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HR Software for Small Businesses

small business hr software

Small businesses should never underestimate the advantages of HR software. While larger organizations may have access to tools that cater more directly to them, platforms that support expansion should provide everything a small company requires for success.

GoCo provides an intuitive online human resources platform with automation tools for hiring and onboarding processes, with clients such as Comit Developers, Caliper Foods and Synstelien Community Services making use of GoCo’s services. Prices begin at $5 per employee monthly subscription fee.


If you are investing in an HR tool, look for one with robust payroll capabilities. That way, you can manage employee records, track timesheets and pay employees within one system – this will reduce errors while assuring compliance with labor laws.

BambooHR provides businesses with a flexible tool to use across departments, with applicant tracking systems, performance management tools and payroll services that are cost-effective and straightforward. Plus, its payroll services make payroll processing hassle-free!

Gusto is another outstanding option for small businesses, providing all essential HR functions in one central hub for easier tracking of employee progress and staying ahead of their competition. Plus, with add-ons like employee self service and electronic signature capabilities you can customize it specifically to meet your unique business needs.

Rippling offers more comprehensive HR solutions, an applicant tracking system, employee records management capabilities and professional employer organization services – with free tier access for new users as well as a 14-day trial trial.

Time Tracking

Time tracking software provides businesses with an HR software subcategory known as time tracking to keep an eye on how hourly employees’ work hours add up over time. Time tracking also can assist with budget allocation for projects, tracking work progress to ensure project objectives remain on schedule, and providing insight into employee time-use.

When selecting an SMB HR tool for your company, look for one with a comprehensive time-management feature set that includes digital timesheets, leave request processing and integration with one of the major calendar apps. Furthermore, look for one with at least some employee benefits management capabilities and payroll modules compatible with major accounting systems.

For SMB HR tools to be effective, they must be easy for employees to use while offering an expansive set of features at an economical cost. Most adopt a SaaS business model and charge monthly subscription fees; however, you may find some free alternatives with key capabilities.

The best HR tools for SMBs typically include features such as employee self-service portals, document e-signature capabilities and remote device setup support. Some also offer applicant tracking systems, training management tools and performance review capabilities. Gusto provides all-in-one payroll, benefits and time off management solutions on one platform – although larger companies might prefer different solutions.

Employee Self Service

By eliminating paper information and automating time-consuming tasks, your HR team will have more time for more important aspects of their job. For instance, using HR software programs for leave management and performance reviews will eliminate the need to manually process paperwork or maintain spreadsheets – saving your team valuable resources in terms of both time and efficiency.

As employee self-service (ESS) features differ by software, most employee self service (ESS) programs will allow employees to update their personal information, request vacation and sick days or make schedule changes; in some instances they’ll even let employees view and approve their paychecks prior to being sent out or update direct deposit/bank account information.

Most HR software vendors provide features designed to address the pain points faced by small business owners. Freshteam provides an all-in-one HR suite, including payroll and leave management as well as employee mobile app access. Deputy provides workforce planning and reporting tools to manage workforce compliance with labor laws easily and affordably – offering new users a one-month free trial of its system.

Gusto is another widely utilized solution for SMBs that features an extensive set of HR tools in its system, such as onboarding, time tracking, appraisals and an easy mobile app. Gusto also offers flexible pricing plans with forever-free plans available up to 10 employees.

Employee Engagement

Employee engagement is at the core of any successful business. Engaged employees have strong emotional and professional ties to their job, coworkers, and the mission of their employer – creating an engaged workforce more likely to work harder, be creative and go the extra mile for their employer.

Employers looking to create an engaged workplace need to prioritize employee wellbeing, communicate a clear mission and vision, offer development opportunities regularly, remain honest and transparent, act as sources of motivation, and ensure their HR processes support high employee engagement by offering a fast, simple, user-friendly interface for employees.

Small businesses may initially rely on spreadsheets to keep employee information and payroll accurate and manageable; however, as your business expands these tools can quickly become cumbersome and difficult to use. Small and midsize enterprises need an adaptable, scalable HR management software solution with intuitive features that automate as many HR functions as possible to free up more time for more pressing matters.

Bob (formerly HiBob) puts employee experience first with its features and design. The platform provides an intuitive employee self-service portal, performance review management, time off tracking and flexible access controls for various users. Furthermore, its unique Cases feature allows employees to ask HR related queries which will then be automatically routed to an agent for quick responses; additionally this tool also assists with compliance by simplifying filing of state, federal and local forms.

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