FreshBooks Review

Our Verdict

FreshBooks is the best accounting software for freelancers.

GetASearch Score: 8.1/10

Rating: 4.3/5 (1890 reviews)

Score Breakdown

What is FreshBooks?

FreshBooks is a cloud-based accounting and invoicing platform designed specifically for small business owners, freelancers, and self-employed professionals. Unlike enterprise accounting tools that overwhelm with complexity, FreshBooks focuses on making financial management intuitive and fast - so you can spend more time on billable work and less time on bookkeeping. The invoicing engine is FreshBooks' standout feature. You can create professional, branded invoices in under 30 seconds, set up recurring billing for retainer clients, accept online payments via credit card or ACH, and send automated payment reminders for overdue invoices. The platform tracks when clients view invoices, giving you real-time visibility into your accounts receivable. Expense management is equally streamlined. Connect your bank account and credit cards to automatically import transactions, snap photos of receipts with the mobile app for instant categorization, and track mileage for tax deductions. FreshBooks uses double-entry accounting under the hood but presents it through a simplified interface that doesn't require accounting knowledge. Time tracking is built directly into the platform, allowing you to log hours against projects and clients, then convert tracked time into invoices with a single click. Project management features let you collaborate with team members, share files, and communicate with clients through a dedicated project portal - keeping everything organized in one place. FreshBooks offers four pricing tiers: Lite for solo freelancers (up to 5 clients), Plus for growing businesses (up to 50 clients), Premium for established firms (unlimited clients), and Select for custom enterprise needs. All plans include iOS and Android mobile apps, 24/5 phone and email support, and integrations with over 100 apps including Stripe, Shopify, Gusto, and HubSpot. Financial reporting covers profit and loss, balance sheets, tax summaries, and accounts aging. FreshBooks also makes tax time easier by organizing expenses by category, tracking sales tax, and exporting data directly to your accountant or tax software.

How We Tested FreshBooks

We used FreshBooks Plus for 6 weeks managing invoicing, time tracking, and expenses for a freelance consulting business with 15 active clients. We compared invoice creation speed, payment processing fees, and reporting capabilities against QuickBooks Simple Start and Xero Starter. We evaluated the mobile app, client portal experience, and customer support quality across phone, email, and chat channels.

What Is FreshBooks?

FreshBooks is cloud-based accounting software designed specifically for freelancers, solopreneurs, and small service-based businesses. Founded in 2003 in Toronto, Canada, FreshBooks serves over 30 million users worldwide. Unlike QuickBooks and Xero, which try to serve all business types, FreshBooks focuses on simplifying invoicing, time tracking, and expense management for non-accountants. The platform is known for its exceptionally clean interface and award-winning customer support.

Key Features and Capabilities

**Professional Invoicing:** FreshBooks' core strength. Create branded invoices in under 30 seconds with automatic payment reminders, late fees, deposits, and recurring billing. Accept credit cards, ACH, and PayPal directly on invoices. **Time Tracking:** Built-in timer that integrates directly with projects and invoices. Log hours, associate them with clients, and convert tracked time into invoice line items with one click. **Expense Management:** Snap receipt photos for automatic OCR extraction. Connect bank accounts for transaction import. Categorize expenses for tax preparation. **Project Management:** Collaborate with team members and clients on projects. Track budgets, share files, and discuss deliverables within FreshBooks. **Proposals and Estimates:** Create professional proposals that clients can approve online. Approved estimates convert to invoices automatically. **Double-Entry Accounting:** Full chart of accounts, journal entries, and accrual-basis reporting. FreshBooks added this in 2018, eliminating the need to switch to QuickBooks as you grow. **Reports:** Profit & Loss, Balance Sheet, Tax Summary, Accounts Aging, and Expense reports. Less customizable than QuickBooks but covers the essentials. **Client Portal:** Clients can view invoices, make payments, approve estimates, and communicate through a branded portal.

