FreshBooks vs. QuickBooks: Which software is better?

Do you run a Shopify store and struggle with inventory management? Learn how to fix it in this FreshBooks vs. QuickBooks comparison.

Do you have an e-commerce store and need a better way to track inventory and expenses? Try using invoicing software. FreshBooks and QuickBooks excel at it. 

FreshBooks provides basic invoicing, while QuickBooks delivers an all-rounded accounting platform. 

However, which invoicing software performs best? Let’s find out in this FreshBooks vs. QuickBooks comparison.

FreshBooks vs. QuickBooks: At a Glance

Here’s a table showing the factors we considered in the FreshBooks vs. QuickBooks comparison.

Criteria	FreshBooks	QuickBooks	Winner
SMB Guide’s Rating	9/10	8.5/10	FreshBooks
Feature Set & Customization	Basic invoice customization options	Comprehensive set	QuickBooks
Automated Invoicing	✅	✅	QuickBooks
Expense Tracking	✅	✅	QuickBooks
Multi-Currency Support	130+ currencies	Not as extensive	FreshBooks
Data Migration & Import/Export	✅	✅	FreshBooks
CRM Functions	❌	✅	QuickBooks
Invoice Delivery & Communication	✅	✅	QuickBooks
Payment Processing Integration	✅	✅	QuickBooks
Reporting Tools	✅	✅	QuickBooks
User Experience and User Interface	Clean interface	Complex interface	FreshBooks
Integrations and Compatibility	100+ platforms	750+ platforms	QuickBooks
Customer Support	Email, live chat, and phone	Phone, live chat, and email	Tie
Pricing	$7.70/mo – $24/mo	$17.50/mo – $117.50/mo	FreshBooks
Scalability	✅	✅	Tie

FreshBooks: Key Features, Pros, Cons, & Pricing

FreshBooks is a double-entry accounting platform built for small businesses. It offers the industry’s best expense tracking features, like time and mileage, built into the mobile app. 

The invoicing services are also decent. Businesses can set recurring invoices or choose from customizable templates. The best part is that FreshBooks is running a promo with a  60% discount for the first four months.

Pros & Cons

Pricing

FreshBook offers four scalable plans but without a forever-free package. Subscriptions come with a month-long money-back guarantee, which is a plus. Billing is monthly or annual, with yearly payments getting a 10% discount. 

FreshBooks also includes an enterprise-like plan called Select. It offers white-label features at a custom price. On their site, FreshBooks is also running a promo giving a 60% discount for the first four months of subscription.

Here are the plans:

• Lite: $7.60 monthly or $159.60 annually (60% off)
• Plus: $13.20 monthly or $277.20 yearly (60 % off)
• Premium: $24.00 monthly or $504 annually (60% off)
• Select: Contact sales

QuickBooks: Key Features, Pros, Cons, & Pricing

QuickBooks is the industry standard accounting platform for SMBs. Its range of accounting and invoicing features allows it to support growing businesses. 

One of its standout features is its integration stack with 750+ systems. These include accounting, CRM, and more. It also offers advanced reporting tools and includes inventory tracking in its higher plans.

Pros & Cons

Pricing

QuickBooks offers four scalable plans but without a free package. All subscriptions come with a month-long free trial period. Billing is monthly or annual, with yearly payments receiving a remarkable 50% discount.

Here are the plans:

• Simple Start: $18 monthly or $194 annually
• Essentials: $27 monthly or $291 yearly
• Plus: $38 monthly or $410 annually
• Advanced: $76 monthly or $820 yearly

Feature Set & Customization

FreshBooks and QuickBooks offer strong invoicing capabilities for small and growing businesses. Users can customize their invoices by adding company logos and changing font size and color.

They also include personalized messages.

However, QuickBooks offers a more comprehensive set beyond basic invoice customization. It allows users to tailor their invoices to fit complex needs for specific niche businesses.

Both platforms also allow businesses to add custom fields to invoices. For example, companies can add a discount, order number, or project ID to their invoices.

✅ Winner: QuickBooks

Automated Invoicing

FreshBooks and QuickBooks offer automated recurring invoice features for frequent billing cycles. Both offer the option of scheduling at intervals (bi-weekly, monthly, or annual).

Setting up recurring invoices is more straightforward with FreshBooks because of its easy-to-use interface. QuickBooks, on the other hand, has a steeper learning curve.

Unlike FreshBooks, QuickBooks offers advanced options for complex billing situations with specific rules. These include quantity-based discounts, tiered pricing and more.

QuickBooks Invoicing can also easily handle a larger volume of invoices. The best part is that it integrates time-tracking data into the invoices automatically.

Both platforms also support sending automatic payment reminders and setting up late fees on late payments.

