Best Invoicing Software for Small Businesses (2025)

Compare the top invoicing software solutions for small businesses and contractors. Find detailed reviews, pricing, features, and user feedback to choose the right tool for your needs.

Jeel PatelJeel Patel
||Updated: January 2, 2025|11 min read
Best Invoicing Software for Small Businesses (2025)

Choosing the right invoicing software can significantly impact your business operations. The best solutions help you create professional invoices, track payments, and manage cash flow efficiently while reducing administrative overhead.

This guide compares 10 leading invoicing platforms based on features, pricing, ease of use, and real user feedback to help you make an informed decision.

What You'll Learn

  • 01Key features to look for in invoicing software
  • 02Pricing comparison across 10 popular platforms
  • 03Pros and cons based on verified user reviews
  • 04Which software works best for different business types
  • 05Free and paid options for every budget

How We Evaluated These Tools

Each invoicing platform was assessed based on:

  • Core Features: Invoice creation, payment tracking, recurring billing, and reporting
  • Ease of Use: Learning curve and interface design
  • Pricing: Value for money across different plan tiers
  • Integrations: Compatibility with accounting software and payment gateways
  • User Reviews: Aggregated ratings from G2, Capterra, and other platforms

Quick Comparison

At-a-Glance Comparison

#SoftwarePriceRatingBest For
1InvoiceOwl$9.99/mo
4.5
Contractors & field service
2QuickBooks$30/mo
4.0
Full accounting needs
3Zoho InvoiceFree
4.5
Budget-conscious businesses
4Square InvoicesFree
4.1
Retail & service businesses
5SimplyBill$5/mo
4.0
Basic invoicing only
6Invoice2go$5.99/mo
4.3
Mobile-first users
7Scoro$26/mo
3.9
Project management + invoicing
8FreshBooks$13.60/mo
4.1
Freelancers & consultants
9Harvest$30/mo
4.3
Time-based billing
10Hiveage$14/mo
4.5
Small teams & agencies

InvoiceOwl

Editor's Choice
#1

InvoiceOwl

4.5

Best Invoicing Software for Contractors

InvoiceOwl
Starting Price
$9.99/month
Free Trial
3 days
Key Features
Professional estimates & invoicesE-signature supportPayment trackingMulti-company managementQuickBooks Online Sync

InvoiceOwl is designed specifically for contractors and small businesses that need to create estimates and invoices quickly, often while on job sites. The platform emphasizes mobile functionality and streamlined workflows.

Why users choose InvoiceOwl

  • Intuitive mobile app for on-the-go invoicing
  • Quick estimate-to-invoice conversion
  • Built-in e-signature functionality
  • Supports multiple business profiles
  • Affordable pricing for small businesses

I can create estimates on-the-go and convert them to invoices easily. The eSign feature saves a lot of back-and-forth with clients.

Verified G2 User

QuickBooks

#2

QuickBooks

4.0

Online Invoicing and Accounting Software

QuickBooks
Starting Price
$30/month
Free Trial
30 days
Key Features
Income & expense trackingCustom invoices & quotesGST/VAT trackingReceipt captureBank integration

QuickBooks is one of the most recognized names in small business accounting. While it's a comprehensive solution, it may be more than what businesses need if they're only looking for invoicing capabilities.

Pros

  • Comprehensive accounting features
  • Large ecosystem of integrations
  • Strong reporting capabilities
  • Widely recognized by accountants

Cons

  • Steeper learning curve for new users
  • Higher price point than invoicing-only tools
  • Some features locked behind expensive tiers

Can track everything from revenue to costs and monthly expenses in one place. The reporting helps identify areas to maximize profits.

John E.

Customer support response times have been inconsistent, and the pricing has increased significantly over the years.

Verified G2 User

Zoho Invoice

#3

Zoho Invoice

4.5

Best Free Invoice Creating Software

Zoho Invoice
Starting Price
Free
Free Trial
30 days
Key Features
Multilingual/multicurrency invoicesRecurring invoicesReal-time invoice reportsAutomated remindersClient portal

Zoho Invoice offers a generous free tier that handles basic invoicing needs for small businesses. It integrates seamlessly with the broader Zoho ecosystem.

