Business is booming, and you’ve finally outgrown making invoices in your word processor. Congratulations — it’s time to upgrade to small business invoicing software! Whether you’re a one-woman graphic design business or the leader of a sales team, you have more important things to do than manually bill your customers.
If you’re ready to tackle more robust and integrated solutions for your business, you’re in the right place. For example, a freelance writer like myself and a sales team won’t have the same billing processes, so we’ll need different features from invoicing software. I don’t need inventory management, but the sales team may not need to track billable hours.
The best invoice software will be the one whose features meet your business’ needs. I’ve analyzed those features and broken down my recommendations by category. This way, you can focus on the features you need to find the best invoice and billing software for your small business.
Table of Contents
- What is invoice software, and who needs it?
- What to Look For When Choosing Invoice Software
- Best Invoice Software
- Frequently Asked Questions About Invoice Software
What is invoice software, and who needs it?
Okay, so you’ve outgrown spreadsheets and Word docs. Couldn’t you just use an invoice template? Sure, that might make it a little faster — but it would still require you to manually enter data each time. Invoice software stores your business data so you can generate invoices in a matter of seconds.
Invoicing software is about more than just sending out a bill. It can also help your contractors track hours and inventory. It can connect sales and marketing teams by putting real revenue in your reporting. It could even increase cash flow by simplifying the payment process for your clients or customers.
Invoice software allows you to manage your full payment process from start to finish, so if you are bringing in payments and want to run efficiently, you need it!
What to Look For When Choosing Invoice Software
I know it’s tempting to choose based on price alone, but you should consider invoice software to be an investment. You want to be sure that you put your money toward invoicing software with features that you actually need as a small business. We all have our budget. However, the right invoice software can free up time and increase sales.
Here are some questions to ask when considering how to choose the right invoicing software for your business.
Does it have the ability to grow with you?
Many invoicing apps offer plans based on how many invoices you can send, how many clients you can bill, or how many users you have. You’ll want to make sure these limits won’t stop you from growing your business. It’s better to aim a bit higher now than to go through the hassle of switching software later.
Does it support automated invoicing and reminders?
Having to manually create and send invoices takes up time that could be better spent focusing on your clients. Not to mention having to send reminders or track down late payments. Choosing software that offers automation may be worth an additional cost.
Does it accept payments and multiple payment methods?
Combining your invoice software with your payment gate streamlines your billing process. When you make it easier for your customers to pay, you’ll get paid more often. The same is true when you offer multiple ways to pay.
Does it integrate with your existing sales tools and CRM?
Having to enter data twice not only wastes time but makes errors more likely. Integrations cut down on busy work and help ensure accuracy. Not only that, they can expand your reporting, enhance your sales process, and help your service team delight your customers.
1. HubSpot Payment Links: Best Invoice Software Overall
This one is at the top of this list because it’s awesome. HubSpot Payment Links is a powerful tool that’s included in Sales Hub. With this product, your invoice software doesn’t just integrate with your CMS — it’s already a part of it.
Linking your invoice software to your CRM is one of the most powerful connections you can make. You can knock out a huge range of tasks that invoice software couldn’t do alone.
For example, you can preload invoices with customer data and connect your billing process to workflows to automatically send quotes, invoices, or renewal notices. Importantly for your cash flow, there are secure links embedded in the invoices that allow your customers to pay directly from there, so you get paid faster. Here’s a traditional invoice, which you can certainly still use:
Here’s the same invoice with payment links added — so your customer would see and be able to pay immediately:
This software can instantly update customer accounts with purchase history, too. Imagine if your service reps could quickly view purchase history or payment activity while talking to your customers.
The integration gets so granular that you can do advanced sorcery like automatically generating quotes based on lifecycle stage and analyzing payment trends against marketing campaigns.
Whether through built-in APIs or automation software like Zapier, all of the above can be connected to your HubSpot account. It’s all pretty amazing, really.
Cost: You can test the tool for free, but users must sign up with Stripe. This tool is also included in Sales Hub Starter, which costs $15 a month or $90 a month for a professional plan.
