Top 6 QuickBooks Alternatives For Small Businesses

QuickBooks has long been the gold standard for small businesses, providing effortless accounting, invoicing, payroll, tax compliance, and more features. However, current businesses' diverse and ever-evolving demands mean there are more than one-size-fits-all solutions for everyone. 

This guide will talk about six top-rated QuickBooks alternatives that can simplify and optimize the financial operations of your small business. 

1. ZarMoney

ZarMoney is an excellent QuickBooks alternative for small businesses as it features an efficient accounting tool to cater to the unique demands of small companies. It simplifies the accounting processes, making financial management hassle-free. 

From managing bank transactions to generating professional invoices, ZarMoney has it all, offering various accounting solutions so you get what you need.

Features of ZarMoney

• Accounting

• Finance Management

• Bookkeeping

• Accounts receivable

• Invoicing

• Billing

• Payment processing

• Invoice & estimate

• Order management

• Inventory management

Top 3 Features of ZarMoney

1. Comprehensive Financial Management

Zarmoney offers tools that cover a wide range of financial management needs, from invoicing and billing to expense tracking and financial reporting. Manage all your financial activities within a single platform, making it easier to keep track of cash flow, manage accounts payable and receivable, and make informed financial decisions.
2. Advanced Inventory Management for Multiple Warehouses

Monitor your stock levels immediately, reducing the chances of stockouts or overstock situations. Organize your inventory by categories, facilitating easier management and tracking. Manage investment and sales orders for smooth operations, from order placement to fulfillment.

3. Set Up Your Personalized Invoicing

Personalize your invoices to reflect your brand identity, adding logos, colors, and more. Set up and schedule recurring invoices for regular clients or subscriptions, automating the billing process. It offers multiple payment options to your clients, making it easier for them to clear their dues promptly.
Pros of ZarMoney 

• Wide range of features for all kinds of payroll tasks.

• Affordable pricing structure.

• Effortless invoicing and billing.

• Automate your sales tax calculation.

• Highly customizable invoices, customized business requirements.

• Integration with popular accounting software.

Cons of ZarMoney 

• The learning curve for those new to payroll platforms.

• Requires an internet connection for cloud-based functionalities.

Supported Platforms of ZarMoney

ZarMoney's cloud-based accounting software is accessible via web browsers, ensuring platform-agnostic availability.

Pricing of ZarMoney

ZarMoney has three pricing plans

• 15 Days Free Trial
• Entrepreneur $15 / month / 1 user
• Small Business $20 / month / 2 users
• Enterprise $350 / month / 30+ users

Final Verdict on ZarMoney 

Choosing ZarMoney as your QuickBooks alternative for small businesses means opting for comprehensive accounting features. Its reasonable pricing plans and many features make it the perfect option for small businesses. 

2. Xero

Xero, a QuickBooks alternative for small businesses, is a cloud-based accounting solution offering a range of features. One of Xero's key strengths is its cloud-based nature, allowing companies to access their financial data anytime, anywhere, as long as they have an internet connection. 

Xero provides a visual dashboard that offers an overview of a business's financial situation, including bank balances, invoices, bills, and more. Users can make and send custom, skilled invoices.

Features of Xero

• Pay bills

• Claim expenses

• Bank connections

• Accept payments

• Track projects

• Bank reconciliation

• Manage Xero contacts

• Capture data

• Files

• Reporting

• Inventory

• Online invoicing

• Cloud-based access

• Multi-currency

• Purchase orders

• Quotes

• Sales tax

• Analytics

• Integration capabilities

• Accounting dashboard

Top 3 Features of Xero

1. Bank Connections

One of Xero's standout features is its integration with many banks globally by connecting your business bank account to Xero. Transactions are imported automatically into Xero daily, saving manual data entry time and ensuring up-to-date financial information. 

2. Cloud-Based Access

Being a cloud-based platform, Xero offers business owners and their accountants the flexibility to access financial data from anywhere, at any time, and on any device. This accessibility is critical for small businesses that must make informed decisions on the go.

3. Integration Capabilities

If your business requires more comprehensive inventory management, Xero can be integrated with various third-party inventory apps, allowing you to combine best-of-breed solutions.

