6 best HR software for 2024: a guide for small businesses

Today’s SMEs have more HR responsibilities than ever before, so here we review the top 6 small business HR software to help you find the best on the market.

Our experts

We are a team of writers, experimenters and researchers providing you with the best advice with zero bias or partiality.
Written and reviewed by:
Helena Young
Robyn Summers-Emler Grow Online Editor

Startups.co.uk is reader supported – we may earn a commission from our recommendations, at no extra cost to you and without impacting our editorial impartiality.

With the turn of the financial year fast approaching, now is the best time to set up or switch HR software. On this page, we’ll highlight the pros, cons and prices of the six best HR software tools, backed by our extensive experience in the sector.

According to our independent research, the best HR software for UK small businesses is Rippling. An all-in-one HR software, the attractive platform offers a slick user experience, and it provides a vast array of HR and IT functionalities. But out of all six, would it be the right choice for your business? Read on to find out.

If you’d like to save on time and get straight to finding the right system for you, use our 🔍free cost comparison tool to compare free provider quotes by answering a few simple questions. It’s free and easy, and tells us everything we need to work out which is the best HR software for your small business.

Best small business HR software for 2024

  1. Rippling – Best for user experience
  2. CitrusHR – Best for features
  3. Gusto – Best for payroll tools
  4. Deputy – Best for shift scheduling
  5. Zoho People – Best for affordability
  6. JazzHR – Best for recruitment

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An affordable HR information system starting at £5 per seat, per month, with a 14-day free trial available


A beautiful user-friendly and all-in-one solution, this platform has great value plans for HR teams who prioritise convenience and efficiency.


Great all-in-one HR solution with a gentle learning curve. CitrusHR is best for teams new to the technology and with more than eight employees


Small firms with a need for strong payroll tools – such as those with a lot of freelance staff – will find Gusto the best choice


Excellent scheduling features make Deputy the best staff management solution for industries with shift work, such as retail and hospitality


Budget-conscious SMEs, that are new to HR software, will find Zoho People an excellent, low-cost HR tool to get started with


JazzHR is a brilliant specialist tool for larger teams with over ten employees that want to improve their recruiting process

What is HR software?

HR software is a business tool used to plan, monitor, and implement your employment policies and processes.

It’s a digital toolkit that juggles everything from hiring to payroll, keeping records tidy and processes smooth. For small business owners wearing multiple hats, this software is a lifesaver, saving time, reducing errors, and offering insights to make informed decisions about their valuable team.

HR software allows you to streamline repetitive HR admin tasks, such as:

  • Evaluating employee performance and productivity
  • Organising shifts and rotas
  • Accepting leave requests and tracking sick leave or lateness
  • Applicant tracking and contacting during recruitment
  • Store materials like onboarding or training videos, and employee handbooks
  • Analysing employee data to improve HR decision-making

Being able to automate all of the above tasks makes HR software cost- and time-efficient for SMEs. It also ensures you are being fully compliant as an employer, drastically reducing the risks of pitfalls and fines from HMRC.

HRIS, HCMS, and HRMS: what's the difference?

The three types of software you need to know about in your own HR software journey are: HRIS, HCM, and HRMS. Because of their similarities, and the way some brands market themselves, it can be difficult to distinguish between the three.

  • Human Resource Information Systems (HRIS) focus on storing employee-related information. They tend to lack more advanced functions, like reporting or analytics and are typically foundational – meaning you can build them up with add-ons and other customisable elements.
  • Human Resource Management Systems (HRMS) are also known as Core HR, and are essentially a more comprehensive version than the latter, combining all functions into one integrated suite that you can use, as opposed to outsourcing your HR.
  • Like HRMS, Human Capital Management Systems (HCMS) have enough functions to manage the entire lifecycle of an employee. However, they tend not to include payroll tools – and are instead used alongside third-party accounting software.

Each system has its own nuances and strengths, so understanding their differences can help in choosing the right software for specific HR needs.

The top 6 HR software solutions for small businesses

Below is our list of the best HR software solutions, according to our in-depth analysis. In this section we’re going to provide you with review summaries plus helpful advice and tips to assist your decision.

