I wasted three months picking invoicing software for my first startup back in 2015. Demos looked flawless, pricing seemed straightforward, then reality hit—GST compliance headaches, inventory sync failures, and support that vanished when deadlines loomed. If you’re a small business owner or startup founder drowning in manual invoices while trying to track stock levels, this guide on the best invoicing software in India is the shortlist I wish I had on day one.
These tools actually work when your inventory runs low, tax season arrives, and cash flow gets tight. Here’s how I chose what made the cut, and who each option is genuinely for.
Methodology
To identify the best invoicing software in India, I evaluated these invoicing and inventory management solutions using weighted criteria: features and GST compliance (30%), ease of use for non-accountants (25%), pricing transparency and value (20%), customer support quality (15%), and integrations with Indian payment systems (10%).
My research drew from vendor documentation, G2/Capterra reviews, startup founder interviews, and hands-on testing where possible. I focused specifically on tools serving the Indian market with proper GST compliance, though pricing can vary by region and some features may differ based on local regulations. All pricing noted as of 2025
Editor’s Picks (TL;DR)
- Best overall: ProfitBooks — combines invoicing, inventory, and compliance without overwhelming new users
- Best for micro-retailers: Vyapar — offline access and simple GST billing for local shops
- Best budget option: Refrens — solid free tier with multi-device sync for freelancers and startups
- Best for scaling businesses: TallyPrime — comprehensive accounting depth for growing enterprises
Feature Matrix
Comparison of core features across top invoicing software with inventory management in India
| Software | GST Compliance | Offline Access | Multi-User | Payment Gateway | Inventory Alerts | Starting Price |
|---|---|---|---|---|---|---|
| ProfitBooks | Yes | No | Yes | Yes | Yes | Free |
| Vyapar | Yes | Yes | Limited | Yes | Yes | ₹699/month |
| Refrens | Yes | No | Yes | Yes | Yes | Free |
| TallyPrime | Yes | Yes | Yes | Limited | Yes | ₹750/month |
| Swipe | Yes | No | Yes | Yes | Yes | Free |
| myBillBook | Yes | No | Yes | Yes | Yes | ₹217/month |
What is the Best Invoicing Software for Small Businesses in India?
The best invoicing software for Indian small businesses must handle GST compliance, integrate inventory tracking, and remain simple enough for non-accountants to use daily.
For smoother stock control and real-time visibility, using a reliable inventory management system for small business can make a big difference.
Based on extensive testing and user feedback, ProfitBooks emerges as the top choice for most startups and SMEs, offering the right balance of features, compliance, and usability without overwhelming new users.
Key factors that separate winners from pretty dashboards:
GST Compliance That Actually Works: Beyond basic GST invoicing, look for e-invoicing support, automated tax calculations, and export-ready reports for your CA.
Real-Time Inventory Integration: Stock levels should update automatically when you create invoices, with low-stock alerts that actually help prevent stockouts.
Payment Collection Features: UPI integration, payment gateway connectivity, and automated reminders significantly improve cash flow for growing businesses.
ProfitBooks
Official links: Website | Pricing
Product Overview:
ProfitBooks positions itself as accounting software designed specifically for business owners without accounting backgrounds. When I first encountered it during my CA practice, I was struck by how it simplified complex financial operations while maintaining full GST compliance. The platform combines invoicing, expense tracking, and inventory management in a surprisingly intuitive interface that doesn’t require accounting expertise to navigate effectively.
Key features:
- Professional invoice generation with customizable templates and automated GST calculations
- Real-time inventory tracking with multi-warehouse support and low-stock alerts
- Comprehensive expense management with receipt upload and categorization
- Multi-user access with role-based permissions for team collaboration
- 45+ financial reports including P&L, balance sheets, and cash flow statements
- Payment gateway integration supporting UPI and major Indian payment systems
Pricing:
Offers a free ‘Startup’ plan with essential features, and a ‘SMB’ plan at $20/month (approximately ₹749/month). The pricing structure scales naturally with business growth without surprise add-ons.
