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Introduction

In the dynamic world of business, accounting software stands as a cornerstone, especially for small and medium-sized enterprises seeking efficiency and financial clarity. Among the myriad of options, FreshBooks and QuickBooks emerge as prominent players, each offering unique strengths tailored to different business needs. FreshBooks shines with its user-friendly approach, ideal for those who value simplicity, while QuickBooks offers a comprehensive suite of features suited for more complex financial management. This article delves into a detailed comparison of these two leading platforms, guiding you through their features, usability, and pricing to help you make an informed decision for your business’s accounting needs.

 

Article Summary

• Section 1: Company Background
  
• Section 2: Features and Capabilities
  
• Section 3: Usability and User Experience
  
• Section 4: Pricing and Plans
  
• Section 5: Customer Support and Resources
  
• Section 6: User Reviews and Testimonials
  
• Section 7: Pros and Cons
  
• Section 8: Final Comparison and Recommendations
  
• Conclusion
  

 

 

Section 1: Company Backgrounds

Subsection 1: FreshBooks

History and Evolution

FreshBooks’ journey began in 2003, born out of a genuine need. Mike McDerment, co-founder and CEO, was running a small design agency and became frustrated with the cumbersome process of using traditional accounting software to bill clients. To address this, he developed a simpler, more intuitive solution, which laid the foundation for FreshBooks. What started as a small, client-focused tool rapidly evolved into a full-fledged cloud-based accounting solution, specifically designed for small businesses and freelancers.

Over the years, FreshBooks has continually adapted and expanded its feature set, maintaining its simplicity while incorporating more robust functionalities like time tracking, project management, and advanced reporting. This evolution reflects a commitment to meet the changing needs of its growing user base while staying true to its roots of simplicity and ease of use.

 

Target Market and Core Users

FreshBooks primarily targets service-based small businesses and freelancers. Its core user group includes graphic designers, IT professionals, consultants, and other service-oriented small business owners. These users often have minimal accounting training and seek a tool that is straightforward, without the complexities found in more traditional accounting software. FreshBooks meets this need by offering a user-friendly platform that simplifies invoicing, expense tracking, and time management, allowing its users to focus more on their business and less on bookkeeping.

 

Subsection 2: QuickBooks

History and Evolution

QuickBooks, developed by Intuit, has been a prominent player in the accounting software market since its launch in 1983. Initially designed as a simple-to-use accounting program for small business owners with little accounting expertise, QuickBooks has evolved significantly. It has transformed from a basic desktop application to a comprehensive cloud-based solution, offering a wide range of features including payroll processing, inventory management, and sales tax tracking.

Over the decades, QuickBooks has expanded its offerings to cater to a diverse range of business sizes and types. With the advent of QuickBooks Online, the software has become more accessible, providing real-time financial data access from anywhere, an essential feature in today’s mobile and increasingly remote business environment.

Target Market and Core Users

QuickBooks targets a broad spectrum of small to medium-sized businesses across various industries. Its versatility makes it suitable for retailers, wholesalers, contractors, non-profit organizations, and many other types of businesses. The software is designed to grow with a business, making it a popular choice for startups that anticipate scaling up their operations. QuickBooks’ comprehensive feature set and robust accounting capabilities appeal to business owners who need more than just basic bookkeeping, including those who require detailed financial tracking and reporting, inventory management, and payroll services. This wide-ranging appeal has solidified QuickBooks as a go-to solution for businesses seeking an all-encompassing financial management tool.

 

Section 2: Features and Capabilities

Subsection 1: Core Features

Invoicing: Both FreshBooks and QuickBooks offer robust invoicing features. FreshBooks stands out for its simplicity and ease of use, allowing users to create and customize professional-looking invoices quickly. It also offers the ability to set up recurring billing and automatic payment reminders. QuickBooks, on the other hand, provides more detailed customization options for invoicing, along with the ability to track billable hours and expenses directly from the invoice.

Expense Tracking: Expense tracking is a critical feature for small businesses, and both platforms excel in this area. FreshBooks allows users to easily log expenses, categorize them, and attach receipts using its mobile app. QuickBooks goes a step further by offering the additional capability of linking directly to bank accounts and credit cards to automatically import and categorize expenses, which can be a significant time-saver.

Financial Reporting: QuickBooks offers a more comprehensive set of financial reporting tools compared to FreshBooks. It includes standard financial reports like profit and loss statements, balance sheets, and cash flow statements. FreshBooks provides essential financial reporting capabilities suitable for small business owners who need straightforward, easy-to-understand reports.

 

Subsection 2: Unique Features

FreshBooks’ Unique Offerings:

Client Retainer Feature: FreshBooks offers a client retainer feature, which is particularly useful for service-based businesses that work on a retainer basis.

Time Tracking: FreshBooks has superior time tracking capabilities, allowing users to track time against specific clients and projects, making it ideal for freelancers and consultants.

 

QuickBooks’ Unique Offerings:

Payroll Processing: QuickBooks offers integrated payroll processing, a crucial feature for businesses with employees. This integration simplifies payroll management within the same ecosystem.

Advanced Inventory Management: For businesses that require inventory tracking, QuickBooks provides advanced inventory management features, including tracking inventory levels and costs, and reordering inventory.

 

Subsection 3: Integrations and Add-ons

Available Integrations:

FreshBooks Integrations: FreshBooks integrates with a variety of other tools and services, including project management tools like Asana and Trello, customer relationship management (CRM) systems like Salesforce, and payment gateways like Stripe and PayPal.

QuickBooks Integrations: QuickBooks also offers a wide range of integrations, including e-commerce platforms like Shopify, CRM systems, and payment processing tools. Additionally, it integrates with other Intuit products like TurboTax for streamlined tax filing.

 

Additional Features through Add-ons:

FreshBooks Add-ons: FreshBooks provides add-ons for advanced payments, client management, and additional team members. These add-ons allow businesses to customize the software to their specific needs.

QuickBooks Add-ons: QuickBooks offers various add-ons for enhanced functionality, such as advanced reporting, time tracking, and payment processing services. These add-ons are designed to make QuickBooks a more comprehensive solution for complex business needs.

