Getting paid is wonderful, but it’s a headache to send bills. You have to break out charges, figure taxes, see who paid and when, and follow up with customers who do not pay. It takes up a lot of your time, and it certainly is not the reason you started your business.
Invoice tool changes this. Automated invoicing, automated payment reminders, personalized invoices, and interfaces with payment monitoring software or payment gateways are just a few of the ways that the best invoice software may help your business optimize operations. This keeps your hard-earned consumers satisfied, increases your company’s cash flow, and saves valuable time.
What Is Invoice Software?
Invoice software tallies charges, tracks usage of rates, computes taxes, issues and sends bills, receives payment, and conducts collections for your company. Adopting a platform strategy for invoice management software allows you to automate billing for repeat business and build more valuable customer relationships by syncing your CRM with your invoicing tools. This becomes increasingly relevant as corporations use sales analytics software and artificial intelligence to target customers more effectively and accelerate their sales processes.
Top Invoice Software Features
In assessing invoice billing software, the following features must be present at a minimum:
Invoice customization options
Invoice templates make invoicing easier, but generally speaking, there is not a single solution that is best for all customers. Failure to offer invoicing customization in billing software reviews is noted as a con in some options. If you will need this functionality, then your software should provide some give. You might need to tailor invoicing by product, say. Customers could have varying renewal dates, types of billing, or types of charges.
Integrations with widely used business applications
As small businesses go digital and grow, the number of point solutions they have to integrate grows, from sales software to marketing automation to financial solutions. Good customer data means the best outcomes on all your systems, so your CRM and invoice billing software must integrate with all the major applications you use and include a rich ecosystem of integrated partners.
Comprehensive billing reports and analytics
Detailed reporting and analytics are essential when looking at implementing a new solution. Reports from invoicing software should be customisable so you can focus on the parameters that matter most to your company.
Order automation
Orders are the gateway to invoice billing software; they ingest transaction information from all sales channels and handle the entitlement, provisioning, and distribution processes necessary to get the goods and services to the customer and begin billing. Order management and large-scale order ingestion capabilities are provided by the right billing software to ensure a smooth billing transition.
How To Select The Correct Invoice Software?
Spend time figuring out what your company might require of invoice billing software, at least taking these considerations into account:
Integration abilities: Think about which technologies the billing software will be integrating with and how easily they integrate. Your billing software must integrate with your CRM seamlessly and process all the financial information well to guarantee correct billing.
Scalability in conjunction with business expansion: Your billing system must provide room for businesses to scale and support more customers. It must also enable you to scale your revenue by providing opportunities for you to implement new price models, including through pricing levels, volume-based charging, usage-based charging, unit-based charging, and so forth.
Ease of use: Billing is complex enough; your software of choice should make it easier. What this means is that your solution needs to have an easy-to-use interface that is a pleasure to use. Certain solutions that have been around for a while are notorious for having too many clicks and navigating to get to important features. Ideally, solutions entail minimal coding and clicks.
Pricing: You need to think about what solutions fall within your budget and if you can afford the next growth phase. Your billing software provider should have multiple tiers of pricing so you can pick a solution that fits your needs now and gives you room to grow without running into limits or seeing drastic price increases.
Top 10 best invoice software in 2025
1. Zoho Invoice app
Zoho Invoice by Zoho is a cloud-based, free invoicing application aimed at freelancers, consultants, agencies, and small businesses. Its simple features are invoicing, expense tracking, and online payments. As businesses grow, they might upgrade to more feature-rich and paid plans.
Key features
- Customizable Invoices
- Time Tracking
- Online Payments
- Expense Management
- Recurring Invoices
- Multi-currency Support
- Client Portal
- Automated Reminders
Pros
- Provides a free plan for businesses with fewer than five clients
- Simple to generate invoices
- Accessible on iOS, Android, and Microsoft
Cons
- The mobile apps lack all the features of the desktop app
- No customization options
Price: Free
2. Wave Invoicing
Wave is a great option to send bills and track where all your money goes—money going in and coming out. It’s an all-around business app that enables you to send bills with ease, receive detailed reports, and (if needed) even reconcile accounts for free.
