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Free customer relationship management software for small business: your guide

Check out the best free CRM software for small businesses, featuring Capsule CRM and other powerful yet budget-friendly options to simplify your sales processes.

Jo White · March 13, 2025

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Managing customers, sales, and marketing against rising costs makes running a small business a true juggling act.

If you’re looking for a solution here’s the good news: free customer relationship management software could be the missing puzzle piece in your business processes.

But let’s be honest – choosing the right tool can be a bit of a challenge.

Which CRM tool offers your the tools you need? Are free options even worth it? How do you pick the best solution for your requirements?

We’ve researched it so you don’t have to. Learn more on how to find the best free CRM software for small companies like yours.

What is Customer Relationship Management (CRM)?

Customer Relationship Management is the process of building and maintaining customer relations. While doing it manually is not impossible, using CRM software for this purpose is way more efficient.

At its core, CRM software (also known as customer interaction software, or CRM system) is a tool used to:

  • track customer interactions,
  • organize information,
  • keep your sales process moving in the right direction.

Think of a CRM system as a bridge between your sales department, marketing team, and customers.

Top free CRM tools for small businesses

Small companies often need to rely on affordable tools when getting up and running. We've created a list of free customer relationship management software for small businesses so you can make an informed choice. Check out now what tools are out there:

#1 Capsule CRM - the best free CRM solution for small businesses

Capsule CRM is built with small businesses and startups in mind. It simplifies managing customer relationships and other day-to-day sales operations.

Capsule CRM website.

With a clean interface and a feature-packed dashboard, this customer interaction software stands out as a perfect tool for small businesses.

Capsule CRM holds a solid 4.7/5 rating on G2.

Business owners praise it for its ease of use and practical features:

Capsule CRM pros.

Features that small businesses love

Capsule CRM pricing plans

Capsule CRM offers flexible pricing options for small businesses that might scale in the future:

  • Free ($0/month per user): Up to 2 users and 250 contacts, perfect for small businesses. It includes all the features small businesses need to get started with customer relationship management, such as sales pipelines, task management, integrations, and more.
  • Starter ($18/month per user): Includes up to 30,000 contacts, email templates, a shared mailbox, premium integrations, basic reporting, and AI email assistance.
  • Growth ($36/month per user): Adds workflow automation, advanced sales reporting, multiple sales pipelines, project management tools, and support for up to 60,000 contacts.
  • Advanced ($54/month per user): Offers 120,000 contacts, multiple project boards, and enhanced customer profiles, along with all features in the Growth plan.
  • Ultimate ($72/month per user, billed annually): Ideal for larger teams, this plan includes priority support, a dedicated account manager, custom training, and space for up to 240,000 contacts.

Why Capsule CRM?

Capsule CRM is a fantastic choice for small businesses that want to stay organized and properly manage customer interactions. It's free to use, highly customizable, and ready to scale as your business grows.

Start a free trial today and see how it can make your business succeed!

Try Capsule CRM free for 14 daysGet started

#2 Hubspot CRM

HubSpot CRM is worth considering if you’re looking for intuitive customer interaction software to manage leads. On top of that, you can use it to navigate sales pipelines and customer data. Some of its features will suit your email marketing or reporting needs so, it's a solid option for growing businesses. However, there are some limitations.

Hubspot CRM.

More advanced capabilities, like email automation and custom reporting, are only available in paid plans. Additionally, full customer support is limited to higher-tier subscriptions and scaling is very expensive. Take a look yourself:

Pricing:

  • Free: $0 per user per month, up to 2 users
  • Starter: $18 per user per month
  • Professional: $1,170 per month (includes 5 seats)
  • Enterprise: $4,300 per month (includes 7 seats)

#3 1CRM

1CRM is a platform tailored for small businesses. It helps them manage sales, customer service, and projects.

1CRM website.

Many small businesses appreciate its ability to centralize customer interactions and inquiries. However, some users report that 1CRM’s customization and reporting tools are too basic for their needs. There are also concerns about the outdated security compliance.

Pricing:

Cloud service:

  • Startup: $13 per user per month (annual) or $15 per month
  • Startup+: $20 per user per month (annual) or $23 per month
  • Professional: $29 per user per month (annual) or $33 per month
  • Enterprise: $34 per user per month (annual) or $39 per month

On-premise software:

  • Startup: Free for up to 3 users
  • Startup+: $20 per user per month (annual) or $23 per month
  • Professional: $29 per user per month (annual) or $33 per month
  • Enterprise: $34 per user per month (annual) or $39 per month

Perpetual licenses (one-time fee):

  • Professional: $405 per user
  • Enterprise: $585 per user

#4 Flowlu CRM

Flowlu is a CRM system that helps small businesses organize their sales process and customer data.