In summary, while there is an overlap in core features like invoicing, expense tracking, and financial reporting, each platform offers unique strengths. FreshBooks excels in simplicity and client-focused features, whereas QuickBooks provides a broader range of features suitable for a diverse set of business needs, including advanced inventory management and payroll processing. The availability of various integrations and add-ons in both platforms further extends their capabilities, allowing businesses to tailor the software to their specific requirements.

 

Section 3: Usability and User Experience

Subsection 1: Interface and Navigation

Comparison of the User Interfaces

FreshBooks and QuickBooks both offer well-designed interfaces, but their approach to design and navigation differs significantly. FreshBooks boasts a highly intuitive and straightforward interface, characterized by a clean layout and a focus on ease of use. Its dashboard provides immediate access to crucial financial information and tasks, making it particularly appealing to users who prioritize simplicity and quick navigation.

QuickBooks, while also offering a clean and organized interface, is more feature-rich, which can add complexity to its navigation. Its dashboard presents a comprehensive view of financial data, but accessing specific features can involve a learning curve, especially for users who are new to accounting software. However, once familiar, QuickBooks users can navigate efficiently through its myriad of features.

 

Ease of Navigation and User-Friendliness

FreshBooks scores high on user-friendliness, especially for those who may not have an accounting background. Its straightforward design ensures that new users can get up to speed quickly, with minimal confusion. The platform excels in guiding users through common tasks like creating invoices or logging expenses, making it ideal for freelancers and small business owners who need an uncomplicated solution.

QuickBooks offers a more detailed and robust platform, which means it can take longer for new users to become proficient. However, the comprehensive nature of its features makes it a powerful tool for businesses that require a deeper and more extensive range of accounting functionalities. QuickBooks is well-suited for those who have some familiarity with accounting principles or those who are willing to invest time in learning the platform.

 

Subsection 2: Mobile App Usability

Functionality and Features of Mobile Apps

Both FreshBooks and QuickBooks offer mobile applications that provide users with the flexibility to manage their finances on the go. The FreshBooks mobile app mirrors the simplicity of its web interface, offering core functionalities like invoicing, expense tracking, and time tracking. It is particularly effective for users who need to manage their accounting tasks efficiently while away from the office.

The QuickBooks mobile app offers a broader range of features, aligning closely with its desktop counterpart. Users can perform a variety of tasks, including invoice creation, expense tracking, and viewing comprehensive financial reports. The app is designed for businesses that need comprehensive accounting functionalities accessible from their mobile devices.

 

User Experience on Different Devices

The FreshBooks app is praised for its user-friendly design and responsiveness across various devices, maintaining consistency in usability and layout. It is particularly well-received for its straightforward functionality, making it easy for users to handle their accounting tasks with minimal effort.

QuickBooks’ mobile app also maintains a high level of functionality across devices. While it packs more features than FreshBooks, it still manages to provide a user-friendly experience, though some users may find the interface slightly more crowded due to the additional functionalities.

In conclusion, FreshBooks offers an exceptionally user-friendly experience both in its web and mobile platforms, ideal for those who value simplicity and quick task management. QuickBooks, with its comprehensive feature set, provides a more robust experience both on desktop and mobile, catering to businesses that require detailed and extensive accounting functions. The choice between the two largely depends on the specific needs and expertise level of the users.

 

Section 4: Pricing and Plans

Subsection 1: FreshBooks Pricing

FreshBooks offers a tiered pricing structure designed to accommodate the varying needs of small businesses and freelancers:

Lite Plan: Ideal for freelancers or small businesses just starting out. This plan typically allows users to bill up to a limited number of clients and includes basic features such as invoice creation, expense tracking, and time tracking.

Plus Plan: This is a step up from the Lite plan and is suited for growing businesses. It supports billing for more clients and includes additional features like automatic expense tracking, recurring billing, and the ability to send proposals.

Premium Plan: Designed for businesses that are scaling up quickly. The Premium plan includes all features of the Plus plan and allows billing for an even higher number of clients. Additional features often include advanced reporting and the ability to add team members.

Select Plan: This is a custom solution for businesses with unique needs. It typically includes all Premium features, plus dedicated account management, customized training, and more.

 

Subsection 2: QuickBooks Pricing

QuickBooks also offers various plans, catering to different business sizes and needs:

Simple Start: Targeted towards small businesses and sole proprietors. It includes basic features like income and expense tracking, invoice and payment acceptance, and basic reporting.

Essentials: Ideal for small but growing businesses. This plan builds on the Simple Start by adding features like bill management, time tracking, and support for multiple users.

Plus: Suitable for established businesses needing advanced features. Includes everything in Essentials, plus project profitability tracking, inventory tracking, and the ability to manage contractors.

Advanced: This is the most comprehensive plan, designed for larger businesses that need sophisticated reporting and analytics, enhanced custom fields, and dedicated support.

 

 

Subsection 3: Value for Money

 

Comparative Analysis of Features vs. Cost

When comparing FreshBooks and QuickBooks in terms of value for money, several factors come into play:

Target User Base: FreshBooks is typically more cost-effective for freelancers and service-based small businesses that require straightforward billing and expense tracking. Its pricing is aligned with the features most needed by this demographic.

Feature Set: QuickBooks, with its more comprehensive feature set, offers better value for businesses that require detailed accounting capabilities, such as inventory management and advanced reporting. The cost is higher, but it’s justified for businesses that will utilize these advanced features.

Scalability: QuickBooks tends to offer better scalability for growing businesses. Its higher-tier plans provide extensive functionalities that can accommodate the complexities of larger operations.

Simplicity vs. Sophistication: For users who prioritize ease of use and simplicity, FreshBooks may present a better value, avoiding the cost of unneeded complex features. Conversely, for those who need detailed financial management, QuickBooks’ higher cost may offer better long-term value.

In summary, the value for money should be assessed based on the specific needs of the business. FreshBooks is generally more cost-effective for basic needs and user-friendliness, while QuickBooks offers greater value for those needing a comprehensive, all-in-one accounting solution.

 

Section 5: Customer Support and Resources

Subsection 1: Support Channels

FreshBooks Customer Support:

Phone Support: FreshBooks offers excellent telephone support, often praised for its responsive and helpful service.

Email Support: Users can reach out via email, with a reputation for thorough and timely responses.

