Small business CRMs – the best free and paid-for tools

The positive news is that there are a handful of proven, UK friendly CRM systems that work brilliantly for small teams. In this guide, you will learn what a CRM is, why it matters, which features to prioritise, and how to shortlist the best CRM systems for your small business without feeling overwhelmed.

We will also show how your CRM becomes even more powerful when it is paired with services like telephone answering, lead management and social media management so you never miss a potential customer.

What is a CRM system for small businesses

A customer relationship management (CRM) system is a single place where you store all your customer and prospect information, track every interaction and monitor deals as they move through your pipeline.

Instead of juggling spreadsheets, email inboxes and sticky notes, a CRM gives you one shared source of truth for your team. Done well, it feels like a digital sales and customer service hub that keeps everyone organised and focused on the right tasks.

Why small businesses in the UK need a CRM system

Whether you are a solo founder or manage a small sales team, a CRM can quickly move from “nice to have” to “essential”. Here are some of the biggest benefits for small business owners.

• Centralises all contacts and conversations so nothing falls through the cracks when you get busy.
• Gives clear pipeline visibility so you can forecast revenue, spot gaps and prioritise the right deals.
• Automates admin such as follow ups, reminders and handovers so you spend more time with customers.
• Improves customer experience with faster responses, accurate information and joined up communication.
• Surfaces useful insights on campaigns, channels and team performance, which helps you invest in what works.
• Scales as you grow from a couple of users to a full sales function without rebuilding your entire process.

CRMs work even harder when you combine them with outsourced support. For example, every call that Moneypenny answers for you can be logged directly as a new lead, enquiry or task in your CRM, which keeps everything joined up without extra admin.

Key CRM features to look for in a small business platform

Not every CRM is built with small business owners in mind. When you are comparing tools, focus on features that support your real day to day work, not just the most impressive sounding list.

• Contact and account management that is simple to update and search.
• Deal and pipeline tracking with custom stages that match your sales process.
• Email and calendar sync with Outlook, Gmail and other tools you already use.
• Task and workflow automation for follow ups, reminders and internal handovers.
• Dashboards and reporting that give clear insights without expert setup.
• Mobile app for quick updates after calls or site visits.
• Integrations and marketplace connectors so your CRM talks to accounting, marketing and support tools.
• AI features for forecasting, follow up suggestions and “next best action” recommendations.

If you receive a lot of inbound enquiries, integrations with your lead management and social media management partners are especially valuable so every conversation can automatically feed into your CRM.

CRM comparison table for UK small businesses

The table below offers a quick comparison of well known CRM systems used by small businesses in the UK. Cost bands are indicative and will vary based on plan, features and billing cycle.

Legend:
£ = typically up to about £15 per user per month for entry tiers
££ = roughly £16 to £40 per user per month
£££ = from around £41 per user per month and above

Step by step guide to choosing the best CRM system for your small business

Rather than trying every CRM on the market, follow these practical steps to narrow your options and pick the right platform for your team.

1. Start with your workflow, not the tool

Map your real customer journey from initial enquiry to closed deal. Include every handoff, key data point and pain point. Then test CRMs against that flow instead of being swayed by glossy marketing or long feature lists.

2. Match the cost band to your stage of growth

• Solo or micro teams: start with free or £ plans that cover the basics well.
• Growing sales teams: expect ££ for better automation, dashboards and reporting.
• Complex setups or multi team use: budget for £££ tiers and deeper customisation.

Most small business CRMs fall somewhere between £12 and £50 per user each month, depending on tier and billing cycle.

3. Shortlist three vendors from different styles

To keep comparisons manageable, shortlist just three platforms that represent different approaches:

• All in one hub like HubSpot for combined marketing, sales and service.
• Pipeline first CRM like Pipedrive for straightforward sales processes.
• Suite or platform based like Salesforce or Dynamics 365 for deeper integrations.

This gives you three very different experiences to compare without drowning in options.

4. Validate CRMs with four practical tests

When you are trialling a CRM, base your decision on how it behaves for your team in real life:

1. Does email and calendar sync work the way your team expects?
2. Can you tailor pipelines, fields and stages without expert help?
3. Do reports provide clear insights without exporting into spreadsheets?
4. Does it integrate cleanly with core tools like Outlook, Gmail, Slack or your phone system?

5. Run a short pilot with real data

Set up a 14 to 21 day pilot with live deals, not dummy data. Measure:

• Time to first value (how quickly it starts saving time or improving clarity).
• User adoption (are people actually using it daily?).
• Reporting quality (can you trust the numbers?).

Most CRM vendors offer free or low cost trials long enough for you to know if it fits.

Quick look reviews of popular CRM systems for UK small businesses

Here is a brief overview of the CRM platforms most commonly shortlisted by small businesses in the UK.

• HubSpot Sales Hub – strong free tier, easy onboarding and a clear upgrade path as you grow. Average rating 4.5 out of 5.
• Salesforce Sales Cloud – very powerful and customisable, usually with a higher long term cost and more setup. Average rating 4.4 out of 5.
• Zoho CRM – value focused, with generous pricing tiers and wide integration options. Average rating 4.3 out of 5.
• Pipedrive – intuitive and visual pipeline management that sales teams tend to adopt quickly. Average rating 4.5 out of 5.
• monday sales CRM – ideal for visual thinkers who enjoy board style layouts. Average rating 4.7 out of 5.
• Freshsales – affordable CRM with built in calling and AI features. Average rating 4.5 out of 5.
• Capsule CRM – UK based, simple and friendly for first time CRM users. Average rating 4.5 out of 5.
• Microsoft Dynamics 365 Sales – great fit for companies already using Microsoft 365 and other Microsoft tools. Average rating 4.4 out of 5.

How CRM systems and Moneypenny services work together

A CRM is brilliant at managing relationships once a lead is in your system. The challenge for many small businesses is finding the time to answer every call, respond to messages and keep on top of social media so that those leads are captured in the first place.

This is where Moneypenny fits perfectly alongside your CRM:

• Call answering service – use a professional telephone answering service so callers always speak to a real person, even when you are with clients or out on the road. Messages and lead details can then be added straight into your CRM.
• Lead management service – with lead management support, enquiries are qualified, prioritised and booked into your diary, which means your CRM is always updated with the warmest opportunities.
• Social media management – our social media management service can respond to messages and comments quickly, then pass new leads into your CRM so you have a complete view of every channel.

Together, your CRM and Moneypenny create an always on customer journey that captures, nurtures and converts leads without putting more strain on your in house team.

Final tips for choosing the right CRM system

Before you commit to a CRM contract, keep these final checks in mind:

• Confirm which AI features or automations are included in your tier and which are locked behind higher plans.
• Review add ons like extra users, storage or integrations so you understand the true monthly cost.
• Keep ownership of your data, fields and reports so switching platforms later is easier if you need to.