It combines customer relationship management, basic project management, and financial tools into one platform. While it works well as an all-in-one CRM solution, it might not be the right choice for everyone. Some users mention that the interface feels less advanced compared to other CRMs, and the features may lack depth.

Flowlu CRM website.

Reviews on platforms like Capterra and G2 highlight the need for more customization – including improvements to the user interface and better integration options.

Pricing:

  • Free Plan: $0/month
  • Team Plan: $39/month
  • Business Plan: $74/month
  • Professional Plan: $149/month
  • Enterprise Plan: $249/month

#5 FreeCRM.com (CogmentoCRM)

FreeCRM.com is a basic CRM platform for small businesses. The free-forever plan includes tools like contact management, task tracking, mobile access, and basic reporting features.

FreeCRM.com (CogmentoCRM)

While it’s certainly a budget-friendly choice, it does have its limitations. Advanced features like API integration, social media tools, and marketing options are missing. Another downside is that customer support isn’t included in the free plan, which can make things challenging for new users who need quick assistance.

There are paid plans for businesses with more complex needs, but it’s worth exploring other platforms if you’re looking for specific features or more complex tools.

Pricing:

  • Free: $0/month (Free Forever)
  • Pro: $10/month
  • Enterprise: $25/month

#6 BIGContacts CRM

BIGContacts is another contact list management solution for small businesses. It’s a practical option for teams looking to stay organized without spending a little fortune.

Users often highlight its helpful reminders. However, BIGContacts has a set of drawbacks, too. It doesn’t include a mobile app, and some users have noted performance issues. On top of that, its limited reporting features can make analyzing data and managing tasks more challenging.

BIGContacts CRM.

Pricing:

  • Free Plan: $0/month for up to 100 contacts
  • Monthly Plan: $19.99/month for up to 1,000 contacts

#7 Freshsales CRM

Freshsales CRM helps businesses stay on top of customer relationships with tools for lead scoring and customer engagement. Its clean layout and practical features make it a good pick for small teams and businesses.

That said, Freshsales CRM is not without its cons. Some users have pointed out performance issues, along with occasional problems with exporting data. The lack of advanced customization can also be a drawback for larger companies.

Freshsales CRM.

Pricing:

  • Free Plan: $0 for small teams
  • Growth Plan: $9/user per month
  • Pro Plan: $39/user per month
  • Enterprise Plan: $59/user per month

#8 Agile CRM

Agile CRM is another affordable CRM on our list. The tool has features for building and monitoring customer engagement and it’s considered a versatile choice for managing client relationships.

However, some users have reported slow loading times and performance hiccups, especially when working with large datasets. Furthermore, its limited integration options can also challenge businesses that use multiple tools to get things done.

Agile CRM

Pricing:

  • Free Plan: Up to 10 users
  • Starter Plan: $8.99/month per user
  • Regular Plan: $29.99/month per user
  • Enterprise Plan: $47.99/month per user

Quick recap on free customer relationship management software for small businesses

  • #1 Capsule CRM – the best pick

Capsule is easy to use, connects with dozens of tools, and grows with your business. Sales tracking, task management, and reporting tools are all included in the free plan. This is your best option if you're a small business after a simple, reliable, AND free CRM.

  • #2 HubSpot CRM - good but with costly upgrades
  • #3 1CRM - feature-packed but outdated
  • #4 Flowlu - covers many needs but lacks depth
  • #5 FreeCRM.com - basic but no support
  • #6 BIGContacts - affordable but limited
  • #7 Freshsales - clean look but rigid
  • #8 Agile CRM - decent but can be slow

How to choose the best CRM for your small business?

When choosing a CRM it’s important to do your own research but there are a few things that every business needs to consider.

Here’s how to narrow your options and find the best fit for your business:

1. Prioritize ease of use

Small business owners don’t have time for steep learning curves! Look for a CRM system that’s easy to navigate. It should help your sales team get up and running quickly without extensive CRM training. An intuitive interface can save you hours of frustration.

