Managing a growing team presents new complexities for small businesses—especially in the HR department. But, with the right HR system, HR leaders can optimize scaling operations while supporting team member engagement and productivity.
This article will review some of the best HR software for small businesses, how they can support growth and what features to look for when you’re making your decision.
Disclaimer: The opinions expressed here are solely those of the author and do not necessarily reflect the views of the company. Prospective users are encouraged to conduct their own research to make the best decision for their organization.
What is HR software for small businesses?
HR software helps HR leaders at small businesses to manage key tasks like hiring, onboarding, payroll, and performance management—all in one place. These platforms save time, reduce errors, and support compliance with legal requirements.
Key features of HR software for small businesses
Focus on these key areas to ensure that your HR software meets your growing needs:
- Centralized HR data management: Store all data in one place for easy access and accurate record-keeping
- People analytics: Gain insights into workforce metrics to make informed, data-driven decisions
- Performance management tools: Set goals, track progress, and conduct performance reviews to support individual growth
- Time and attendance tracking: Automate time tracking and time-off requests to streamline payroll
- Self-service: Enable people to manage their own information to reduce the administrative load on HR
When should you start looking for HR software as a small business?
You may start looking for HR software when manually managing your HR processes is no longer feasible. If you’re spending too much time calculating payroll, struggling to track team member progress, or having trouble fielding time-off requests, it’s time to consider implementing HR software.
Using a flexible HR system early in your business’s growth can improve team productivity and prevent potential issues down the road.
Benefits of using small business HR software
Small business HR software offers many benefits that can make managing your team easier and more efficient.
Centralizes your data
HR software centralizes your people data in one secure location, eliminating the need to juggle multiple spreadsheets or paper files. This makes it easier to access, update, and manage essential information, from contact details to payroll records.
Saves time
HR leaders save valuable time by automating tasks including payroll processing, benefits administration, and time-off tracking. Automating work allows your team to focus on more strategic activities like implementing learning and development programs or driving DEI&B initiatives.
Streamlines processes
HR software streamlines critical HR processes, from absence management to performance reviews. Automated workflows ensure that tasks move smoothly from one stage to the next, reducing delays and keeping everyone on the same page.
This streamlined approach makes it easier to maintain consistency and efficiency across your HR operations—even as your small business scales.
Boosts employee engagement
Research shows that satisfied team members are 12 percent more productive than the average team member. Equipping your team with the right HR tools can improve employee engagement and your company culture.
Use HR software to implement consistent performance management reviews to encourage personal growth and development or employee recognition programs to highlight achievements and boost morale.
Engaged team members are more likely to stay motivated and contribute positively to the organization, leading to a better bottom line.
Best HR software for your small business
Ready to streamline your HR processes and boost efficiency? Let’s explore HR software options for your small business that can simplify tasks like payroll, time tracking, and employee management.
Disclaimer: The opinions expressed here are solely those of the author and do not necessarily reflect the views of the company. Prospective users are encouraged to conduct their own research to make the best decision for their organization.
HiBob
Small business leaders use HiBob’s HR software, Bob, to manage every aspect of the employee lifecycle from recruitment to retirement. With Bob’s user-friendly platform, you can drive team engagement and cultural initiatives–which is especially important for small businesses where every team member plays a critical role in day-to-day operations.
Bob can help streamline onboarding with custom workflows that make new joiners feel integrated and productive from day one. Performance management features support continuous growth to help people reach their full potential while driving the company forward. Bob’s social network-like interface encourages team members to stay connected, fostering collaboration and a positive work environment.
HR leaders rely on Bob to reduce admin fatigue, make data-based decisions, and allow them to focus on what truly matters—the people.
