Xero Accounting Reviews by Experts & Users Best Reviews

franchisor accounting software reporting options continue to improve with each new release with new report options added regularly. Recently added is the ability to create a report from scratch and save it for future use. Along with standard financial statements, Xero includes tax, purchases, sales, accounting, and inventory reports. Xero is an accounting software that offers the convenience of running your business from anywhere.

You can even create groups, which are lists of contacts to target particular groups of contacts. For example, you can create a list of loyal customers or customers in a specific state to offer promotional deals or send invoices in bulk. Although Xero offers a comprehensive set of features, this may not appeal to businesses with niche requirements. As you create quotes and invoices, you can see how many of each item you have in stock. If you need to reorder inventory, you can easily create and send purchase orders, and then convert the purchase orders to bills for payment or invoices for your customers.

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. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team. Freelancers and sole proprietors can start out with one Xero’s less expensive plans and scale up as their business grows. So why not take a few minutes to download Xero’s 30-day demo and find out if it’s right for you. Another clear benefit of using Xero is that you don’t have to know anything about accounting in order to use the application properly.

Reporting

I can also understand why Xero users are complaining about the recent price increase and feature changes. One of the things that set Xero apart was its built-in payroll and the fact that all features were accessible on all plans. Without built-in payroll, Xero also lost its great tax support, and the customer service has taken a turn for the worst. Small businesses could benefit from the Growing plan, especially if they need unlimited users. But if your business needs project management or multicurrency support, Xero doesn’t come cheap.

Both software offer functionality that makes them user-friendly. However, as MYOB has a lot of advanced features but with less customization, Xero can be easier to digest. For people who have not been trained in using either software, it’s often easier to have a good grasp on Xero first. Regardless of which accounting software you choose for your business, however, accounting software is not the only tool that your business might need. At the end of the day, you should analyze your own business model before picking which accounting software to use for your business.

Xero Features

Some negative Xero reviews talk about the price increases, saying how Xero used to be a more affordable solution. A few users complain that the best features, such as project management and expense claims, are only available with the most expensive plan. 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. The Established plan opens the door to more advanced features such as multiple currency support, project management, expense claims, and in-depth analytics.

Includes project tracking tools in most expensive plan; has transaction tracking tags; lacks industry-specific reports; users with multiple businesses must pay for separate subscriptions. The company has brought in more features since the last time I reviewed the apps, including quotes, purchase orders, and bank reconciliation. Xero introduced a new expense-tracking system a couple of years ago. The Expense Claim tool provides a better user experience, enhanced functionality, and more flexible user permissions.

Take some time to evaluate the features, pricing, and customer reviews of different options to find the right accounting software for your business. Unlike traditional accounting systems, Xero is entirely cloud-based, meaning you can access your financial data anywhere with an internet connection. Xero also integrates with various financial and business apps, allowing for seamless workflows and improved efficiency. Additionally, Xero’s user-friendly interface and real-time reporting capabilities make it an accessible and valuable tool for businesses of all sizes. Xero’s banking and cash management features score high in our evaluation because they include all the functions we want to see in accounting software. We like the side-by-side layout when reconciling transactions because it’s easy to match transactions and spot bank statement items that haven’t yet been recorded.

“Makes my life as a small business owner much easier!!!”

Other Xero accounting reviews complain about the lack of phone support, and others about the poor customer support service and slow response times. You might be disappointed to hear that Xero won’t let you set up and manage multiple companies in a single account. You can add as many organizations as you like, but you must choose a separate pricing plan for each one. One of the main Xero limitations is that payroll in Xero works by integrating the software with Gusto, which is one of the most competent and comprehensive payroll management software.

You have a choice of three https://bookkeeping-reviews.com/ plans – Starter, Standard and Premium – all of which have slightly different features and a reduced price for the first six months. Customers enjoy efficient and reliable support from Xero online teams. Xero’s US headquarters is in San Francisco, but this publicly listed company’s products are used in over 180 countries.

Xero Review: Features, Pricing & Alternatives in 2023

Xero uses AI and other automated tools to simplify, organize, and accelerate accounting tasks. Recent improvements to invoices, reports, and online support make it an excellent choice for small businesses. Glad we switched from desktop accounting software to Xero cloud.

BrightPay Connect is an add-on that allows you to post payroll, P60, and customer payroll reports on a secure online portal. It offers a variety of reports for ongoing analysis and corrective actions if needed and can be deployed on-site. Furthermore, Sage Payroll enables organisations to manage employee data, stay compliant, and file taxes. It is easy to use with a simple, clean interface and data entry is greatly reduced because it syncs seamlessly with our bank and credit card. The feature I love most of all is how professionally the invoices were formatted.

Unlike many other accounting applications, Xero does not base its pricing on the number of individuals who need access. With every Xero plan, there is no limit on the number of users. In our view, this is one of Xero’s differentiating factors, making it a great choice for growing businesses that are rapidly adding new employees.

Xero Payroll

However, the most notable difference is that Xero has no user limit—you can add as many users as you like, making it more scalable and flexible than QuickBooks Online. But if you intend to hire external bookkeepers and certified public accountants to handle your business’ accounting, QuickBooks Online is more popular for US accountants and bookkeepers. Information provided on Forbes Advisor is for educational purposes only. Your financial situation is unique and the products and services we review may not be right for your circumstances.

It contains all the fields and columns found on the old version, which you can choose to show or hide. Links in the upper right take you to housekeeping tasks like approving the invoice, previewing it, and printing a PDF. In contrast, QuickBooks Online Plus’s customer and vendor records are more comprehensive. They let you store more preferences, like preferred payment and delivery methods, language to use in forms, and so on. Its record templates also display data more economically, using tabs to access hidden details.

• Unlike alternatives such as QuickBooks, Xero includes time tracking.
• You can add as many tasks as you want if it’s relevant to the project.
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• These steps include connecting your bank accounts so you can import transactions, reviewing transaction categories, and managing bills.
• Unlike FreshBooks and QuickBooks Online, Xero doesn’t accept direct credit card payment.

Finally, you enjoy local training courses and webinars meant for Xero users wherever they are. The company has offices in the US, UK, Australia and New Zealand and can be reached through its website and email. Data flows directly into the Xero ledger, removing the time and effort required for manual data entry. Every Xero plan comes with unlimited users, so there’s no need to pay for extra licenses. Collaborate with colleagues or invite financial advisors to view data remotely and get valuable real-time advice. Xero is a comprehensive accounting software offering various features and tools to help you manage your finances and grow your business.