Before committing, test the CRM platform during a free trial. Pay attention to how intuitive it feels and how quickly you can complete basic tasks – like adding a contact or tracking a lead.

2. Look for features you actually need

It’s easy to get caught up in flashy features, but not every tool will suit a small business. Focus on essentials like contact management, workflow automation, and tools to track customer interactions. Skip anything that feels overly complex or redundant in your business case.

Make a list of your must-have features before you start researching. This will help you avoid tools with too many extras you might never use or need.

3. Check scalability for future growth

You might be running a small company now, but your needs will grow as your business does. A good CRM platform should handle your current sales process while offering room to grow. Whether it’s adding more users or upgrading to access marketing automation, pick a solution that can evolve with your business.

Before you press ‘pay’, ask about pricing for upgrades or add-ons. This will give you a clear picture of how the CRM solution fits into your long-term plans.

4. Test integration with your existing tools

A small business CRM should work well with tools you already use – like email platforms or marketing software.

Look for CRMs that integrate with popular platforms like Gmail, Outlook, or social media tools. Test how these connections work during your trial period.

5. Choose a budget-friendly option

Small businesses often operate on tight budgets, so free CRM software can be a lifesaver. Research options that don’t compromise on core features but still fit within your financial limits.

Check for hidden costs like extra fees for additional users or premium features. Stick to tools that are transparent about pricing and deliver good value at low cost.

6. Evaluate customer support options

When something goes wrong, or you’re unsure how to use a feature, having reliable support can make all the difference. Free CRM solutions may not always offer live assistance, but a complex knowledge base, video tutorials, or active community forums can be just as helpful.

Before committing, check the support resources available for free users. Test response time to see how active (or inactive) support agents are.

7. Consider mobile accessibility

If you often work on the go, a mobile-friendly CRM system is one of those features you should be looking for. Verify if the selected platform offers a user-friendly mobile app so you can manage your sales pipeline wherever you are. Put it to the test, too. Check how easy it is to update customer details and track customer interactions.

8. Think about data security

Your CRM will store sensitive customer information, so security should be a top priority. Small businesses are targeted for cyberattacks more frequently than larger companies, so choose a CRM solution with strong security features.

Look for tools that offer two-factor authentication, encryption, data backups, and compliance with standards like GDPR or CCPA. Read reviews to confirm their reputation for security.

9. Assess reporting and analytics

Understanding your data can help you make smarter decisions. A solid CRM system should include reporting features that help you track your sales process. Even free CRM tools often include basic reporting tools - just make sure they meet your needs.

During your trial, explore how customizable the reports are. Look for options to export data or create visual dashboards to share with your sales or marketing teams.

10. Check for multi-user access

If your team is small now, you’ll want a CRM platform that allows multiple users to collaborate down the line. Some free CRM software solutions have really solid collaboration features.

You should test how these features work before committing. Assigning roles and control access for different team members should be hassle-free.

Why Capsule CRM is the top choice for small businesses

The free plan fits small teams perfectly: it includes 250 contacts and 2 users at no cost. It is an ideal entry point for businesses looking to get organized and grow. No fine print – it really is free.

Starting with the free plan, you can later unlock advanced features like workflow automation, project tools, and detailed sales reporting - all at very affordable rates and with no hidden costs.

Capsule’s flexibility means your CRM grows with your business.

Practical examples:

  • Let’s say that you’re a freelance photographer managing client photoshoots. Capsule CRM lets you organize customer details, schedule photo sessions, and track deadlines. The mobile app keeps everything at your fingertips – at home or on site.
  • For small retail shop owners working with different vendors, Capsule CRM makes storing supplier contacts and monitoring order progress easy. Linking with QuickBooks or Xero helps manage invoices without juggling separate systems.
  • Networking becomes really simple with Capsule CRM. After meeting someone at an event, you can save their contact information on the go and set up a reminder to reconnect. Adding social media links helps you stay updated on their business activities.

Capsule also connects with tools like Transpond and Google Workspace, giving you a central hub for managing marketing or collaboration tasks.

Capsule CRM review.

Conclusion

With so many free customer relationship management software, finding the right tool is challenging – but not impossible. The right CRM will help you stay organized and build better customer connections without adding unnecessary complexity.

If you're looking for a reliable recommendation, CapsuleCRM is the best choice for small businesses. It’s flexible, user-friendly, and ready to grow with your company.

Start with the free plan today!

Try Capsule CRM free for 14 daysGet started

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