Pros of Xero

• Live data entry from anywhere

• Intuitive dashboard to monitor financial health

• Multi-currency support

Cons of Xero

• Some advanced features require an additional subscription

• Initial learning curve for beginners

• Limited customization options for invoices

Supported Platforms of Xero

Xero is unrestricted on Android and iOS.

Pricing of Xero

• Starter: $29

• Standard: $46

• Premium: $62

Final Verdict on Xero

Xero is more suitable for large businesses but can be used by small businesses due to its intuitive interface and features. It provides its users with effortless bank integrations and reporting tools, making it one of the excellent choices.

3. FreshBooks

FreshBooks offers a beginner-friendly accounting solution designed primarily for service-based businesses. It is a widely recognized accounting software and a QuickBooks alternative that has carved out a niche among freelancers, consultants, and service-based small businesses.

One of FreshBooks's standout elements is its invoicing power. Users can create professional, customizable invoices, set up regular invoices, and even automate customer payment reminders.

Features of FreshBooks

• Invoicing
• Payments
• Time tracking
• Accounting
• Expenses & receipts
• Reports
• Bookkeeping
• Projects
• Proposals
• Estimates

Top 3 Features of FreshBooks

1. Professional Invoices

FreshBooks allows users to create invoices that reflect their brand by customizing the design, colors, and content. Set up recurring invoices for long-term customers, saving time from repeatedly sending duplicate invoices. 

2. Time Tracking

Start a timer to track billable hours instantaneously and manually input the hours worked on specific projects or tasks.  Track time against particular clients or projects for accurate billing. Easily convert tracked time into invoices, ensuring clients are billed for every hour.

3. Expense Tracking

Snap a picture of your receipt or manually input expense points into FreshBooks. It can automatically categorize most expenses, saving users the trouble of manual classification. Expenses are organized in a way conducive to tax time, making the tax filing process smoother.

Pros of FreshBooks

• Built-in project management tools.

• Accepts credit card payments and other payment methods.

• User-friendly interface.

Cons of FreshBooks

• Limited features for inventory management.

• Expensive for businesses with multiple clients.

• Limited third-party integrations.

Supported Platforms of FreshBooks

• Web

• Android

• iPhone/iPad

Pricing of FreshBooks

• Lite: $7.60/month
• Plus: $13.20/month
• Premium: $24.0/month

Final Verdict on FreshBooks

FreshBooks excels in invoicing and time-tracking. Its specialized for freelancers and consultants but also accommodates small business needs with its focus on invoicing and expense tracking.  However, it may fall short in offering the depth of features, but its simple interface and practical expense management tools make it a go-to for those who prioritize ease of use and transparent client billing. 

4. Wave

Wave is a free accounting software and a considerable alternative to QuickBooks for freelancers, entrepreneurs, and small companies. It concentrates on clarity without compromising essential features. One of Wave's most notable aspects is that it offers its accounting, invoicing, and receipt-scanning features for free. 

Like many current accounting solutions, Wave is cloud-based, permitting users to access their accounts from anywhere with an internet connection.

Features of Wave

• Invoicing

• Payments

• Accounting

• Receipts scanning

• Payroll

• Advisors

Top 3 Features of Wave

1. Free Invoicing

Users can create and send unlimited invoices without incurring any charges. This feature attracts freelancers and small business owners who require invoicing but may need a larger budget for dedicated invoicing software. Wave often allows users to customize invoices with branding, such as logos and company information, to present a professional image to clients.

2. Accounting

Wave's double-entry accounting system makes sure that all financial transactions are balanced and accurate. It is a fundamental principle in accounting that improves the dependability of financial information. Develop financial reports like profit and loss, balance sheets, and cash flow statements. These reports provide insights into a company's financial health and are vital for making informed company judgments.

3. Receipt Scanning

With Wave's mobile apps, users can quickly snap pictures of their receipts, which are uploaded and stored in the Wave account. Once receipts are scanned and data is extracted, expenses can be categorized appropriately for accounting and tax purposes.  Keeping digital copies of receipts is eco-friendly, so they won't get lost or damaged, facilitating smooth expense tracking and audits.

Pros of Wave

• Accounting, invoicing, and receipt scanning are 100% free for basic features.