Pros

  • Generous free tier for small businesses
  • Clean, intuitive interface
  • Good customization options
  • Automatic estimate-to-invoice conversion

Cons

  • Invoice limit on free plan (1,000/year)
  • Advanced features require paid upgrade
  • Reporting could be more intuitive

Easy to set up and the free plan covers everything I need for my side business.

Michael M.

Square Invoices

#4

Square Invoices

4.1

Free Billing Software for Freelancers & Small Businesses

Square Invoices
Starting Price
Free
Free Trial
30 days
Key Features
Batch invoicingMulti-package invoicingOnline payment processingReal-time trackingE-signature contracts

Square Invoices works best for businesses integrated into the Square ecosystem. It's free to use, with fees only charged on processed payments (2.9% + $0.30 per transaction).

Pros

  • No monthly subscription required
  • Professional templates out of the box
  • Two-factor authentication for security
  • Works across all devices

Cons

  • Limited customization options
  • Payment collection restricted by country
  • Email deliverability issues reported by some users

Clean dashboard that's easy to use. The reminder feature for invoices is helpful.

Jill M.

SimplyBill

#5

SimplyBill

4.0

Cloud-based Contract Billing Software

SimplyBill
Starting Price
$5/month
Free Trial
14 days
Key Features
Online estimates & invoicesCustomized templatesEmail alertsSSL data encryption

SimplyBill focuses on simplicity. It's a good choice for those who need to create and send invoices without additional complexity.

Pros

  • Very affordable pricing
  • Simple, no-frills interface
  • Easy payment and tax tracking

Cons

  • Limited payment gateway support
  • Fewer features than competitors
  • Mobile experience could be improved

Straightforward tool for checking invoice status. Does what it says without extra complexity.

Verified User

Invoice2go

#6

Invoice2go

4.3

Invoicing System for Contractors

Invoice2go
Starting Price
$5.99/month
Free Trial
30 days
Key Features
Professional estimates & invoicesCentralized project workspaceInvoice trackingInstant customer feedbackEasy integrations

Invoice2go emphasizes mobile invoicing with a clean interface designed for users who work primarily from their phones.

Pros

  • Excellent mobile experience
  • Intuitive user interface
  • Multiple payment options for clients
  • Good reporting features

Cons

  • Limited invoice count on lower tiers
  • No invoice view tracking
  • Yearly report export limitations

Easy to use on mobile devices. Shows all invoices clearly with paid/outstanding status.

Verified G2 User

Scoro

#7

Scoro

3.9

All-in-one Business Management Solution

Scoro
Starting Price
$26/month
Free Trial
14 days
Key Features
360-degree customer overviewSales & financial reportsAutomated billingLate payment remindersProject management

Scoro is a business management platform that includes invoicing as part of a broader suite covering project management, time tracking, and team collaboration.

Pros

  • All-in-one business management
  • Good for tracking projects to invoices
  • Easy to learn despite feature depth

Cons

  • Higher price point
  • May be overkill for invoicing-only needs
  • QuickBooks integration has limitations

Great invoicing and reminders system integrated with project management.

Uku S.

FreshBooks

#8

FreshBooks

4.1

Invoicing Software for Freelancers & Consultants

FreshBooks
Starting Price
$13.60/month
Free Trial
30 days
Key Features
Automated invoicing & billingInventory trackingTime trackingProject profitability tracking

FreshBooks has long been a favorite among freelancers for its balance of simplicity and features. It handles invoicing, time tracking, and basic accounting.

Pros

  • Clean, intuitive interface
  • Built-in time tracking
  • Automatic tax calculations
  • Good customer support

Cons

  • Client limits on lower tiers
  • Auto-save functionality missing in some areas
  • Setup can feel complex initially

Helps me stay organized with time tracking across different clients and send invoices from the same place.

Michelle B.

Harvest

#9

Harvest

4.3

Cloud-Based Time Tracking & Invoicing

Harvest
Starting Price
$10.80/user/month
Free Trial
Free plan available
Key Features
Track billable hoursReports & analysisInvoicingPaymentsQuickBooks/Xero integration

Harvest specializes in time tracking and converts tracked hours directly into invoices. It's ideal for consultants, agencies, and professionals who bill hourly.

Pros

  • Excellent time tracking
  • Seamless time-to-invoice workflow
  • Good integration options
  • Clean reporting interface

Cons

  • Limited phone support
  • Expense customization could be better
  • Gets expensive with larger teams

Simple to use with great visibility into project costs and time spent. Visual indicators for going over budget are helpful.

