It’s fair to say QuickBooks is one of the most popular accounting software options for sole traders, freelancers and small businesses alike. Whilst it’s a good option, there are other tools out there that are less expensive, and easier to use.

We’ve looked at 3 alternatives to QuickBooks, what features they have to offer in comparison, and how much each of them cost.

What other alternatives are there to QuickBooks?

If you’re looking to move away from QuickBooks, the good news is there’s lots on the market for you to choose from. Today, we’ll focus on Xero, FreshBooks and Clear Books.

 

Xero as an alternative to QuickBooks

Xero is a great option if you feel like your business may have outgrown QuickBooks. It’s a cloud-based tool with a clean, simple interface that isn’t cluttered with financial jargon. It’s a great fit if you’re new to accounting too, and want something that feels welcoming from the get-go.

Key features Xero has in comparison to QuickBooks.

  • Unlimited users on all plans – Xero offer unlimited user access on all plans, which means as you expand (with bookkeepers, accountants, other staff etc) you can give each of them access without extra license fees
  • Strong integration ecosystem – This is good if you already use or plan to use lots of other business tools. Xero integrates with the likes of payment processors, e-commerce platforms, inventory tools and CRMs
  • Advanced automation – Xero is generally stronger for complex, cloud-based integrations and multi-currency transactions than QuickBooks
  • Strong scalability – Xero can grow with your business, without having to find new software every few years as your business grows

Both Xero and QuickBooks have 4 pricing plans. Both of their basic plans are £16 per month, but, if you need the most unlimited plan Xero is cheaper – their ultimate plan is £65 per month and QuickBooks advanced plan is £123 per month (this doesn’t include any promotional offers).

So all-in-all, Xero is cheaper and more advanced when it comes to integration, collaboration, and scalability.

See our full review of Xero

 

FreshBooks

We have to include an option for the freelancers and one-person businesses! For some, it isn’t about scalability, or software that has all the integration gadgets. FreshBooks differs from QuickBooks in that it’s built for solo users who need to send invoices and keep track of a small group of clients. You can send as many invoices as you want on any plan, but the lower-cost plans limit how many clients you can work with.

Key features FreshBooks offers which are missing from QuickBooks include:

  • The simplicity and ease of use – FreshBooks is widely praised for having a clean, intuitive user interface and being easy to navigate, even if you don’t have accounting experience. This makes it an attractive option for sole traders and freelancers
  • Built in tracking on all plans – If your business charges clients by the hour or tracks billable time (e.g. consultants, designers, freelancers, contractors) – FreshBooks has integrated time-tracking tools included in all plans. You can track time spent on a job, convert it to billable hours, and automatically add it to invoices – without needing a separate add-on or extra cost
  • Strong invoicing and billing for service-based work – FreshBooks offers professional invoice templates, automated recurring invoices for repeat clients, late-payment reminders, and even a client portal where your clients can login to make payments and check their billing. This is great for service-based businesses like freelancers and consultants rather than the ‘full accounting’ style tools QuickBooks offer

In a nutshell, FreshBooks is more of a no-thrills approach to bookkeeping, offering the basic tools you need to work with clients. That’s all some people need – and it makes things much cheaper, with their premium plan costing £35 per month. Beware of add ons though; for example, adding an extra team member will cost you an additional £8 per user – but as we said, this is more for people operating solo!

Read our full review of FreshBooks

 

Clear Books

Clear Books is a good option to consider if you’re looking for software that’s affordable. It offers a range of support features for all business types, and includes useful tools like Optical Character Recognition (OCR) expense entry. This allows users to photograph receipts and invoices, and automatically extract the data accurately – such as the date, supplier name, VAT and total. This is a huge time saver for businesses, so well worth a mention!

Key features Clear Books has in comparison to QuickBooks:

  • UK focused compliance – Clear Books is designed for UK businesses and has built-in support for VAT, income tax, CIS, etc.
  • Cost effective – For the majority of small and medium UK businesses, Clear Books is more affordable – especially if you don’t need all the extra features QuickBooks offer
  • Thorough support for beginners – Our research found many small business owners are happy with the onboarding and guidance from staff, especially when completely new to bookkeeping software

Pricing varies depending on the scale of your business, but it’s worth mentioning there are a few free plans available (for example, there’s a basic one for sole traders and one for landlords). Their most popular package is for medium sized businesses, which is £15.50 for the first 3 months, then £31 per month.

Read our full review of Clear Books

Still looking for more options? See all our accounting software reviews.