✅ Winner: QuickBooks

Expense Tracking

FreshBooks provides client invoicing and time tracking that extends to expense tracking capability. It automatically categorizes expenses and seamlessly integrates them into invoices for easy billing.

On the other hand, QuickBooks invoicing offers more advanced expense tracking features. It also integrates with expense management tools for added functionality.

Like FreshBooks, QuickBooks categorizes expenses and integrates them into invoices.

QuickBooks has an edge regarding reporting. It offers advanced tools that allow customizing reports for granular financial insights.

✅ Winner: QuickBooks

Multi-Currency Support

FreshBooks has an edge here, where it supports 130+ currencies globally. The software also offers businesses automatic currency conversion across all plans.

Users can also set custom exchange rates or pull real-time rates for accuracy.

QuickBooks Invoicing also offers multi-currency support but not as extensive as FreshBooks. It also allows users to set fixed exchange rates or use automatic conversion

However, users on the Simple Start plan can’t access automatic currency conversion. They have to set a fixed currency exchange rate, which can quickly become outdated.

✅ Winner: FreshBooks

Data Migration & Import/Export

Unlike QuickBooks, FreshBooks offers a simple data migration process. It also provides users with in-depth guides, mapping support, and import templates for a smoother transition.

QuickBooks supports data migration mainly through third-party apps. Users can move the data to CSV or Excel files and import them.

Both platforms support bulk importing and exporting. However, the QuickBooks process requires additional steps to facilitate it.

Regarding emergency access revocation, FreshBooks provides an accountant hub for managing client accounts. It allows the account owner to revoke or modify emergency access.

QuickBooks uses digital certificates to secure app integrations. When a certificate gets revoked, the software provides steps to fix the error.

✅ Winner: FreshBooks

CRM Functions

Unlike QuickBooks, FreshBooks lacks built-in CRM features. However, it integrates with third-party systems like HubSpot and Capsule CRM.

It also allows syncing basic contact details and payment activity within the CRM. Ensuring the billing is up to date.

Something to note is that FreshBooks relies heavily on 3rd-party apps for advanced needs. It can raise costs and complexities.

Unlike FreshBooks, QuickBooks offers basic CRM features built into the platform.

These include communication tracking, contact management, and activity history. The platform also integrates with third-party systems to maintain customer data. However, with limitations.

Something to note is that QuickBooks’ built-in CRM features allow basic lead tracking. Not only that, but also customer segmentation, depending on the invoice data.

✅ Winner: QuickBooks

Invoice Delivery & Communication

FreshBooks and QuickBooks offer multiple delivery options. They include postal mail, email, and an online portal.

Both platforms also offer customizable email templates for invoices and payment reminders. They also feature automated notifications on late payments and invoice status to update clients.

However, QuickBooks has an edge on the online portal. It is more visually appealing and provides add-ons, like document storage.

✅ Winner: QuickBooks

Payment Processing Integration

FreshBooks integrates with several payment gateways, such as PayPal and Stripe. It also allows customers to pay through ACH transfers and credit cards.

Setting the payment processors is straightforward. It allows businesses to accept payment directly through invoices.

The best part is that it offers automatic payment reconciliation, where businesses can accept global currencies. Businesses can also access advanced payment features like partial, auto, and payment schedules.

QuickBooks integrates with more payment processors, like digital wallets, credit cards, and more. It’s also compatible with e-commerce platforms, which facilitate card payments and ACH transfers.

Setting up the payment gateways is simple. QuickBooks provides simple guides and tutorials.

Unlike FreshBooks, QuickBooks provides smart invoicing and fast deposits. It helps in enhancing cash flow and improving payment acceptance.

✅ Winner: QuickBooks

Reporting Tools

FreshBooks offers basic financial reports. These include a chart of accounts, P&L, sales tax summary, general ledger, and trial balance.

On the other hand, QuickBooks has an edge in providing a broader range of financial reports besides the basics. These include inventory valuation, accounts payable and receivable, and more.

With report customization, QuickBooks offers more flexibility and granular options. Businesses can tag their transactions for in-depth tracking analysis.

Regarding real-time analytics, FreshBooks offers basic dashboards. They provide an overview of recent activity, expenses, and upcoming payments.

QuickBooks offers customizable dashboards that track cash flow, outstanding invoices, expenses, and income.

✅ Winner: QuickBooks

User Interface and User Experience

FreshBooks interface is clean and easy to navigate, making it ideal for individuals. It makes creating, sending, and managing invoices easy for people without accounting backgrounds.

It also uses a simple menu system with clear tabs to access all invoicing features. However, unlike QuickBooks, customization options have limitations.