Live Chat: FreshBooks also provides live chat support, offering quick and convenient assistance during business hours.

 

QuickBooks Customer Support:

Phone Support: QuickBooks provides phone support, though users sometimes report longer wait times compared to FreshBooks.

Email Support: Email support is available, with responses generally being comprehensive and helpful.

Live Chat: QuickBooks offers live chat support, which is beneficial for immediate assistance and shorter queries.

 

Subsection 2: Educational Resources

FreshBooks Educational Resources:

Tutorials and Guides: FreshBooks has a wide range of tutorials and guides available on their website, covering various features and best practices.

Webinars: Regular webinars are conducted, providing insights and tips on using FreshBooks effectively.

Blog: The FreshBooks blog is a rich resource for business advice, accounting tips, and software updates.

 

QuickBooks Educational Resources:

Tutorials and Guides: QuickBooks offers an extensive library of tutorials and how-to guides, both for beginners and advanced users.

Webinars: They host webinars covering not only software usage but also broader business and accounting topics.

Learning Portal: QuickBooks has a dedicated learning portal with courses and training materials, making it a valuable resource for in-depth learning.

 

 

Subsection 3: Community and Forums

FreshBooks Community and Forums:

User Community: FreshBooks has an active user community where customers can share advice, tips, and best practices.

Online Forums: Their online forums are a platform for users to ask questions, get answers from peers, and engage with other users.

 

QuickBooks Community and Forums:

User Community: QuickBooks’ user community is vast and active, offering a rich source of peer-to-peer support and networking.

Online Forums: The QuickBooks forums are a robust platform for discussing issues, solutions, and tips with a large community of users.

Section Conclusion: Both FreshBooks and QuickBooks offer robust customer support and a wealth of educational resources. FreshBooks excels in providing quick and personalized customer service, while QuickBooks offers more extensive educational materials and a larger user community for peer support. These resources and support channels significantly enhance the overall user experience, enabling users to leverage the full potential of the accounting software. The choice between the two may depend on the individual user’s preference for personalized support vs. extensive self-help and community resources.

 

Section 6: User Reviews and Testimonials

Subsection 1: FreshBooks

Summary of User Reviews and Ratings

FreshBooks generally receives high ratings from its user base, particularly for its user-friendly interface and exceptional customer service. Users often praise the platform for its simplicity and ease of use, making it highly suitable for freelancers and small businesses with limited accounting experience.

Positive reviews frequently highlight the software’s efficient invoicing capabilities, time tracking features, and the mobile app’s convenience. Some users, however, mention limitations in terms of customization options and more advanced accounting features.

 

Notable Testimonials

A notable testimonial from a small business owner emphasizes FreshBooks’ ability to streamline their invoicing process, reducing the time spent on billing significantly. Another testimonial from a freelancer highlights the ease with which they could track time and expenses, making tax season less daunting.

 

Subsection 2: QuickBooks

Summary of User Reviews and Ratings

QuickBooks is often highly rated for its comprehensive feature set, catering to a wide range of business accounting needs. Users appreciate its robustness in handling complex accounting tasks, extensive reporting capabilities, and integration options.

However, some reviews point out a steeper learning curve, especially for users who are new to accounting software. The breadth of its features, while powerful, can be overwhelming for smaller businesses that don’t require such extensive functionality.

 

Notable Testimonials

A testimonial from a medium-sized business owner praises QuickBooks for its scalability and the ability to handle different aspects of their business accounting in one platform. A bookkeeper shares their experience with QuickBooks’ detailed reporting and analytics tools, which have helped them provide better insights to their clients.

Section Conclusion: Both FreshBooks and QuickBooks enjoy positive user feedback but cater to different user needs and preferences. FreshBooks is often favored for its simplicity and excellent customer support, ideal for those who need a straightforward, user-friendly solution. In contrast, QuickBooks is commended for its extensive capabilities and advanced features, preferred by those who require a more comprehensive accounting solution. These testimonials and reviews reflect the distinct value each software brings to its respective user base.

 

 

Section 7: Pros and Cons

Subsection 1: FreshBooks

Advantages:

User-Friendly Interface: FreshBooks is renowned for its intuitive and simple interface, making it ideal for those without an accounting background.

Exceptional Customer Support: The platform is known for its responsive and helpful customer service, including phone, email, and live chat support.

Efficient Invoicing: FreshBooks offers easy-to-use invoicing features, including customizable templates and automated billing.

Excellent Time Tracking: The software provides robust time tracking tools, which are especially useful for freelancers and consultants.

Mobile App Usability: The FreshBooks mobile app is user-friendly, allowing users to manage accounting tasks on the go efficiently.

Disadvantages:

Limited Advanced Features: Compared to QuickBooks, FreshBooks lacks some advanced accounting features, which may be a drawback for larger businesses.

Fewer Integration Options: While it offers integrations, the range is narrower than QuickBooks, potentially limiting for some businesses.

Less Comprehensive Reporting: Reporting in FreshBooks is more basic and may not meet the needs of businesses requiring detailed financial analysis.

 

Subsection 2: QuickBooks

Advantages:

Comprehensive Feature Set: QuickBooks provides a wide range of accounting features, including advanced reporting, payroll processing, and inventory management.

Scalability: The software is highly scalable, making it suitable for small businesses that plan to grow.

Extensive Integration Options: QuickBooks offers a broad array of integrations with other business software, enhancing its overall functionality.

Robust Reporting Capabilities: It offers in-depth reporting and analytics, essential for detailed financial management and planning.

Versatile for Various Business Types: QuickBooks caters to a diverse range of industries and business sizes, making it a versatile option.

Disadvantages:

Steeper Learning Curve: Due to its extensive features, QuickBooks can be overwhelming for beginners or those without an accounting background.

Higher Cost: QuickBooks tends to be more expensive than FreshBooks, particularly for its more advanced plans.

Potential for Feature Overload: Small businesses may find some of QuickBooks’ features unnecessary, leading to a more complex experience than needed.

Section Conclusion: In summary, FreshBooks offers simplicity and exceptional user support, making it ideal for freelancers and small businesses that need straightforward accounting software. However, its limitations in advanced features and integrations may be a downside for growing businesses. QuickBooks, on the other hand, is a robust, feature-rich platform suited for a wide range of business sizes and types, offering scalability and comprehensive reporting. Its complexity and higher cost, however, might be challenging for smaller businesses or individuals who require a more basic solution.

