Wave Brings Easy Accounting to Small Business

One of the largest barriers facing small business and freelancers is keeping track of invoicing, receipts, payroll and general accounting. This can be a problem because of the expense of the software and/or accounting firm. If you’re just getting started, you won’t want to invest in an expensive (and often outdated-looking) accounting suite, and Excel for data and Word for invoices will only go so far.

Now, along comes a service called Wave Apps – well, really it is just called Wave, but it is a collection of apps. The five services are designed to make life easier for the small business owner or freelancer.

What is Included?

web site

Wave consists of five applications — invoicing, accounting, payroll, personnel, and receipts — that should cover pretty much all of the accounting needs of most users. Plus it all works online, with no software to download and clog up your computer.

Pricing is (mostly) free, but if you wish to use the service for payroll, then it will run you $5 per employee per month. The other apps will not impact your wallet.

Getting Started

Obviously you need to sign up for an account in which to save the information you will be adding. The usual email address and password are required. You can then enter a company name, type of business, organization type and currency. Once these are out of the way, you will whisked away to a dashboard screen.

Now that you are signed up, you will receive a welcome email with some instructions and a link to connect your bank account, as well. This is not required,  but if you decide to do so, then the option is available anytime, not just at sign up. Let’s take a look through the app and see what it’ll offer your business.

The Dashboard

The dashboard will be your first stop and the means of your activity within Wave. Thankfully, it is not overly complicated or cluttered looking. In fact, it is simple to navigate!

dashboard

Across the top, customers will find options for Savings, Support and Account. There is also an option to switch between accounts, so that a customer can handle different businesses. The main window pane shows recent activity and also a financial snapshot, making it extremely easy to get quick information about where things stand with your finances.

Transactions

transactions

As the name implies, this screen allows the customer to keep track of basic financial information, such as income and expenses. It is broken down much like an online bank, with categories including date, description, amount, category and account. You have options for how many items to display on a page and also the ability to jump to whatever page you wish.

Invoices

This is where customers will bill those places they have done work for, as well as accept invoices from other companies and track all of this information.

invoices

You can click the “Accept Credit Cards” button to view options for adding a “Pay Now” button to your invoice, accept Visa, MasterCard or American Express and handle various accounting needs. You can also track dates, amounts, invoice numbers, status and more.

Bills

The Bills page functions in much the same way as Invoices does, with all of the same options, as well, including filtering, views and other information.

Receipts

Here is where things get interesting again. Receipts will allow you to get rid of the paper, and store this information right within Wave itself. You will need an Android or iPhone, but that encompasses a good portion of the population!

What receipts does is allow the customer to use the camera on their smartphone as a scanner, and enter in the receipts for business expenses and more.

receipts

Accounting

This is the nerve center of the operation. From here you can view all information, including assets, liabilities, expenses and more. You can also export data via Excel, CSV or PDF formats. You will also be able get an easy overview of account balances in countless different categories, such as accounts receivable, sales, various expenses and many more. Finally, you can view, add and edit transactions.

Reports

From this screen you will be able to pull up a number of different ways of looking at your data in new and unique ways. You’ll be able to see a balance sheet, check your account transactions and general ledger, see your income by customer or expense by vendor, and more. You’ll even have options for gain/loss on foreign currencies, and ways to see your aged receivables and payables. It digs deeper with its reports than most similar web services.

reports

The Final Score

Each of the pages has its own settings, allowing for some customization. It varies a bit for every one, but these are mostly simple things. Complexity is kept to a minimum throughout the service.

If you are a business of one, then this service is free — only Payroll is a paid option. That makes this a no-brainer for any small business, struggling to find accounting at a reasonable price.

The service integrates with Google Apps and information on how that works can be found here. You will also need to place a certain amount of trust in this company. After all you are feeding it all of your financial information and also linking it to your bank account. Security seems to pretty robust, based on my research. On the whole I found the entire service to extremely easy to set up and use and will continue to use it. That is perhaps the best recommendation of all.


Summary

Accounting apps for small business.

  • Wave  | 
  • Free  | 
  • Wave Accounting Inc
7
  • misterparker

    I recently discovered waveapps a couple months ago. I was trying to do my book keeping with mint.com. Everything else i tried always overcomplicated the interface and usability (xero, quickbooks online, & freeagent) – Waveapps was super simple to setup, use and easy to keep on top of. Definitely recommend it to any one-man freelancer out there.

  • elad

    This app looks great! I’ve got a couple of questions, though:

    - Alan, The review seems very positive overall, so why did the service got only 7 out of 10?

    - Could Wave be used to manage personal finances as well?

    • Gabriel Pelletier

      Two interesting points you’re bringing up elad.

      While the review didn’t seem to have had any problems, I found some users seem to be missing transactions when comparing it to their bank’s monthly reports. Though it seems to be pretty robust, the main point here is that you should still look at every transaction to make sure everything is in order.

      That being said, I also wonder why the app received a 7 out of 10. I guess the lack of some fonctions (even though it has more than the average competitor) should still give it a 8 or maybe even a 9. Any explanations?

      As for the personal finances, Wave does offer a personal pane in the same account, which is actually really useful for freelancers as you can split some transactions in case you bought some business things at the same time as you bought personal stuff.

      Of course, I don’t think it’s faire to compare waveapps to Xero and such, as they are much more robust accounting solution. That being said, for the few time I’ve spent in Wave (about 3 weeks), it’s a joy to use. The only missing feature, in my opinion, is the possibility to add custom categories, though I suspect it might be a feature request.

      • elad

        Thanks for the detailed answer Gabriel!

        I agree with you about the app’s score – without any obvious flaws and so many praises, you would expect to see at least 8 or 9, especially given their unbeatable pricing model :)

        Regarding my 2nd questions, by “personal” I was referring more to day-to-day finances, as opposed to business finances. For example: can I open an account and share it with my wife in order to manage our household finances?

      • Gabriel Pelletier

        Sadly, Wave’s website doesn’t show much of the interface, but this section should help you: https://www.waveapps.com/personal/

        In a nutshell, yes you can. I guess it depends on how you manage your accounts. If you have a shared bank account with your wife, this should be as simple as importing those transactions and then both logging in (there’s no multi-user login, at least not that I know off) to see your transactions. The downside to this is that she would be able to switch to your professional account, which I guess isn’t that much of a problem in a couple, but it’s worth mentioning.

        You can also import multiple bank accounts in case you each have you own.

        Guess that clears things up for you. Also, I just stumbled on this old review from 2011, with Wave getting… a 9?! http://web.appstorm.net/reviews/finances-reviews/wave-accounting-bookkeeping-for-the-rest-of-us/

      • elad

        Interesting find! I wonder how Waveapps managed to lose those 2 points in the last couple years :)
        I opened an account and discovered that everything you said is true – and there is even multi-user support! (you can invite other users to view or even edit the account with you)
        Again, thanks for the info Gabriel.
        Cheers

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