Need Bookkeeping Software? 7 Options for Solos to Consider

Your solo business’s numbers are too important to leave to jumbled spreadsheets and random piles of receipts. That’s why many solopreneurs turn to small business bookkeeping software.

The right solution streamlines your processes, saves you time (and stress), and gives you the financial information you need to make confident decisions for your business-of-one.

But, take a quick peek and you’ll quickly realize that there are a lot of bookkeeping services and software options out there. And while having plenty of choices is a good thing, it can also make finding the right fit a little overwhelming.

That’s where this guide comes in. We’re breaking down the best bookkeeping tools on the market so you can find the perfect match for your solo business.

Choosing Your Bookkeeping Software: 5 Things to Think About

Before we get into the nitty-gritty of the different small business bookkeeping software options available, let’s zoom out and look at the criteria you should think about. Keeping these things in mind will help you narrow down your choices and zone in on the tools that actually meet your needs:

• Business size: Solos need something different than big enterprises—or even small businesses with teams. Look for tools designed specifically for freelancers or one-person businesses, where simplicity, automation, and ease of use matter more than features built for multiple users.
• Budget: Bookkeeping software runs the gamut from free tools to robust systems with monthly fees. Think about how much you're realistically willing to spend, and whether the software offers good value for that price. Some paid tools offer features solos may never use, so don’t pay for bells and whistles you don’t need.
• Payment options: Do you invoice clients? Get paid via platforms like Stripe or PayPal? Sell digital products or subscriptions? Make sure your software integrates easily with how you bring in revenue—because manually entering transactions gets old fast.
• Taxes: Come tax season, you’ll want clean and easy-to-read reports, clear expense categories, and more. Look for a tool that simplifies (or even automates) your tax prep for both your annual return and your quarterly estimated tax payments.
• Ease of use: You’re wearing all the hats, so your bookkeeping tool shouldn’t feel like a part-time job. Look for something that automates as much as possible—like expense tracking and tax payments—and has a user-friendly dashboard that doesn’t require a finance degree to understand.

7 Top Small Business Bookkeeping Tools

Now that you have your specific business needs in mind, let’s take a look at some of the most popular bookkeeping software options on the market.

1. Lettuce

Best For: Contractors or solopreneurs seeking fully automated, hassle-free business setup and bookkeeping.

Lettuce is built specifically for your business-of-one, eliminating the need for manual bookkeeping. This AI-powered platform seamlessly connects to your business bank account (which Lettuce sets up and provides for you), categorizes transactions, reconciles accounts, handles your tax prep, and generates real-time financial reports—all on autopilot.

Key Benefits

• Easy Business Setup: Need to handle your LLC formation or S Corp election? Lettuce will do it all (yep, even the paperwork) for you.
• Seamless Integration: Sets up and directly links with your business bank account, automatically tracking and categorizing every transaction.
• Real-Time Insights: Stay updated with accurate financial records, empowering smarter business decisions.
• Hassle-Free Setup: Enjoy a hands-off experience with automated processes tailored to your needs.
• Tailored for Solopreneurs: Designed exclusively for solos like you, offering personalized financial guidance based on your earnings, expenses, and goals.

Want to learn more about Lettuce’s features? Check them all out right here.

Cons

• Not suitable for small businesses with employees or complex financial needs, such as businesses that manage inventory, handle sales tax, employ more than five individuals, or operate across multiple states.

Why Lettuce Stands Out

Unlike traditional bookkeeping tools, Lettuce is built by solos for solos. You’ll find all of the AI-driven features you need to save time and limit mistakes, without all of the bloat and complexity that comes with a lot of other small business bookkeeping software. It has everything you need to make accounting simple—not stressful. 

2. QuickBooks Solopreneur

Best For: Freelancers and solo business owners who want simple, streamlined bookkeeping.

QuickBooks Solopreneur is a focused offering from QuickBooks, designed specifically for one-person businesses. It helps you track income and expenses, categorize transactions, send invoices, and get a clear view of your cash flow—all without the extra features meant for larger teams.

Pros: Built for solos, easy to use, with helpful tools for tracking income, expenses, and taxes.

Cons: Far fewer features and integrations than full QuickBooks Online plans, and very little help for business formation or tax prep.

3. Xero

Best For: Businesses on the go or those prioritizing ease of use.

Xero’s user-friendly, cloud-based system shines in accessibility and mobility. It provides real-time financial reporting and a strong mobile app, making it perfect for business owners who need to monitor finances from anywhere. However, it lacks some of the depth in payroll features.

Pros: Clean interface, cloud-based accessibility, and mobile support.

Cons: Limited customization and payroll features are less comprehensive than competitors.

4. FreshBooks

Best For: Freelancers and service-based businesses focused on invoicing.

FreshBooks is tailored for solopreneurs and freelancers who want a simple yet effective way to manage invoicing and expenses. Its intuitive design makes it easy to track time, send invoices, and manage payments. However, due to its limited scalability, it’s less suited for growing your business beyond just you.

Pros: Extremely easy to use, with strong invoicing tools and integrations with payment gateways like Stripe and PayPal.

Cons: Fewer advanced features, particularly in helping with business formation or handling tax payments.

5. Wave

Best For: Startups or businesses on a tight budget.

Wave is a great option for small businesses just starting out, offering a robust free plan for basic accounting tasks like expense tracking and invoicing. Its user-friendly interface ensures even financial novices can navigate it easily. However, as your business grows, you may outgrow Wave’s capabilities.

Pros: Free basic plan, intuitive design, and ideal for businesses with minimal financial activity.

Cons: Limited features in the free plan, and lacks options for payroll and tax filing.

6. Found

Best For: Freelancers, gig workers, side hustlers, and solo service providers.

Found is an all-in-one financial platform that combines a business bank account with built-in bookkeeping, invoicing, and tax tools. Built specifically for solos, it automates much of the financial admin work that’s otherwise a burden—like tracing expenses, sending invoices, and calculating tax estimates. There aren’t any payroll features though, meaning it’s likely not the best fit for S Corps.

Pros: User-friendly with integrated banking, auto-categorized expenses, and real-time tax estimates.

Cons: Lack of payroll features and limited scalability as your business grows.

7. Collective

Best For: Solopreneurs operating as S Corps who want white-glove bookkeeping, payroll, and tax support.

Collective isn’t just bookkeeping software. It’s a done-for-you financial back office built specifically for one-person businesses that have (or want to form) and S Corp. From formation to payroll to tax filings, Collective handles all of the admin so you can focus on running and growing your business.

Pros: High-touch service, handles S Corp setup and compliance, and includes bookkeeping, payroll, and tax filing in one package.

Cons: Higher monthly cost than some other software and only available to U.S.-based solopreneurs operating as (or planning to become) an S Corp.

Struggling to Choose? A Simple Comparison

Still can’t make your choice? Here’s a simple, high-level comparison table to help you understand the nuts and bolts of your options.

Bookkeeping Software for Less Stress and More Success

No matter what kind of solo business you run, your numbers matter—and the right bookkeeping software makes all the difference.

It takes the guesswork out of your finances and gives you the clarity and peace of mind you need to spend less time poring over spreadsheets and more energy on the work that matters.

Lettuce is purpose-built for solos just like you. Take a look and see how Lettuce can save you time, stress, and money.