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. When reconciling books, Xero suggests likely matches between bank statement lines and transactions entered in the software.
Accounting Software Review Methodology
She uses her experience managing her own successful small business to write articles about software, small business tools, loans, credit cards and online banking. Kristy’s work also appears in Newsweek and Fortune, focusing on personal finance. If you have international customers, Wise Business can be the stress-free solution to manage different currencies.
Xero Established plan fees
Further MTD rules will be introduced around income tax returns in April 2026 and 2027. Many or all of the products and brands we promote and feature including our ‘Partner Spotlights’ are from our partners who compensate us. However, this does not influence our editorial opinion found in articles, reviews and our ‘Best’ tables. While the obvious lack of live support might not always be the best part of the overall package there is much to like with this service.
Xero accounting review: Fees, top features and alternatives
Xero bookkeeping can customize sales tax rates, automate calculations, and prepare sales tax returns. What sets Xero apart in the competitive landscape of accounting software is its commitment to real-time financial reporting and user-friendly design. These elements combine to provide businesses with unparalleled access to immediate, actionable financial insights. During our software testing, we found that Xero is ideal for business owners without much accounting knowledge.
Guided setup process
With the multi-currency accounting feature, you can pay and get paid in more than 160 currencies. You can see how currency markets affect your cash flow and profit, and view reports in local or foreign currencies. There’s the option to assign a default foreign currency to specific contacts so that they’re in the right currency when you create invoices or quotes, receive bills or send purchase orders. QuickBooks is a popular accounting software used by small businesses, solopreneurs and freelancers. The software helps users to keep track of their finances, customers and vendors.
Xero also has a community space that encourages ongoing discussion between users. Learning from others’ experience with the software can be invaluable when starting out. Rob Clymo has been a tech journalist for more years than he can actually remember, having started out in the wacky world of print magazines before discovering the power of the internet. In the rare moments he’s not working he’s usually out and about on one of numerous e-bikes in his collection. Why you can trust TechRadar We spend hours testing every product or service we review, so you can be sure you’re buying the best.
Customers of Xero mention the speed and clarity of the customer support service as one of its main benefits. Xero offers its users the ability to ‘Pay with Wise’, which means you can integrate your Wise multi-currency account and pay your bills from suppliers wherever they are in the world. This will save you money on fees and ensure you get the real, mid-market exchange rate. Based on where you are in your small business journey, you should be able to choose the plan most suited to your business and your circumstances. Being a cloud-based service Xero naturally works just as long as you are connected to the internet and use any one of the popular web browsers out there. You’ll find that Xero is similarly sprightly if you choose to use its app-based editions, which are available for both iOS and Android devices.
- Xero may be harder to learn than a simpler invoicing platform like Square Invoices or Zoho Invoice.
- We also liked the “top customers” graph available from the accounting drop-down menu at the top of the Xero dashboard.
- Xero gives access to custom, ready-to-use, exportable financial reports when you need them as well as the educational tools you need to create the reports you want.
- The number of users is also technically unlimited, but FreshBooks does charge an extra fee of $11 per user per month.
- With plans starting at $15 a month, FreshBooks is well-suited for freelancers, solopreneurs, and small-business owners alike.
Unlike many other accounting applications, Xero does not base its pricing on the number of individuals who need access. In our view, this is one of Xero’s key differentiating factors, making it a great choice for growing businesses that are rapidly adding new employees. One cool new Xero feature is its beefed-up Inventory Plus management system. This system allows you to manage inventory across multiple locations and channels. It integrates with Shopify and includes order fulfillment functions, shipping options and tracking information. We think this new system will prove particularly useful for larger businesses with a big e-commerce presence.
Its intuitive design makes it easy for businesses to link their bank accounts and start sending invoices and paying bills in no time. The Early subscription is tailored for solopreneurs and business owners who are just getting started. You’re able to send 20 quotes and invoices per month, enter five bills, reconcile bank transactions, capture bills and receipts with Hubdoc and view a short-term cash flow and business snapshot. However, you should be aware that Xero requires users to pay an additional monthly fee for certain add-on features. Businesses that prefer direct, immediate phone support may find Xero’s customer service channels lacking. Also, companies that handle high-volume inventory and require advanced inventory management features could find Xero’s options limited.
