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Is Freshbooks HIPAA compliant? (2025 update)

Written by Kirsten Peremore | October 08, 2025

FreshBooks is cloud-based accounting and invoicing software designed to help small businesses manage billing, expenses, and financial reporting. With FreshBooks, users can automate invoicing, track expenses, generate reports, and collaborate with their team.

Is FreshBooks HIPAA compliant? Based on our research, FreshBooks may be HIPAA compliant, but there are important limitations to consider.

 

Will FreshBooks sign a business associate agreement (BAA)?

No, FreshBooks does not publicly state that it will sign a business associate agreement (BAA) and therefore cannot be considered fully HIPAA compliant for storing or processing protected health information (PHI).

 

Conclusion

FreshBooks does not sign a BAA and is therefore not HIPAA compliant. While it offers robust security and reliability for accounting and invoicing data, it should not be used for storing or transmitting PHI.

Learn more: HIPAA Compliant Email: The Definitive Guide

 

FAQS

What is a business associate agreement?

A BAA is a legally binding contract establishing a relationship between a covered entity under HIPAA and its business associates. It ensures proper protection of PHI.

 

What is HIPAA?

HIPAA sets national standards for protecting the privacy and security of certain health information, known as PHI. Violations can result in significant fines and penalties.

 

Who does HIPAA apply to?

HIPAA applies to covered entities, including healthcare providers, health plans, and healthcare clearinghouses, as well as their business associates who handle PHI.