QuickBooks has a more complex interface than FreshBooks. However, it offers a broader range of features. New users will have a steep learning curve, but the platform provides tutorials and guides.

With customization, the software offers more options than FreshBooks. It also allows users to create shortcuts for frequently used functions and tweak the invoices.

✅ Winner: FreshBooks

Integrations and Compatibility

FreshBooks is a standalone invoicing platform with accounting capability. While it doesn’t integrate directly with QuickBooks, it offers third-party connections.

QuickBooks is a comprehensive accounting and invoicing platform. It offers limited integration with Xero, but not FreshBooks.

Unlike FreshBooks, QuickBooks integrates with 750+ platforms. They include Intuit softwares like the online accountant and payroll.

Both platforms integrate with payment processors like PayPal, Stripe, and GoCardless. They also support ACH transfers and credit cards.

Regarding APIs, QuickBooks excels. It offers a capable one for custom integrations with other systems.

Both platforms also provide a capable mobile app (Android and iOS). It allows users to create, send, and manage their invoices on the go.

✅ Winner: QuickBooks

Customer Support

FreshBooks offers three support channels: email, live chat, and phone. Live chat responses are quick, with replies within 3-5 minutes. The support staff is helpful and provides feedback that resolves complex issues. 

QuickBooks also offers three support channels: phone, live chat, and email. Responses on the live chat are quick, taking 5-8 minutes. Like FreshBooks, the support agents help resolve technical issues.

With self-help resources, FreshBooks provides a blog, glossary, and resource hub. It also includes a vibrant community forum. The content is in-depth and covers the software’s inner workings.

QuickBooks also offers self-help resources, including an FAQ and help center. Unlike FreshBooks, QuickBooks lacks a vibrant community forum. However, the resources are comprehensive and provide helpful support.

✅ Winner: Tie

Pricing

FreshBooks offers a tiered pricing model for individuals and small businesses. The plans include a month’s money-back guarantee and an annual 10% discount.

QuickBooks offers scalable plans, each building on the previous. The plans provide access to more features and users. Unlike FreshBooks, it provides a month-long free trial and discounts on long-term commitments.

QuickBooks offers a better value proposition; here is why. It has extensive features, particularly in advanced accounting. Something to consider is that the pricing can be higher, especially for entry plans.

✅ Winner: FreshBooks

Scalability

FreshBooks scales well for small businesses and individuals. However, the limitations on client limits can restrict larger enterprises. It then compels them to subscribe to the top plan for a custom quote.

QuickBooks offers better scalable plans than FreshBooks, with higher client limits. It allows it to cater to small and growing businesses. The top plan offers invoicing features for large enterprises at a predictable price.

✅ Winner: QuickBooks

Standout Features of FreshBooks

FreshBooks offers invoicing software for individuals and small businesses. Here are three features that make it stand out.

Payroll management

FreshBooks partners with Gusto to help businesses improve their compliance with tax laws. The partnership provides access to W-2s, unlimited payroll runs, and automated tax filings. 

Mileage tracking

Businesses can automatically track each trip they’re on in the business’s name. From there, they can claim it as an expense when filing taxes. Users can install the mileage mobile app to log each trip and save the travel history.

Time tracking

Users can track their time working on client projects through this feature. After completing a task or project, the software generates an invoice with a single click.

Standout Features of QuickBooks

QuickBooks provides businesses with a comprehensive accounting platform to streamline their financials. Here are three features we found that make it stand out.

Inventory management

It allows businesses to track stock as it comes in and out. It lets companies see what items are selling and track stock value in real time.

2. Bank feed integration

Businesses can connect their bank to the platform and quickly set up their bank feeds. It allows them to reduce errors and save time. The business transactions will then securely flow straight into the QuickBooks account automatically.

Project costing

The feature allows businesses to track every job’s income, materials, and labor costs. It lets businesses know which projects make money and break the bank.

FreshBooks vs. QuickBooks: SMB Guide’s Verdict

Our comparison of FreshBooks and QuickBooks shows that they share similarities. However, they fit different users. FreshBooks is for individuals, while QuickBooks is for small and growing businesses.

However, after a thorough evaluation, QuickBooks wins. Here is why:

QuickBooks offers a scalable platform with powerful reporting and bookkeeping functions. Businesses with inventory will find the platform provides tools like custom pricing rules. It also integrates with 750+ systems, including CRM, payment processors, and more.

FreshBooks is a decent alternative. It offers time tracking and low-cost plans for individuals and micro businesses. However, its lack of advanced invoice customization and inventory management makes it lose. 

Choose FreshBooks If:

You need basic invoicing software with expense-tracking capability.

Choose QuickBooks If:

You need a comprehensive invoicing and accounting platform with advanced features but at a premium.