Key features:
- Core HR: Manage the employee lifecycle, from recruitment to retirement, in a single, streamlined platform
- Performance management: Empower managers to set goals, give feedback, and conduct performance reviews to drive team development
- Compensation management: Simplify salary reviews and reward teammates with flexible and transparent compensation plans
- Time and attendance: Track hours, attendance, and absences easily while ensuring compliance with local labor laws
- Payroll hub: Centralize and automate payroll processes by integrating with existing payroll systems
- Self-service: Team members can manage their personal information, request time off, and access important documents through a user-friendly portal
- Onboarding and offboarding: Create customized workflows that ensure a smooth transition for people joining or leaving the organization
- Time off management: Manage time off requests, approval workflows, and compliance, all in one place
- Global HR: Support global teams with localized features, ensuring compliance with regulations across different regions
- Surveys: Gather real-time team member feedback with customizable surveys to measure engagement and identify areas for improvement
- Reporting and analytics: Gain valuable insights into your workforce with detailed reports and analytics to make data-driven decisions
- Org chart: Visualize your company’s organizational structure and easily track changes
- Workflows: Automate repetitive HR tasks with custom workflows to streamline processes like hiring, onboarding, and approvals
- Integrations: Connect Bob with your existing tools and software to create a seamless, unified HR ecosystem
Pricing (as of publication date): HiBob pricing plans are crafted personally for HR leaders to match their needs. The flexible options let you get precisely what your HR team requires, from implementation to integrations. Learn about pricing options.
(The article includes platform features that reflect the information available as of the publication date.)
Use Bob to increase employee engagement, improve people team operations, and make data-based decisions for your business.
ADP
ADP combines HR and payroll into one platform. It helps organizations manage their HR tasks by streamlining payroll, onboarding, and compliance. Teams can use ADP’s system to access HR tools without a dedicated HR department.
Key features:
- Hiring and onboarding: Access tools for recruiting, posting jobs, and onboarding new joiners
- HR compliance: Stay compliant with changing labor regulations
- Time and attendance tracking: Automatically track hours and absences for payroll
- Self-service: Enable people to access their pay stubs, manage personal details, and request time off
Pricing (as of publication date): ADP pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the ADP website as of the publication date.)
BambooHR
BambooHR offers an HR software solution that handles HR tasks like recruitment, onboarding, and people management. It offers 49 built-in reports to uncover trends in team member behavior and is available in over 150 countries.
Key features:
- Time tracking and PTO management: Manage work hours and paid time off requests
- Self-service: Allow people to access and update their information, request time off, and view pay stubs
- Onboarding: Customize workflows to provide new hires with a transition into the company
- Performance management: Facilitate goal setting, feedback, and performance tracking
Pricing (as of publication date): BambooHR pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the BambooHR website as of the publication date.)
Deel
Deel is a global payroll software platform that offers HR tools for small businesses. Users can use Deel to manage both local and international team members. Deel places a large emphasis on small businesses expanding their workforce beyond borders while maintaining compliance with local regulations.
Key features:
- Onboarding tools: Streamline the onboarding process with automated workflows and digital document signing
- Global payroll: Manage payroll for team members and contractors in over 150 countries
- Compliance management: Ensure compliance with local laws and regulations
- Expense reimbursements: Streamline expense tracking and reimbursements for team members and contractors
Pricing (as of publication date):
- Deel HR: Free
- Deel Engage: $20/mo per person
(The article includes platform features and pricing information that reflect the information available on the Deel website as of the publication date.)
Gusto
Gusto offers an HR platform with automation tools for common HR tasks. It helps small businesses manage payroll, benefits, and talent management while maintaining compliance with tax and labor laws. Users can manage the entire employee lifecycle in one platform.
Key Features:
- Hiring and onboarding: Access job posting tools, applicant tracking, and customizable onboarding workflows
- Talent management: Access performance review tools, feedback surveys, and developmental resources
- Payroll processing: Automate payroll, tax filings, and compliance tasks
- Time tracking: Automatically calculates hours, paid time off (PTO), and holidays
Pricing (as of publication date):
- Simple: $40/mo plus $6/mo per person
- Plus: $60/mo plus $9/mo per person
- Premium: $135/mo plus $16.50/mo per person
(The article includes platform features and pricing information that reflect the information available on the Gusto website as of the publication date.)
Insightful
Insightful is a workforce analytics and productivity software with HR features for small businesses. It offers tools for tracking time, monitoring productivity, and managing workflows for remote or hybrid teams. The platform also provides insights into how people are performing.