Pricing Analysis

FreshBooks pricing is competitive for its target market: - **Lite ($19/month):** 5 billable clients, unlimited invoices, expense tracking, time tracking. Best for side hustlers. - **Plus ($33/month):** 50 billable clients, proposals, recurring billing, double-entry accounting, business health reports. - **Premium ($60/month):** Unlimited billable clients, project profitability, email customization, accounts payable. - **Select (Custom):** Dedicated account manager, custom onboarding, 2+ team members included. **Add-Ons:** - Team Members: $11/person/month - Advanced Payments: 2.9% + $0.30 per credit card transaction - Payroll (US only): $40/month + $6/employee via Gusto integration **Comparison:** - QuickBooks Simple Start: $30/month (more features but harder to use) - Xero Starter: $15/month (cheaper but less intuitive for invoicing) - Wave: Free (basic but lacks time tracking and projects) FreshBooks is more expensive than Wave and Xero's entry tier but cheaper than QuickBooks. The value proposition is time saved through a simpler interface.

Ease of Use

FreshBooks consistently wins usability awards, and our testing confirms why: - **Onboarding:** Setup takes under 10 minutes. Add your logo, connect your bank, and send your first invoice. - **Dashboard:** Clean overview showing outstanding revenue, total profit, spending, and unbilled time. - **Invoice Creation:** The fastest invoice creation flow we tested. Select client, add line items, customize, and send — all in under 60 seconds. - **Mobile App:** Excellent iOS and Android apps for invoicing, time tracking, and expense capture on the go. Rated 4.8/5 on iOS. - **Navigation:** Five main sections (Dashboard, Invoices, Expenses, Projects, Reports) with no unnecessary complexity. FreshBooks is the most intuitive accounting software we tested. Non-accountants can use it immediately without training or tutorials. The trade-off is fewer advanced features compared to QuickBooks.

Limitations and Weaknesses

FreshBooks' focus on simplicity means real limitations for some businesses: - **Inventory Management:** No built-in inventory tracking. Product-based businesses should use QuickBooks Plus or Xero. - **Billable Client Caps:** Lower-tier plans cap the number of clients you can bill (5 on Lite, 50 on Plus). Awkward for businesses with many small clients. - **Payroll:** No native payroll. Requires third-party integration (Gusto) at additional cost. - **Reporting:** Basic compared to QuickBooks. Limited custom report options. No budgeting or class tracking. - **Multi-Currency:** Supported but less robust than Xero. Currency conversion is manual. - **Integration Ecosystem:** ~200 integrations vs. QuickBooks' 750+. May lack niche industry tools. - **US Tax Filing:** No direct tax filing integration like QuickBooks + TurboTax. These limitations are acceptable for freelancers and service businesses but become deal-breakers for product businesses, multi-entity operations, or companies with complex reporting needs.

Who FreshBooks Is Best For

**Ideal Users:** - Freelancers and consultants who invoice clients for time-based work - Small service businesses (designers, developers, marketers, photographers) - Non-accountants who want accounting software they can actually use without training - Anyone who values beautiful invoicing and fast payment collection - Solopreneurs who need combined time tracking, invoicing, and basic accounting **Not Ideal For:** - Product-based businesses that need inventory management - Businesses with more than 50 clients on the Plus plan (pricing gets expensive) - Companies needing robust payroll, budgeting, or multi-entity accounting - Users who need deep integration with TurboTax or other Intuit products - Accountants managing books for multiple clients (QuickBooks Accountant is better)

Final Verdict

FreshBooks is the best accounting software for freelancers and small service businesses who prioritize ease of use and fast invoicing. Its time tracking, proposal, and client portal features create a complete client management workflow that QuickBooks and Xero do not match. The main limitation is scalability: businesses with inventory, complex reporting needs, or large teams will eventually outgrow FreshBooks. For its target market — solo service providers and small teams billing clients for time — FreshBooks is our top recommendation.

FreshBooks Features

FreshBooks Pricing

$19/mo – $60/mo

Best For

• Freelancers
• Service businesses
• Solopreneurs

Not Ideal For

• Businesses with inventory
• Companies needing payroll

Final Verdict

FreshBooks is the best accounting software for freelancers.

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