Payment method for clients: Credit card, Debit card, ACH, Apple Pay, Google Pay, Stripe, and many more
Payment Cost
- Stripe fees plus 0.5% per transaction after 90 days
Multiple currencies? Yes
Free trial or demo? Free demo
Integrates with HubSpot? Built-in
What I like
It’s hard to explain how you feel like you’re living in the future when things just work. When I was creating the invoices pictured above, I thought I was going to have to invent the line items. Nope!
There’s an option to pull my product information straight from my HubSpot account — product information that I had completely forgotten about after I set them up using the drag-and-drop website builder for a different project altogether. I wish everything for my side-hustle was this easy.
Pro Features
- Completely integrated with your sales and marketing process
- Allows customers to pay directly from your invoice
- Create secure, shareable links that can be included in quotes, emails, chats, etc.
- Allows recurring payments or subscriptions via ACH or credit card
- Over 1,000+ custom tool integrations
2. Indy: Best Invoicing Software for Self-Employed Professionals
Indy is designed from the ground up to give freelancers, small business owners, entrepreneurs, and other self-employed professionals everything they need to get paid faster with simple, easy-to-use invoicing.
What makes their invoicing stand out is how it integrates with the rest of its tool suite. You can turn proposal estimates and time-tracking sheets into billable invoices with just a click. There are also flexible online and offline payment options, making it easier for clients to pay you and for you to avoid costly processing fees.
I’m giving this a whirl to test it out. As soon as I signed up for the free option, they gave me a swift tutorial on the basic steps to create an invoice. It didn’t overwhelm me with information, which I appreciate in an intro. I happen to have a logo for my freelance business, so I’ll load that up and follow the tutorial’s directions.
Nice, simple, clean. You can then create an email in which to deliver the invoice — to yourself first, so you’ll get an idea of what your client would see.
Instead of an email, they also give the option of creating a shareable link and exporting the invoice as a PDF, which you can print if you choose.
Cost: Free (three invoices per month) with paid plans starting at $12 a month for unlimited invoicing, recurring invoices, and automated workflows.
Payment Methods: Credit Card, Debit Card, ACH Payment (direct deposit), PayPal, Wire Transfer, Mailed Check, Zelle, and Stripe
Payment Cost: Depends on payment gateway
Multiple Currencies? Yes
Free Trial? Free plan with 7-day free trial for Indy Pro
Integrates with HubSpot? Through Zapier
What I Like
Indy’s reputation for being one of the easiest and most affordable invoicing software options available rang true in my experience. I found it to be a great solution for anyone looking to create and send professional invoices quickly. When you create an email, there is a drop-down menu of message templates with neutral, professional wording for a long list of situations.
Pro Features
- Easily turn time-tracking sheets into a billable invoice with just a couple clicks
- Create recurring invoices
- Automated follow-up messages that remind clients to pay invoices
- Customizable smart fields that pull info from your CMS to make messaging more personal
3. Freshbooks: Best Invoice Software for Freelancers
You don’t have to be a freelancer to use Freshbooks, but it has unique features that freelancers will love. You can set a retainer fee and track billable hours against the retainer. It helps by automatically calculating deposits by percentage, and you can access time-tracking or inventory management from your desktop or smartphone.
Cost
Lite: $19 for five client invoicing
Plus: $33 for up to 50 clients
Premium: $60 for unlimited clients
Select: Contact Freshbooks for more information
Payment Methods: Stripe, PayPal, Venmo, ACH, Credit Card
Payment Cost
- ACH — 1%
- Credit — 2.9% + $0.30 per transaction
Multiple Currencies? Yes
Free Trial? 30 days
Integrates with HubSpot? Yes
What I Like
Freshbooks can grow with you through their tiered pricing model. While their Lite plan focuses on basic invoicing, the software quickly becomes an all-in-one accounting solution. Higher plans can also handle payroll, inventory, ecommerce, and more.
Pros
- Access invoice software online from desktop or mobile devices
- Set up automation for emails or payments
- Include deposits in your quotes
- Track revenue by inventory or hours
Cons
- Requires a phone number to sign up for a free trial
- Kind of pricey for the features compared to others on this list
- Inventory management is manually entered, so it’s not an ideal solution for businesses that manage large inventories
4. Maxio (Previously Chargify and SaaSOptics): Best B2B Invoice Software
Maxio is a comprehensive and powerful financial platform that is customizable, and scalable. This tool brings together the best features of two greats in the industry: Chargify and SaasOptics.
