Top 6 Accounting and Invoicing Apps for 2021

Accounting and invoicing can be one of the most costly and time-consuming business functions, especially for startups and small businesses. To grow your business, however, you can’t ignore the accounting and invoicing process. In fact, these two departments of your business must be one of the top priorities.

Are you not yet ready to invest too much in an accounting and invoicing system but still need professional accounting services? Is your preference that everything to be properly recorded with the best invoicing experience for clients and your business alike? We have a solution - “the top 6 accounting and invoicing apps for 2021”.

Read on for full-service and low-cost options for accounting and invoicing apps for small businesses.

1. Xero

If you find yourself putting off finance management or cringing every time expense reports are brought up, you have a problem. As a small business, you need the right headspace and tools to deal with accounting yourself and Xero is the app to do it for you. With the click of a button, you can keep your salary reports separate from your expense sheets.

Selling point

The app will go so far as to sync with your bank directly so everything updates automatically, and you don’t have to waste time inputting financial information. You can also allow external engagement by giving your financial advisor access to your sheets.

Pros

1. Customize your space

While the basic functions work the same, you always have the option to customize your space. This is especially helpful because businesses work differently. When you have an app that adapts to your needs, you can best maximize your budget.

2. Organize your records

Having everything set out clearly gives you an accurate picture of where you stand. It also helps manage bills and deadlines, and can point to money-saving opportunities where possible. The tidy layout and clean record-keeping make life a million times easier.

3. Update in real-time

As a small business, you probably outsource many operational tasks, especially in a world where freelancers and remote working have become mainstream. And while that saves you money, it does pose a communication problem. With Zero, you can both look at updates and comments in real-time, so there’s no delay in information transition.

Cons

Despite the variety of services, Xero basically offers barebones accounting needs. The processes run smoothly and it meets the bare minimum requirements of an accounting app. The subscription also costs anywhere between $20 to $40 per month, with only the premium version offering multiple currency options.

Standout factor

Between the option to automate basic payments, manage your funds, and pay taxes and bills on schedule, Xero brings a lot to the table. You can use internal add-ons like Xero Expenses and Projects or external apps like Stripe and Vend for the complete package. The first 30 days are free.

2. FreshBooks

FreshBooks is designed to free you from the hassle of day-to-day expense management. Prices vary depending on your subscription.

• For $15 a month, the Lite package lets you bill five clients.
• At $25 a month, the Plus package lets you bill 50 clients.
• At $50 a month, the Premium package lets you bill 500 clients.

Some highlights include:

• Balance sheet
• Expense ledger
• Access for external parties
• Accounts chart
• Payable bills
• Journal entries
• Collected payments
• Profit and loss reports

Selling point

FreshBooks is the perfect account management tool for a company of any size, including small businesses, medium businesses, and freelancers.

Pros

1. Expert expense management

As a small business, making a professional layout for your invoice and creating a streamlined payment system is a priority. With FreshBooks, half the work is already done. A few clicks and you can easily customize your invoice to represent your brand and build credibility. It also lets customers pay online, which means you get your money faster.

2. Track your time and money efficiently

Since the app connects directly to your bank account, it records every purchase and expense you make, updating your records in real-time. FreshBooks also tracks smaller details, so if you upload a picture of a receipt, it will sort and organize how much money you've spent per project. One way to do this is by using Breeze, which exports your data and reports directly into the app.

3. Integration

You can integrate your FreshBooks account with other apps like:

• Google Apps
• Shopify
• Acuity Scheduling
• Yalla
• Stripe
• Capsule, and others

4. Language options

The app supports users in English, Dutch, Polish, Turkish, and Swedish.

5. Devices supported

• Windows
• Android
• Mac
• iPhone
• Web browser

6. Devices not supported

• Linux
• Windows Mobile

Cons

1% percent ACH transfer fee with services only available to users in the US.

Standout factor

Unlike other apps that leave you to figure the details out for yourself, FreshBooks has a healthy customer support system that helps you every step of the way. And this means actual people guiding you through the process, not robots. That means no endless holds or listening to tedious hold music for hours on end.

3. Kashoo

Kashoo is the best app on the market for small businesses with less than 500 yearly transactions. Their features include:

• Real-time expense tracking
• Customizing and sending invoice reports
• Multiple currency options
• Billing and invoicing options
• Payroll disbursement/handling
• Project financial management

Selling Point

Their strategy surrounds what they call "Zero Effort Accounting," where you don't have to worry about putting in data or updates. Instead, the system automatically links to your bank account, updates every time you send or receive money, and adapts your money management plans accordingly.

Pros

1. Pricing

Kashoo gives you all the features you need for a low price, providing great value for money. At $16.65 a month, it gives you everything you need.

2. Double-entry accounting

As a small and possibly new business, you may not have the resources to get round-the-clock legal help. Trying to make sure you stay on good terms with the IRS and CRA, meeting all payment deadlines is a hassle. Kashoo keeps track of everything for you, prevents duplicate entries, categorizes, and sorts your expenses.

3. Integration

You can integrate your Kashoo account with other apps like:

• NetSuite
• Xero
• PayPal
• MailChimp
• FreshBooks
• Stripe
• Salesforce
• Quickbooks

4. Language options

The app supports users in English, Japanese, Spanish, and French.

5. Devices supported

• Windows
• Android
• Mac
• iPhone
• Web browser

5. Devices not supported

• Linux
• Windows Mobile

Cons

Kashoo is not suitable for medium or large businesses. If your company makes more than 500 transactions a year, you should look for an alternative app.