 

Section 8: Final Comparison and Recommendations

In comparing FreshBooks and QuickBooks, key differences emerge that guide recommendations based on business needs and size. FreshBooks, with its user-friendly interface and focus on simplicity, is ideal for freelancers and small, service-based businesses. It excels in easy invoicing, time tracking, and client management, catering well to those with straightforward financial management needs. QuickBooks, on the other hand, is better suited for growing small to medium-sized businesses that require more comprehensive features such as advanced reporting, inventory management, and payroll processing. Its broader functionality and higher price point make it a fit for businesses with more complex accounting needs and those in industries like retail or manufacturing. Budget-wise, FreshBooks offers a more affordable solution for those just starting out or with limited financial management needs, while QuickBooks provides extensive capabilities for those willing to invest more. In summary, the choice between the two software depends on the scale, industry, and specific accounting requirements of your business.

 

Conclusion

In conclusion, selecting the right accounting software between FreshBooks and QuickBooks hinges on a clear understanding of your specific business needs, size, and industry requirements. While FreshBooks offers simplicity and user-friendliness, ideal for freelancers and smaller businesses, QuickBooks caters to a wider range of business sizes with its comprehensive feature set. There are 1000’s of 3^rd party apps that integrate with Quickbooks to handle special industry needs.

As you weigh your options, consider not just the present needs of your business, but also potential future growth. By aligning your choice with your unique business context and projections, you ensure that your accounting software not only meets your current demands but also supports your business as it evolves and expands. Remember, the best choice is one that fits seamlessly into your business operations, enhancing efficiency and financial clarity.

 

3^rd party reviews

businessnewsdaily.com

QuickBooks vs. FreshBooks: Comparing Two of Our Top Accounting Software Picks

Max Freedman

It follows naturally that, since accounting software is where you store your business’s client and vendor payments, it should include invoicing tools. QuickBooks, the biggest name in accounting software, excels on this front — and FreshBooks, a leading competitor, performs even better. These two prominent vendors are among the best accounting software platforms and offer similarly robust invoicing features, so they’re well worth comparing side by side.

To do this for you, we dove back into our QuickBooks review and our FreshBooks review. We looked at each platform’s invoicing capabilities and half a dozen other key factors to adequately compare and contrast these two services. Here’s what we found.

QuickBooks vs. FreshBooks Compared

Who Do We Recommend QuickBooks For?

We recommend QuickBooks for all small businesses — this platform has long led the accounting software field. Its reputation is well-deserved given its competitive prices and the breadth of tools it offers with each of its pricing packages. Plus, the QuickBooks mobile app is also among the most impressive accounting mobile apps we’ve tested.

QuickBooks is an especially apt choice if you’re looking for advanced integrations and accounting reports. Over 750 integrations are available through QuickBooks, including big-name native integrations that other platforms lack, like Etsy, Amazon and PayPal. You can also access roughly 25 prebuilt accounting reports and create custom tags. Custom reports are available with the two highest-priced tiers.

We find it especially impressive that QuickBooks’ reports are as accessible and easy to understand on mobile as they are on desktop. Whether you’re on the go or at your desk, QuickBooks’ accounting software is powerful enough to immediately justify the platform’s longstanding prestige.

QuickBooks reports look great on mobile, not just on desktop. Source: QuickBooks

• QuickBooks offers a comparatively vast range of small business accounting tools at prices that these tools fully justify.
  
• QuickBooks’ nearly 800 integrations include native connections with leading services that other accounting software platforms only integrate with nonnatively, if at all.
  
• You can generate roughly 25 prebuilt reports in QuickBooks, customize their tags and, with the two highest-priced packages, create fully customized reports.
  

Who Do We Recommend FreshBooks For?

We recommend FreshBooks for any small business that needs advanced invoicing tools within its accounting software platform. We find it easier to create customized invoices in FreshBooks than in any other platform whether you’re doing so manually or automatically. This accounting service automates recurring invoices more powerfully than competitively priced options and transforms estimates and quotes into invoices in just two clicks.

FreshBooks is also a great option for project management. Where many accounting platforms’ project features are limited to tracking costs per project, you can use FreshBooks to actually manage projects. Team chat is included with the platform, as is the ability to share files and images. These are features you’re more likely to encounter when you’re choosing project management software instead of choosing accounting software. We were impressed that FreshBooks is a decent alternative to a full-scale project management platform.

We also like that FreshBooks charges lower base prices than most other accounting software platforms do for noncustomized plans. That makes the service a reliable choice for small teams more intent on saving money than spending more to get extra value. No matter your financial situation, you can count on FreshBooks to meet many of your most important accounting needs.

FreshBooks’ chat tools rival those of actual project management software. Source: FreshBooks

• FreshBooks offers the strongest invoicing tools across all accounting software.
  
• The project management suite in FreshBooks is more comprehensive than in nearly any other accounting software platform.
  
• Even for its highest noncustom pricing package, FreshBooks costs considerably less than most of its competitors. 
  

You can use FreshBooks to track unlimited expenses no matter which pricing plan you use. This stands in contrast to Xero, an excellent accounting software for bill pay that nevertheless relegates expense management features to its highest pricing tier. Read our Xero review to learn why this platform is our top pick for bill pay.

QuickBooks vs. FreshBooks Comparison

Pricing

QuickBooks

QuickBooks is priced as follows, though you get a 50 percent discount for your first three months if you skip the 30-day free trial. However, we always recommend saying yes to the free trial, so we find this pricing quirk very frustrating.

• Simple Start: This plan starts at $30 per month for one user. Through this QuickBooks pricing package, you get tools for cash flow management, income and expense tracking, receipt capture, sales tax, mileage tracking, and tax deductions. You can also create basic accounting reports, generate and send estimates and manage your 1099 contractors.
  
• Essentials: This plan starts at $55 per month for three users. This pricing package adds bill management, time tracking, connected sales channels and more in-depth reports to the tools included with Simple Start.
  
• Plus: This plan starts at $85 per month for five users. This pricing tier adds project profitability tools and inventory management features to the Essentials package.
  
