Accounting Made Easy with FreshBooks: A Quick Overview
Ezra Cabrera | March 8, 2022
Key Takeaways
- FreshBooks is an online accounting tool composed of integrated features helpful in storing data, generating reports, and making and receiving payments. It is also available for mobile phones to keep track anytime, anywhere.
- This FreshBooks Review will guide you to its excellent features that include invoicing, cloud, tracking, etc., together with its flexible plans, security, and support for different platforms designed for small to medium-sized firms.
- FreshBooks comes in different plans that come with different prices and coverage to fit the needs of every user/organization.
FreshBooks is an accounting software that is user-friendly to many small business owners and freelancers. Its contents and features could deliver a great experience and convenience to the users in managing their businesses. It can design and send professional invoices, manage receipts and expenses, monitor your financial status, and other many features that make FreshBooks the finest invoicing software for small businesses.
But how is FreshBooks different from the other accounting software? This FreshBooks Review will guide you on how you can step up your business accounting operation using this online software.
What is FreshBooks and How Does It Work?
FreshBooks is a software designed as an accounting tool to help small to medium-sized businesses. It is a web-based software as a service (SaaS) paradigm accessible from a computer or a mobile device.
It launched off as an invoicing program and broadened its reach over time. It is now the go-to online accounting tool for sole proprietors and entrepreneurs. In some circumstances, it is popular among small and medium-sized enterprises as it is simple and easy to use, navigate, and budget-friendly.
FreshBooks’ subscription-based offering includes features like invoicing, accounts payable, cost tracking, timesheets, contracts, fixed asset depreciation, payment processing, payroll interfaces, double-entry accounting, and industry-standard business and management reporting. Most of the financial data in the cloud on a single specific ledger allow users to view the same set of books on their desktop and mobile devices regardless of location. Customers and third-party software suppliers can link external applications with FreshBooks using a free API.
This software also promotes a 30-day free trial for new users. The software comes with a setup page that includes video webinars covering the software’s basics and bookkeeping capabilities. It also has a mobile application that allows users to access the software’s essential functions like checking the status of invoices, tracking billable time and expenses, and others. It makes an excellent choice for freelancers, self-employed professionals, professional services organizations, and small business firms.
Features of FreshBooks
An app is indeed an all-around software that is helpful for the accounting activities of a business. To gain more insights on the tool and its services, below are the features that you can benefit from upon subscribing:
Invoicing: Freshbooks allows you to generate, customize, and send out receipts right after the work is finished or during your preferred time. You do not have to follow up on the clients’ due payments anymore. You can also make invoices in another currency with its multi-currency billing feature and send them in another language.
Expenses: Freshbooks allows you to keep track of your expenses as you can store each of your purchases or receipts in a cloud. In such a manner, you can see all expenses without having to worry about losing a copy or record of your finances.
Estimates: Create a quotation and turn it into an invoice using FreshBooks. You can also develop a customized business proposal to impress your prospects with what you and your organization have to offer.
Tracking: This accounting software allows you to have your daily transaction records, monitor the time spent working on your projects or to your clients, and even be informed of the log hours of your employees.
Projects: This feature will enable you to communicate with your team while working on your projects by giving them access to specific files. Project management features also allow you to see everyone’s updates through the cloud feature.
Payments: You can accept payments from your clients in different ways and forms of credit cards online, through checkout links, Paypal, and bank transfer to make transactions easier and convenient for every user.
Reports: You can generate financial reports with Freshbooks and see how your business performs since FreshBooks can immediately access insightful information and news. This feature will also keep your team updated as reports are accurately accessible for all software users.
Drawbacks of FreshBooks
Millions of companies use FreshBooks frequently because it is a popular cloud-based accounting software solution, but it does not mean the software platform is perfect in every way. There were some issues with FreshBooks that have been brought to light by users.
FreshBooks’ pricing is a significant concern for most users
While FreshBooks usually offers users a 30-day free trial with a money-back guarantee, the other features charge higher fees to the users. The features of FreshBooks that you can use usually depend on the plan you availed. It is an expensive tool to use unless you are servicing a small number of clients.
