Xero Accounting Review: Features, Benefits, Pricing, and Cons

His career has seen him focus on both personal and corporate finance for digital publications, public companies, and digital media brands across the globe. If you’re looking for an accountant who specializes in Xero, you can search for an accounting advisor through their website by location and industry.

Quick and Simple Xero Invoicing

FreshBooks is another one of our favorites for small businesses — especially freelancers. It has unlimited customizable invoices, a client portal, built-in project and time tracking and a highly rated mobile app. Plus, if you’re new to accounting software, you can’t go wrong with FreshBooks’ easy interface, but if you do get lost, you can easily access the help center through your account.Want to save a little money?

Paying Bills

1. If a client accepts an estimate, you can create an invoice directly from the quote.
2. It provides a comprehensive view of a company’s cash flow by presenting upcoming bills and outstanding invoices in a clear, tabular format.
3. Customers praise Xero’s speedy customer service; however, some customers say that it would be nice if Xero offered a phone number for quick answers to common questions.
4. The tool also lets you adjust the time frame to see how your business has changed over time.
5. For a bank that does not support a direct feed connection with Xero, companies can export bank data in OFX, QIF, QBO, QFX, or CSV format before uploading it to Xero.
6. The Ascent, a Motley Fool service, does not cover all offers on the market.

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. Read our 2024 Xero review to find out if it’s the right solution for your business. It may take a day or two to get a response to your email, but there are plenty of other forms of support available. Despite a few shortcomings, we rated Xero 4.7/5 for its customer support. There are no annual contracts, so you can cancel your subscription at any time (although you must give a 30-day notice of your cancellation).

Xero has plenty of features that small business owners love, including an accounting dashboard, invoicing, quotes, bill payment, analytics, and data capture and storage. Xero helps transform the data you enter into actionable information at every subscription level. A dashboard provides a summary of your business’s financial health, including total cash in and out, outstanding invoices and overdue bills. Another page dedicated to short-term cash flow charts out how future bills and invoices can affect your bank balance over the next week or month. Except for a few minor inconveniences, we were impressed with Xero’s invoicing capabilities. Everything is done in the cloud, meaning you can edit invoices without the hassle of resending them to customers.

Xero is a cloud-based, double-entry accounting software tool that is designed with small businesses in mind. More than 3.5 million users all over the globe use Xero to manage their billing and invoicing each month. In this Xero accounting software review, we’ll break down the pros and cons to help you figure out whether Xero is the right accounting tool for your needs. Xero might not meet the needs of larger enterprises or industries with highly specialized accounting requirements, like manufacturing or nonprofit sectors, which often require more tailored functionality. 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.

Zoho Books Review: Pros, Cons, Pricing

Merchant Maverick’s ratings are not influenced by affiliate partnerships. QuickBooks Online is limited to 25 users on its most expensive plan but is easier to use, offers tax what are payment terms here’s everything you need to know support, and has stronger mobile apps. Xero and QuickBooks Online have a lot of similarities, as both have strong features and numerous integrations. Xero offers a free 30-day trial and even has a demo company set up already, so you can explore the software before you buy it. Xero offers discounts for nonprofits and owners of multiple companies.

Users can stay worry-free as Xero uses encryption and strong security measures to protect against fraud. Users can mark report types as favorites and quickly access drafts, published, and archived reports through dedicated tabs. Geekflare tested the accounting features of Xero through hands-on subscriptions. We evaluated essential features needed for small businesses and calculated a combined overall rating for each.

Is Xero Easy To Use?

If the banks or financial institutions do not connect to Xero, users can manually import bank statements for reconciliation. Xero uses rules to match bank statements to invoices or bill payments. Bulk sorting and grouping of transactions before reconciliation and receiving alerts for suggested matches are also possible on Xero. Founded in 2006, it is based in New Zealand and has clients worldwide. Xero allows companies to collaborate with their accountants best wave alternatives for your business in 2020 and offers a friendly UI for employees and admins. Xero provides out-of-the-box integrations with a plethora of third-party applications across e-commerce, point-of-sale, time tracking, and more, enhancing its functionality.

This comparison table shows the differences in capabilities between Xero’s built-in inventory tool and Inventory Plus. If you have multiple items for one quote, you can click the Add row button, and if you need to rearrange items you can drag and drop item lines by left-clicking on the icon to the left of the item line. All you have to expense definition do to create a quote is click on the Business menu in the dashboard, select Quotes, then click on New quote.

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 feature is that Xero lets you schedule recurring invoices (or “repeating invoices”) by setting the send date, frequency and end date. Automatic payment reminders encourage customers to pay on time, saving you from following up and dealing with unpaid invoices. You can set the software to send reminders before the payment is due or when it’s past due; you can also set up the system to email your customers’ receipts after receiving and recording payments. A bar at the top of the interface contains several drop-down menus that house Xero’s features.