The Top 5 Accounting Software for Startups: Keep Your Brand on Track in 2025

Most accounting software providers sync with one or more popular payroll providers (Zoho Books, which doesn’t sync with most payroll software, is a notable exception). Xero, FreshBooks, and QuickBooks all sync with Gusto, our favorite payroll provider for small businesses. At $39 plus $6 per user per month, Gusto is also fairly reasonably priced. All in all, I would say that this software is easy to use but I would have preferred it included some features it lacked, such as the ability to send payable invoices from the platform. It was also confusing at times, given that features I expected it to have were nowhere to be found, such as automated sales tax calculations on the invoice form. With these always at the top of my screen, I could easily complete key actions.

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Another key reason to upgrade to it is the automatic import and categorization of expenses from a bank feed. In the free plan, you can import bank transactions from a bank statement, but then you must manually assign categories to all the transactions. QuickBooks Online is my top pick for small business accounting software because it’s widely recognized and trusted by both business owners and accountants.

Best Accounting Software for Startups Summary

This separation makes it much easier to track business income and expenses, crucial for tax purposes. Think of it as building a clear wall between your personal life and your business operations, making everything cleaner and more transparent. This also offers legal protection should your business encounter financial difficulties.

Keeping Invoices

This is one of those things where if you’re using Accounting Seed, it probably works but you’re probably also probably limiting your pool of exceptional accountants that you can work with. Now I do have to give QuickBooks Online some props here because they have been, it’s so much more reliable and so much faster and way more powerful that QuickBooks keeps pushing the window. When we first started Kruze five years ago probably would have been like a $5 million company, should have switched to NetSuite. So QuickBooks is getting stronger but NetSuite is the gold standard for that late-stage startup, that’s got a full-on big finance team internally. And we have to remind these clients that the best accountants use QuickBooks – and you want to work with the best accountants if you are raising millions of dollars. Certified Bookkeeper You don’t want to work with someone who’s willing to take a shot on a strange software that isn’t industry standard – that means that they may be using some software that they do not really know.

• For that reason, we recommend a provider like QuickBooks Online, which gives you easier access to those forms of support.
• Our platform provides instant visibility into all transactions across your organization so you can monitor spending as it happens.
• Be prepared to transition to more advanced accounting systems and consider bringing in experienced financial professionals or outsourcing some accounting functions.
• You don’t have to buy Wave Accounting as it’s a free accounting and invoicing software platform.
• Sage Business Cloud is currently offering new customers 70% off for their first six months of Sage Accounting—which typically costs $25 a month.

To get the best possible experience please use the latest version of Chrome, Firefox, Safari, or Microsoft Edge to view this website. At any moment, executives or team members may own public or private stock in any of the third party companies we mention. I personally can tell you, they’ve done a great job for our companies, including Calm.com.

Wave: Best Free Accounting Software for Startups

• In that case, Xero offers better value, with unlimited seats included at no extra charge.
• I was then taken through a two-step process to verify my identity using my email and mobile phone.
• He provides technical support in investment banking projects and financial reporting valuation.
• The other six are more expensive ($30 to $99 per month), feature-rich, and customizable.
• Bills, estimates, and invoices are the most common types of transactions that small businesses need; most of the services we review support them.
• Sure, QuickBooks could be the best software for your small business, or you might find its prices too high and its features too limited.

Continue reading our full review of the best accounting solutions below. You’ll find What is Legal E-Billing additional information about each software, including cost, accessibility, and more. By the end of our comparison, you’ll be able to choose which one is right for your venture.

QuickBooks Online is the most user-friendly accounting software

• This adaptability extends to bank connections, integrating with over 9,600 financial institutions across the U.S. and Canada.
• For this reason, I don’t recommend FreshBooks to any business unwilling to establish a live bank feed; QuickBooks Online would be a better pick.
• Native integrations reduce manual data entry, minimize errors, and provide a more comprehensive view of your financial health.
• As a lean team, you want software that’s intuitive to use without extensive training.
• For those who really want to keep the purse strings tight, Wave can be an excellent option, as the core accounting features are completely free!

Here’s my pick of the 10 best software from the 19 tools reviewed. Simon Litt is the editor of The CFO Club, specializing in covering a range of financial topics. His career has seen him focus on both personal and corporate finance for digital publications, public companies, and digital media brands across the globe.

Prioritize diligent tracking of income and expenses, regularly review your financial reports, and consult with a qualified accountant or financial advisor for guidance. Addressing these areas proactively can save you time, money, and stress in the long run. The right software automates many of the tasks involved in accounting for startups, including invoicing, expense tracking, and bank reconciliation. This can save time and money and free up your team members to focus on other priorities. Your accounting software should integrate seamlessly with other systems you rely on — bank accounts, payroll, payments platforms, etc.