online, directly through the invoicing platform, using any of the currencies you accept. Depending on your selected software, you could even integrate your invoices with payment platforms like PayPal and Payoneer, accept cryptocurrencies, and enable credit card payments.
Finally, your invoicing software can help you stay on top of your finances by generating insightful reports. You'll have a clear overview of all the paid and outstanding invoices and see at a glance which of your clients make timely payments and which ones you always have to chase. You'll also learn your average payment cycle duration.
Why would I need to use invoicing software?
Invoicing software presents an array of benefits you shouldn’t overlook. Primarily, it increases your efficiency and saves you time and effort by automating tedious tasks such as typing out each individual invoice you make and sending email after email to everyone on your contact list. However, that’s not the only benefit.
Invoicing software can help you reduce the risk of human error. You won’t have to worry about sending the wrong invoice to the wrong customer, missing a number while putting in the price, or forgetting to add a product or service you’ve already provided. Your software will have all the information it needs to ensure the utmost accuracy.
It also helps you minimize late and missed payments. With the entire billing process streamlined, you’ll gain insights into all your transactions, keeping an eye on all pending and processed invoices.
You’ll find it easier to conduct financial audits, stay on top of your finances, and maintain a professional reputation among your clients.
What features to look for in invoicing software?
Depending on the invoicing software chosen, you’ll have access to an abundance of valuable features. Some of the key features to look for include:
- New invoice creation;
- Recurring invoice creation;
- Ready-made templates;
- Useful software integrations;
- Client record creation;
- Online payment integration;
- Payment processing;
- Credit card processing;
- Multiple currencies;
- Automatic reminders;
- Invoice, payment, and tax reporting.
Additionally, it’s always useful for your invoicing software to be mobile-optimized, allowing you to track all relevant information on the go.
Disclaimer
The aim of this website is to help you find the perfect software for your needs in an easy-to-view comparison list. You can read more about how we review and about our background in the About Us section of this website. Software.fish does not feature all of the software available in the market, we cherry-pick what we consider to be the leaders in each vertical. We try to keep this site updated and fresh, but cannot guarantee the accuracy of the information as well as the prices featured at all times. All prices quoted on this site are based on USD so there could be slight discrepancies due to currency fluctuations. Although the site is free to use, we do earn commissions from the software companies that we have partnered with. If you click on one of our links and then make a purchase, we will get paid by that company. This has an impact on the ranking, score, and order in which the software is presented in our list and elsewhere throughout the site. Software listings on this page DO NOT imply endorsement.