Key features
- Custom Invoices
- Online Payments
- Recurring Billing
- Payment Reminders
- Mobile Invoicing
- Free to Use
- Secure Data
- Accounting Integration
Pros:
- User-friendly, even on a phone
- Full set of features, including accounting
- Integrated native payment processor
Cons:
- Invoices are not as flexible as some other choices.
Price: Free
3. FreshBooks
FreshBooks is a cloud accounting and invoicing software that offers invoicing, time tracking, expense tracking, report generation, and more. It’s designed for small businesses, solo business owners, and freelancers in a range of industries, including information tech, construction, legal, marketing, and creatives.
Key features
- Professional Invoices
- Time Tracking
- Expense Management
- Online Payments
- Recurring Billing
- Mobile Access
- Client Portal
- Financial Reporting
Pros
- Personalize your invoices with a logo
- Has a custom pricing plan
- Award-winning customer support
Cons
- Some users feel the recent UI update has ruined the app
- Fewer features than other applications, such as QuickBooks
Price: Three different price plans ranging from $19 a month to $60 a month, along with a custom price plan.
4. Xero app
Xero is a user-friendly invoicing app that has instant video tutorials available in the software to walk you through it. It offers a ton of sophisticated features, including the ability for users to alter the user interface and work together with their accountant within the app.
Key features
- Bank Reconciliation Automation
- Online Invoicing & Quotes
- Expense & Bill Tracking
- Payroll Management
- Inventory & Purchase Orders
- Multi-Currency Support
- Real-Time Reporting
- Mobile Access
- App Integrations
- Unlimited Users
Pros
- Simple to use for beginners with integrated tutorials
- Lots of advanced features
- Enables you to bring in your data from other programs like QuickBooks
- You can automate reminders for invoices
Cons
- Multi-currency support is only offered with the most costly plan.
Price: There are three programs with monthly prices ranging from $15 to $78.
5. PayPal Invoicing
PayPal Invoicing enables small businesses to accept card or PayPal payments. Without a PayPal account, you may plan recurring invoices, send reminders, generate and send invoices to clients using editable templates, and view past-due payments.
Key features
- Online Payments
- Invoice Creation
- Mobile Payments
- Subscription Billing
- Multi-Currency Support
- Fraud Protection
- Business Financing
- Payment Buttons
- Integration Options
- Global Reach
Pros:
- Friendly, recognizable name that your customers know
- Simple to use, combining invoicing and payments in one
Cons:
- Limited feature set
Price: Free
6. Square Invoices
You may send bespoke invoices and electronic estimates using Square Invoices. It provides automated reminders and real-time invoice tracking. Through the Plus program, you can schedule payments and batch invoicing and keep it all organized in a project workspace.
Key features:
- Customizable invoice templates
- Online payment choices
- Automated reminders
- Real-time tracking
Pros:
- Streamlines online and offline invoices
- Strong inventory function for products and services
- Pay and accept invoices with one solution
Cons:
- It could be more than some businesses require
Price: Free
7. Agile app
Agiled is an excellent option if you want to have a professionally designed invoice template sent automatically at intervals to your customers. Some of the features are business-focused, like creating contracts and proposals, and project management.
Key features
- All-in-one CRM
- Project management features
- Time tracking
- Client portal
Pros
- Set up automated recurring invoices.
- You can use it to control other areas of your business, like creating contracts.
Cons
- The app is sometimes difficult to handle
Price: Four pricing tiers from $0 to $83 per month
8. Hurdlr Pro app
With features that simplify the billing process, Hurdlr Pro is targeted at small business owners, independent contractors, and freelancers. There aren’t a lot of bells and whistles, but this app promises to make the process faster and ensure it goes off without a hitch.
Key features
- Automatic expense tracking
- Mileage logging
- Real-time tax estimates
- Income tracking
Pros
- Automated invoicing
- Credit card payments and collection
- You can create fully customized invoices
Cons
- Lacks personal finance functionality
Price: $0 – $16.67/month
9. Bookipi
If you’re seeking an extremely straightforward invoicing system that never sacrifices features, Bookipi is a perfect choice. The platform falls somewhere in the middle of an all-inclusive invoicing system and a simple invoice generator.