Missing Features
Recent FreshBooks Reviews have surfaced as users demand more from this online accounting tool to get things done more efficiently. You can expect an improved version of this tool soon. FreshBooks Accounting Software identified several notable missing features including the following:
- Integrations with project management software, payroll software, customer relationship management software, and third-party applications
- Budgeting with FreshBooks
- With payment processors such as PayPal, integration is possible.
- Accounting with two entries
- FreshBooks Training & Tools
- Inventory Control
- Capacity to increase the number of clients on the plan
- Screen-Capture
- Usability in Large Groups
FreshBooks’ Invoice Template & Manual Entry
Many accountants are concerned about a limited supply of FreshBooks Invoice Templates. Even though this tool is good at creating estimates and proposals, mobility, and financial reports, it still needs a few tweaks when generating invoices. Since FreshBooks’ invoice template requires manual data entry, you will have to rely more on your manual skills to learn the numeration system. You won’t expect an automated accounting tool to save you time by entering the data manually.
Lack of Multi-Currency Support
FreshBooks’ format and taxable calculations are a little confusing because it doesn’t support all currencies yet. FreshBooks’ lack of currency support is a significant drawback when it comes to bookkeeping activities. FreshBooks does not currently allow you to enter your financial transactions in the local currency. Foreign currency users may have to deal with more issues because of this tool’s dependence on western countries for a stronghold.
Price Range
FreshBooks offers four standard plans, available monthly or yearly, and discounts if you are a new customer. Currently, FreshBooks offers a 60% discount in the first six months, but if you are still hesitant, you can try their 30 days free trial to try out the features it offers.
Here is the pricing of the plan it offers. The prices are adjusted to reflect the current discounts.
The Lite plan costs $4.50 /month and allows you to bill up to five clients. The software can connect to your bank account, accept invoices, and track time. Even though you are limited to five clients, there are no limits to the invoices you can send. If you have this kind of subscription, you have the privilege of having access to FreshBooks IO and mobile phones.
The Plus Plan costs $7.50 / month and allows for up to 50 clients. In this online-based accounting software, you can charge late fees and send recurring invoices, automatic payment reminders, and proposals. You can also run a financial report with double-entry accounting reports for your general ledger, together with trial balance and chart of accounts. Using this plan, you can invite your account to work with you without additional charges.
The Premium plan costs about $15 / month that can bill up to 500 clients. This subscription offers everything in the Plus plan with additional reporting and client monitoring features.
The Select plan is suited for a business with more than 500 clients and bills of at least $150 000 per year. The pricing of this plan depends on your specific needs. It is better to have a conversation with a sales agent first, who will give you a quote for your needs.
Moreover, FreshBooks will provide you with a committed account manager to collaborate with for all the premium plans.
FreshBooks payment costs 2.9% plus $0.30 in every transaction. This plan allows you to take payments online while connecting your stripe account to the system.
Additional users cost $10 per month. These pertain to any of your business partners, contractors, and employees you add to your account. Advanced payment costs $20 per month plus 3.5% and $0.30 in every transaction, and the add-on service will give you a virtual terminal that permits you to accept payments over the phone and in person. Furthermore, your clients can allow recurring payments when you have this add-on.
These are the FreshBooks software you can choose from to fit your business. Remember to select the best plan that works for you and your business.
Final Thoughts!
For any business owner, managing a business is complex because of the need to keep watch of the different factors that may affect their business. It is preferable if companies use programs that will bring convenience and efficiency to their business activities. And in terms of accounting, FreshBooks is one of the best options to have in helping businesses maintain their financial records and record transactions.
FreshBooks is a software with many offered services and exciting features that allow users to assist them in their daily operations. It is prevalent for small businesses and freelancers in terms of invoices and time tracking. It has a cloud feature for storing accessible data, tracking features, reporting and estimating functions, and several payment options. It also offers flexibility, convenience, and ease of access because of its mobile application on both IOS and Android.
Having a flexible and user-friendly pricing plan is a great deal for any business, but most especially for start-ups, small businesses, and freelancers so that they could avail themselves of the service of FreshBooks software to experience its excellent service. Indeed, this program provides the basic accounting services and necessary features needed by businesses. It is made to make your accounting activities easier, convenient, and more efficient.
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