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Top 5 HR software choices for small businesses

April 13, 2009 by Sam Narisi
Posted in: Applicant tracking systems, HRIS software, Payroll software, Special Report
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When it comes to HR software, the most well-known offerings are often impractical for all but the largest companies. What’s out there for small businesses?

Fortunately for smaller businesses, a lot of systems are scalable and priced based on the number of employees in the company.

The first choice a company has to make: an in-house system, or a Web-based, on-demand program?

In-house systems are purchased and then installed and maintained by the company’s IT staff.

For Web-based software, companies pay a monthly fee to access the system online. The benefits: There’s no big up-front cost for the software and necessary hardware, and it’s easier to upgrade as the company grows.

However, some businesses are more comfortable with the security and control that comes with installing software in-house.

As for specific products, employers have a lot of choices — with more options for small companies appearing all the time. Here’s a list of the top five HR tech products for small business, according to CNN’s “Ultimate Small Business Research Guide”:

  1. SimpleHR — One of the least expensive HR products available, SimpleHR lets companies store basic information about employees’ salary, benefits, performance reviews, vacation use, safety incidents, etc. Different versions are available (with different prices), depending on how many employees the company has.
  2. People-Trak HR — Priced at a one-time fee of $20 per employee, People-Trak is one of the more flexible offerings. Other versions are available that add features for additional costs.
  3. OrangeHRM — This open-source software is free — but employers can buy a professional support package if they lack the IT staff to comfortably do it themselves. A Web-based option is also available for a monthly fee.
  4. EmpXTrack Starter Edition — EmpXTrack combines payroll software with an employee database, featuring a self-service option that lets employees keep their own information up-to-date. Pricier editions add tools for performance evaluations, surveys and recruiting.
  5. Microsoft Dynamics NAV and GP — For some smaller companies, these offerings from Microsoft could be overkill, but they might be worth the investment for employers with robust growth who already rely heavily on Microsoft products.
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4 Responses to “Top 5 HR software choices for small businesses”

  1. Judy Says:

    Another package Sage ABRA is quite easy to use, is scalable to company size and what options you want, has a short learning curve and a very helpful support staff. This is what my company uses and I find it great.

  2. Heather Says:

    We use Sage Abra, which is a great product, say from about 50 employees all the way up to 2000, I believe. There is an annual update and support fee. It’s a very comprehensive product, both for in-house payroll and for benefits.

  3. Tina Says:

    I work with CheckPoint HR—we provide a Web-based Human Resource Management System (HRMS) technology platform that offers an affordable and centralized HR solution to manage payroll and benefits administration, as well as other business-critical human resources processes. Our platform supports organizations with 50 employees to 5,000 employees.

  4. Mark Says:

    Another affordable alternative for Small and Medium Businesses is the HR Data Manager Human Resources Management System (www.hrdatamanager.com). Like SimpleHR, the HR Data Manager was written in Microsoft Access and is available with all source code. One of the selling points is easy customization by either HR Data Manager or the customer themselves.

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