Invoices are lightning fast and easy to construct. You can’t completely control the look and feel, but you can make it possible to get a signature or deposit, invoice to recur, and automatically set reminders to become late overdue ones—and all you need to do is a few clicks from the invoicing setup page.
Key features
- Creation of invoices
- Expense tracking
- Reminder for payment
- Generation of a quote
Pros:
- Has all features such as invoicing, proposals and estimates, website building, and contracts with eSign
- Super easy to use
Cons:
- Low monthly invoice limit
- No visual customization options
Price: Free
10. Invoice Simple
Invoice Simple enables users to generate fully customized invoices for free using the mobile app. The app offers everything from tracking of invoices to itemization and multi-currency functionality. It generates fully customizable invoices for free.
Key features
- Simple invoice generation
- Customizable templates
- Payment tracking
- Multi-currency
Pros
- Free app enables you to generate fully customized invoices
- You can send invoices in various currencies
Cons
- Some users report that the invoices are small and difficult to read.
Price: Free
Benefits of Having Good Invoice Software
Invoice software streamlines the end-to-end billing process, freeing up businesses from time spent on manually calculating subscription and usage fees and their proration, generating and taxing invoices, and mailing them to customers. By automating electronic payments, using AI to power dunning and collections procedures, and delivering automation to prevent payments from being missed, automated invoice creation also accelerates payment cycles and improves cash flow overall.
Chief advantages are the following:
Streamline client management
More customers can feel like a blessing, but it can be a cause for more stress, particularly when trying to manage their information on multiple point solutions. If you experience this pain, it’s time to grow your business by bringing billing, payments, and collections from all your sales channels together under one roof inside your CRM system, where it integrates directly to your customer information.
Optimize cash flow with timely payment reminders.
Payments are automatically tracked by invoicing software, saving you the trouble. You can send automatic reminders at different intervals and interactions to encourage customers to pay their bills. Unified messaging makes collections a team sport, preventing late payments and streamlining the collections process.
Secure and reliable billing software
Encryption technologies are used by billing software to safeguard electronic transactions, client payment information, and important invoice data. It also helps with tax compliance and can have tracking features to help you comply with tax regulations and laws in each region where you do business.
Conclusion
In this post, we analyzed the best invoice software of 2025, its distinguishing characteristics, pricing plans, and pros and cons. You could be a freelancer looking for an easy-to-use solution or a business in search of premium features. There is always the best invoicing app waiting for you to find.
Keep in mind that the best invoicing app for you will vary depending on your unique needs and budget. Take the considerations we mentioned in this guide into account and make a wise decision. By investing in the proper invoicing software, you can save precious time, enhance your cash flow, and focus on what’s most important – your business.
FAQs
1. How much does billing software cost?
Cloud-based billing software is normally subscription-based. Basic packages have widely fluctuating costs and depend on the sector. For instance, software designed specifically for legal or medical billing might be higher than other multifaceted solutions.
2. Is billing software identical to invoicing software?
Although the majority of software on the market has both billing and invoicing features, billing software and invoicing software are not usually the same. Billing involves creating a statement of charges for products or services, while invoicing is a request for payment once products or services have been delivered.
3. Who uses invoicing and billing software?
Invoicing and billing software is utilized by enterprises of every scale, ranging from freelancers to corporations. Online payment-accepting service-oriented businesses can substantially gain from invoice solutions that streamline digital payment processing. Numerous corporations have complex billing systems, such as charging for hours or by project, that billing software is able to track and automate.
4. How does billing software function?
For clients purchasing goods or services, billing software manages the billing process. In order for clients to enter their payment details online, it securely transmits that information to your payment gateway partner. The payment processor then provides that information to banks. Customer payment information gets encrypted for security purposes before passing through the customer’s bank or credit card. After the transaction is settled, the status of the payment is returned to the billing software. You can follow payments, send reminders, and automate billing thanks to this connectivity. This also updates invoices and customer accounts instantly.