What’s good:
- Genuinely designed for non-accountants with intuitive navigation
- Strong inventory management with multi-location tracking capabilities
- Excellent customer support with responsive assistance during tax season
- Clean data exports that work seamlessly with CA requirements
- No hidden costs or feature restrictions that surprise you later
What’s not so good:
- Limited offline functionality compared to desktop-based solutions
- Fewer advanced accounting features than comprehensive tools like Tally
- Integration ecosystem smaller than established players like Zoho
Who should use ProfitBooks:
Small business owners, startups, and growing SMEs who need reliable accounting without complexity. Particularly valuable for businesses requiring multi-location inventory tracking and those who want their non-accounting team members to handle invoicing confidently.
Integrations and ecosystem:
Integrates with major Indian payment gateways, supports bank reconciliation, and provides export formats compatible with popular CA tools. The integration focus remains practical rather than extensive.
Support and onboarding:
Offers responsive customer support with particular strength during GST filing periods. The onboarding process includes guided setup and template selection to get businesses running quickly.
Security and compliance:
Maintains GST compliance with regular updates for regulatory changes, includes data encryption, and provides audit trails for financial transparency.
Expert opinion:
“ProfitBooks strikes the right balance for startups who need more than basic invoicing but aren’t ready for enterprise accounting complexity. The inventory features work well for multi-location businesses.” — Rajesh Kumar, Business Consultant and former startup CFO
What makes it different:
Unlike tools that try to be everything to everyone, ProfitBooks focuses specifically on the accounting challenges faced by growing Indian businesses, with particular attention to inventory management and team collaboration.
Particularly valuable for businesses requiring multi-location inventory tracking and those who want their non-accounting team members to handle invoicing confidently. This is why ProfitBooks consistently ranks among the best invoicing software in India for startups and SMEs.
Vyapar
Official links: Website | Pricing
Product Overview:
Vyapar carved out its niche by focusing on offline functionality and simplicity for India’s vast micro-business sector. During my interactions with local retailers and small service providers, I consistently heard praise for its straightforward approach to GST billing and inventory tracking. The software works reliably even with inconsistent internet connectivity, making it particularly valuable for businesses in smaller cities and rural areas.
Key features:
- Offline billing and invoicing with automatic sync when connected
- Barcode scanning for inventory management and quick billing
- GST-compliant invoicing with automated tax calculations
- Basic accounting reports suitable for small business needs
- Multi-device synchronization across Android, iOS, and Windows
- Payment tracking and customer management features
Pricing:
Basic mobile plan starts at ₹699/year, with premium features available at ₹3,999/year. No free tier, but pricing remains accessible for micro-businesses.
What’s good:
- Excellent offline functionality that works without internet connectivity
- Extremely user-friendly for business owners with minimal tech experience
- Reliable barcode scanning and inventory management for retail operations
- Affordable pricing structure designed for small business budgets
- Strong performance on mobile devices for on-the-go billing
What’s not so good:
- Limited advanced reporting compared to cloud-based alternatives
- Fewer integration options with third-party business tools
- Basic multi-user functionality doesn’t support complex role management
- Customer support can be slow during peak periods
Who should use Vyapar:
Local retailers, micro-businesses, small service providers, and any business needing reliable offline invoicing. Particularly suited for shops, small manufacturers, and service businesses in areas with unreliable internet connectivity.
Integrations and ecosystem:
Supports basic payment gateway integration and bank connectivity. Integration options remain limited but cover essential business needs for small operations.
Support and onboarding:
Provides support primarily through email and chat, with comprehensive video tutorials. The learning curve is minimal due to the software’s straightforward design.
Security and compliance:
Maintains GST compliance with regular updates, includes basic data security measures, and provides local data storage options.