• User-friendly interface.

• Supports multiple businesses under one account.

Cons of Wave

• Limited third-party integrations

• No inventory management

• Premium charges for payment processing and payroll

Supported Platforms of Wave

• Android
• iOS

Pricing of Wave

• Starter plan is free
• Pro: $16/month

Final Verdict on Wave

Wave also presents a viable choice for personal use, thanks to its complimentary pricing and fundamental capabilities. Its user-friendly and clear interface makes it ideal for managing personal finances or small side projects. However, its lack of scalability may limit its effectiveness for businesses as they grow and their financial needs become more complex.

5. Zoho Books

Zoho Books is a part of the Zoho suite of company applications and is prepared to cater to the accounting needs of companies. The software has become popular because of its user-friendly interface, affordability, and its suite of components. Zoho Books is a cloud-based accounting solution, meaning companies can access their financial data from anywhere at any time, given their internet access. 

One of Zoho Books' prior selling points is its automation abilities. It can automatically categorize transactions, send recurring invoices, and set payment reminders.

Features of Zoho Books

• Invoicing

• Quotes

• Customer Portal

• Expenses

• Bills

• Banking

• Projects

• Inventory

• Sales orders

• Purchase orders

• Online payments

• Reporting

• Automation

• Documents

• Vendor Portal

Top 3 Features of Zoho Books

1. Reporting

Zoho provides detailed financial reports that can give insights into your company's routine. These reports cover profit and loss, cash flow, balance sheet, etc.

2. Automation

With Zoho Books, you can automate different accounting methods to save time and decrease manual effort. It includes tasks like invoicing, payment reminders, and more.

3. Banking

Zoho Books lets you connect with your bank accounts, fetch transactions automatically, and reconcile them with your accounting records. It guarantees that your financial data is always up-to-date and authentic.

Pros of Zoho Books

• Effortless integration with other Zoho products.

• Comprehensive tax settings and compliance.

• Detailed financial analytics and reports.

Cons of Zoho Books

• It is not ideal for businesses needing payroll features.

• The learning curve for newbies.

• Limited customization possibilities.

Supported Platforms of Zoho Books

It is available on Android and iOS.

Pricing of Zoho Books

• Standard: $10

• Professional: $20

• Premium: $30

• Elite: $100

• Ultimate: $200

• Includes a free plan

Final Verdict on Zoho Books

Zoho Books excels as a top pick for small businesses, particularly those utilizing other Zoho services, offering an intuitive interface. Its strengths include automation for bank feeds and customizable invoicing. However, its potential drawback lies in lacking specialized features for unique industry needs.

6. Sage 50

Sage 50 (formerly Peachtree) provides both desktop and cloud-based accounting solutions. It's customized for miniature to medium-sized businesses needing thorough financial insights. It is mainly known for its desktop version, letting users install the software on their local machines. 

It is highly beneficial for businesses that prefer to rely on something other than the Internet or want to ensure their data remains local.

Features of Sage 50

• Cloud-connected desktop software

• Invoice 

• Bill-tracking

• Purchase order and approval

• Expense management

• Automated bank reconciliation

• Reporting

• Finance management

• Job management

Top 3 Features of Sage 50

1. Invoice

Easily create, send, and track professional-looking invoices, guaranteeing clarity in your sales transactions and aiding in timely collections.

2. Bill Tracking

With a comprehensive view of upcoming and overdue bills, you can better manage your expenses and maintain good relationships with vendors by ensuring payments are made promptly.

3. Finance Management

Automate your financial management by quickly reconciling bank statements with your accounting records. This will reduce errors and ensure your accounts are always up-to-date.

Pros of Sage 50

• Strong security features

• In-depth financial analytics

• Multi-user options available

Cons of Sage 50

• Expensive compared to other solutions

• Limited mobile features

Supported Platforms of Sage 50

• Android
• iOS

Pricing of Sage 50

• Pro Accounting at $595 per year for 1 user
• Premium Accounting starts at $970 per year for 1 to 5 users
• Quantum Accounting starts at $1,610 per year for 1 to 40 users​​

Final Verdict on Sage 50

Sage 50 caters to small- to medium-sized businesses that require a more comprehensive accounting tool. With inventory management and advanced budgeting features, it fits businesses aiming for a blend of traditional and modern accounting tools.

