Best Accounting Software for Medium-Sized Business in 2025

Accounting software solutions for medium sized business factor in the need to scale. Mid-sized companies can grow into enterprises down the road. So, too, must their accounting software adapt to more complex accounting.

You have several best accounting software for medium sized business to choose from. But before picking one, consider going over our guide below, which introduces you to the unique accounting needs of mid-sized companies. That way, you get to choose the most-fitting accounting software for medium sized business.

Once you have familiarized yourself with the features, types, and benefits of accounting software, it is time to shortlist the products. 

The best way to find out the best product for you is to try it first without commitment. We recommend that you opt for the free trial or demo offered by the top accounting software solutions on our list. They have been preselected as ideal for medium sized businesses: FreshBooks, NetSuite ERP, AvidXchange, Rossum, and Zoho Books.

From there, you can try other products and benchmark them against the top solutions. You will end up with the most cost-effective plan and one that adjusts to your requirements, not the other way around.

Accounting software for medium sized businesses takes into account scale and flexibility in terms of users, feature set, pricing and other factors. With more complex operations and number of employees than small businesses (around 50-20), mid-sized companies can grow into a full enterprise—or shrink back to their small business roots.

Looking into the future, medium-size business accounting may require a lightweight app or an enterprise suite, depending on the business’ trajectory.

That said, the best accounting software for medium-size businesses provide across-the-board plans, from lightweight feature sets to even ERP solutions. They also offer modules that can be added to or taken off a core plan.

FreshBooks. A cloud accounting app with scalable core accounting features. These include online invoicing, expense tracking, projects, balance sheet, Profit & Loss, and custom financial reports.

NetSuite ERP. Suitable for mid-sized companies with advanced requirements. It includes features that go beyond but are essential to accounting, such as HCM, revenue recognition, shipping & fulfillment, and payroll.

AvidXchange. Ideal for small, medium, and large companies, AvidXchange features an end-to-end invoice solution. Key features include spend management, accounts payable, accounts receivable, General Ledger, purchase order, and cash management.

Rossum. It is designed for medium and large enterprises with document management focus. The software features cognitive data capture, audit trails, analytics & reporting, and ERP integration.

Zoho Books. A flexible accounting software that scales from small business to enterprise accounting. A suitable plan for medium-size businesses includes 500 contacts, vendor credits, purchase approval, multi-language invoicing, client portal, and tax management, on top of basic accounting features.

QuickBooks Enterprise. It provides a suite of accounting and ERP features for a wide range of industries such as manufacturing, wholesale, and construction. Advanced tools include multi-device support, advanced reporting, and enhanced payroll.

Accounting software solutions are generally classified by business size. Because of the wide disparity in the needs of medium-sized companies, they are wise to check both small business and enterprise solutions.

• Freemiums – Not to be confused with a free trial, a freemium accounting app is free forever, albeit the features are significantly limited. These are ideal for freelancers and micro-businesses.
• Small business accounting software – They often include the core accounting functions with an option to add more features or modules for advanced features, such as payroll, ERP and inventory management.
• Enterprise accounting software – They are end-to-end solutions, encompassing the entire range of financial management. From invoicing to payroll and order fulfillment to tax management, these platforms are usually priced by quote for a custom-fit plan.

We can say the key accounting software features for mid-sized businesses run the gamut of small business and enterprise accounting needs. That means having the core accounting tools and a suite of add-ons for more complex financial management. 

• Core Accounting. This may include any or all of the following: invoicing, expense tracking, quotes & estimates, accounts receivable, and accounts payable. 
• Invoicing or Payment Management. Although a part of core accounting, this module is often provided by vendors for more complex payment transactions. The more advanced solutions include analytics and several payment options, including online and points-of-sale, and are flexible to a variety of billing models. 
• General Ledger. This is the record-keeping module where you gain visibility over your financial data. Your credit-debit account records, as well as audit trails, are kept here to keep track of your finances. 
• Cash Management. This may be a separate module or is integrated with the General Ledger. It helps you monitor cash flow, bank accounts, your cash position, and, generally, your money flows.
• Fixed Asset Management. This helps you keep track of the lifecycle of depreciating and non-depreciating assets. This module is most useful to medium enterprises with multiple facilities, allowing them to have a single location to account for all assets.
• Tax Management. As your business grows, so do your tax requirements. The module can be configured usually to adapt to global, national, and local taxes where you conduct business, such as general sales tax, consumption tax, GST, and VAT. It is a key tool to ensure tax compliance of your company and its subsidiaries, providing you with line-item details in real-time. 
• Add-Ons. As your business grows, your accounting requirements get complicated. You may need to add more features, such as the following:
  • Double-entry accounting
  • Purchase orders
  • Payroll
  • ERP
  • Business intelligence
  • Budget & Forecasting

