• Features: ★★★★☆ 4/5
  • Customer Engagement: ★★★★★ 5/5
  • Order Management: ★★★★★ 5/5
  • Compatible Hardware: ★★★★★ 5/5
  • Ease of Use: ★★★★★ 5/5
  • Pricing: ★★★★☆ 4/5

FreshBooks Review for 2022

Fact-checked
  • Features: ★★★★☆ 4/5
  • Customer Engagement: ★★★★★ 5/5
  • Order Management: ★★★★★ 5/5
  • Compatible Hardware: ★★★★★ 5/5
  • Ease of Use: ★★★★★ 5/5
  • Pricing: ★★★★☆ 4/5

Best For

Small businesses, startups, sole proprietors, and freelancers

STRENGTHS

  • It’s incredibly easy to use
  • Its customer support is one of the best on the market
  • When it comes to FreshBooks review and prices, users are happy its 30-day trial period

WEAKNESSES

  • According to various FreshBooks reviews, some customers find it pricey
  • Adding more team members costs an extra $10 per member

If you’re running a small business and all you need is a basic and easy-to-use accounting solution, FreshBooks might be the right choice for you.

In this FreshBooks review, you can find out how it works, what its pros and cons are, and why you should start using it.

What Is FreshBooks and How Does It Work?

FreshBooks started as an invoicing solution and over the years it has expanded into an online accounting service for small businesses, startups, sole proprietors, and freelancers. It offers a plan for the self-employed as well, along with a team plan.

Although many of FreshBooks’ features got left behind in a major site update a few years ago, they keep being reintroduced. Many FreshBooks customer reviews describe the new FreshBooks version as a great choice for small businesses thanks to its remarkable usability and aesthetic properties, as well as its smart selected features.

After thorough research, having read a lot of positive feedback from its users, I decided to try it out myself and see if it’s really one of the best accounting software.

Take a look at FreshBooks’ main features and my experience with them.

Main Features

FreshBooks has many features, but we’ll go through the most important and useful ones. Let’s check them out!

Client Hub

Based on my review of Freshbooks, I can tell you that through the Client Hub, FreshBooks enables its users to have an overview of all of the activities of their clients, such as contact info or overdue payments. Users can effortlessly add a task associated with a certain client, which enables them to focus more on building relationships with their clients.

Accounting

Accounting is another one of many FreshBooks features that users like because it helps them track all the costs of sold goods, journal entries, and other incomes like rental income and revenue items, as well as invite their accountants to access FreshBooks. Its software contains a balance sheet, a trial balance sheet, and a general ledger. It automatically performs balances and automatic checks to ensure there are no discrepancies.

Invoicing

You can learn how to use FreshBooks to create and personalize your logo on your invoices with its invoice templates generator, where you can also add payment methods, billable expenses, payment terms and due dates, and late fees to invoices. There is an option to set up reminders and recurring invoices to be sent to clients to alert them of payment deadlines. Additional invoicing features include the option to automatically calculate the tax, inventory management, discounts, invoice preview, currency preference, and alerts when invoices are seen and paid.

Expense Management

As individual contractors, users can connect FreshBooks to their bank/credit card account and easily track their expenses. Reviews on FreshBooks reassure that photos of receipts can quickly and easily be taken and stored within the software, which is great for cash flow monitoring. Another great feature is that it’s a time saver in managing expenses by category when filing taxes.

Payments

FreshBooks’ payments feature enables companies to offer different kinds of payment options to their customers, like mobile pay or credit card. Users have the opportunity to set up online payment in a few easy steps because FreshBooks links with most bank accounts in the US.
There’s a dedicated payment processor called FreshBooks Payments which, according to the FreshBooks reviews, comes in handy, although it charges 2.9% monthly, and 30 cents per credit card payment transaction.

Alternatively, companies can use Stripe payment processing, which offers similar transaction fees.

Reports

Freshbooks’ software has built-in dashboards and reports on many metrics and accounting aspects, like profit and loss, accounts aging, and sales tax. This enables users to access important reports easily via the dashboard and filter reports by date or client.

Assigning Tasks to Their Employees

One of the reasons why this FreshBooks software review gives it a high score is that it includes the project management functionality, so the companies can track the project cycle, including chatting with collaborators, sharing files, and assigning tasks to employees.
Other great functionalities here include bidding on new projects and estimating features by outlining the scope of the project, deliverables, and timeline within the software. Lastly, the time-tracking features allow users to record their time, manage the team’s work, and record time against certain projects for billing.

Feature Rating
Client Hub 5/5
Accounting 5/5
Invoicing 5/5
Expense management 4.5/5
Payments 5/5
Reports 5/5
Assigning tasks to their employees 4/5

Ease of Use

If you’re worried about how to use FreshBooks, relax! It has always been easy to use, in addition to the company rolling out navigation updates almost every month to improve its usability. It was very easy for me to set up and use the software, but it requires a little previous bookkeeping experience. A very positive thing about FreshBooks is that the company is paying attention to its users’ needs and has addressed previous navigational issues.

If you happen to experience any difficulties while navigating the software, you can always reach out to FreshBooks customer support which will provide you with plenty of tools to help.

Plans, Pricing, and Contracts

Based on annual billing, the cost of FreshBooks accounting software has 4 pricing plans. The cheapest one starts at $15 per month. If you choose a more expensive subscription plan, you’ll have access to more features and additional billable clients. Let’s compare the different pricing plans:

Lite – The Lite plan starts at $15/month for up to 5 billable clients.

