Best Invoicing Software for Small Business in the US

Keeping on top of invoices and following up on payments is essential for small business cash flow. Invoicing can take time away from working on your business, so choosing the right invoicing software can make it easier to streamline your financial processes.

This article explores the top invoicing software for small business owners in the US.

Save time on manual admin:
Sync invoicing software
with Wise Business

Best Invoicing Software Options for Small Businesses

📝 Quick overview:
QuickBooks Online FreshBooks Zoho Invoice Wave Xero Square Invoices Factors to Consider When Choosing Invoicing Software Benefits of Using Invoicing Software Conclusion: Which is the Best Invoicing Software for Small Business?

QuickBooks Online

QuickBooks is a popular accounting software platform that offers a range of features to help small business owners save time. It provides customizable templates to create tailored and recurring invoices, making it easier and faster to collect regular payments.

Advanced invoicing features allow freelancers and service businesses to convert their hourly rates into invoices for work done and send similar invoices to multiple customers. Real-time tracking helps businesses keep on top of payments and set up automatic reminders to alert customers if invoices become overdue.

Unique features include the ability to calculate sales tax automatically based on the customer’s address. This tracks the company’s sales tax by jurisdiction, making it easier to file tax returns.

QuickBooks’ monthly pricing ranges from $30 for its Simple Start plan to $200 for its Advanced plan. Advanced features include additional users, bill management, inventory, data syncing with Excel, workflow automation and 24/7 support and training.¹

If you’re running a small business and only need invoicing, QuickBooks Advanced may be more than you need.

Unlike other invoicing providers, QuickBooks does not provide instant customer support by phone. Instead, users need to submit a ticket, but this can also provide swift assistance.

QuickBooks reviews on Trustpilot (an independent review site) show some complaints of customer service staff unable to resolve problems and difficulty using the software. However, positive reviewers report having no issues with the software and the ability to manage invoices with ease.²

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Track Your Bills Automatically with QuickBooks and Wise

If you have international bills to pay, not only can you pay them at the mid-market rate with Wise, but now you can also sync Wise with QuickBooks.

• You can see your unpaid bills in real time and pay them seamlessly from your ‘Bills’ page on Wise.
• Your bill payments and any other Wise transactions will be synced, matched and categorized in QuickBooks for simple reconciliation.
• Once connected, all bills you create in QuickBooks Online will automatically sync in real time to Wise, where you can choose which ones to pay.
• All bill payments you make with Wise will be matched to the original bill in QuickBooks. They'll also be categorized into the right accounts. If no bill is found, each payment will simply be added as an Expense.

See for yourself how much time and hassle you can save.

Connect QuickBooks and Wise:
Save time on reconciliation

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FreshBooks

FreshBooks is a popular choice that has similar features to QuickBooks, but it only includes one user in its subscriptions, so it’s best suited to freelancers and entrepreneurs.

Tools include professional invoice creation, automated payment options and reminders, and Double-Entry Accounting tools and reports that show profitability, cash flow health, and spending. For businesses that charge hourly rates, time tracking makes it easy for teams to log their time and automatically add it as billable entries on invoices.

FreshBooks calculates late fees automatically and prints a list of outstanding invoices. It also streamlines accounting by connecting with a business bank account to import transactions, reconcile bank and credit card accounts, and print basic financial statements.

Pricing for FreshBooks monthly subscriptions ranges from $17 for its Lite plan up to $55 for its Premium plan. You can save 10% by paying upfront for an annual plan.³

Depending on which plan you choose, you can run tax reports, set up recurring billing and client retainers, run business health reports, and send proposals.

FreshBooks receives a 3.5/5 rating on Trustpilot. Positive reviews from small business owners state that it is intuitive and easy to use and helps them get paid faster. They also praise the company’s dedicated account managers for providing helpful and responsive customer service. However, long-time users state that there are bugs in the latest version, so the platform may work better after some new updates.⁴

💡 You can also connect FreshBooks with Wise Business to sync transactions and save time on admin. This is a great feature for businesses with international transactions.