1. Rippling: best for user experience

4.7 out of 5
  • Ease of use
  • Pricing
  • Collaboration features
Rippling pros
  • Rippling boasts a visually pleasing and intuitive interface, enhancing user satisfaction across its comprehensive suite of HR and IT tools.
  • With an all-in-one approach for HR, payroll, benefits, and IT management, Rippling provides a wide array of functionalities under a unified platform.
  • The platform stands out with its global payroll system and comprehensive benefits administration, ideal for businesses operating internationally.
Rippling cons
  • Due to its extensive features, Rippling has a steeper learning curve for users to familiarise themselves with the platform.
  • While comprehensive, the richness of Rippling's features might overwhelm businesses seeking simpler, more streamlined solutions.
  • Compared to some competitors, Rippling's pricing is more expensive, impacting budget-conscious businesses.

Rippling is an all-in-one HR platform designed to simplify and streamline HR and IT processes for businesses.

Its HR platform stands out not only for its comprehensive features, but also for delivering an exceptional user experience (UX). Beyond offering all the tools necessary for HR, payroll, benefits, and IT management, Rippling ensures a seamless and aesthetically pleasing user interface. This emphasis on a beautiful UX enhances the overall user satisfaction, making the platform not just functional but a pleasure to navigate and use.

They definitely win top marks for one of the most beautiful, simple and engaging UX designs of any HR software, but they also have a comprehensive suite of all the features you’d expect from a quality HR software provider.

A screenshot of Rippling’s dashboard

Rippling features

  • Global payroll: pay employees and contractors in minutes with a modern payroll system that has a 100% accuracy guarantee.
  • Manage employee benefits: from private medical to workplace pension plans in one integrated system.
  • Time and attendance: hourly employees can easily clock in and out, and their hours automatically sync.
  • Learning management: streamline employee training – from harassment to security training.
  • Employment: hire, pay and manage employees and contractors globally (with the ability to configure specifically by country).
  • Payroll: pay employees and contractors in minutes with a modern payroll system that has a 100% accuracy guarantee.

One potential downside of using Rippling is the fact that it comes with a steep learning curve due to its extensive range of integrated features, which might require a bit more time for users to familiarise themselves with. In comparison, Gusto offers a more streamlined and intuitive user experience, particularly in terms of payroll management, making it a potentially more user-friendly option for businesses seeking a quicker learning curve and a simpler interface for payroll-related tasks.

Rippling pricing

Pricing starts from £7 per month per user.


Rippling is a beautiful, user-friendly all in one solution for HR teams who prioritise convenience and efficiency.

See how Rippling could work for your small business.

2. CitrusHR: best for features

4.6 out of 5
  • Ease of use
  • Price
  • Features
CitrusHR pros
  • CitrusHR offers a comprehensive suite of HR tools, covering essential functions for managing personnel.
  • Access to professional HR support is available, offering guidance and ready-made HR policies, ensuring comprehensive assistance when needed.
  • With plans starting at £2.50 per user, CitrusHR provides cost-effective solutions suitable for small businesses seeking extensive HR management capabilities.
Citrus HR cons
  • Occasional issues with reported leave balances have been reported, impacting the reliability of leave tracking for certain users.
  • The platform demands a minimum of eight users for its basic plan, potentially posing a challenge for very small teams or startups.
  • While offering third-party integrations, CitrusHR's scope is limited compared to other platforms, offering less compatibility with other software.

CitrusHR is an easy-to-use HRMS software tool with a strong all-round set of features. It is most suited to businesses with more than eight employees that may be light on existing business software and want an all-in-one HR solution.

CitrusHR’s highest payment plan (HR Support Service) also offers excellent customer service support from HR professionals for those occasions where you might need advice on more serious issues. This form of HR outsourcing provides a number of ready-made HR policies – a reassuring and unique selling point.

A screenshot of Citrus HR’s dashboard

CitrusHR features

CitrusHR has a wide range of features with all of the core essentials covered. Its lowest-tiered plan, HR software-only provides:

  • Activity dashboard: see all your activity in a centralised platform in real-time.
  • Benefits management: manage all employees benefits in a convenient way
  • Payroll management: pay your employees quickly and efficiently
  • Third-party integrations: compatibility with a range of complimentary software
  • Onboarding: make onboarding easier for both you and your new recruit
  • Learning and development: add learning patheays to help with onboarding and offboarding
  • Recruitment management: oversee the recruitment process from start from finish

User feedback on CitrusHR’s annual leave monitoring has highlighted occasional glitches, impacting reported leave balances for certain users—an aspect where Zoho People emerges as a stronger alternative, offering more robust and accurate leave tracking functionalities, providing greater reliability for businesses managing employee time off.