Maxio is great for B2B companies due to the specialized recurring billing and subscription management capabilities it got from Chargify. Their best feature by far is being able to choose from dozens of different billing models, whether your sales model is product-based, usage-based, time-based, or even event-based.
For growing B2B SaaS companies, Maxio makes use of SaaSOptics’ features such as financial operations automation. It helps companies maximize their revenue through A/R management and financial metrics, improving accuracy and reporting.
Cost: $5,000 annually for up to $500,000 dollars in annual billings
Payment Method: 20+ Payment Gateways including Stripe, Braintree, and Square
Payment Cost: Depends on payment gateway
Multiple Currencies? Yes
Free Trial? A demo is available upon contact
Integrates with HubSpot? Yes
What I Like
Choosing a pre-made model doesn’t feel as limiting as it sometimes does. You can customize your invoices with options like trial periods, one-time fees, promotions, or even freemium offers. I did find that Maxio is beyond anything my small outfit needs right now. Should it grow, however, this is engineered to work hard for small businesses moving toward being mid-size.
Pros
- Allows you to use dozens of billing models
- Advanced data reporting allows you to monitor product and customer trends
- Facilitates easier and quicker reporting
Cons
- There is no indication of being able to pay monthly
- Feels like too much software until you’re on the large side of a small business
5. Zoho Invoice: Best Free Invoice Software
Zoho Invoice is a lightweight, cloud-based invoicing app that is still powerful enough for most small businesses. While it may not have Maxio’s bells and whistles, Zoho handles invoicing, expense tracking, and time tracking completely free of charge.
Zoho lets you create and send invoices via email or text message. It also lets your customers access a self-service customer portal where they can make payments.
I’m signing up for Zoho Invoice because it’s everywhere I need to be for my side hustle selling pet accessories at various markets and online. I can access it on my PC, iOS phone, and it’s a web app, so I can access it anywhere with an internet connection. More importantly to me, it has expense tracking features — something I need to get a better handle on this year
Later on, if you or I need more robust accounting software, Zoho Invoice can integrate directly with Zoho Billing. This paid software offers end-to-end accounting, including tracking payables, receivables, and banking.
Cost: Free
Payment Method: Credit Card, ACH Payment, Square, PayPal, and many other payment platforms available
Payment Cost: Depends on payment gateway
Multiple Currencies? Yes
Free Trial? It’s always free
Integrates with HubSpot? Yes
What I Like
I appreciate that there is a bulk expense recording screen so I can get caught up in a hurry before staying on top of it by recording expenses more granularly as they happen. I love the easy Square integration because I use Square for my POS at shows and markets.
This way, I can invoice customers on the last day of a dog show when they can’t just swing back by my booth to pay — being able to text it to them is amazing.
Pro Features:
- Tracks various expenses, including mileage
- Send invoices via text, email, or customer portal
- Create and send estimates that automatically turn into invoices
- Self-service customer portal lets customers view invoices and make payments
6. Invoiceapp: Best Invoicing App for Small Businesses
Invoiceapp is a leading online invoicing and billing platform designed to simplify and streamline the invoicing process for startups, small business owners, and freelancers. With a user-friendly interface and robust features, it empowers entrepreneurs, freelancers, and organizations to create, manage, and send professional invoices, ensuring efficient financial management.
Cost: $0 for free plan, $5 per month for Basic, $15 per month for Premium
Payment Method: Stripe and PayPal — only available on paid plans
Payment Cost: Depends on the payment gate
Multiple Currencies? Yes
Free Trial? 14 days
What I Like
They claim to build their software on the foundation of convenience and innovation, which is important to me because I need it to be easy to use, but I want access to new features, too. They offer a comprehensive and user-centric solution that helps businesses focus on their core operations while effectively managing their financial transactions as well.