Zoho Invoice

Zoho offers free cloud-based small business software for invoicing, designed to issue invoices and collect payments. Zoho Invoice provides customizable invoices, quotes, and credit notes, automates payment reminders, and supports local languages.

The platform allows business owners to add multiple users to an account and assign them access based on their company role. Users can log time and manage projects, track expenses, and gain business insights from detailed reports.

Users can also filter invoices to view them by status, making it easy to see which ones have been created, viewed by the client, paid, or become overdue. Zoho provides 24-hour customer support by phone or email Monday through Friday.

While Zoho Invoice is free, Zoho charges for its billing platform with monthly subscriptions ranging from $20 to $300. Zoho’s Books accounting software is also priced separately, although there is a free option.

Although Zoho integrates the invoicing platform with most of its other finance apps, it doesn’t connect with Zoho Inventory. This may be a key part of invoicing for businesses that sell physical products.⁵

Zoho scores 4.4/5 on Trustpilot. While most of the reviews refer to the company’s social media management tool, the reviews that refer to the invoicing platform are positive on the range of features it offers for free. However, some negative reviews point to unresponsive customer support and delays in resolving ongoing issues.⁶

Wave

Wave offers easy invoicing software for small business and accounting tools that can be used separately or together, making it a cost-effective provider for startups and small businesses. The Wave Invoicing software creates and sends professional invoices quickly and supports recurring invoicing.

The platform also makes it easy to switch between manual and automated billing, which collects credit card payments from repeat customers so that business owners do not need to chase payments.

Notifications indicate when an invoice is due or paid, and users can send automated email reminders to customers, making it more likely they’ll pay on time.

All invoicing and payment information automatically syncs with the free Wave Accounting software.⁷

If you don’t need a full accounting software option, you may not use all of the features that Wave offers.

Wave negative reviews on Trustpilot largely refer to the company’s payment processing service rather than the invoicing software. Reviews that do refer to the invoicing and accounting software praise it as an easy-to-use service providing full functionality for free.⁸

💡 You can also connect Wave with a Wise Business account to sync transactions in multiple currencies and save time on admin. This is a great feature for businesses dealing with international transactions.

Xero

Xero is a popular accounting software platform that provides advanced features and integrations for small businesses with complex invoicing needs.

Xero’s online and mobile platform can customize and send invoices, set automatic reminders, and offer customers a range of payment options. Users can set up recurring invoices, turn accepted quotes into invoices, create templates, and batch send or bulk import invoices.

Xero’s accounting features include bank connections, expense and payroll management, bill tracking and payment, multi-currency support, purchase orders, and analytics. Xero’s inventory software can populate invoices and orders with items automatically.

Xero offers hundreds of integrations on its Xero App Store, allowing businesses to connect apps top streamline and grow their operations.

Xero’s monthly subscription fees range from $15 for the Early plan to $78 for the Established plan. The Early plan limits accounts to approving and sending 20 invoices per month.

Small businesses and startups that don’t need all Xero’s features may find the early plan could suit their needs.⁹

Xero has a 4.3/5 rating on Trustpilot, with reviews consistently praising the company’s customer support team. One reviewer in particular mentioned receiving help in adding customized invoice fields not included on the platform. However, some negative reviews point to the cost of subscriptions.¹⁰

You can also sync Wise and Xero easily, saving you time on manual entry.

Square Invoices

Square Invoices can be an ideal choice of invoicing software for small business users that have other Square products, as the basic version is included free in a Square account, along with other payment tools.

Square Invoices is simple to use, providing customizable templates to issue invoices from a mobile phone or other device, add attachments and receipts, and set automatic payment reminders.

Square also offers other tools such as estimates, advanced inventory features, sales tracking, and employee and contact management. Users can create contracts and attach them to invoices with ease. Integration with Square’s payment processing service allows businesses to accept electronic payments and pay its standard rates.

The free version includes unlimited invoicing, estimates, and contracts and allows users to send invoices by email, SMS, or by manually sharing a link.