• Advanced: Priced at $200 per month for 25 users, this plan gives you everything in Plus, but with more in-depth accounting reports and integrations. You’ll also get tools for managing employee expenses, controlling access, batch-creating invoices and expenses, analyzing your business through Excel, automating workflows, and restoring data. Plus, you’ll get a dedicated account team for on-demand training.
  
• Self-Employed: At $10 to $20 per month for one user, this QuickBooks pricing package is separate from the above pricing tiers. The introductory Self-Employed pricing package ($10 per month) comes with tools for separating personal and business expenses. You’ll also get tools for tracking mileage, automatically calculating quarterly taxes and maximizing tax deductions. The two higher-priced packages — $15 and $20 per month, respectively — come with, respectively, quarterly tax filing tools and help from a CPA. All prices double after your first three months.
  

We were impressed with the breadth and quality of features available with each QuickBooks pricing package. We were also happy that, before we tested QuickBooks, the platform’s pricing page made clear what tools we could expect. This transparency is a highlight of QuickBooks as compared to many other accounting software providers.

FreshBooks

Monthly FreshBooks subscriptions are priced as follows, with no differences in pricing if you use the 30-day free trial. However, each team member you add besides yourself will add $11 per month to your FreshBooks pricing. Additionally, for $20 per month, you can add the Advanced Payments tool for storing client payment information and creating automatic, subscription-like payments. You’ll pay fees of 3.5 percent plus 30 cents per client payment.

• Lite: This plan costs $13.60 per month for the first year and increases to $17 per month thereafter. It comes with unlimited expense and estimate tools, plus the ability to send unlimited invoices to at most five clients. You can also use the FreshBooks mobile app, run simple tax reports, and accept payments via credit card and bank transfer.
  
• Plus: This plan costs $24 per month during your first year and $30 per month thereafter. On top of everything included in Lite, Plus adds unlimited estimates and proposals, automatic expense tracking, and automatic receipt data capture and emailing. You can implement recurring client retainers and bills; track miles via the mobile app invite your accountant; and run business health, financial and accounting reports. Additionally, you can send unlimited invoices to as many as 50 clients.
  
• Premium: For your first year, you’ll pay $44 per month, and after that, the cost is $55 per month. This pricing package adds tools for tracking and paying bills and vendors. It also adds project profitability features, email customization tools, late fees, payment reminders and checkout links. Perhaps most importantly, it removes the cap on the number of clients you can invoice.
  
• Select: FreshBooks will quote you for this customizable pricing package based on your business needs. You’ll get lower transaction fees, dedicated account management with custom onboarding, and assistance migrating your data from other platforms. You can also securely take credit card payments, instantly capture bill line items and call an exclusive number for premium support.
  

We like that FreshBooks’ base subscription rates are comparatively low, though the extra charge per user disappointed us. FreshBooks is nevertheless an affordable and attractive option for small teams. However, Zoho Books is our top accounting software for microbusinesses, Read our Zoho Books review to learn why.

Winner

QuickBooks is our winner for pricing. Sure, its base subscription prices are higher than for FreshBooks. However, QuickBooks doesn’t charge an additional cost per user, unlike FreshBooks. When you do the math, these charges make  FreshBooks Premium more expensive than QuickBooks Advanced if your team, including yourself, comprises 15 people. 

Free Trial

QuickBooks

To obtain QuickBooks’ 30-day free trial, you must give up the 50 percent discount that this vendor offers for your first three months. This frustrated us — lower pricing shouldn’t be dangled in front of users at the cost of trying the platform first. We always recommend pursuing the free trial, so it felt like a letdown that QuickBooks incentivizes potential customers in the other direction.

QuickBooks’ pricing table indicates that you only get the prices the platform advertises if you skip the free trial. Source: QuickBooks

FreshBooks

There’s no catch with FreshBooks’ 30-day free trial. Your subscription price won’t change if you use the free trial — in fact, no matter what, you pay discounted monthly prices for your first year. Your free trial also doesn’t require a credit card or any commitment to use, and you can end your trial at any time. We were pleased with this lack of attached strings as well as the trial itself, which gave us a comprehensive introduction to the platform.

Winner

FreshBooks offers the superior 30-day free trial. It comes with no impact on your monthly subscription costs, nor does it involve any other commitments. We also found it to be a thorough introduction to FreshBooks and all its capabilities.

Third-Party Integrations

QuickBooks

You can access over 750 integrations with QuickBooks, including native integrations with vendors that lead their fields. These include Shopify for e-commerce, Gusto for payroll and Square for POS systems. There are also nonnative integrations, including with the expense management software Expense and the bill pay tool BILL. Between its quantity of integrations and these integrations’ quality, QuickBooks strongly impressed us.

Gusto ranks among our best payroll services — learn why via our Gusto payroll review.

FreshBooks

Over 100 integrations are available with FreshBooks, including a native Gusto integration. This integration, though, comes with an added fee not specified on FreshBooks’ website. We were unable to obtain a figure through conversations with company representatives. 

That said, FreshBooks’ native integrations with Gmail, HubSpot CRM and Squarespace impressed us, as did its nonnative integrations with Expensify and Dropbox. We liked how well these integrations streamlined our workflows across platforms. 

Winner

Although both platforms offer strong integrations with great third-party tools, QuickBooks is our winner given its integrations’ quantity and slightly higher quality. QuickBooks offers seven times as many integrations as FreshBooks, plus QuickBooks offers more native integrations with brands that lead their fields. You’re good with either platform in regard to integrations, but you’re better off with QuickBooks.

Invoicing Tools

QuickBooks

You can send QuickBooks invoices via the QuickBooks mobile app and customize them with your logo and branding. You can see your clients’ payment status and send payment reminders as well. Plus, you can set up one-click client payments, convert estimates into invoices, add billable hours and generate recurring invoices. These tools are all standard within accounting software.

QuickBooks’ most unique accounting features, though, were standouts. You can add clients’ outstanding balance amounts to their payment reminders in QuickBooks, a feature we didn’t encounter elsewhere. You can also accept tips via invoices and break your estimates into more than one invoice, and we liked these one-of-a-kind tools. Plus, QuickBooks will automatically record and match your customer payments, which streamlines your bank reconciliation.