Table Comparison

Best of the Best

1. ZarMoney 

ZarMoney, an excellent QuickBooks alternative for small businesses, is rapidly gaining traction as a competitor to traditional accounting software. Its user-friendly interface and customizable features make it a popular choice. 

It provides the ability to set specific roles and permissions for team members. One of ZarMoney's strengths is its flexible pricing. 

Depending on the extent and requirements of the business, there's likely a plan that fits the budget.

2. Wave

Wave is another ideal QuickBooks alternative for small businesses, sole proprietors, and freelancers due to its cost-free model, making it ideal for startups.

It offers essential accounting features suitable for basic financial management without overwhelming users. While it's perfect for initial business phases, Wave may lack advanced functionalities for expanding businesses. Its simplicity and accessibility are its main advantages. 

However, growing enterprises might need to explore more comprehensive solutions as they evolve.

3. FreshBooks

Freelancers and consultants especially favor FreshBooks due to its invoicing prowess. Users can log hours directly within projects and quickly convert them into invoices. Forward expenses now from your inbox to FreshBooks. 

Collaborate with team members, share files, and update everyone on project progress. FreshBooks' pricing is based on the number of customers a business contracts with, offering flexibility for more miniature operations.

Conclusion 

Selecting the right financial management tool is more important than ever. While QuickBooks has been a frontrunner, various alternatives have emerged that are customized to each business's demands.

Leading the pack is ZarMoney, a versatile and user-friendly platform designed to simplify complex processes while guaranteeing precision and scalability. Its accounting and financial management approach makes it a standout choice for businesses seeking more than just basic functionalities. 

Frequently Asked Questions (FAQs)

1. What is ZarMoney, and how does it compare to QuickBooks?

ZarMoney is an accounting software designed for small businesses that offers invoicing, expense tracking, and financial reporting features. It is considered a viable alternative to QuickBooks, providing similar functionalities with a different pricing structure and user experience.

2. Can ZarMoney integrate with other business tools and apps?

Yes, ZarMoney offers integration capabilities with various business tools and applications to streamline financial management and operations.

3. Is ZarMoney suitable for businesses of all sizes?

While ZarMoney is particularly beneficial for small to medium-sized businesses, it offers scalable solutions that can also accommodate the needs of larger enterprises.

4. Can alternatives to QuickBooks handle payroll and tax functions?

Yes, many QuickBooks alternatives offer payroll services and tax support, including automatic tax calculations, tax filing, and compliance management. It's important to review the specific features of each alternative, as the scope and functionality can vary.

5. How do I migrate my data from QuickBooks to another accounting software?

The process typically involves exporting your financial data from QuickBooks (such as accounts, transactions, and customer details) and importing it into the new system. Most alternatives offer import tools or support services to facilitate this transition, but specifics can vary, so it's recommended to consult with the new provider for detailed instructions.

6. Do QuickBooks alternatives integrate with other business tools?

Yes, many accounting software solutions provide integrations with a wide range of business tools, including payment processors, CRM systems, e-commerce platforms, and more. These integrations can help streamline operations and reduce the need for manual data entry.

7. How secure are these QuickBooks alternatives?

Reputable accounting software providers prioritize security and compliance, employing measures such as data encryption, secure server infrastructure, regular security audits, and compliance with financial data protection standards. Reviewing the security credentials and policies of any alternative you consider is advisable.

8. What types of customer support can I expect?

Support offerings vary among software providers but commonly include online resources, email support, live chat, and phone support. The availability of these services can depend on the subscription plan you choose. It's a good idea to consider your support needs and evaluate what level of assistance each provider offers.

9. How do I choose the right alternative for my small business?

Consider factors like your business size, industry, specific accounting needs, budget, and preferred user experience. Also, consider the software's scalability, integration capabilities, and the quality of customer support. Many providers offer free trials, allowing you to test the software before committing.

10. Is it possible to customize reports and dashboards in these alternatives?

Most accounting software solutions offer customizable reports and dashboards to meet diverse business needs. You can typically select which financial metrics to monitor, customize report formats, and adjust dashboard views to focus on the most relevant data for your business.