CitrusHR pricing

CitrusHR’s pricing is split into two payment plans. HR Software Only costs £2.50 per user and there is a minimum cost of £20 per month, which works out to a required eight users per month.

You’ll need to purchase HR Support Service for access to the Citrus support team, which costs an initial flat charge of £50 per month – plus £7 per employee.

HR Software OnlyHR Support Service
Price per month, per employee £2.50£7 per employee (+£50 flat rate)
UsersMinimum of eightUnlimited


CitrusHR’s simple interface and powerful list of tools make it a great all-in-one HR software solution for small businesses with more than eight team members.

3. Gusto: best for payroll tools

4.3 out of 5
  • Ease of use
  • Price
  • Features
Gusto pros
  • Gusto excels in providing accurate and sophisticated payroll features, ensuring compliance and security.
  • Multiple support options and guided setup assist users in navigating the platform, especially during the onboarding phase.
  • Gusto offers unlimited payrolls for any payment tier, accommodating businesses with varying payroll needs without additional limitations.
Gusto cons
  • The absence of a mobile app limits the flexibility of managing payrolls remotely or on-the-go.
  • The pricing structure, especially for additional features in higher tiers, will pose higher costs for businesses as their employee count increases.
  • Gusto has limitations in integrating with third-party payroll platforms, potentially impacting payroll management for businesses with diverse geographical locations.

It may be one of the newest HR software brands on the market, but when it comes to payroll tools, Gusto has firmly cemented itself as a favourite among small businesses.

This HRMS provides accurate and compliant payroll software with top-notch security features. In terms of customer service, Gusto also performs well, providing phone, email and live chat support options. The platform walks you through the onerous task of payroll setup – helping you to avoid the common errors that can plague SMEs.

A screenshot of Gusto’s dashboard

Gusto features

Gusto scores highest for remuneration tools, with unlimited payrolls for any payment tier. The platform also boasts sophisticated paysheet add-ons like multiple pay schedules, allowing you customisable payment terms to send wages to your employees. Plus, Gusto also has good functionality for other HR areas.

  • Unlimited payrolls – Create as many as you want with no limitations
  • Two-day direct deposit – Get money into your account faster
  • Time-off tracker and reporting – Get in-depth analysis regarding time off to use however you wish
  • Accounting integrations – Integrate seamlessly with software such as Freshbooks and Quickbooks
  • Health benefits administration – Manage all the intricacies of your health benefits system
  • Employee onboarding – Onboard employees effectively

By far the most common criticism of Gusto by users is that it doesn’t have a mobile app – something to consider if you want to be able to manage your payrolls away from the desk.

While Gusto has faced criticism for lacking a mobile app, which may impact payroll management on the go, Rippling takes the lead with its robust mobile capabilities, offering a comprehensive mobile app.

This makes Rippling a preferred choice for businesses seeking the flexibility to manage HR and payroll tasks seamlessly from anywhere, addressing a key limitation observed in Gusto’s user experience.

Gusto pricing

Gusto has three pricing tiers available: Core, Complete or Concierge. Gusto Core costs £28 as a flat rate charge, plus £4.30 per added employee. This means that a company with 10 employees would spend £71 per month.

Gusto Complete is only marginally more expensive at £8.60 per extra employee. If you have the funds available, we think this higher-tiered plan is worth the added cost for small teams with fewer than ten employees. Added benefits include next-day direct deposits, automated payroll sync and employee time tracking.

Cost per month, billed annually£28 plus £4.30 per employee£28 plus £8.60 per employee£107.05 plus £8.60 per employee


Gusto’s payroll functionalities make it a great HR software for small businesses, especially for firms working with a lot of freelancers. For teams with fewer than 10 employees, we’d recommend Gusto Complete.

