The 6 Best Small Business Management Software in 2025

Finding the perfect solution to all your pains is a constant struggle. Every small business owner wants to enhance their productivity and simplify their workload. That’s where business management software comes in. There are plenty on the market that address employers’ daily struggles and help alleviate their workload. To keep up with competitors in 2025, it’s vital that employers invest in a small business management software to keep their productivity and efficiency levels high.

Running a business is no easy feat. You’re juggling a million things every day, so we’ve made it easy for you and created a list of the top 5 small business management software solutions. This guide will help you determine which solution fits your company’s needs. Read more to learn how you can simplify your business processes, manage your team better, and choose the best software for your team.

What is Business Management?

Business management software (BMS) increases a team’s productivity level by automating and centralizing core business processes. From eliminating the need for manual data entry to artificial intelligence features, BMSs are a unified platform to reduce your team’s workload. Moreover, these platforms include features for time tracking employee hours, project and task management, and general employee management. BMS for small businesses allows HR professionals and employers to gain more visibility into their spending, employees’ performances, and overall business status.

Small BMS Comparison Chart

Key Features of Small Business Management Software (BMS)

The best business management software solution will offer a robust selection of features. Some features to take into consideration while browsing through software selection are:

• Document management: A centralized storage system with the ability to send documents in bulk and request e-signatures.
• Mobile app: Stay in the loop wherever you are.
• Task tracking: Monitor progress and assign tasks to your team.
• Project Hub: Execute projects and centralize all communication, expenses, and hours associated with each project
• Workforce management: From conducting performance reviews to upskilling your team with training courses.
• Real-Time Reports: Generate reports for real-time data to make smarter decisions.

These features make it ideal for companies looking for a singular platform to assist them in sales, marketing, back office tasks, and general management. Business management suites were built to replace the need to use multiple tools. Allowing users to rely on one system for all their business needs. Additionally, implementing the right tool can simplify your tech stack and eliminate unnecessary costs due to several subscriptions.

5 Benefits of a Small Business Management Software

As technology is advancing and transforming the way businesses operate, it’s time to consider the tangible benefits a BMS can provide you. As there are several benefits of using a BMS, let’s focus on these 5 essential benefits:

1. Compliance

Utilizing software for your business management helps you stay compliant with local and national employment laws. With their document storage system, you have a digitalized record of your employee hours, payslips, recorded overtime, and more. In the event of an audit, you will be fully prepared to provide the necessary documentation. Moreover, you can set alerts and reminders to prevent compliance misses, including performance reviews, renewing certifications, and completing mandatory courses.

2. Automation & customization

Business management software saves you time by automating complex workflows and eliminating the need to complete repetitive, manual work. You can even customize different workflows to fit your business needs. Additionally, you can automatically sync different aspects of your business to save you time, such as employee hours and payroll. Some platforms include more advanced features like AI. Which can help you plan projects, find documents quickly, or create reports to gain deeper insights into your operations.

3. Increased productivity levels

Using a BMS enhances communication, reduces errors, and simplifies complex workflows. These platforms eliminate the need for manual data entry by digitizing and automating core processes. With everything centralized in one place, you can improve project management by viewing all projects, tasks, and related expenses in real time. This gives you a clearer overview of your business, from tasks and budgets to employee hours, enabling better decision-making and increased productivity.

4. Business Overviews

Generate reports to see a complete overview of your small business so you can make more informed decisions. Whether it’s about budget cuts, scheduling employee shifts, or tracking time spent on projects, you’ll have data to support your decisions. And the tools to help make changes happen. With everything centralized in a single platform, you’ll be able to act accordingly to support your small business.

5. Alignment

When you don’t have to switch between different platforms, it’s easier to keep everyone informed. Your team communicates more effectively and stays up to date with the latest company information. Additionally, announcing changes or key objectives becomes much simpler, helping keep everyone aligned and working toward the same goals.

Top 6 Best Small Business Management Software

1. Factorial

The top business management software on the market is Factorial. This platform centralizes all core operations, including project management, internal communication, generating financial reports, and stores all your data in one platform. Moreover, it helps manage every aspect of the employee journey from recruiting to offboarding to help your business grow. Its platform is a powerful tool for small businesses looking to scale up, expand their international reach, and increase their team size. Factorial brings clarity and control to your day-to-day operations so you can focus on growing your people and your business.

• Artificial Intelligence: Factorial AI

Reduce your time-to-fill recruitment metric with Factorial AI. It filters and sorts through applications to match you with the best candidate quicker and more efficiently. That way, you save time and resources while finding the best-matched candidate. You’ll be able to fill critical roles and onboard your newcomers without worrying about causing any disruption in your daily business operations.

• Applicant Tracking System (ATS)

Factorial’s ATS is well-suited for all company sizes, including medium-sized businesses. You can publish your open positions on multiple job boards without ever having to leave Factorial. In addition, Factorial AI writes and edits your job descriptions so you can attract qualified candidates to apply. With Factorial’s ATS, all communication, interview notes, and resumes are centralized, making all feedback easily accessible.

