Best Invoicing Software for Contractors: Top Tools to Simplify Invoicing

Invoicing software is one of the most important small business tools. Around 61%¹ of payment errors occur due to invoicing errors. Invoicing software can help detect errors, and save contractors time and money.

This article will walk you through some of the best invoicing software options for contractors, and provide an overview of the features of these products.

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Top Invoicing Software for Contractors

Choosing the right invoicing software is an important decision for contractors. Any mistakes or delays can waste time, be costly, and carry reputational risks.

Many invoicing solutions allow you to edit customizable templates and send them within seconds. These companies also provide other useful financial management and small business tools. These billing solutions can make things easier for your business when you send invoices and receive payments.

This article will discuss some of the popular companies and cover some of the best invoicing tools that can help contractors.

Overview of Popular Invoicing Tools

Below are nine popular options that stand out based on features and pricing.

Companies with larger teams will likely need to pay more for multi-user plans. Many of these companies offer custom plans for large teams. The free plans may only be suitable for some solopreneurs or smaller companies. However, some of the best invoicing tools can still be obtained at an affordable rate.

Comparing Costs and Features of the Best Invoicing Software Options for Contractors

There are plenty of cheap and even free contractor invoicing options available. The price differences between these leading options are not very significant. Instead, it is important to determine which company offers the best invoicing tools for your business.

You may also need to consider how your needs will change as you grow, and ensure this software will scale as you continue to grow. Finally, you should also ensure that the invoicing software you choose allows you to integrate other software you use.

How to Choose the Right Contractor Invoicing Software

Businesses need to consider many factors when choosing the correct contractor invoicing software. Most plans are relatively affordable, and product features and security are likely a more important focal point for businesses.

The type of invoicing software you need may depend on the size of your business. Smaller businesses may prefer a free or low-cost plan. However, it is also important to consider if your needs will change as the business grows.

Invoicing services also list information about software integration. It is crucial to ensure that you can integrate various programs to make the transition easier.

You may also need to spend time training employees. According to Bamboo HR, around 62%¹¹ of employees are not properly trained on the company’s products and services. Adding new software programs can sometimes complicate things, especially for newer employees.

Matching Features to Your Needs

Below is a list of some of the main features companies should consider when choosing the best invoicing option. Companies offer many contractor tools that can help individuals easily manage their invoices.

Templates: One of the major benefits of using an invoicing company is the ease of access to invoicing templates. Contractors can create an invoice within minutes when using some of the templates offered by companies.

Tracking Invoices: Companies don’t only use invoicing software because of the automation and convenience. Payment tracking is another major bonus that helps with financial management. Companies can also use this data to create reports about the status of its invoices and any late payments.

Multiple Currencies: If you send invoices in multiple currencies, it may be best to consider more international friendly options. Many companies offer multi-currency invoicing software solutions. For example, Wise Business provides a free invoicing tool that contractors can use to create free, professional invoices in a few easy steps. You can use your invoices to get paid in 8+ local account details and 17+ global account details. This makes Wise a great choice for invoiicing and receiving payments in multiple currencies.

Software integration: Most businesses want to use as few software programs as possible. But it is often hard to find a one-stop shop. Luckily, many popular software invoicing companies also support integration. For example, many popular options like QuickBooks allow you to integrate¹² other programs, like Salesforce.

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Mobile use and other tech features: Many companies also offer mobile features for companies that want to send, track, and manage invoices on the go. These features can be very convenient, especially if you rely on these companies for other services.

Security: You shouldn’t solely rely on ensuring that the program has the correct bells and whistles. Companies also need to make sure that these companies offer secure products. Issues like phishing, fraud attacks, and other unauthorized uses of data can cause problems for your business.

User Reviews and Feedback

You can take a look at invoice software reviews to learn more about some of the popular options in the market. For example, Forbes recently ranked these companies as the top 5 billing and invoicing companies.¹³

Users enjoyed a wide variety of the features offered by these companies. Some of the top features include the following:

• A variety of free plans are available
• Options for unlimited clients and invoices
• Integrates with other types of software
• Multiple payment options, including PayPal
• Portal with invoice and client data
• Other features like project management tools
• Easy-to-use and customizable templates
• Free trials and discounts available

The main issue with these plans, and similar ones, is that customers may have to pay for premium plans to access all of the desired features. Some features, such as customizable templates, are only available on the premium plans. Some plans may not offer unlimited templates and clients. These companies may also add their branding to the free services.

Before you commit to invoicing software, try to find as many online reviews as you can about these companies. Websites like Trustpilot can provide a better feature of some of the pros and cons of these companies.

Why Contractors Need Specialized Invoicing Software

Contractors can benefit from utilizing specialized invoicing software. These contractor tools can help them use automation to increase accuracy and save time. Although there are plenty of free templates available online, it is often worthwhile to use some of the extra paid features. Invoicing software companies offer these additional features.

Key Features to Look For

When contractors select an invoicing software company they need to consider many factors before doing so:

• Pricing: In some cases, contractors may be able to find free invoicing software plans. There is no reason to pay for premium plans if your invoicing needs are simple.
• Limitations: Contractors should also research the company’s plans carefully. Top-rated invoicing software companies may not be the best fit for them if the free or lower-tiered plans do not offer enough features.
• Templates: Most invoicing software companies will allow you to look at sample templates before. Contractors should ensure these templates are user-friendly.
• Other features: Contractors can also benefit from other offerings. These include tracking features, project management tools, and other mobile applications.

Benefits of Contractor Invoice Automation

AI has allowed more businesses to automate functions to help improve business operations. Invoicing automation can give you more time to focus on your business. It can also help you organize other aspects of your business.¹⁴

Eliminate tedious work: Invoicing templates can help you reduce the amount of time needed to prepare invoices. Your company also won’t need to email invoices, send payment reminders, and rely on manual methods to track payments. You can also create recurring invoices, if necessary.

Organization: Invoicing software allows you to keep your invoices and payment records in one place. This level of organization can help your company save time and reduce administrative costs.

Error Reduction: Automation can help reduce the inevitable human errors. These usually occur when people manually process invoices in a fast-paced environment.

Cutting costs and freeing up time: There are plenty of statistics¹⁵ that show that automation can help companies cut costs. American Express noted that automation can free up 500 hours annually in finance departments. According to Salesforce, automation has helped free up 82% of sales teams. Companies should embrace automation in multiple areas, including invoicing and accounts receivable management.

Discover Wise Business: International Invoicing Made Easy

Contractors who need to receive international payments can benefit from using the Wise Business account.

Wise is not a bank, but a Money Services Business (MSB) provider and a smart alternative to banks. The Wise Business account is designed with international business in mind, and makes it easy to send, hold, and manage business funds in 40+ currencies. You can get major currency account details for a one-off fee to receive overseas payments like a local. You can also send money to 140+ countries.

If you need help creating invoices, you can also rely on Wise. Wise offers a free invoice generator that you can use to instantly create a professional invoice after inputting information.

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Wise also offers other templates, such as freelancer contractors and business plans. You can also find income statements, and inventory management templates. Using Wise, you can instantly connect to programs like QuickBooks to keep your financial information organized.

Wise is a cost-conscious choice for your small business. With Wise you do not have monthly fees or any other hidden fees.

	Editor & Business Expert:
	Panna is an expert in US business finance, covering topics from invoicing to international expansion. She creates guides and reviews to help businesses save time and make informed decisions. You can read more useful business articles on her author profile.

Sources checked February 2025