What is Zoho Books?
Zoho Books is double-entry accounting software used through a web browser and mobile apps. Businesses use it to send quotes and invoices, record expenses and bills, connect bank and credit card feeds, reconcile transactions and produce financial statements such as profit and loss statements, balance sheets and cash flow reports. It records transactions in multiple currencies with automatic exchange rates, and owners can invite their accountant to work in the same books.
Localization is central to the product. Zoho sells separate editions for countries including India, the United States, the United Kingdom, Canada, Australia, Germany, France, Mexico, the United Arab Emirates and Saudi Arabia, each adapted to local requirements such as India’s goods and services tax (GST), value-added tax in Europe and the Gulf, and government electronic invoicing rules.
Zoho Books also covers operational tasks beyond the ledger. It tracks inventory and reorder points, logs project time and bills it to clients, runs recurring invoices and expenses, and gives customers and vendors self-service portals for approving quotes and paying online. Workflow rules automate reminders and approvals, and Zia, Zoho’s AI assistant, flags unusual transactions, helps with collections and answers questions about the books in plain language. The software connects directly to Zoho CRM and is included in Zoho One and Zoho’s Finance Plus bundle, and it competes with QuickBooks and Xero.
Key features of Zoho Books
- 01
Invoicing and quotes
Businesses create quotes, convert accepted quotes into invoices, schedule recurring invoices and send automatic payment reminders, using templates that carry their branding and local tax details.
- 02
Banking and reconciliation
Bank and credit card feeds import transactions automatically, matching rules suggest how to categorize them, and reconciliation tools check the books against account statements.
- 03
Local tax compliance
Country editions calculate and report taxes such as India’s GST and value-added tax in the UK, Europe and the Gulf, and they support electronic invoicing where governments require it.
- 04
Inventory tracking
Item records track stock levels and reorder points, so purchases and sales update inventory quantities and the related accounts at the same time.
- 05
Projects and time tracking
Teams log hours on timesheets against projects and bill clients for that time, keeping billable work and project profitability visible in the accounting records.
- 06
Client and vendor portals
Customers can view quotes and invoices, accept estimates and pay online through a self-service portal, while vendors use a separate portal to view and manage their bills.
- 07
Automation and Zia AI
Workflow rules trigger emails, field updates and approvals, and Zia detects unusual transactions, helps chase overdue payments and answers questions about financial data in plain language.
- 08
Multi-currency accounting
Transactions can be recorded in foreign currencies, with exchange rates fetched automatically so that reports and balances are shown in the business’s base currency.
Who uses Zoho Books?
- Freelancers and very small businesses use the free plan to send invoices, record expenses and keep basic books.
- Small businesses in India use the country edition to issue GST-compliant invoices and file their GST returns.
- Companies already running Zoho CRM connect sales and accounting so that won deals become invoices without re-entering data.
- Accountants work directly in their clients’ books to reconcile accounts, review reports and prepare figures for tax filings.
- Consulting and other service firms track billable hours by project and invoice clients for the time.
History of Zoho Books
Zoho launched Zoho Books in 2011 as online accounting software for small businesses, joining a finance lineup that already included the Zoho Invoice billing app, which the company introduced in 2008. Like Zoho’s other applications, it was sold as a subscription service that runs in a web browser.
Over its first decade Zoho added mobile apps, inventory, projects, customer and vendor portals and bank connections, and it built country editions for markets in Asia, Europe, the Middle East and the Americas, adapting the product to rules such as India’s GST. Zoho marked the product’s tenth anniversary in 2021. In 2024 the company named Zoho Books one of the main drivers of its revenue growth in India and one of its fastest-growing products by number of customers, and it has since added Zia AI features for anomaly detection, collections and plain-language questions.
Zoho Books pricing
Pricing modelFreemium
Free plan for very small businesses under a revenue threshold; paid plans add users, features and automation, with extra users and services sold as add-ons and prices set by country.
Prices change often. Check the official Zoho Books website for current plans.
Zoho Books alternatives
Profiled on SoftwareLore:
Also considerXero, FreshBooks, Wave, Sage Accounting and TallyPrime
Zoho Books: frequently asked questions
Who makes Zoho Books?
Zoho Books is made by Zoho Corporation, the Chennai, India-based software company that also develops Zoho CRM, Zoho One and Zoho Mail. Zoho launched Zoho Books in 2011, and it is part of Zoho’s finance applications alongside products such as Zoho Invoice, Zoho Inventory and Zoho Expense.
What is Zoho Books used for?
Zoho Books is used for small-business accounting. Companies use it to send quotes and invoices, record bills and expenses, reconcile bank accounts, track inventory and billable time, manage sales tax, VAT or GST, and produce financial reports such as profit and loss statements and balance sheets.
Is Zoho Books free?
Zoho Books has a free plan for very small businesses whose annual revenue stays below a set threshold, with one user plus an accountant and annual caps on invoices and expenses. Businesses that outgrow those limits, or that need more users, automation and advanced features, move to paid plans.
When was Zoho Books released?
Zoho Books was released in 2011. Zoho celebrated the product’s tenth anniversary in 2021, by which time it had added inventory, project, banking and country-specific tax features, and it has since added AI features through Zoho’s Zia assistant.
Does Zoho Books work with Zoho CRM?
Yes. Zoho Books connects directly to Zoho CRM, so customer and deal information from the CRM can be used to create quotes and invoices without entering it twice. Both applications are also included in Zoho One, Zoho’s suite of business apps sold under a single license.
Sources
- Zoho Books zoho.com
- Zoho Books pricing (United States) zoho.com
- Celebrating 10 years of Zoho Books, 2011 through 2021 zoho.com
- Zoho Corporation, Wikipedia en.wikipedia.org
Last reviewed . Spotted an error? Send a correction.