Key features:
- Team monitoring: Gain insights into team member activities, including app and website usage
- Time and attendance tracking: Automatically track work hours and attendance
- Productivity analysis: Analyze trends in team performance
- Remote and hybrid team support: Monitor remote and hybrid teams by tracking their productivity and work habits
Pricing (as of publication date):
- Productivity Management: $8/mo per seat
- Time Tracking: $10/mo per seat
- Process Improvement: $15/mo per seat
- Enterprise Solutions: Pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the Insightful website as of the publication date.)
Insperity
Insperity is a full-service HR and professional employer organization (PEO) solution that allows small businesses to outsource payroll, benefits, compliance, and more. It can handle employee benefits management, talent management, and payroll. It also provides an additional HR support desk if issues arise.
Key features:
- Talent management: Receive support for recruiting, performance management, and training
- Benefits administration: Gain access to health insurance, dental, vision, and retirement plans
- Payroll and HR administration: Access comprehensive payroll processing, including tax filings and employment eligibility verification
- Risk management and compliance: Outsource compliance with federal, state, and local regulations
Pricing (as of publication date): Pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the Insperity website as of the publication date.)
Justworks
Justworks is another PEO that handles HR, payroll, and onboarding for small businesses. The platform offers a full suite of HR tools, allowing businesses to outsource administrative tasks. It can be useful for businesses without a dedicated HR team.
Key features:
- Payroll processing: Automate payroll, tax filings, and ensure compliance with local, state, and federal regulations
- Onboarding: Allow people to enter direct deposit information and select benefits plans
- Time and attendance tracking: Track hours, manage PTO requests, and integrate with payroll
- Self-service: Team members can manage their information, view pay stubs, and handle benefits
Pricing (as of publication date):
- Payroll: $8/mo per person + $50/month base fee
- PEO Basics: $59/mo per person
- PEO Plus: $109/mo per person
(The article includes platform features and pricing information that reflect the information available on the Justworks website as of the publication date.)
monday.com
monday.com is a versatile work operating system (Work OS) with added HR features to centralize all business operations on one platform. While primarily known for project management, monday.com enables users to streamline HR processes such as recruitment, onboarding, talent management, and performance tracking. Its flexibility allows small businesses to customize HR workflows.
Key features:
- Recruitment: Track job candidates and manage the entire recruitment process with dashboards and automation
- Onboarding: Automate processes for paperwork, training, and task assignments.
- Performance reviews: Manage performance evaluations with built-in tools to track goals, gather feedback, and measure progress
- Leave-request management: Allow people to submit vacation or leave requests directly through the platform
Pricing (as of publication date):
- Free: Free for up to two seats
- Basic: $12/mo per seat
- Standard: $14/mo per seat
- Pro: $24/mo per seat
- Enterprise: Pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the monday.com website as of the publication date.)
Papaya Global
Papaya Global provides a payroll platform with HR solutions for businesses managing a global workforce. This platform supports small HR teams in handling payroll and compliance. Papaya’s system integrates with existing HRIS systems.
Key features:
- Employer of Record (EOR): Hire and manage people internationally without needing to set up local entities
- Global payroll: Manage payroll for team members in over 160 countries
- Self-service portal: Allow your team to access their payslips, request time off, and manage benefits
- Compliance management: Ensure compliance with labor laws and regulations in all operating countries
Pricing (as of publication date): Workforce OS: $5/mo per person
(The article includes platform features and pricing information that reflect the information available on the Papaya Global website as of the publication date.)
Paychex
Paychex’s HR solution, Paychex Flex, simplifies payroll processing, tax filing, and benefit administration. It provides compliance features to help small businesses stay up-to-date with labor regulations regarding payroll and people data. Paychex can also track time and attendance to sync up with payroll processing functions.
Key features:
- Talent management: Manage recruitment, onboarding, and performance reviews with customizable workflows
- Time and attendance tracking: Integrate time tracking with payroll
- Payroll processing: Automate payroll and tax filings
- HR reporting and analytics: Generate reports to gain insights into your workforce
- Self-service: Allow people to access personal information, view pay stubs, and manage benefits
Pricing (as of publication date): Paychex pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the Paychex website as of the publication date.)
Personio
Personio is an HR software that simplifies and automates HR processes for 1 to 50 people. It focuses on talent acquisition, talent development, and compliance. Personio includes eight channels of educational content so users can learn about the platform.