Expert opinion:
“Vyapar’s offline capabilities and simple interface make it ideal for traditional businesses transitioning from manual billing. However, scaling businesses may outgrow its capabilities quickly.” — Sanjay Gupta, Retail Business Consultant
What makes it different:
Unlike cloud-only solutions, Vyapar prioritizes offline functionality and simplicity over advanced features, making it uniquely suitable for India’s diverse business landscape where internet connectivity varies significantly.
Refrens
Official links: Website | Pricing
Product Overview:
Refrens impressed me with its generous free tier and clean interface designed for freelancers and small agencies. When I recommended it to several startup founders, they consistently appreciated how quickly they could generate professional invoices without getting bogged down in complex setup processes. The platform has evolved beyond basic invoicing to include inventory management features that work well for service-based businesses with some product components.
Key features:
- Professional invoice and quotation generation with customizable branding
- Basic inventory tracking with stock level monitoring
- Automated payment reminders and follow-up sequences
- Multi-device access with real-time synchronization
- Client portal for invoice viewing and payment processing
- Expense tracking with receipt management capabilities
Pricing:
Generous free plan with core features, paid plans starting at ₹7000 for 3 months for additional features and users. The free tier remains functional for small operations indefinitely.
What’s good:
- Excellent free tier that doesn’t feel artificially limited
- Clean, modern interface that’s easy to navigate for new users
- Strong automated reminder system that improves payment collection
- Good multi-device synchronization for mobile and desktop use
- Responsive customer support even for free plan users
What’s not so good:
- Inventory management features remain basic compared to specialized tools
- Limited advanced reporting capabilities for complex business analysis
- Integration ecosystem smaller than established accounting platforms
- Some advanced features require upgrading to paid tiers
Who should use Refrens:
Freelancers, consultants, small agencies, and startups needing professional invoicing with light inventory tracking. Particularly valuable for service businesses that occasionally sell products or manage simple inventory.
Integrations and ecosystem:
Integrates with popular payment gateways including Razorpay and PayU, supports bank connectivity for reconciliation, and provides basic CRM integration capabilities.
Support and onboarding:
Offers responsive support through chat and email, with extensive documentation and video tutorials. The onboarding process is streamlined for quick setup.
Security and compliance:
Maintains GST compliance with automated updates, includes standard data encryption, and provides regular backups for data security.
Expert opinion:
“Refrens offers exceptional value for startups and freelancers who need professional invoicing without complex accounting overhead. The free tier is genuinely useful, not just a marketing gimmick.” — Priya Sharma, Startup Advisor
What makes it different:
Unlike tools that restrict free users heavily, Refrens provides a genuinely useful free tier while focusing on simplicity and professional presentation rather than comprehensive feature coverage.
TallyPrime
Official links: Website | Pricing
Product Overview:
TallyPrime represents the evolution of India’s most established accounting software, and my experience with it spans over a decade of CA practice. While it requires more learning investment than modern cloud alternatives, its depth and reliability for complex business operations remain unmatched. The recent versions have improved usability significantly while maintaining the comprehensive functionality that made Tally the backbone of Indian accounting.
Key features:
- Comprehensive accounting with advanced GST compliance and e-invoicing support
- Robust inventory management with multi-location and multi-currency capabilities
- Advanced reporting with customizable financial statements and analytics
- Multi-user access with detailed permission controls and audit trails
- Integration with banking systems and government portals for seamless compliance
- Extensive customization options for industry-specific requirements
Pricing:
Plan starts at ₹749/month, with multi-user and additional feature licenses priced separately. Cloud services available as add-ons.
What’s good:
- Unmatched depth for complex accounting and compliance requirements
- Excellent multi-location inventory management with detailed tracking
- Strong offline functionality with optional cloud synchronization
- Extensive customization capabilities for specific business needs
- Established ecosystem of certified partners and consultants
- Robust data security and audit trail capabilities
What’s not so good:
- Steeper learning curve compared to modern cloud-based alternatives
- Higher upfront costs that may challenge small business budgets
- Interface feels dated compared to contemporary software design
- Limited mobile functionality compared to mobile-first solutions
Who should use TallyPrime:
Established SMEs, manufacturing businesses, multi-location operations, and companies with complex accounting requirements. Particularly valuable for businesses needing detailed inventory tracking, advanced reporting, or industry-specific compliance.