Other Factors to Consider. You also need to look into these non-core features; they will require bumping up as mid-sized companies transition to large enterprise:

• Dedicated support
• Bank-grade security protocols
• More users, third-party access
• More advanced permission controls
• Custom options for branding, workflows, and reporting

Accounting software for medium sized business is a key driver of productivity, efficiency and transparency. Here are some of its major benefits:

• Efficiency. Mid-sized businesses will find their accounting process streamlined by automation. Workflows for recurring billing, double-entries, expense capture, reporting, taxation, and other bookkeeping tasks can now be put on automode, freeing you up to focus on strategy and insights.
• Accuracy. When workflows are automated and reminders are set, you avoid manual errors like duplicate entries, missed payments, unaccounted expenses and uncollected receivables. The result is more accurate and accounted financials, resulting in healthier cash flow.
• Savings. You cut on time and costs. For instance, hours that you usually put into manual bookkeeping are freed up once you use automation. This is time that can be reallocated to productive use elsewhere.
• Transparency. Accounting software lets you gain visibility over your money flows and transactions. Audit trails can surface irregularities, thus protecting your finances. You can use quick lookups for a broad perspective of your financial management or drill down into details to investigate something.
• Data insights. Accounting software, especially the more advanced ones, sync your financial data such as sales, finance, operations and expenses. With a few clicks, you can generate reports that help you gain insights like forecasts, trends, and patterns, which help you develop smart strategies.
• Access anytime, anywhere. Most accounting solutions today are cloud-based, thus you can access your financial data wherever you have an internet connection. Moreover, many vendors add a mobile app to their plans, so you can simply open your records from the convenience of a smartphone

Accounting software and its users are sure to be impacted by the following trends:

• Blockchain. The technology is a game-changer in accounting as it will spawn digital ledgers of transactions. The double-entry system may be skipped with the blockchain transaction directly recorded on a ledger. Auditing will get smarter and faster with data more easily verifiable.
• AI. Automation may be a standard accounting software feature, but artificial intelligence will beef it up further with hyper-personalization, deep insights, and predictive actions. The result is not only having a faster workflow but a smarter one.
• Remote work. Remote work is made more feasible and secure with companies relying on cloud-based accounting software. Features are accessible via mobile, collaboration is possible between people in separate locations and capturing data is fast and accurate using mobile devices.
• Job role. As repetitive and manual bookkeeping tasks are automated by software, accountants will focus more on strategy, planning, and other specialized functions.

• Cost spills. Getting accounting software with little thought may cost you money down the road. They include recurring monthly costs for locked-in plans, which means you may be paying for unused features. You may also be paying for more users than necessary. Other costs to watch out for include additional devices, upgrades, hidden fees, and transactional charges.
• Incompatible legacy integration. Modern accounting software solutions can integrate smoothly with other modern business apps. But if you have a legacy or internal system that you are still dependent on, modern accounting software may fail to integrate. Having an API feature in your plan should mitigate this risk.
• Problematic scaling. A medium enterprise has a more fluid business process than a small or large company. Having a fixed accounting software plan may inhibit your ability to scale the features to match your growing accounting requirements.

Accounting software is generally deployed in two ways: on-premise and cloud.

• On-premise – The software is installed on your local server or computer. Usually, pricing is based on a one-time licensing fee and additional charges may apply for upgrades.
• Cloud-based – The vendor hosts the software while you access it via internet. Cloud-based apps can be entirely web-based, that is, you access it from a browser, or it includes a native app installed in your computer, which accesses the system and your data from the vendor’s cloud server via internet.

Accounting software comes in different pricing schemes, primarily in three models: one-time licensing, monthly subscription, and freemiums. Several factors affect pricing, the most common of which are the number. of users, feature set, customization options, white labeling and SLA.

• Freemium. The app is given for free, albeit with barebone features. This plan aims to hook potential paying users that the vendor hopes will be needing paid advanced features as they grow the business.
• Monthly. The most popular pricing scheme today, a monthly subscription is standard in SaaS solutions. You pay for the features as long as you use them. Often, you can scale the plan for more features. Several vendors offer discounts when the subscription is paid in full for a year.
• One-time license. Common to legacy systems and off-the-shelf on-premise solutions, this pricing model involves paying for a one-time license to use the product. Upgrades and tech support are normally excluded, thus this model is ideal for bigger companies—medium-size businesses included—with an in-house or retainer IT.