Standout factor

The streamlined dashboard, with its intuitive design, gives you real-time insight into your company's financial status. All of your profits, losses, income, and expenses and listed out, with detailed breakdowns. It allows you to make informed decisions that best benefit your growth projections.

4. LessAccounting

LessAccounting is an excellent app for the accounting needs of small to medium businesses. It offers a range of features to its users, which include:

• Real-time expense tracking
• Creating and sending invoice reports
• Data importing options
• Third-party integration
• Billing and invoicing options
• Payroll disbursement/handling
• Project financial management

Selling Point

LessAccounting automates your billing processes to the point where you barely have to think about them. You can set invoices to reoccur automatically, send them online, receive payments using credit cards and PayPal in a seamlessly integrated process.

Pros

1. Pricing

Slightly higher priced than previous options, LessAccounting starts their monthly subscription at $20 a month.

2. Organize your projects and reports

LessAccounting takes project organization to the next level. Not only can you tally expenses and reports for every stage of the project, but you can also upload files and control who has access. That way, your team and all your work is in one easily accessible space. You can give notes to your employees, and your clients can give you their feedback in real time. At each stage, you can assign deliverables and due dates to keep the project on track.

3. Integration

LessAccounting also gives you the option to integrate your account with other apps like:

• Highrise
• InvoiceSherpa
• Wagepoint
• Wepay
• Stripe
• Project manager
• PayPal
• And others

Cons

1. Language options

The app only supports users in English.

2. Devices supported

LessAccounting runs smoothly on Windows, Mac, and web devices. However, it is not supported on Linux, iPhone, Windows Mobile, or Android devices, which severely reduces its ease of use.

Standout factor

The invoicing feature lets you collect payments from customers and organizes your records efficiently. The user-friendly and straightforward layout is an excellent fit for beginners.

5. Quickbooks

Quickbooks has a range of services that help you organize your tasks, work your way through them, and automate your finances. These features include:

• Real-time expense tracking
• Personalizing email templates
• Organizing clients, projects, and income sources
• Tracking incoming and bounced checks
• Keeping track of client, vendor, and worker contact information
• Handling payroll
• Project financial management

Selling point

Quickbooks is a great accounting app for small, medium, or large businesses. Their reliable support network is available over email, phone, and live support. They also have training programs and tickets that promise a high level of user satisfaction.

Pros

1. Pricing

Unlike the other apps on this list, Quickbooks gives you the option to purchase a lifetime subscription in addition to a monthly or annual based payment system. Their monthly packages are divided into four main categories.

• Freelancer at $5 per month, which keeps track of income and expenses, creates and sends invoices, does tax estimation and handles reports.
• Simple Start for small businesses at $7 a month
• Essentials at $17 per month also handle bills and allow multiple user access
• Plus, at $25 a month tracks inventory and manages over a thousand contractors

2. Integration

The best part about Quickbooks is that it offers integration with other editions, including the Quickbooks:

• Online
• Premier
• Enterprise
• Mac
• Accountant

You can also link it to external apps like Breeze, which helps you track time, make reports, calculate estimates, and streamline your business processes. By exporting this data to Quickbooks, you get a record of time entries with invoices. Then you can group them by task, project, or report type. It calculates totals, expenses, and earnings based on your hourly rates and makes your life a lot easier.

3. Devices supported

Quickbooks runs seamlessly on any device, including

• Windows
• Android
• Mac
• iPhone
• Web browser
• Linux

Cons

1. Language options

The app only supports users in English.

Standout factor

Quickbooks runs smoothly across all devices and provides expert accounting services in a low budget package. The integration options let up upgrade your business model in a way that saves time and promotes growth.

6. ZipBooks

Of all the apps on this list, ZipBooks is the only one that has a 100 percent customer satisfaction rate. This is in part because of their high-quality services, which include:

• Time tracking
• Automated billing cycles
• Systems for a project and team collaboration
• Making and sending invoices

Selling Point

The ZipBooks company philosophy is providing value for money. That is why they give away all of their essential services for free and charge customers for specialized, expert intervention. Their custom plans are a definite selling point because you can contact a rep and plan out your business's needs in a one-on-one setting. This level of personalized is not available anywhere else.

Pros

1. Pricing

Their pricing options include a monthly subscription or quote-based method. However, ZipBooks also offers users a free version. Their price plans have four main categories.

• The free version offers unlimited invoicing, and vendor connections, projects and customers, and record-keeping facilities. You can also use it to integrate your profile with a single bank account. This is a great starter package, especially for freelancers.
• Their second subscription starts at $15 per month. It includes all the previously mentioned facilities with added features like unlimited bank account links, automatic time and purchase importing, and auto bill services with invoices. You can also add and give access to team members.
• The Sophisticated package costs $35 a month, includes all previously mentioned features, plus secure document sharing and advanced intelligence.
• The final option is by a quote which deals with larger businesses and has custom pricing.

2. Integration

As a business, you're not just using one app; you're using a dozen. That's why it's so important to be able to integrate your various platforms. With ZipBooks, you can connect to other accounts on:

• Slack
• Google Drive
• Google Chrome
• Asana

Cons

The limited types of devices that support this app can pose a problem for users working on the go, especially since you cannot access the service on either an iPhone or Android device.

1. Devices supported

• Windows
• Mac
• Web browser

2. Devices not supported

• Android
• Linux
• iPhone

Standout factor

What makes ZipBooks stand out among their competition is their free package, which offers various services. While some of their paid plans cost up to $35 a month, those are only for businesses with diverse technical needs. Their free plan covers most of the barebones accounting services for which other apps charge a base fee.