• HR reports and analytics

Generate reports to understand your business needs in-depth. You can customize your reports and receive real-time data about your company’s expenses, turnover rate, and overall performance. From this information, you’ll be able to make adjustments to enhance your company’s productivity levels, employee satisfaction, and training methods.

• Performance management

Monitor your team’s performance and make informed decisions to support your team’s development while meeting company objectives. Hands-on leadership that provides practical and consistent feedback are less likely to experience high turnover rates in their teams. This means investing in your team’s skills and celebrating their wins – no matter how small.

• Time tracking, PTO requests, and shift management

Track employee hours, manage time off requests, and create schedules directly on Factorial’s platform or app. This allows managers and employees to have visibility into their worked hours, PTO balances, and future schedules.

See why Factorial is the best business software in the market in less than 2 minutes.

To summarize, Factorial’s robust and comprehensive platform facilitates collaboration easily, allows for customization, and helps you grow your business by focusing on growing your people. All your projects can be easily managed, from tasks and expenses to creating invoices within Factorial. Whether you’re using the desktop version or their mobile app, Factorial handles all of your business needs. Test it today by signing up for a free trial to give the best small business management software a try.

Pros

✅ It’s scalable, so it evolves as your team grows
✅ Affordable price point for all business sizes
✅ All-in-one platform that connects your core business operations (employee hours, shift management, finances, mobile apps, and so much more)

Cons

❌ Running payroll is through an integration

❌ Mobile app is limited

2. Sage

Sage’s enterprise business management software allows teams to gain real-time data on their finances and HR processes. It gives teams a snapshot view of their core business processes, from employee absences to payroll details. Its platform lets you create customizable dashboards to have complete visibility into everything from payroll to employee absences. Additionally, Sage supports multiple currencies and languages, which is valuable for global teams.

Key features:

• Project management: Connects finance, HR, and task tracking in one module to manage projects efficiently.
• Inventory management: Tracks and manages inventory operations.
• Analytics & reporting: Provides comprehensive and custom reports for your key business metrics.

Pros

✅ Suitable for medium-sized businesses
✅ Robust features for manufacturing companies
✅ Centralized platform that connects finance, HR, sales, CRM, marketing, and operations

Cons

❌ Advanced features that aren’t necessary for small businesses

❌ High cost point
❌ Implementation is a lengthy process

Connecteam

Connecteam was designed to reduce the reliance on paper and multiple tools. It has shift scheduling, time tracking, employee training, and project management capabilities so you can run your business efficiently. With Connecteam, you can create automated workflows that boost your team’s productivity levels and reduce their workload. There’s chat support and a knowledge base to assist your throughout your everyday usage of the software.

Pros

✅ Mobile first design so it’s ideal for workers who don’t work at a desk
✅ Easy to navigate
✅ Provides a complete view of your business

Cons

❌ Limited integrations

❌ You must pay extra to access all their tools

❌ Limited desktop capabilities

Zoho One

Zoho One is a robust business management software solution that integrates with more than 45 applications so you can run your business from one tool. You can create financial reports, manage HR processes, and automate onboarding tasks. This platform gives organizations the tools to enhance their productivity levels to reach their business objectives. Its flexibility and scalability supports teams to have better communication and eliminate the need to juggle between multiple tools.

Pros

✅ Automated expense reporting from receipt capture to reimbursement

✅ Ability to add features

✅ Intuitive and easy to use

Cons

❌ Users report slow response time from the platform
❌ Limited customer support
❌ Unattractive interface

ClickUp

ClickUp is a powerful tool for boosting productivity by centralizing project management efforts. It allows you to manage every aspect of a project, from task assignments to timelines, ensuring smoother collaboration and improved communication. You can also automate repetitive tasks, track employee hours, and store important documents, all within one centralized platform. ClickUp offers a lot of flexibility; however, it lacks more robust features that is included in other BMSs.

Pros

✅ Robust automation settings, including recurring tasks, updates, notifications, etc.
✅ Built-in chat to improve collaboration
✅ Offers a free plan with basic features for small teams

Cons

❌ Users complain about receiving too many notifications and alerts

❌ The mobile app has limited features compared to the desktop version
❌ Requires assistance during the learning process

Odoo

Odoo is a top business management software for small businesses because it is an open-source platform. It was designed to be easily customizable and automate key tasks across teams. This platform handles everything from CRM to account management to essential HR processes. Odoo centralizes and simplifies your core workflows, including task management, in one, easy to use tool.

Pros

✅ Automate tasks & customize your workflows
✅ Modular platform so you can choose the features relevant to your needs
✅ Strong integrations with tools you are already using

Cons

❌ Some modules are not robust

❌ Interface isn’t intuitive meaning there’s a steep learning curve

Find the Right Business Management Software Solution

Choosing the right tool for your team can be a lengthy process. However, it is worth investing in time and money getting the software that fits your team’s needs best. Understand the areas of your daily workload where you can automate tasks and test platforms with their free trials before committing to one.

While some options are great tools for reporting and analytics, and others offer more advanced AI features, the goal is the same. To find a platform that eliminates tedious, manual work and automates core business operations. Factorial’s all in one business management software has everything you need to reduce company expenses, save time, and enhance overall efficiency.

Book a call with Factorial today for stress-free management ✅