Integrations and ecosystem:
Extensive integration with Indian banking systems, government portals, and third-party business applications. Large ecosystem of add-ons and certified consultants available.
Support and onboarding:
Comprehensive support through certified partners, extensive training programs, and detailed documentation. The learning investment is significant but worthwhile for complex operations.
Security and compliance:
Industry-leading compliance with Indian regulations, robust data security measures, and comprehensive audit capabilities. Regular updates ensure ongoing regulatory compliance.
Expert opinion:
“TallyPrime remains the gold standard for businesses needing comprehensive accounting depth. While newer tools are easier to use, Tally’s reliability and feature completeness are hard to match for complex operations.” — CA Meera Joshi, Practice Head
What makes it different:
Unlike simplified cloud tools, TallyPrime prioritizes comprehensive functionality and regulatory compliance over ease of use, making it uniquely suitable for businesses with complex accounting and inventory requirements.
Swipe
Official links: Website | Pricing
Product Overview:
Swipe caught my attention for its focus on speed and simplicity in GST billing combined with solid inventory management features. When I observed small business owners using it, the most common feedback was how quickly they could generate invoices and track payments without extensive training. The platform strikes a good balance between functionality and simplicity, though it doesn’t venture into complex accounting territory.
Key features:
- Fast GST invoice generation with automated tax calculations
- Real-time inventory tracking with low-stock alerts and reorder points
- Payment collection through multiple channels including UPI and cards
- Customer and supplier management with communication tracking
- Basic accounting reports suitable for small business needs
- Multi-user access with role-based permissions
Pricing:
Free plan available with basic features, paid plans starting at ₹250/month for advanced functionality. Pricing scales reasonably with feature additions.
What’s good:
- Exceptionally fast invoice generation and billing processes
- Intuitive inventory management that requires minimal training
- Strong payment collection features with multiple gateway options
- Clean mobile app that works well for field operations
- Responsive customer support with quick resolution times
What’s not so good:
- Limited advanced accounting capabilities compared to comprehensive tools
- Fewer customization options for invoice templates and branding
- Integration ecosystem smaller than established platforms
- Reporting features remain basic for complex business analysis
Who should use Swipe:
Small retailers, service businesses with inventory components, and growing startups needing fast billing with inventory tracking. Particularly suited for businesses prioritizing speed and simplicity over comprehensive accounting features.
Integrations and ecosystem:
Integrates with popular payment gateways, supports basic bank connectivity, and provides essential third-party integrations for small business operations.
Support and onboarding:
Offers responsive support through multiple channels, with quick onboarding process and minimal learning curve for new users.
Security and compliance:
Maintains GST compliance with regular updates, includes standard security measures, and provides reliable data backup systems.
Expert opinion:
“Swipe excels at what it promises—fast, simple billing with inventory tracking. It’s not trying to be comprehensive accounting software, and that focus makes it very effective for its target market.” — Amit Patel, Small Business Consultant
What makes it different:
Unlike feature-heavy alternatives, Swipe prioritizes speed and simplicity in core operations, making it uniquely effective for businesses that need fast billing without accounting complexity.
myBillBook
Official links: Website | Pricing
Product Overview: myBillBook emerged as a mobile-first solution designed specifically for India’s digitizing business landscape. During my interactions with growing retail and distribution businesses, I noticed how effectively it bridges the gap between simple billing apps and complex accounting software. The platform combines professional invoicing capabilities with robust inventory management while maintaining the accessibility that small business owners need for daily operations.