Pros
- Create and send customized invoices
- Accept online payments with PayPal and Stripe
- Create estimates & quotations
- Expense management feature
Cons
- The free version is too light; all you can do is send 1-5 invoices
- They require a phone number just to see the free version
- Quotes, estimates, and expense management are only available on Premium
7. Billdu: Best Invoicing App
First, we need to talk about this beaver because the branding is killing me in the best way. He’s adorable and living his best life on every page. Can software feel wholesome? Because Billdu kind of feels wholesome. Look what I found:
Okay, back to business: this easy-to-use invoicing app for small businesses and freelancers has an intuitive interface and comprehensive set of features. Billdu makes it easy to create and send professional-looking invoices — all through your invoicing app.
Not only does Billdu simplify the invoicing process, but it also helps you manage your finances more efficiently. With features like expense tracking, invoice generator, payment reminders, and customer management, Billdu helps you and your business stay on top of your financial data.
Cost: Starting at free; $3.99 per month for Lite plans; $8.99 per month for Standard plans; $16.99 per month for Premium plans
Payment Method: Credit Card, Debit card, and ACH Payment
Payment Cost: Depends on the payment gate
Multiple Currencies? Yes
Free Trial? 30 Days
Integrates with HubSpot? No
What I Like
Most of all, I love Billdu’s branding. I also love that they give you a full 30-day trial with everything unlocked without asking for any billing info. This communicates that they trust their work, and you can really get to know what you need and what you don’t before you choose a plan.
I also like that Billdu updates its features to meet the evolving needs of its users. The fact that it includes barcode scanning — unique among others on this list so far — is clearly because someone needed that.
Key Features
- Include customizable templates to create professional-looking invoices
- Keep track of payments, send reminders for unpaid invoices, and accept online payments
- Track expenses and categorize them for easy reporting
- Beavers
8. PayPal: Easiest to Use Invoice Software
If you’re like me, when you think of PayPal, you think of online purchases. So you may be surprised to see it recommended as invoicing software.
Most of our recommendations are examples of invoicing software that can also handle payments. PayPal is payment software that can also handle invoicing. Their invoicing tools are simple but intuitive and come free with your merchant account. Just create an invoice using the template and send it by email.
Cost: Free
Payment Method: Credit Card, Debit card, Apple Pay, PayPal, Venmo, Pay Later, QR Code
Payment Cost
- Debit, Credit, and Apple Pay — 2.99% + $0.49 per transaction USD
- PayPal, Venmo, and Pay Later — 3.49% + $0.49 per transaction USD
- QR code Transactions — 2.29% + $0.09 per transaction USD
Multiple Currencies? Yes
Free Trial? No set up or monthly fees — you only pay when you get paid
Integrates with HubSpot? Through Zapier
What I Like
If you’re already in need of a payment gateway, but don’t need fancy time-tracking or inventory management, PayPal looks like a good option, especially if you are using it to sell with a QR code like many of my business buddies do at local, live markets.
Key Features
- Accept partial payments or even add a tip field
- Automatically send scheduled or recurring invoices
- Share invoices via email or link
- No subscription fee
9. Harvest: Best Invoice Software for Teams
Another surprise entry, Harvest is time-tracking software that happens to offer invoicing tools. I’d bet my admittedly non-existent fortune that your project manager is going to love Harvest. Don’t let that discourage you from giving it a try, too, though!
What sets Harvest apart is its unique ability to track and report on invoices at the project or team level. This means that, far beyond just invoicing, you can analyze past projects to better estimate time or cost for future work.
I love the aesthetic — warm and clean, attractive and professional. It’s super intuitive, and setting up recurring invoices was easy:
I used it to build a monthly retainer invoice based on consulting the company about what to post on media feeds for a fictional business called Finn & Ellie’s. They are billed monthly for one unique post idea each week for two channels: Facebook and Instagram. They have a 10% discount on the first three months:
I went ahead and used the time-tracking feature while I tried out these other features, too!
I spent 34 billable minutes exploring the program, trying out the invoices, and tracking my time:
Easy peasy, but look how great that turns out.
Cost: 30-day free trial to explore, then it’s free for one seat and two projects or $12 per month for unlimited seats and projects. You can save more by paying annually, making monthly payments around $10.20.