The Plus version costs $20 per month and offers additional features, such as multi-package estimates, auto-conversion of accepted estimates into invoices, milestone-based payment schedules, custom invoice templates, and project tracking.¹¹

Square Invoice is relatively basic compared with other invoicing platforms – for example, it does not calculate sales taxes automatically. If you need accounting or bookkeeping features, you may want to consider an alternative provider.

Square has a 4.3/5 rating on Trustpilot, with most reviews referring to its mobile app and payment processing. Reviewers give positive marks to Square’s customer service team and specifically refer to the invoicing features as easy to use. However, there are reviews that cite problems with disruptions caused by the invoicing system.

💡 Looking for a quick and easy way to create professional invoices? Try the free invoice generator or invoice templates from Wise Business.

Factors to Consider When Choosing Invoicing Software

Small businesses often face challenges with invoicing that can affect their cash flow and financial efficiency. Late payments, invoicing errors, and the time it takes to create and send invoices manually can all create problems that can be avoided with the right invoicing software.

The best software for small business invoicing can reduce late payments by automating reminders so that clients are prompted to pay invoices on time. By making it easier to create and track invoices, business owners can save time and focus on following up on late payments. In addition, templates and automatic calculations reduce the risk of input errors and result in more accurate and streamlined financial reporting.

Business owners and their teams can use the time they save on automated invoicing on more critical business tasks, enhancing their overall productivity.

If you’re looking for invoicing software, consider factors such as ease of use, as this ensures you can start using it quickly without spending time getting to grips with the features or contacting customer support for help.

Compare the cost of various options to make sure they include the features you need and that you’re not overpaying for features you don’t need. If you receive payments in multiple currencies, check whether support for this is included.

Consider whether you need a scalable option to accommodate business growth, and look for integrations with other tools and software to streamline your workflows.

Benefits of Using Invoicing Software

There are several important benefits to small businesses in using invoicing software rather than creating invoices manually:

• Automation, including recurring invoices and payment reminders, saves time
• Cost-tracking and detailed reporting tools can improve cash flow management
• Software improves accuracy by minimizing the risk of human errors in calculations and documentation
• Customizable templates enable businesses to tailor their invoices to reflect their brand identity
• Clearer insights into invoicing facilitate more strategic financial planning and decision-making

Conclusion: Which is the Best Invoicing Software for Small Business?

Invoicing software can help small businesses save time on manual data entry and get paid faster by clients. By addressing common invoicing issues and automating the process, software platforms streamline business operations and enhance cash flow management.

But each invoicing software option has different features and advantages. It’s important to compare the features and costs of different software providers to find the right option that aligns with the needs of your business.

One point to consider with all these options is whether your business needs to create and manage international invoices.

A Wise Business account can save you time and money when making international transfers.

Did you know? Signing up to Wise Business allows access to BatchTransfer which you can use to pay multiple invoices in one go.

Using the Wise Business invoice generator, you can create and send unlimited invoices to international clients, without paying anything in monthly fees.

Receive & manage invoice payments
with Wise Business

Wise is not a bank, but a Money Services Business (MSB) provider and a smart alternative to banks. Wise’s business account enables you to hold up to 40+ currencies and easily convert between them. You can also access up to 9 local account details, meaning you’ll receive invoice payments like a local.

Your Wise transactions can also be synced with Wave, FreshBooks, QuickBooks, or Xero easily, saving you time on manual entry.

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Sources:

¹ QuickBooks® Pricing
² Intuit Reviews | Read Customer Service Reviews of quickbooks.com
³ FreshBooks Pricing, Lite, Plus and Premium Packages
⁴ Read Customer Service Reviews of freshbooks.com
⁵ Pricing? It's Free! | Zoho Invoice
⁶ Zoho Reviews | Read Customer Service Reviews of www.zoho.com
⁷ Wave Pricing
⁸ Wave HQ Reviews | Read Customer Service Reviews of waveapps.com
⁹ Pricing Plans | Xero US
¹⁰ Xero Reviews | Read Customer Service Reviews of www.xero.com
¹¹ Square Invoices
¹² Square US Reviews

All sources checked November 30, 2023.