Anna A.

Hiveage

#10

Hiveage

4.5

Invoicing Solution for Small Teams

Hiveage
Starting Price
$14/month
Free Trial
14 days
Key Features
Invoice makingRecurring billingTime trackingFinancial reports

Hiveage offers a straightforward invoicing solution with features like recurring billing and basic financial reporting, positioned as an easy entry point for growing businesses.

Pros

  • Shows when clients view invoices
  • Quick setup process
  • Mobile invoicing available

Cons

  • Email deliverability issues reported
  • Customer support response times vary
  • Limited accounting features

Makes sending estimates and invoices easy. Customer service has been responsive when I've had questions.

Verified G2 User

How to Choose the Right Software

Consider these factors when making your decision:

By Business Type

  • Contractors/Trades: Look for mobile-first options with estimate capabilities (InvoiceOwl, Invoice2go)
  • Freelancers: Consider tools with time tracking (FreshBooks, Harvest)
  • Retail/Service: Payment-integrated options work well (Square Invoices)
  • Agencies: Project management integration is valuable (Scoro, Harvest)

By Budget

  • Free options: Zoho Invoice, Square Invoices
  • Budget-friendly: SimplyBill ($5/mo), Invoice2go ($5.99/mo)
  • Mid-range: InvoiceOwl ($9.99/mo), FreshBooks ($13.60/mo)
  • Full-featured: QuickBooks ($30/mo), Scoro ($26/mo)

Must-Have Features

  • Recurring invoicing for subscription businesses
  • Multi-currency for international clients
  • Payment gateway integration for faster collection
  • Mobile apps for on-the-go invoicing
  • Accounting software integration for bookkeeping

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Frequently Asked Questions

Focus on invoice customization, payment tracking, automated reminders, and integrations with your existing tools. If you bill hourly, time tracking is essential. For contractors, estimate-to-invoice conversion saves significant time.

Free options like Zoho Invoice and Square Invoices work well for businesses with basic needs. However, if you need advanced features like recurring billing, multi-currency support, or deeper integrations, paid options typically offer better value.

Most platforms charge similar rates (around 2.9% + $0.30 per transaction) for credit card processing. Some, like Square Invoices, include payment processing in the free tier with only per-transaction fees. Compare total costs based on your invoice volume and average transaction size.

Most invoicing platforms allow data export in CSV or other formats. Some offer direct migration tools from competitors. Before switching, export your client list, invoice history, and any open invoices. Check if your new platform has import capabilities.

Many accounting platforms (like QuickBooks) include invoicing. However, dedicated invoicing tools often provide better invoice customization, mobile experiences, and client-facing features. Consider your priorities: if invoicing is your main need, a specialized tool may be better.

Estimates (or quotes) are sent before work begins to outline proposed costs. Invoices are sent after work is completed to request payment. Good invoicing software lets you convert approved estimates directly into invoices without re-entering information.

For field-based businesses (contractors, consultants who visit clients), mobile apps are essential for creating invoices immediately after completing work. Office-based businesses may rely more on desktop features. Consider where you'll use the software most.

Built-in payment processing (credit cards, ACH) typically results in faster payments since clients can pay directly from the invoice. If getting paid quickly is a priority, choose software with integrated payment options or ensure it connects to your preferred payment gateway.


Summary

The best invoicing software depends on your specific business needs:

  • For contractors and trades: InvoiceOwl offers mobile-first invoicing with strong estimate capabilities
  • For full accounting needs: QuickBooks provides comprehensive financial management
  • For budget-conscious businesses: Zoho Invoice's free tier handles basic invoicing well
  • For freelancers: FreshBooks balances simplicity with useful features
  • For hourly billing: Harvest excels at time-to-invoice workflows

Most platforms offer free trials, so test a few options with your actual workflow before committing. Pay attention to how the software handles your most common tasks—creating invoices, tracking payments, and following up on overdue accounts.

Written by

Jeel Patel

Founder & CEO at InvoiceOwl

Jeel Patel is the founder of InvoiceOwl, a highly-rated estimating and invoicing software designed to streamline contractor businesses' invoicing and estimating workflows. He holds a degree in Business Administration and Management from the University of Toronto, where he developed strong analytical capabilities and business acumen.

More about Jeel

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