Additionally, since QuickBooks is the most commonly used accounting software, it has the power to operate its own network of customer accounts. If your clients also use QuickBooks — and that’s likely — you can easily find them through this network. We liked how easy it was to conduct transactions with customers we were fully connected with via QuickBooks. We also appreciated being able to pay these and all customers via card, ACH, PayPal and Venmo. We found that QuickBooks’ invoicing software is among the best around.

FreshBooks

FreshBooks is our top accounting software for all things invoicing. We find its single-screen custom invoice creation tool especially intuitive — there’s no need to jump back and forth between tabs like with other platforms. We were also impressed that you can distribute several invoices through FreshBooks in just one click and automate recurring invoices. If you still want to manually handle recurring invoices, you can easily convert your old invoices into new ones too. We liked how simple FreshBooks is to use whether you’re executing tasks yourself or automating them.

As with QuickBooks, you can generate payment reminders for clients who owe you money. We found this easier to do with FreshBooks than QuickBooks, plus FreshBooks allows you to add late fees to overdue invoices. FreshBooks also makes it easier for clients to pay you directly from their invoices, with payment options including Apple Pay, ACH, Visa, Discover and Mastercard. With the Advanced Payments monthly add-on, you can store customer card information and create subscriptions, further automating your invoicing.

You can send reminders and charge late fees from the same window within FreshBooks. Source: FreshBooks

Even without this add-on, FreshBooks tremendously streamlines your invoicing. We were pleased that we could convert estimates and proposals to invoices in just two clicks — few other platforms make this so easy. We also liked that we could request deposits on our invoices at any point during a project and offer discounts for early payment. FreshBooks made invoicing easier for us and payment easier for our clients, which floats it to the top of our list for accounting software invoicing features.

Winner

FreshBooks doesn’t just beat QuickBooks when it comes to invoicing. It outperforms every accounting software we’ve reviewed in terms of invoicing tools. If streamlining your invoicing is your single biggest accounting priority, there’s no better choice than FreshBooks.

Freelancer Quarterly Tax Calculation

QuickBooks

Via the least expensive of QuickBooks Self-Employed’s three pricing tiers, you can calculate your quarterly taxes as a freelancer. This is important — not paying your freelance taxes quarterly leads to penalties, and not all freelancers know this. QuickBooks Self-Employed automatically tells you what you owe in taxes before the quarter ends and reminds you to pay, which minimizes the potential for fees.

We liked that, alongside these proactive quarterly tax calculation tools, the first QuickBooks self-employed tier includes tools for organizing your expenses and income. We found that this made filing our taxes much easier when the time came. 

Better yet, we were impressed that, with QuickBooks Self-Employer’s two highest pricing tiers, we could also pay — not just calculate — our quarterly taxes. We did so directly from QuickBooks itself, and found the process easy and well worth paying for the upgrade during our testing period. Across the board, QuickBooks delivered for freelance taxes.

FreshBooks

Although freelancers are among the user bases that FreshBooks names on its website, it includes no tools whatsoever for freelance tax calculation or payment. This was a major frustration for us, especially because not just freelancers but all invoice-based businesses — FreshBooks’ core audience — pay quarterly taxes. We expected corresponding features in FreshBooks, and we were let down.

Winner

When comparing QuickBooks vs. FreshBooks, the former is the only choice when it comes to quarterly tax payments for freelancers. FreshBooks entirely lacks freelance quarterly tax tools, whereas we found QuickBooks’ tools on this front robust, comprehensive and user-friendly.

Almost all freelancers overpay their taxes. These freelancers aren’t yet taking advantage of easy freelance-exclusive tax deductions. These deductions include health insurance premium payments, traditional IRA contributions and 50 percent of one’s self-employment taxes.

Reporting Features

QuickBooks

With QuickBooks, you can generate approximately two dozen prebuilt reports via desktop or mobile. You can also create your own customized reports via QuickBooks Plus and Advanced. All QuickBooks pricing tiers allow for the creation of custom tags. We felt that this reporting flexibility, and the reports themselves, were among the highest quality we saw across all accounting platforms that we reviewed.

FreshBooks

Basic reports that can help you assess your finances as you file taxes are available with FreshBooks Lite. With the other FreshBooks packages, you get performance dashboards for quick review, alongside business health and double-entry accounting reports. These reports include but aren’t limited to profit and loss statements, sales tax summaries, invoice detail reports, and accounts aging reports. 

We found that these reports gave us a solid understanding of our financials but left us wanting a bit more information. We were also disappointed that these reports weren’t extensively customizable. This meant we could only assess our finances on FreshBooks’ terms, not our own.

Winner

QuickBooks is the superior platform for reporting. More reports are available, and they’re much more customizable. If anything, QuickBooks offers the very best reports of any accounting software platform, not just when compared to FreshBooks.

Project Management Tools

QuickBooks

In QuickBooks, you can create projects and add customers to them. You can also assign transactions, timesheets, expenses, invoices and labor costs to these projects. This way, you can track your project’s profitability and generate reports pertaining to solely the project in question. We found it easy to review project profitability as well as our team’s work by date and labor costs per team member.

FreshBooks

You can quickly turn an estimate into a new project in FreshBooks. Through the FreshBooks project management suite, you can also chat with your team in real time and add clients or contractors to your projects. You also get robust access controls too for determining what other people on your project can and can’t see. We felt that these features made FreshBooks feel nearly as much like project management software as an accounting service.

We also liked that we could set costs and billable rates for our projects in QuickBooks while adding and tracking progress against their included services. Similarly, we were excited that we could share files and images from the FreshBooks project suite. This was another way in which FreshBooks resembled project management platforms. We briefly considered abandoning our actual project management software for FreshBooks — that’s how much we liked it.

Winner

FreshBooks functions nearly like an actual project management platform, whereas QuickBooks simply offers some financial tools that streamline project accounting. Choose FreshBooks if you want to manage your books and your projects side by side.

QuickBooks vs. FreshBooks Recap

Choose QuickBooks if:

• You want numerous high-quality integrations with brands that lead their fields.
  
• You need a breadth of accounting reports that you can extensively customize.
  
• You’re looking for more bang for your buck overall, even if that means paying more.
  

Choose FreshBooks if:

• You want advanced project management tools alongside your accounting software.
  