4. Deputy: best for shift scheduling

4.1 out of 5
  • Ease of use
  • Price
  • Features
Deputy pros
  • Easy-to-use timesheet and time clock software facilitates efficient shift scheduling and real-time updates.
  • Integrates with over 300 leading payroll and POS software brands, ensuring seamless integration into existing systems.
  • Offers reminders, reporting & statistics, automated scheduling, employee onboarding, and comprehensive payroll management in its Premium plan.
Deputy cons
  • Lacks core HR features, notably in performance management and recruitment.
  • May require additional third-party integrations for essential HR aspects beyond time tracking and management.
  • Even though its Scheduling and Time and Management plans are affordable at £1.50 per user, the most comprehensive features are in the Premium plan at £3 per user.

If you’re working in an on-site industry – such as retail, hospitality, events, and construction – it can feel like there aren’t many great software options for firms that aren’t office-based. That makes Deputy, a multi-award winning HCM system, the resolute winner for staff management. Its easy-to-use timesheet and time clock software allows for easy shift scheduling and real-time updates. Deputy also integrates with over 300 leading payroll and POS software brands, plus it has an iOS and Android app, so you can manage your staff and send updates from anywhere.

A screenshot of Deputy’s dashboard

Deputy features

Deputy’s features are centred on management and time tracking, where it easily outranks the rest of the field. That being said, it is lacking a lot of core HR features – particularly around performance management and recruitment. Compared to Zoho People, which offers a comprehensive suite encompassing performance evaluation and recruitment tools within its platform, Deputy might necessitate additional third-party integrations for these essential HR aspects.

The Deputy Premium plan has:

  • Reminders: reminders are always helpful!
  • Reporting & statistics: get up to date, accurate statistics on all the things you care about most
  • Automated scheduling: make your life easier by scheduling, automating and implementing important things in advance
  • Employee onboarding: onboard employees with ease
  • Payroll management: keep all the essential information regarding your employees payroll all in one place.

Deputy pricing

For affordability, Deputy scores highly at just £1.50 per user for its Scheduling plan or Time and Management plan (counted as any employee, administrator or supervisor that uses the software). However, to get the best out of Deputy, we would recommend the Premium plan. At just £3 per user, per month it combines all the features in the lower tiers for both time and scheduling – plus, as it offers unlimited users it’s suitable for teams of all sizes.

SchedulingTime and ManagementPremium Enterprise
Price per user, per month (billed monthly)£1.50£1.50£3 Contact sales
UsersMinimum of 7Minimum of 7Unlimited Unlimited


Deputy has excellent time and scheduling features, and is best suited to small businesses based in industries with a need for shift scheduling, such as retail and hospitality.

5. Zoho People: best for affordability

4 out of 5
  • Ease of use
  • Price
  • Features
Zoho People pros
  • Strong focus on core HR functions, excelling in hiring, onboarding, and performance management.
  • Offers a mobile app, workflow checklist and tasks, unlimited users, and an employee database in its Essential HR plan.
  • Extremely budget-friendly, starting from 83p per user, allowing for unlimited users and providing options to purchase employee profiles separately.
Zoho People cons
  • Underperforms in payroll integration, limited to Indian companies using Zoho Payroll, necessitating third-party integrations for comprehensive payroll management.
  • Advanced performance management tools are only available in higher-priced tiers.
  • While cheap, the Essential HR plan isn't suitable for a long-term use beyond just core features.

Part of the well-known suite of Zoho software products, Zoho People is an affordable cloud-based tool that serves as a great starting point for firms that are new to HR management software and want to trial a product without risking their budget.

Zoho People can be best described as an HRMS platform. Like many of the other brands featured in this list, the platform’s interface is structured using a centralised dashboard format, where users can find quick access to essential employee and company information. Users can drag-and-drop various widgets to customise their view, letting managers instantly see updates on everything from birthdays to timesheet reports.

A screenshot of Zoho People’s dashboard

Zoho People features

Zoho People has a strong focus on core functions, scoring exceptionally well in hiring and onboarding new employees. Training functions are also available including an online learning portal for blended learning, and discussion forums for employees to learn together. Performance management is another strong point for the platform. Work can be tracked using tools like goals and self-appraisals – although these advanced tools are only provided in the more expensive payment tiers.

