Sage does have the upper hand against Xero when it comes to quotes and invoices, as well as multi-currency support. Xero’s pricing structure is an excellent fit for growing businesses. Unlike many competitors, Xero’s pricing and plans are based on features instead of user numbers. In fact, all of Xero’s plans support unlimited users, which is great for expanding businesses.
Is Xero Easy To Use?
Xero is our pick for the best accounting software for growing companies. We recommend Xero for companies that are rapidly adding employees and don’t want to worry about the number of people at the organization using the product. Business owners, freelancers and entrepreneurs often spend a large chunk of time on administration and accounting. Suited for small- and medium-sized businesses (SMBs), Xero is an affordable cloud-based accounting software system that streamlines these processes with plans starting at $13 per month. Each month, Xero sends you a link to your subscription invoice with easy ways to pay for your accounting software.
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One drawback is that the base plan only has support for one user. Automatic bank reconciliation makes sure your transactions are in sync, while the automated system converts quotes and estimates into sendable invoices. Don’t forget about the multi-currency support, which lets you accept payments from international clients. We recommend using Xero if you’re a small-to-medium-sized company that values affordability, collaboration, and user-friendly design.
Customize Xero with the Xero App Store
The software simplifies this process further by providing written and video guidance on what to do if you encounter differing balances. It also flags Xero transactions that appear to match bank statement lines, making reconciliation more straightforward. Zoho Books’ paid plans all come with free live chat and phone support. Users that are new to bookkeeping won’t be overwhelmed by Xero’s simple and easy-to-navigate layout. This layout makes the reconciliation process, among other accounting tasks, particularly easy. The software shows you potential transaction matches side by side, so you can immediately see if the match is accurate without having to click anything.
- Xero has a reputation for some of the strongest cloud security out there.
- For Payroll with Gusto (US), pricing is based on the number of users who are paid each month.
- The review is our opinion, but it does not constitute advice, recommendation or suitability for your financial circumstances.
- In contrast, Xero’s entry-level plan is slightly less expensive, at $15 per month.
Keep in mind that these services charge a fee to process payments (usually around 2.9% plus 25 cents per transaction, though this varies by the payment processor). You can import data from another accounting system in bulk via CSV files once you’ve done the initial set up in Xero. For a smooth transition and best results, we recommend working with an accountant or bookkeeper, preferably one with quickbooks online journal entry Xero experience, when you make the move to Xero cloud accounting software. The resulting file makes for great supporting documentation as you apply for a bank loan or seek investor funding. No other accounting software we reviewed even came close to offering this highly compelling feature. When you’re paying bills, all it takes is one click and filling out a few fields of payment information.
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However, we are disappointed that Xero lacks tax support, doesn’t have more advanced inventory, and doesn’t have more invoice templates. FreshBooks is one such option that has gained popularity in recent years. It’s designed specifically for small businesses and offers invoicing, time tracking and expense management. If you’re in the market for accounting software, you might be feeling overwhelmed by all the options out there. While Xero and QuickBooks are wildly popular, they’re not the only options available. There are a number of alternative accounting software programs that can offer powerful features and a user-friendly interface.
The customization capabilities is probably the best out of all online accounting software. It’s best to judge accounting software based on what you need it to do, rather than what it can be capable of doing. In addition to reaching out for live help, you can access valuable online support resources, including videos, a blog, podcasts, small business guides and training courses. Xero recently streamlined the ability to search for help while using the software, so you don’t have to leave the site. Xero partners with Gusto to add more HR functions, such as payroll services.
For the price, Xero is a powerful tool that can help you manage everything from inventory to file storage. It also integrates with over a thousand apps, meaning if you can’t find a native feature you need, you can likely add it on. The included mobile app is great for checking accounting reports or invoices on the go. And with time tracking as an option on higher plans, you can easily keep records of time spent on tasks.
You can invoice by time entry or task and you can mark up your prices based on your estimates in just one click. We liked that Xero makes it easy to manage your projects and make them more profitable. Filter stock by location, fulfill orders and pay for shipping, view data on your sales channels and collect sales tax. Xero’s excellent project management tools allow you to track intangible asset definition the progress of a project while also managing related expenses. Whether you’re sending payments to suppliers or collecting payments from clients, all it takes is one click of the Pay Now button on an invoice. Xero remains a top competitor in terms of accounting technology and keeps up with new advancements and a focus on automating and streamlining financial processes.
Forbes Advisor compared Xero vs. QuickBooks when it comes to the key features, pricing, customer service and reviews to help you decide which is right for your business. After much research and analysis, as well as analyzing competitors like Zoho Books, we recommend retained earnings definition Xero as the best accounting software for tracking and paying bills. We spent several hours reviewing Xero and comparing it to other top accounting software platforms. We went through all the steps of setting up and using the software for the first time.
You can also integrate Inventory Plus with Shippo to view and choose shipping rates. Additionally, within Inventory Plus, you can view all your inventory by location and save your stock keeping units and their key information, such as measurement or price. Xero has a reputation for some of the strongest cloud security out there.