• You need the best invoicing features available within any accounting software platform.
  
• You’re looking for an accounting software free trial that doesn’t inflate your monthly subscription costs.
  

FAQs

Is QuickBooks good for beginners?

Although any accounting software can pose a learning curve for first-timers, QuickBooks is among the user-friendliest platforms we’ve reviewed. Plus, all QuickBooks customers get free guided setup, and QuickBooks Advanced customers receive 24/7 support and training.

Do accountants prefer QuickBooks to other platforms?

Your accountant can work with any platform you choose that gives you the power to invite external team members. However, given QuickBooks’ long-time dominance of the accounting software space, many accountants may prefer this platform to others.

Can you cancel a FreshBooks subscription?

Yes. Choose “Billing and Upgrade” from the settings menu in your dashboard, then scroll to the bottom and cancel your account. You won’t incur any fees when you cancel.

How safe is FreshBooks?

FreshBooks uses firewalls and 256-bit encryption to safeguard all your data. This is a high level of security worth trusting.

 

 

FreshBooks Vs. QuickBooks (2023 Comparison)

Jeff White,  Kimberlee Leonard Contributor,  Contributor
Reviewed By Kelly Main editor

Updated: Nov 11, 2023, 9:35am

Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors’ opinions or evaluations.

FreshBooks vs. QuickBooks: At a Glance

Intuit QuickBooks is a popular accounting software program that has been around for years. It’s beloved by many small business owners for its comprehensive features and its ability to integrate with pretty much anything out there. FreshBooks, on the other hand, hasn’t traditionally been as popular because it focuses on the much smaller end of the business market. So, which one is better? That depends on your needs as a small business owner. Let’s look at how each stacks up.

FreshBooks 4.4 Starting Price $8.50 per month ($17 per month after promotional pricing)

Number of Users One included, $11 per additional user

Number of Integrations More than 100
Learn More

Read Forbes’ Review

Why We Picked It

Pros & Cons

QuickBooks 4.3 Starting Price $15 per month ($30 per month after promotional pricing)

Number of Users Up to 25, depending on plan

Number of Integrations More than 750

Learn More

On QuickBooks’ Website

Why We Picked It

Pros & Cons

FreshBooks vs. QuickBooks Features

Both FreshBooks and QuickBooks are popular accounting software programs because they meet the needs of a wide range of clients. Let’s dive into the specifics of the two to see where each software shines.

Accounting vs. Invoicing

When it comes to accounting software, QuickBooks is the clear winner. It offers a wide range of features that can help small businesses keep track of their finances. From tracking income and expenses to creating invoices and paying bills, QuickBooks has everything you need to manage your books.

However, FreshBooks is a better option if you’re only looking for invoicing software. It has a simple interface and easy-to-use features that make it perfect for freelancers and small businesses. It also integrates with a number of other software programs, making it an excellent choice for businesses that need to track their finances in multiple ways.

Ease of Use

Where QuickBooks is a software loved by accountants, FreshBooks is loved by small business owners who don’t have accounting as their top skill set. FreshBooks is intuitive and easy to use. The dashboard makes it easy to get to what you need, whether that is the general ledger or invoicing. On the dashboard, you get a quick glimpse of your business’s financial health, allowing you to plan for upcoming expenses.

QuickBooks dashboard is more comprehensive than FreshBooks, which can be overwhelming to new users. It’s the difference in layout that makes FreshBooks easier to use than QuickBooks. Plus, there are fewer features, such as inventory management, which can confuse users new to QuickBooks. That being said, if a small business does need all the bells and whistles that QuickBooks offers, they’ll have to take the time to learn the program and master its features.

Customization

QuickBooks takes the cake for its ability to customize the system based on users’ preferences. Where FreshBooks allows customization of invoices, QuickBooks allows invoice customization along with the ability to customize users’ roles and workflows. QuickBooks offers specialized tutorials to help users make the changes that work for them.

By customizing fields, QuickBooks allows business owners to track what they want in a way that makes sense for their business. For business owners working with an accountant, this keeps both parties synced to data that is meaningful to operations. For example, you can track sales based on sales representatives working on ways to motivate the sales force to generate more revenues. FreshBooks doesn’t allow users to get deep into the weeds with customizations.

Features and Capabilities

A big comparison between FreshBooks vs. QuickBooks is the number of billable clients you can have on the lower-tiered plans. Where FreshBooks limits the number of clients to five on its Lite plan, QuickBooks is unlimited on all its plans. For FreshBooks users who don’t have a large book of business, this could be a non-issue, but for small business owners who must invoice a large number of clients, QuickBooks is the better solution.

The key features found in all FreshBooks plans are:

• Client profiles and account statements
  
• Stored credit card information
  
• Client self-service portal
  
• Automated recurring invoices
  
• Unlimited estimates
  
• Customized invoices
  
• Manage budget and billing for projects
  

The key features found in all QuickBooks plans are:

• Free guided setup
  
• Track income and expenses
  
• Capture and record receipts
  
• Mileage tracking
  
• Invoice and accept payments
  
• Run reports
  
• Generate estimates
  
• Manage 1099 contractors
  

Workflows and Automations

Everything starts from the dashboards of FreshBooks and QuickBooks. FreshBooks keeps the dashboard clean with limited summaries so that you aren’t overwhelmed with the data, whereas QuickBooks gives you the option of seeing everything from the onset.

One of FreshBooks’ useful automations is invoice generation. Rather than manually create an invoice every single time, FreshBooks pulls the necessary data from your contacts and creates a template for quick and easy processing. While it is automated, the user never loses the ability to control the process.

QuickBooks also allows you to automate the creation of invoices in managing your accounts receivable. Regularly occurring invoices can be established on a predictable schedule where the customer has their credit card information saved to be regularly processed. Automated processes assign a stakeholder to the workflow so that someone is overseeing the process to ensure accuracy and accountability.

Third-party Integrations

Integrating with third-party apps is important in today’s marketplace to ensure that your accounting software works with the other tools your company is using. This helps workflows move smoothly and prevents users from having to constantly toggle between two programs when working.