Zoho’s Essential HR plan offers:

  • Holiday approvals – Make it easy for yourself to approve holidays and time off for your employees
  • An employee database – Host profiles for the most important details about your employees
  • Mobile app – Manage your business on the go with a convenient mobile app
  • Employee onboarding – Onboard new employees and equip them with all the information they need
  • Workflow checklist and tasks – Keep a tidy list of things needed to be done within your system
  • Unlimited users – You never have to worry about reaching your limit of profiles

The area of HR where Zoho People underperforms is payroll. Only companies based in India can integrate with the brand’s other platform, Zoho Payroll, meaning a third-party integration is necessary for paysheets and wage management.

In contrast, Gusto stands out for its inclusive payroll features, offering a user-friendly experience and comprehensive payroll management capabilities, making it a more versatile choice for businesses with diverse geographical locations and payroll needs.

Zoho People pricing

Zoho People is easily the most budget-friendly HR software in this list. Its lowest-priced payment tier costs just 83p per user – unusually generous given it allows for unlimited users. Handily, Zoho People is also the only top HR software on this list that allows you to buy employee profiles for just 25p per profile (defined as accounts that don’t need access to the system).

FreeEssential HRProfessionalPremiumEnterprise
Price per user, per month (billed annuallyFree83p£1.50£2.50£4
UsersUp to 5UnlimitedUnlimitedUnlimitedUnlimited


Zoho People is a great option for new starters looking to trial an HR software solution without overspending. For a long-term, cost-friendly solution, managers should choose the platform’s Professional plan to get more than just the core features.

6. JazzHR: best for recruitment

3.8 out of 5
  • Ease of use
  • Price
  • Features
Jazz HR pros
  • Specialises in recruitment and offers applicant tracking, application management, resume database and search, background screening, calendar management, and sync in its Hero plan.
  • User-friendly activity dashboard streamlines hiring processes, replacing manual procedures and integrating social media platforms for candidate sourcing.
  • Suitable for larger teams with more than ten employees, offering a flat-rate charge for unlimited users, potentially offering significant value for SMEs.
Jazz HR cons
  • Limited employee management capabilities beyond recruitment, lacking basic features like mass emailing.
  • Missing certain features that some users might require for comprehensive HR management.
  • Pricing is expensive for smaller teams, as seen with the Hero plan's £27.91 per month charge for SMEs.

According to the 2019 Work Institute Retention Report, 27% of workers leave their jobs voluntarily each year.

Hiring and attracting new talent is a major aspect of HR, and one where many small businesses waste a lot of resources – often outsourcing tasks to recruiters to save time. JazzHR is a great HRIS software option to maximise productivity in this area, functioning particularly well for larger teams with more than ten employees.

Structured around a user-friendly activity dashboard, this powerful tool replaces time-wasting manual hiring processes like spreadsheets. Its intuitive and customisable HR system helps recruiters and hiring managers to source qualified candidates more efficiently, by giving you a great range of features to design your own way of viewing employee data.

A screenshot of Jazz HR’s dashboard

Jazz HR features

Jazz HR’s features are designed to be added or removed, so you can pick and choose how complex you want your user experience to be. Social media integrations mean you can find and contact new talent leads easily using apps like Facebook and LinkedIn. The system also has a calendar where you can quickly view your day-to-day tasks, as well as tracking candidates through the interview process.

Its lowest-priced payment plan, JazzHR Hero, includes:

  •  Applicant tracking – keep your new applications organised by priority, preference etc
  •  Application management – allow your potential new employees to manage their CVS and applications on your platform
  •  Resume database – keep a collection of your employees resumes
  •  Resume search – search by topic, category, industry or keyword
  •  Background screening – screen for negative social footprints, prison records of potential new employees, etc.
  •  Calendar management – manage your calendar from the system
  •  Calendar sync – sync calendars from other software and applications

Given that JazzHR specialises in the recruitment and hiring processes, there are obvious limitations to its employee management capabilities. There are a few basic features missing, like mass emailing, that some users will require. We would suggest CitrusHR for those looking for an all-in-one system with more capabilities.

Jazz HR pricing

JazzHR’s pricing uses a flat rate charge for unlimited users, meaning it could be an expensive investment or an absolute steal, depending on your team size. For SMEs, the Hero plan offers the greatest value for money at £27.91 per month, billed annually. That works out at just £3.48 per user for a team of eight.