Key features:
- Talent acquisition: Automate job postings and track candidates
- Performance and development: Enable continuous feedback, goal setting, and 360-degree performance reviews
- Training management: Track team member development
- Workflow automation: Automate repetitive HR tasks such as approvals, onboarding, and contract management
Pricing (as of publication date): Personio pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the Personio website as of the publication date.)
Rippling
Rippling is an HR software solution that combines HR, IT, and finance management. It handles HR processes such as payroll, onboarding, and benefits management while integrating IT features.
Key features:
- Onboarding automation: Automatically set up payroll, benefits, and apps for new hires
- Performance management: Manage goal setting and performance reviews for individual development
- Global payroll: Manage payroll for team members and contractors across multiple countries
- Self-service: Allow people to update their personal information and manage HR tasks like requesting PTO
Pricing (as of publication date): Rippling pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the Rippling website as of the publication date.)
TriNet (previously Zenefits)
Trinet HR offers a cloud-based HR platform that integrates multiple HR functions, such as talent management, benefits administration, payroll, and compliance. It also allows users to outsource HR tasks, which might be useful for smaller teams who don’t want to hire for these roles directly.
Key features:
- Onboarding and recruitment: Access customizable offer letters, background checks, and digital signatures
- Compensation management: Simplify salary reviews and compensation adjustments
- Time and scheduling: Track hours and manage scheduling
- Benefits administration: Manage benefits, including health insurance, 401(k) plans, and commuter benefits
Pricing (as of publication date): Zenefits pricing is not publicly available
(The article includes platform features and pricing information that reflect the information available on the Zenefits website as of the publication date.)
Zoho People
Zoho People is HR software that helps small businesses manage HR tasks such as time tracking, people management, and performance reviews. The platform offers automation tools to reduce time spent on time tracking, reviewing performance gaps, and managing training courses.
Key features:
- Onboarding and recruitment: Automate the process of sending offer letters, collecting documents, and guiding new hires through onboarding
- Time tracking and attendance: People can track their hours, request time off, and generate timesheets
- Performance management: Set goals, track progress, and run performance appraisals
- Self-service: Allows people to manage their own data, submit time-off requests, and access documents through a self-service portal
Pricing (as of publication date):
- Essential HR: $1.50/user/mo per user
- Professional: $2.50/user/mo per user
- Premium: $3.50/user/mo per user
- Enterprise: $5/user/mo per user
- People Plus: $10/user/mo per user
(The article includes platform features and pricing information that reflect the information available on the Zoho People website as of the publication date.)
More about HR software for small businesses
You may still have a few key questions before you make your final decision.
Which is the best HR software?
HiBob is a great HR software option–especially for small businesses. It allows leaders to automate manual tasks, reduce admin fatigue, and provide real-time insights into the workforce—all within a scalable platform that grows with your business.
This software helps HR leaders streamline tedious paperwork, enhance employee engagement, and provide actionable insights—all within a user-friendly platform.
Is it legal to run a company without HR?
Legally, you can operate a company without a formal HR department, but HR leaders provide incredible value by shaping company culture, driving engagement, and supporting growth.
Even without a dedicated HR team, you can use HR software to support stay compliance efforts by automating and tracking sensitive tasks like payroll, team member records, and regulatory requirements. This allows your business to meet legal standards without a dedicated HR team.
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What can I do if my company doesn’t have HR?
If your small business lacks a dedicated HR team, you can still manage key HR tasks by using HR software. These tools help you handle essential functions like payroll, time tracking, performance management, and compliance.
HR software allows you to keep your people organized and feeling positive without needing a full HR department.
Implement the best HR software for your small business
With the right HR software for your small business, you can reduce admin fatigue, automate tedious manual tasks, and embed your goals into every part of your people’s journeys.
For HR leaders looking for a platform that covers all your HR needs under one roof, consider Bob. HR leaders choose Bob for its flexible, user-friendly platform that helps keep team members engaged and motivated during all stages of business. Whether you’re managing onboarding, tracking performance, or building a strong company culture, iBob offers all the tools you need to succeed.