Payment Method: Credit card and ACH via PayPal and Stripe
Payment Cost: Depends on the payment gate
Multiple Currencies? Yes
Free Trial? 30 days
Integrates with HubSpot? Through Zapier
What I Like
You can also automatically generate an invoice based on team hours and expenses instead of having to pull all of that together yourself. I found that it was very easy and intuitive to find what I wanted to do even though the software suite had a wide range of options.
Key Features
- Integrates with project management tools like Asana, Trello, and Slack
- Add team members to projects to track expenses and time by project
- Allows managers to set budgets for teams to work within
- Automatically copy invoices to your accounting software, like Quickbooks or Xero
10. QuickBooks Online: Best Name Brand Invoice Software
If you have a business, you’ve heard of QuickBooks. They’re considered by many to be the gold standard in accounting software. QuickBooks Online is way more than simply invoice software, and that’s their biggest strength.
Much like all the functionality you get with the HubSpot Sales Hub, with QuickBooks Online, your invoices and payments are automatically connected to your accounting tools.
When a customer pays an invoice, it’s instantly recorded in your bookkeeping. It’s also instantly included in your reporting dashboard, letting you peek in on cash flow, profit & loss, and other financial data.
Unfortunately, there was not a trial version for me to sink my teeth into for this one, but here’s what I found:
Cost: Simple Start plans cost $0 per month; Essentials plans cost $60 per month; Plus plans cost $90 per month; Advanced plans cost $200 month
Payment Method: Credit cards, ACH, Apple Pay, PayPal, and Venmo
Payment Cost: Depends on the gateway
Multiple Currencies? Yes
Free Trial? No
Integrates with HubSpot? Yes
What I Love
The accessibility. So many businesses already know and use Quickbooks. The brand sells itself when additional features are added, such as invoicing and connecting your billing to your main Quickbooks software.
I am always all-in for integration — even the fun parts of running a business are hard enough, so every feature that saves time and smooths the path on the finance end of things is very welcome.
Pros
- Accelerated invoicing feature lets you duplicate similar invoices across customers
- Split invoices by percentage of work or line item
- Detailed reporting with easy-to-read dashboards
- Real-time invoice tracking can send you updates via text message or email
Cons
- Lacks industry-specific features
- User complaints of the system crashing/instability
- Reports of generic, impersonal support
Frequently Asked Questions About Invoice Software
What is the best free program to create invoices?
If you send fewer than 1,000 invoices per year, Zoho Invoice is the best free invoice software. It includes invoicing, time tracking, and expense tracking. It even offers simple automation and a self-service customer portal.
Does QuickBooks invoice?
Yes, QuickBooks lets you create custom invoices right from your accounting software. You can make custom invoices, turn estimates into invoices, or even duplicate invoices across multiple customers.
Is QuickBooks free to use?
QuickBooks is not free to use. Their offers vary, and at the time of this publishing, they are offering 30 days of Live Expert Assistance for first-time subscribers to any of their plans.
Does Zoho do invoicing?
Zoho offers free invoicing through their Zoho Invoice app. Zoho’s online accounting software, Zoho Books, also includes invoicing tools.
What is the difference between Zoho Invoice and Zoho Books?
Zoho Invoice is free software that focuses exclusively on invoicing tools. It includes features like invoice templates, time tracking, and online payments. Zoho Books is a suite of online accounting software that also handles tasks like tracking income and expenses or tax calculations.
How long is Freshbooks’ free trial?
Freshbooks offers a 30-day free trial.
Ready? Set. Invoice!
Now that you’ve outgrown handmade invoices, it’s time to choose invoice software that will keep you growing. Think about the features that will fit your business right now and where you want it to be in the future. Then, make use of free trials and demos until you’ve found the best invoice software for your business.
My final thoughts:
- Use whatever works with what you already have unless you’re ready for big changes.
- HubSpot’s invoice-specific offerings seem fairly comparable to Quickbooks, but they can do more for your business as a whole than QB.
- Freshbooks, to me, feels like it is seriously up and coming. I see the value of being able to use their software on mobile, and I look forward to what they do next.
- I’ll be trying out Zoho for my small business for now. I look forward to a time when my business grows, and I can try out more integrated solutions.
- Billdu’s sense of humor and charm tempt me, but Harvest sure is attractive, isn’t it?