Key features:
- GST-compliant billing with e-invoicing and e-way bill generation
- Real-time inventory management with barcode support and stock alerts
- Multi-location warehouse management with stock transfer tracking
- Party management with detailed customer and supplier records
- Automated payment reminders and collection tracking
- Comprehensive business reports with GST returns and analytics
Pricing: Plans start at ₹217/month for basic features, with platinum plans at ₹250/month and enterprise plans at ₹417/month for advanced functionality. Free trial available for testing.
What’s good:
- Excellent mobile experience designed for businesses on the move
- Strong inventory management with multi-location support
- Intuitive party ledger system for tracking customer balances
- Good balance between simplicity and comprehensive features
- Responsive customer support with regional language assistance
- Regular updates aligned with GST regulatory changes
What’s not so good:
- Desktop experience less polished compared to mobile interface
- Limited advanced accounting features for complex operations
- Integration ecosystem smaller than established platforms
- Requires internet connectivity for most features
Who should use myBillBook: Retail businesses, distributors, small manufacturers, and trading companies needing mobile-first billing with solid inventory tracking. Particularly valuable for businesses managing multiple locations or requiring on-the-go invoice generation.
Integrations and ecosystem: Integrates with major Indian payment gateways, supports GST portal connectivity, and provides basic banking integration for reconciliation. Focus remains on practical integrations for small business needs.
Support and onboarding: Offers support through phone, chat, and email with assistance available in multiple regional languages. Onboarding includes guided setup and video tutorials for quick adoption.
Security and compliance: Maintains GST compliance with regular regulatory updates, includes standard data encryption, and provides cloud-based backup for data security.
Expert opinion: “myBillBook’s mobile-first approach makes it particularly effective for businesses where owners and sales teams need billing capabilities on the move. The inventory features work well for multi-location retail operations.” — Ramesh Iyer, Retail Business Advisor
What makes it different: Unlike desktop-focused solutions, myBillBook prioritizes mobile functionality and ease of use, making it uniquely suitable for modern businesses that need professional billing capabilities accessible from anywhere.
Why Choosing the Right Invoicing Software with Inventory Management Matters
Getting invoicing and inventory management right isn’t just about generating bills—it’s about building the financial foundation that supports business growth. During my years advising startups and SMEs, I’ve seen how the right software choice can transform cash flow visibility, reduce manual errors, and free up time for strategic activities.
Cash Flow Impact: Automated payment reminders and integrated payment gateways typically improve collection rates by 15-25% compared to manual follow-ups. When inventory levels sync automatically with invoicing, you avoid stockouts that can cost 10-15% of potential revenue.
Compliance Confidence: With GST regulations evolving continuously, having software that updates automatically provides peace of mind and reduces compliance costs. Businesses using integrated solutions report 40% less time spent on tax preparation compared to manual systems.
Scaling Readiness: The software you choose today needs to support tomorrow’s growth. Multi-user access, role-based permissions, and comprehensive reporting become critical as teams expand and operations become more complex.
Content Gaps and Underrated Options
Most invoicing software comparisons focus heavily on feature lists while overlooking critical factors that impact daily operations. Here’s what typically gets missed:
Support Quality During Crunch Time: Tax season, year-end closing, and audit periods test customer support capabilities. Tools like ProfitBooks and myBillBook consistently receive positive feedback for responsive support during these critical periods, while some popular alternatives struggle with response times when you need help most.
Data Export and Migration Ease: Getting your data out cleanly becomes crucial as businesses grow or need to switch platforms. TallyPrime and ProfitBooks provide comprehensive export options that work well with CA requirements, while some cloud-only solutions make data extraction surprisingly difficult.
Hidden Cost Transparency: Many tools appear affordable until you need additional users, advanced features, or higher transaction volumes. Vyapar and Refrens maintain transparent pricing that scales predictably, while some alternatives surprise users with sudden cost jumps.
Integration Reality: Marketing materials promise seamless integrations, but real-world implementation often reveals limitations. Focus on tools with proven integration track records with Indian payment gateways and banking systems rather than impressive integration counts.