FreshBooks integrates with more than 100 apps. As FreshBooks states, this is to “simplify everything from payment to payroll.” You can integrate popular apps such as Indeed, Acuity Scheduling and NiceJob. For example, integrating with NiceJob can automate FreshBooks to solicit and capture reviews and referrals from your existing client base.

QuickBooks has a massive library of integrations. It will sync with more than 750 popular business applications. Using an integration such as Rewind Backups, users can automatically back up and restore QuickBooks data. Other popular integrations include BILL, Fundbox, Dext and Synder. Some integrations, such as Float, help users make critical decisions about cash flow and prepare for various business scenarios.

Pricing and Value

Between the two, FreshBooks is the better-priced product, though QuickBooks is a good value for what you get. Both software programs have a 30-day free trial for you to test the product and see if it will be sufficient for your needs. Both products also offer promotional pricing for the first three months. FreshBooks goes from $8.50 per month during the promotional period to $17 per month when billed annually for the Lite option. QuickBooks’ Simple Start option is $15 per month during the promotional period and moves to $30 per month when billed annually after that.

FreshBooks vs. QuickBooks

	FreshBooks	QuickBooks
Starting Price	$8.50 per month with promotional pricing, then $17 per month	$15 per month with promotional pricing, then $30 per month
Free Trial	30 days	30 days
Number of Users	One user on every plan, $11 per additional user	One, three, five or more than five users, depending on your plan
Number of Clients Included	Five, 50 or unlimited	Unlimited
A/P Management	✓	✓
Inventory Management	X	✓
Budgeting Tools	X	✓
Unlimited Estimates	✓	✓
Mileage Tracking	✓	✓
	Read FreshBooks Review	Read QuickBooks Review

Comparing features is where these two accounting software options show their true colors. QuickBooks offers more features than FreshBooks, but those come at a price. If you’re looking for double-entry bookkeeping, time tracking or inventory management, then QuickBooks is the better option. However, if you don’t need all those features and just want something to help you keep track of your income and expenses, FreshBooks may be a better fit.

When it comes to pricing, both options are subscription-based. QuickBooks’ cheapest plan is $30 per month, while FreshBooks starts at $17 per month. If you need more features, QuickBooks’ plans can get as expensive as $200 per month, while FreshBooks’ most expensive plan is only $55 per month.

However, with all of that said, FreshBooks is incredibly easy to use and will be sufficient for the needs of most small businesses or freelancers. It compares really well to QuickBooks at the lower plan level but is even more affordable if you don’t need more than a single user. When you get into needing lesser-known integrations, more difficult accounting features such as inventory management, or if you need a bunch of users, then QuickBooks starts to become a better option.

Support and Ease of Use

The support for both software programs is the knowledge base where you enter in what the question is and an answer is populated. Users will have an easier time finding third-party support for QuickBooks as it is more widely used with popular social media groups providing user-populated support and workflows.

To directly contact FreshBooks support, you can call 866-303-6061 or use the chatbot to email the company. We find the chatbot a little cumbersome to use when trying to get email support. It will take the information down and email you back rather than open an email ticket directly for you.

QuickBooks has a series of webinars and tutorial videos for you to choose from to learn more about how to utilize the software better. If you need to get in touch with QuickBooks, you can call 800-446-8848. There is no email contact listed for QuickBooks.

Top Alternatives to FreshBooks and QuickBooks

	Zoho Books	Xero	NetSuite
Rating
Starting Price	Free	$13 per month	Custom quote
Free Trial	Free option	30 days	None
Users	One user, one accountant	One user	Does not disclose
Manage Invoices	Yes	Yes	Yes
Recurring Invoices	Yes	Yes	Yes
Expense Tracking	Yes	Yes	Does not disclose
Chart of Accounts	Yes	Yes	Does not disclose
Customer Support	844-316-5544	Email only	877-638-7848
Learn More	–	On Xero’s Website	–
Read Reviews	Read Zoho Books Review	Read Xero Review	Read NetSuite Review

Zoho Books

Zoho Books is the accounting software provided by the office suite platform Zoho. It’s an easy-to-use platform that naturally integrates with other Zoho programs. For new and small businesses that don’t need to assign many users, the Free platform is quite robust. It allows one user and one accountant to be assigned to the account. Users can customize invoices, manage 1099 contractors and schedule reports to be automatically produced on regular cycles.

Xero

Xero is a business accounting software that is designed for small- to medium-sized businesses. Its basic plan is best suited for businesses with limited clientele, as there are only five allotted bills that you can enter. The Growing plan steps this up and allows more bills for larger businesses. Xero integrates seamlessly with Gusto payroll services for an additional $40 per month, making it easy to track how much employees are getting paid.

NetSuite

NetSuite’s accounting software is one aspect of its enterprise resource planning (ERP) program. Users can integrate accounting with payroll, human resources, CRM services and e-commerce sales. NetSuite is a good option for those businesses looking to scale and grow, customizing services as needed.

Bottom Line

The choice between FreshBooks and QuickBooks comes down to what features you need and how much you’re willing to pay. If you need a comprehensive accounting solution, then QuickBooks is the better option. However, if your top priority is ease of use, FreshBooks is the better choice as it’s far more beginner-friendly.

Who Is FreshBooks Best For?

FreshBooks is best for small companies with users who don’t have a lot of experience in comprehensive accounting principles.

Who Is QuickBooks Best For?

QuickBooks is best for medium to large organizations that need access to a comprehensive accounting system that includes inventory management.

 

Conclusion

SCORE Links

Quickbooks Online 101 | SCORE

QuickBooks Online Basics You Need to Know | SCORE

Materials: How to Get Started Using QuickBooks Online | SCORE

Introducing QuickBooks Online Part 1 | SCORE

Introducing QuickBooks Online Part 2 | SCORE

Quickbooks Setup | SCORE

Getting Started With QuickBooks Online | SCORE

 

 

Youtube Links

Get started in QuickBooks Online: a quick tour & what to do next

Quickbooks Basics: How To Use Quickbooks Online

QuickBooks Online: The Complete Tutorial by Hector Garcia CPA

All Training Videos: QuickBooks Online Tutorial – YouTube

How to use QUICKBOOKS ONLINE (2023) – YouTube

QuickBooks Online: Getting Started Tutorial (2023) – YouTube

QuickBooks Online Complete Tutorial

 

 

 

 

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