This subscription includes:

  • unlimited expense entries and invoicing
  • unlimited time tracking and estimates
  • online payments (credit card, ACH transfers)
  • automatic mileage tracking and tax reporting
  • scheduled late fees and automated recurring invoices
  • automated bank import, and automated payment reminders

The Freshbooks Lite features plan is very well-suited for small businesses. For instance, this subscription will be perfect for home-based business accounting software as well as freelancers and contractors.

Plus – The Plus subscription plan costs $25/month and you can add up to 50 billable clients.

This plan provides the same features of the Lite version, plus the following features:
unlimited proposals

  • eSignature
  • double-entry accounting reports
  • bank reconciliation
  • accountant access
  • client retainers

The FreshBooks software review shows that its Plus plan steps up from its Lite plan. This plan subscription is a popular version of FreshBooks accounting software, with greater client accommodation and additional features that make it a solid solution for small businesses. Additionally, the FreshBooks Plus plan offers an option to buy Advanced Payments, which will provide you access to a virtual terminal to accept payments over the phone or manually.

This will cost you an additional $20 per month.

Premium – The Premium subscription plan costs $50/month for unlimited billable clients.

This plan includes all of the features that the Plus plan has and also provides features such as:

  • plus accounts payable
  • project profitability
  • customized email templates
  • automated client emails

The review of the FreshBooks Premium subscription shows that this plan offers the best option for high-volume and high-activity businesses, and it also offers the option for Advanced Payments for an additional $20 fee.

Select – The Select plan subscription is intended for companies that need custom services.

This type of subscription includes

  • personal Account Manager
  • customized end-user training
  • data migration services
  • removal of FreshBooks branding from client emails
  • two team member accounts
  • lower credit card transaction fees
  • integration to Xero and QuickBooks.

In case a company wants to add team members to the account, it has to pay an additional $10 per member on a monthly basis and this applies to all subscriptions. According to FreshBooks customer reviews, users count this feature as a disadvantage.

On the other hand, there are many positive reviews and one of them is the chance to try it before you buy it. FreshBooks offers a 30-day free trial period, without the need for a credit card. Also, there’s a 30-day guarantee for a full refund in case you cancel the plan within the first 30 days of signing up. FreshBooks often runs specials for new customers, so you can check the website and see the current deals.

Customer Support

FreshBooks has excellent customer support, with knowledgeable and friendly representatives who answer emails and phone calls promptly. There are also numerous resources available to help you get the most out of the software, like how-to articles and webinars.

FreshBooks Alternatives

Even though FreshBooks is a great option, there are other alternatives that may be suitable for your needs. So, let’s take a closer look.

FreshBooks vs Bookkeeper360

FreshBooks Bookkeeper360
Win
  • Offers 30 free trial
  • Slightly less expensive than its competitors
  • Recently updated features
  • Easy to navigate with a user-friendly dashboard and interface.
  • Offers free consultations
  • Compatible with Xero
  • Offers a wide range of services and tailored solutions
  • No contract required.
Lose
  • Has a limited mobile app that doesn’t allow access to reports on the go
  • Reportedly doesn’t work well for complex businesses in need of inventory tracking and vendor management.
  • Not as affordable as its competitors
  • No invoicing or bill pay service available.
Best for
  • Small business accounting applications, freelancers, and sole proprietors
  • Invoicing services
  • Time tracking and mileage tracking.
  • Businesses that use Xero accounting software
  • Growth-stage businesses and Startups
  • Businesses using accrual-based accounting.

Although this FreshBooks competitor seems to have quite promising features, its pricing is a big drawback, as its most basic plan subscription starts at $125 per hour for support. Also, you can go with $349/month, which will cost you $499 in case your company uses accrual accounting.

So, if you want to choose wisely, FreshBooks is still a better option.

FreshBooks vs Quickbooks

FreshBooks Quickbooks
Win
  • Intuitive and user-friendly
  • incredibly responsive to complaints
  • Constantly improving
  • Flexible pricing plans.
  • Flexible with third-party applications
  • Provides good accounting reports
  • Easy to access from any device – computer, tablet, or phone.
Lose
  • May miscategorize items when they’re automatically imported
  • Doesn’t keep an automatic enumeration for invoices.
  • Instability/system crashes
  • Data isn’t always backed-up so you risk losing information
  • Lack of direct professional support.
Best for
  • Service-based businesses, freelancers, and contractors.
  • Product- and sales-based companies with more complex accounting needs.

Both QuickBooks Online and QuickBooks Pro boast more integrations and features, as well as one of the best POS systems, so if your business needs more advanced features, QuickBooks may be more suitable for you. However, if you run a small business and need basic, easy-to-use software, FreshBooks is the right choice.

FreshBooks Review Conclusion

If you run a freelance business or a small company, the FreshBooks accounting software will be perfect for you. It will help you stay organized, send invoices, and accept payments, as well as keep track of payments owed and expenses made. Even though there are various similar options on the market, FreshBooks is specifically well suited for businesses with one main operator.

FAQ

How much is FreshBooks?

FreshBooks offers 4 pricing plans, starting from $15 to $50 per month, depending on the feature set you want to use and the number of clients.

How to contact FreshBooks' customer service?

You can contact FreshBooks’ customer service at any time via email or phone, which you can find on their website.

Is FreshBooks easy to use?

In this FreshBooks review, I’ve pointed out a few times how extremely easy it is to use FreshBooks, but in case you have difficulties, there are many resources available that can come in handy, like how-to articles and webinars.

ABOUT AUTHOR

I learned a lot about finance after working for a digital marketing company specializing in investing and trading stocks, forex, etc. After that, I got exposed to other verticals such as wealth management and personal finance, which further improved my understanding of the financial world.