Price per month, billed annually£27.91£163.86£242.58


For teams wanting to focus on recruitment, and with more than ten employees, JazzHR is an easy-to-use and customisable system to streamline your business’ hiring process.

How does HR software work?

HR software tends to be cloud-based, otherwise known as Software-as-a-Service (SaaS). Depending on your business needs, you can choose a HR software that reflects a specialist people policy or procedure.

For instance, some brands offer an all-inclusive platform, while other systems such as an HRIS, applicant tracking system, or payroll software, provide more specific services. But they all fall under the umbrella of HR software.

What types of businesses should use HR software?

At the risk of sounding like Captain Obvious, any company with full-time employees would benefit from using HR software. Hosting all of your employee information in one place is smart idea. And, because it’s cloud-based, you don’t need to worry about making back-ups.

Even if you’re a small startup with only a handful of staff, don’t skip out on using HR software. It could save you a lot of pain in the long run.

SMEs may not need some of the more complex features of HR software, like analysing employee churn rate, but businesses of any size will benefit from its basic capabilities like record-keeping, attendance tracking, and arranging leave.

Of course, price will be an influencing factor. Thankfully, most HR brands now offer affordable payment plans for startups and small businesses, so you don’t need to worry about risking budget. In this article we’ve chosen HR software specifically pitched at SMEs, to give you an idea of how much you’d spend on each product.

HR software comparison – what features do they offer?

There are six features that are especially important to consider when choosing which HR software is the optimum choice for your company:

  •  Time & Attendance
  •  Performance Management
  •  Compensation Management
  •  Onboarding
  •  Employee Profiles
  •  Applicant Tracking

These are important to consider when choosing the right system as you will probably use these the most across your firm’s various HR functions. For example, if you’re lacking a training platform for new starters and would like to host those materials within your HR software, then it would be a sensible decision to choose the option that provides this.

We compared the top six HR brands featured in this list to the above six criteria to see how they would perform against each other:

CitrusHRGustoDeputyZoho PeopleJazzHR
Time and managementXX
Performance managementXXXX
Compensation managementX
Employee profiles
Applicant trackingX

As the chart shows, CitrusHR is the leading all-round option for HR software as the only brand to have all six criteria – plus, it is the only brand in the list to provide Performance Management functions for HR departments.

JazzHR scores the most poorly, with only two categories met – although this is reflective of its specialist focus on recruitment.

HR software comparison – which is the best value for money?

Because of the way Gusto is priced (£28 per month plus £4.30 per additional user), we have compared each brand based on cost for a team of five employees.

As expected, Zoho People scores highest on affordability, costing just £4.15 in total per month, for a team of five – although it should be noted that this is for the platform’s very basic Essential HR plan.

Jazz HR’s monthly billing cycle means it is too expensive for solo users. However, its generous offer of unlimited users means that growing teams could easily see the platform rank highest for value for money.

HR software alternatives

HR management presents a lot of complex challenges. If you’d rather not take responsibility for your people team functions, then outsourcing them to an external firm is another good option. Read our recommendation for the best HR consultancy firms for SMEs.

The right provider could give you access to expert advice and knowledge, eliminate any issues caused by a steep learning curve, and increase your organisation’s overall efficiency. To find out more, read our comprehensive guide to HR outsourcing for small businesses.

Expert comments

Stacey Kane - Easy Merchant

Stacey Kane is the Business Development Lead at Easy Merchant, an online drainage and pipework supplier. Kane has ten years experience in HR, and told us:

“Many repetitive and administrative-intensive processes in HR, such as yearly evaluations, authorising holidays, verifying absences, and so on, can be automated by using HR software, making the entire process more efficient and less time-consuming.

Before choosing HR software, you must first assess your current HR frustrations. Focusing on the areas that require improvement will allow you to restrict your options and eliminate the potential of spending money on a product that will not meet your goals.”

Katy McMinn - founder of HRi

Katy McMinn is co-founder and director of HRi, a support body for self-employed HR professionals. McMinn told us:

“There are a number of HR software systems out there, with some targeting the SME market and others aimed at larger, more complex organisational structures.

