Best invoicing software for small business: 5 options compared

The best invoicing software for a small business is often free. Several established tools let you send unlimited professional invoices at no cost, and earn their money when customers pay online or when you later need full accounting. This guide compares five options and says who each one suits.

How we chose: We looked at tools a one-person or small-team business can set up in an afternoon. Prices and limits were checked on each company’s official website on November 13, 2026, for the United States. This guide is based on published plans and documentation, not on paid hands-on testing. Confirm current prices before you sign up. This is general information, not accounting or tax advice.

Quick picks

Best for	Tool	Starting price
Free invoicing with no subscription	Zoho Invoice	Free
Free invoicing plus basic bookkeeping	Wave	Free, Pro at $19 a month
Businesses that already take payments with Square	Square Invoices	Free, plus payment fees
Regular client or wholesale invoicing	FreshBooks	$23 a month
Invoicing inside full accounting	QuickBooks Online	$38 a month

1. Zoho Invoice: best free invoicing tool

Zoho describes Zoho Invoice as free forever, with no subscription fee.

• Included: invoices and credit notes, automated payment reminders, online and offline payment collection, expense recording, a customer portal, time tracking for projects and reports.
• Limits: the page we checked did not state a cap on invoices, customers or users. Zoho has applied usage limits in the past, so check the current terms when you sign up.
• Watch out for: it is an invoicing tool, not accounting software. Full bookkeeping is a separate, paid Zoho product. Online payments go through a payment provider that charges its own fees.

Choose it if you want polished invoices and reminders at no cost and handle your bookkeeping elsewhere.

2. Wave: best free invoicing with bookkeeping

Wave’s free Starter plan lets you create unlimited estimates, invoices, bills and bookkeeping records.

• Pro plan: $19 a month or $190 a year. It adds automatic bank transaction import, unlimited receipt capture and automated late payment reminders.
• Payment fees: 2.9% plus $0.60 per card payment, 3.4% plus $0.60 for American Express. On Pro, the $0.60 is waived on the first ten payments each month.
• Watch out for: on the free plan you add bank transactions yourself, and late payment reminders are not automatic. Prices are shown for the United States and Canada.

Choose it if you want invoices and simple books in one free tool.

3. Square Invoices: best if you already use Square

Square Invoices has a free plan with no monthly fee. You pay processing fees only when a customer pays you through Square.

• Free plan includes: invoices, recurring invoices, estimates, contracts and projects.
• Plus plan: $49 a month per location, with a 30-day free trial. It adds payment schedules, custom invoice templates and a $10 cap on bank transfer fees.
• Payment fees: card payments on an invoice cost roughly 3% plus 30 cents each, and bank transfers 1% with a $1 minimum. The exact rate depends on your Square plan.
• Watch out for: it makes most sense when your payments already run through Square. The Plus plan is expensive for invoicing alone.

Choose it if you sell in person or online with Square and want invoices in the same account.

4. FreshBooks: best for regular client invoicing

FreshBooks is built around billing clients, with recurring invoices, reminders, estimates and time tracking.

Plan	Regular price	Billable clients
Lite	$23 a month	5
Plus	$43 a month	50
Premium	$70 a month	Unlimited

• Free trial: 30 days. Extra team members cost $11 a month each.
• Watch out for: the limit of 5 billable clients on Lite, and bank reconciliation only from Plus.

Choose it if you invoice the same business customers every month and want the smoothest invoicing experience.

5. QuickBooks Online: best for invoicing inside full accounting

QuickBooks Online combines invoicing with complete bookkeeping and is the system many accountants prefer.

Plan	Regular price	Users
Simple Start	$38 a month	1
Essentials	$85 a month	3
Plus	$140 a month	5

• Free trial: 30 days. A limited $0 plan was also listed, restricted to two invoices a month.
• Watch out for: it is the most expensive option here, and stock tracking only starts at the Plus plan.

Choose it if your accountant uses QuickBooks or you want invoices, bank feeds and tax reports in one system.

For these last two and Wave in detail, read FreshBooks vs QuickBooks vs Wave.

Comparison table

	Zoho Invoice	Wave	Square Invoices	FreshBooks	QuickBooks Online
Free plan	Yes	Yes	Yes	No, 30-day trial	Very limited
Lowest paid plan	None	$19 a month	$49 a month	$23 a month	$38 a month
Unlimited invoices on the free plan	No cap stated	Yes	Yes	Not applicable	No, 2 a month
Automatic payment reminders	Yes	Pro plan	Not checked	Yes	Not checked
Bookkeeping included	No	Yes	No	From Plus	Yes
Main limit	Invoicing only	Manual bank entry when free	Tied to Square payments	Billable clients	Price

The cost that matters most: payment fees

When a customer pays an invoice by card, the payment provider keeps a percentage. On a $500 invoice, a fee of about 3% is around $15, which is close to a month of software subscription.

• Offer bank transfer for larger invoices. It is usually much cheaper than a card payment.
• Compare the fee per payment, not only the monthly price. A free tool with higher card fees can cost more than a paid one if most customers pay by card.
• Set clear terms. Faster payment matters more than a small fee difference. See invoice payment terms explained.

How to choose

1. How many invoices do you send? A few a month: any free tool works. Dozens to the same customers: recurring invoices and reminders become important.
2. Do you need bookkeeping in the same tool? Yes: Wave or QuickBooks Online. No: Zoho Invoice or Square Invoices.
3. How do customers pay you? Mostly by card: compare payment fees first.
4. Who does your taxes? Ask your accountant which software they can work with.
5. Check your country. Not every tool, payment option or tax format is available everywhere.

If you are not sure what an invoice must contain, start with what to put on an invoice.

Common questions

What is the best free invoicing software for small business?

Zoho Invoice and Wave are both free for sending invoices. Choose Wave if you also want bookkeeping, Zoho Invoice if you only need invoicing with automatic reminders.

Do I need invoicing software at all?

Not for a few invoices a month: a template in a word processor works, and you can copy our invoice template. Software helps when you want numbering, reminders, online payment and reports without manual work.

Is invoicing software the same as accounting software?

No. Invoicing software creates and tracks invoices. Accounting software also records expenses, matches bank transactions and produces financial reports. Some tools do both.

Key takeaways

• Zoho Invoice, Wave and Square Invoices all have free plans for sending invoices.
• FreshBooks starts at $23 a month and suits regular client invoicing.
• QuickBooks Online starts at $38 a month and suits businesses that want full accounting.
• Payment fees often cost more than the software. Compare them and offer bank transfer.
• Prices were checked on November 13, 2026. Confirm them before you buy.