And if you don’t like how the dashboard looks, you can reorganize panels and hide the ones that aren’t useful. Our partners cannot pay us to guarantee favorable reviews of their products or services. Xero may be harder to learn than a simpler invoicing platform like Square Invoices or Zoho Invoice.
With Inventory Plus businesses can reconcile payouts, integrate with eCommerce platforms, and fulfill up to 1,500 orders per month from multiple sales channels. To get started with capturing and storing data, users can navigate to Xero’s Organization menu to either set up a new Hubdoc organization or connect an existing Hubdoc account. You can use Xero’s demo company to create a sample adjusting entries bill, which contains a payment status bar, the description and cost of the purchased item, and an Add Payment button. Xero often offers promotional pricing, so be sure to check for any applicable discount codes before purchasing a plan. Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity.
This is most notably handy thanks to the question mark up in the right-hand corner of the interface, which delivers and express-lane dialog box for solving many common queries. To the right of your screen are less prominent but just as useful features, including Help, plus search and notification buttons. Work your way down through those root menus, however and you discover countless tools for tackling every aspect of your business. At Business.org, our research is meant to offer general product and service recommendations. We don’t guarantee that our suggestions will work best for each individual or business, so consider your unique needs when choosing products and services. At nearly 1,000 integrations, Xero syncs with even more apps than QuickBooks Online—which is quite a feat given QuickBooks’ immense popularity.
Another neat feature called Mileage tracking can come in handy if you or your employees are using a vehicle for work. You can download the Xero Expenses mobile app to submit expenses on the go. Xero offers this through Hubdoc so you can access your documents online. QuickBooks offers receipt and document organization with its mobile app as well as the online version. Xero don’t bother to let you know when your trial period is coming to an end. Suddenly, BAM, an invoice for £66 taken when previously subscription was £16.50.
My experience as a User, having to use the Xero phone app before being allowed to actually log in, I found it clumsy and not reliable. Because the phone app struggelled to work correctly and that the mandate of having to prepare quarterly federal excise tax returns online use a TFA, resulted in a very frustrating time and took too long. Just an email to the company, which in my opinion does not instil confidence, especially when one is busy and has only a few minutes to complete a claim.
Given that there are several invoicing software on the market, it’s worth putting in some time to research your options before choosing one for your business. You can try Xero for free for 30 days with access to all the features. After your trial period, you can decide which plan is right for you and your business.
Unlike other software that limits the number of users, Xero doesn’t impose any limits. This feature makes Xero a top pick for firms needing support for multiple users. For instance, you can give some employees access to create and send invoices and allow others to pay bills. You can even limit who can see the company’s complete financial picture. The tradeoff for Xero’s unlimited users on the Early plan is that it enforces pretty stiff limits on other things, only allowing 20 invoices and 5 bills per month.
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. Xero also integrates with over 1,000 third-party business apps – among the most integrations of any accounting software package we reviewed. As a business moves into higher-growth phases, it will likely require more integrations to scale up and keep things running smoothly. With the ability to send unlimited, customizable invoices, payment reminders and proposals to clients, FreshBooks is the optimal solution for freelancers or solo entrepreneurs. It also lets you track time and billable hours so clients can see exactly what you’re charging for.
Xero is a practical solution for you if you are running a small or growing company on a budget or doing business internationally. Xero is right for you if you are a solopreneur or running a small or growing business with an international customer network. Once you’re signed in, Xero gives you the option of taking a short guided tour of the dashboard. You can schedule a call with a Small Business Specialist if you need more help with setting up the dashboard.
The offers that appear on the website are from software companies from which CRM.org receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). This site does not include all software roles and responsibilities of a company shareholder companies or all available software companies offers. Unfortunately, Xero doesn’t offer phone support or live chat; there’s only email support. The good news is that you hire a Xero professional advisor to teach you how to use the software for your accounting needs.