Whilst it may be tempting to go for the cheapest or simplest system as a startup, it’s important to think about where you are on your business journey, and indeed, where your growth plans might take you long term. If you have aspirations to grow into a much larger organisation, then it is worth investing in a system early on that can support you as a smaller organisation.”

SMEs are often contending with strict budgets. If cost is a big factor in your search for the right HR software solution, use 🔍our specially-designed tool to compare quotes from the top HR providers.

Our methodology

We’ve rigorously tested and compared various HR software options, focusing on criteria crucial to small businesses. Our insights stem from an extensive background in reviewing and recommending HR software, ensuring an informed and practical perspective tailored to your needs.

Using our expert knowledge of the HR software industry, we came up with a list of the five most common duties and requirements for SMEs when it comes to managing personnel. Then, we picked out the highest-rated HR software for each category and matched them as appropriate.

These were:

  • Affordability
  • List of features
  • Payroll tools
  • Recruitment
  • Shift scheduling
Use our form for a quicker, simpler way to finding the right HR software. Have you used HR service providers before? It only takes a minute,

Final verdict

This list has taken you through the top six HR software options for small businesses, based on a specific list of criteria drawn from the common pain points for SMEs when managing employees.

Overall, we recommend Rippling as the number one HR software tool for small businesses. It provides excellent user experience, and boasts a comprehensive range of HR features.

Looking for a closer comparison of the top HR providers? Our 🔍free comparison tool can help, by giving you a bespoke recommendation for the perfect HR tool based on your specific business needs. It’s quick, easy, and completely free of charge.

For the best HR software for user experience, choose RipplingRippling is a beautiful user-friendly and all-in-one solution, this platform has great value plans for HR teams who prioritise convenience and efficiency.
CitrusHR logoFor the best HR software for features, choose CitrusHRCitrusHR is a great all-round option for small businesses with more than eight employees. Plus, a gentle learning curve means it’s quick to get started.
For the best HR software for payroll tools, choose GustoGusto is an outstanding HR software tool which covers all your core payroll needs, as well as providing some other sophisticated accounting features.
Deputy logoFor the best HR software for shift scheduling, choose DeputyAn excellent all-in-one platform for employee scheduling, time and attendance tracking (digital time clock), and tasking, Deputy is the number one choice for non-office-based SMEs.
Zoho People logoFor the best HR software for affordability, choose Zoho People
Zoho People serves as a fantastic entry into HR software, thanks to its generous pricing plans and focus on core features.
JazzHR logoFor the best HR software for recruitment, choose JazzHRIt doesn’t perform amazingly for other HR functions, but JazzHR is unparalleled when it comes to recruitment tools - often a laborious process for SMEs.
Frequently Asked Questions
  • What is cloud-based HR software?
    Put simply, cloud-based HR software refers to a tool that you can access through the internet. Cloud applications have significant advantages over desktop software as they tend to have shorter installation times, greater access to IT support, and are vastly simpler to upgrade.
  • What is the best HRMS system?
    HRMS systems have the widest scope when it comes to HR functionalities, encompassing not just employee data storage, but other requirements including payroll processing and training services. CitrusHR performs all of these functions easily for a fairly low cost, making it excellent value for money. As HRMS systems promise, it is a great all-round solution for companies wanting one tool that can perform every role in the HR department.
  • What is the best HRIS system?
    HRIS systems are, generally speaking, a simplified version of HRMS. They tend to focus on employee data and are a great platform for finding and storing information.
  • What is the best HCM system?
    Deputy is a fantastic and nifty solution for SMEs wanting the top HR tool for organising their employees and tasks, thanks to its great scheduling and time tracking features. As a human capital software, it can tell you when staff are most needed, as well as giving you insights into their time worked and productivity. Plus, as a HCM it works well for growing teams.

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Written by:
Helena Young
Helena is Lead Writer at Startups. As resident people and premises expert, she's an authority on topics such as business energy, office and coworking spaces, and project management software. With a background in PR and marketing, Helena also manages the Startups 100 Index and is passionate about giving early-stage startups a platform to boost their brands. From interviewing Wetherspoon's boss Tim Martin to spotting data-led working from home trends, her insight has been featured by major trade publications including the ICAEW, and news outlets like the BBC, ITV News, Daily Express, and HuffPost UK.

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