Frequently Asked Questions
What is the best invoicing software for small businesses in India?
ProfitBooks offers the best overall balance of features, GST compliance, and usability for most Indian small businesses, with strong inventory management and team collaboration features.
Does invoicing software in India support GST and e-invoicing?
Yes, all reputable invoicing software designed for the Indian market supports GST compliance and e-invoicing. Tools like TallyPrime,myBillBook, and ProfitBooks provide comprehensive GST features with regular regulatory updates.
Can I manage inventory along with invoicing in these software?
Most modern invoicing software includes integrated inventory management with real-time stock tracking, low-stock alerts, and automatic updates when invoices are generated. ProfitBooks, Vyapar, and Swipe offer particularly strong inventory features.
Are there free invoicing software options available in India?
Yes, both Refrens and ProfitBooks offer functional free tiers, while Swipe provides basic features at no cost. These free options include essential invoicing and basic inventory management suitable for startups and small operations.
How secure is my business data with these invoicing software?
Reputable providers use industry-standard encryption, regular backups, and secure data centers. However, verify specific security certifications and data residency policies, especially for sensitive business information.
Which is the best invoicing software in India for startups?
For startups, ProfitBooks stands out because it combines invoicing, GST compliance, and inventory management in a user-friendly way.
Can I customize invoice templates to match my brand?
Most platforms offer customizable templates with logo upload, color schemes, and field modifications. Refrens and ProfitBooks provide particularly flexible customization options for professional branding.
Do these software support multiple users or team collaboration?
Yes, most solutions offer multi-user access with role-based permissions. ProfitBooks and TallyPrime provide comprehensive user management, while simpler tools like Vyapar offer basic multi-user functionality.
How easy is it to switch from Excel or manual invoicing to software?
Modern invoicing software typically includes data import tools and templates to ease transition. The learning curve varies from minimal (Swipe, Vyapar) to moderate (TallyPrime) depending on feature complexity.
Can I integrate payment gateways for faster collections?
All major invoicing software support integration with Indian payment gateways including Razorpay, PayU, and UPI systems. This integration significantly improves payment collection rates and reduces manual reconciliation work.
Which invoicing software is best for startups planning to scale?
ProfitBooks and TallyPrime offer the best scalability with comprehensive feature sets, multi-user support, and advanced reporting. Consider your growth timeline and complexity requirements when choosing between simplicity and comprehensive functionality.
Conclusion
If you’re running a small business or startup in India, choosing the best invoicing software in India comes down to three key factors: current complexity needs, growth timeline, and team capabilities.
For most startups and growing SMEs: ProfitBooks offers the sweet spot of functionality without overwhelming complexity. Its inventory management works well across multiple locations, and the team collaboration features grow with your business.
For micro-businesses and local retailers: Vyapar’s offline capabilities and straightforward GST billing make it ideal, especially if internet connectivity varies in your area.
For budget-conscious freelancers and consultants: Refrens provides genuine value with its functional free tier and professional invoice presentation.
For established businesses with complex needs: TallyPrime remains the comprehensive choice when accounting depth and regulatory compliance take priority over ease of use.
The key is matching the tool to your actual needs today while ensuring it won’t become a bottleneck as you grow. Don’t get swayed by feature lists—focus on what you’ll actually use and how well it integrates with your existing workflows.
Running a business is challenging enough without fighting your invoicing software. Choose one that makes billing and inventory tracking feel effortless, and spend your energy on what actually grows your business.
Want to see how streamlined invoicing and inventory management can transform your daily operations? Try ProfitBooks free and experience the difference when your financial tools actually work for you instead of against you.
About the Author: CA Mohnish Katre is a practicing Chartered Accountant and co-founder of ProfitBooks. He has helped over 500 small businesses transition from manual accounting to digital solutions. His expertise spans GST compliance, business automation, and financial management for SMEs.
