Xero is an awesome bookkeeping solution for small business owners!
Xero is an awesome bookkeeping and accounting software solution for startups and small business owners. It is indeed a good match for business owners who know nothing about accounting in order to keep their books and to properly manage their finances.
From my own experience, I found that Xero is very user-friendly and its accounting interface is streamlined, almost seamless, and uncluttered. The Demo Company is very useful as you can manipulate data without worrying about messing up vital information in your practice company.
Xero’s accounting dashboard shows the snapshot of your business (i.e., bank balances and reconciling items, outstanding invoices, and bills, accounts on the watchlist, etc.) and fully customizable depending on your needs.
Quickbooks had been the leader of accounting software for small businesses for quite some time but Xero is becoming more popular because of its competitive offering and value proposition. Xero’s starting plan is very affordable and you have the option to add-on some features depending on your need. It also offers a basic inventory and fixed asset management functionality in all of its plans, which is very cool! And the best thing about Xero is the unlimited users allowed to access the financial information.
- Affordable and cost less for startups and small businesses
- Includes fixed assets and inventory management in all of its plans
- Very user-friendly especially during migration or conversion of data
- Allows unlimited users
- Friendly 24/7 customer support
- Some countries lack a built-in payroll option.
- Customized reporting options are still limited. I wish Xero can allow you to create your own report.
- The contact list of customers and suppliers is mixed together and needs to set-up manually to organize.
Easy, Intuitive Software
Reliable + intuitive accounting software that just works.
Has been an intuitive experience. Able to reconcile transactions quickly and bank feeds are reliable (no need to reconnect type issues). Quick rules to auto-classify recurring transactions are nice time saver.
Not many concerns. Wish there was an annual discount. But overall serves our needs without problems.
I can't wait for it to be finished!
It's a lot of money to get setup with a certified consultant. Very few consultants available in Canada. When we did find one she was great but she bills you for every second she works. As in not any free advice. My lawyer is easier to work with.
As a former quickbooks user of about 20 years, it was a big deal to switch platforms. At first glance it looked like it would do everything we wanted. I loved the price point, the interface and relative ease of use. The multi currency was great as was the ability to integrate with Stripe. You make a lot of compromises to save on the huge monthly cost of quickbooks but there are workarounds.
There are so many things that are just common/must have's for any business. Things like progressive billing, job costing and even the ability to make your own journal entries are missing. We had to hire a consultant and spend around $800 just to get it to add purchases easier to the mix with HubDoc. You see job costing catagories at the invoice level but not software or 3rd party app to back it up. The single most annoying thing about it is the support. It's non existent. You complain, They tell you its not a problem and ignore your requests. I struggle daily with the search function. I can't get about 50% of my searches to work. The clients I'm looking for are entered. I'm typing them in fine but you often have to visit contacts menu and find them manually by quote number or just never ending scrolling. Upon complaining numerous times the best they can do is say "it might take up to two weeks for your contacts to sync. " Xero: It's 2020 and the dark ages of cloud software have passed. You need to fix the search function and add job costing to be considered a contender. So here we are in 2020, manually adding each of our sales to a spreadsheet and adding the subsequent bills to it to see if we made $. They make it incredibly hard to contact support and they are quite unresponsive when they do reply to your ticket. They try really hard to push you to support forums, where there are literally hundreds of complaints on the same issue with the ability to comment closed.
Accounting Software Design for the Business Owner
Xero give me, an accountant, a tool to provide my clients with that effectively gives them a tool for keeping their daily records in an orderly fashion make my job easier at the end of each month.
Xero have been designed to be used by non-account business folks. However, once the data has been listed an accountant has a great tool to use to finish the company financial records (Monthly, Quarterly & Annually). It is also priced at a rate that works for most business owners.
I really do not know of any areas within the software that I can list as "Least" liked. I do not know of any significant problems which I believe need correcting.
Great, intuitive and easy to use bookkeeping software, lacking for accountants, NO customer services
It is so easy to use but support has to come from Accountants who are not customer service or techies and who are not adequately compensated for their efforts. It is enjoyable to use and definitely does the basics very well.
For bookkeeping, small and medium-sized businesses this software is a dream. It is the most intuitive and easiest to use of all the accounting software that we reviewed. As an accountant, it is easy to fix user errors and mis-postings. There is a proper audit trail and safety checks built in. There are so many time-saving features like find and recode, repeating bills/invoices/journals, bank rules. The move toward AI is exciting too.
The reports aren't GAP or IAS compliant so it is no good for reporting, final accounts production or tax. To get accountants interested and recommending Xero in the early days, they promised accountants that Final Accounts Production and Corporation Tax software was in their development queue but it never materialised and they burnt a lot of bridges with accountants when they announced that they had dropped FAP plans. This is why Quickbooks are getting such a big foothold and stealing market share from Xero.
The software is expensive for what it is and you can get a lot more and better for your money with FreeAgent and QuickBooks.
The biggest let down for Xero is that there is no telephone support, at all. Not even call back. You have to email and if you are on the opposite side of the world from New Zealand, it can take a full day to get an inital response and if there is any misunderstanding or info required, it can take days to get your problem resolved. This is really useless and a deal breaker for serious businesses.
Another major failing in Xero is the number of times that the Bank Feed just doesn't work. This is outwith Xero's control and so it can often take months to resolve. This is amateur and best and negligent at worst.
Good Accounting Software, but lack decent reporting and live chat support
We switched from QBO to Xero due to several issues with QBO. However, the migration to Xero is clunky as you have to use a middleman called MoveMyBooks - Xero will pay for up to 2 years books to be moved but any more you must pay. But, things like Employees, Payroll, Expenses etc will not be migrated so you end up spending weeks manually (Yes, Manually) created Expenses yourself all over again in Xero. Very painful and cost my business thousands for false advertising a simple switch,
Easy to use, easy to input data and there's often little popup boxes to explain what elements are. It's cloud managed, so no need to download any software or store anything locally.
Support is a bit, there isn't a live chat support like there is with competitors and it lacks the aesthetics of products like Quicbooks and the same level of reports.
Software made for the cloud
We love the intergrations with other cloud-based software that is a feature of Xero; the bank feeds make reconcilling a quicker process.
I love that Xero was designed from the ground up to be cloud-based. A number of years ago we were looking for an accounting solution which would enable our virtual team to access it. We were currently using Quickbooks, which had, at the time, very limited cloub-based capability.
Xero looked great, was easy to use, and made it possible for our virtual team to work together.
We had to adjust some of the program for our non-profit. We had someone who was quite familiar with the program help us set it up, especially the bank feeds and integrating Receipt Bank. However compared to other implementations this one was easy and went smoothly.
Great for Small Business
Really great to date. No major dramas or I would have changed by now.
As my business started to grow, I needed an accounting package that would be simple to use and help me to generate reports easily for the ATO, payroll, etc. Numbers are not my 'thing' so I relied on my accountant to suggest a package which ended up being Xero. I really have not had any trouble working out everything I need to do. Coding expenses is easy, generating BAS and Super reports is also simple. Anytime I have a problem, I contact my accountant who just walks me through the process. Fantastic.
The only thing I've found difficult is trying to do payroll via the app while travelling. I don't believe it is set up for this but I could be wrong (ie must have access to the full program to process pays). I know there is a lot more functionality available as well, but I haven't had time to play around with it all and I think it can be a little overwhelming if accounting doesn't come easily. In saying that, the software is very user friendly.
Makes the bookeeping process logical and easy to follow
If you’re a small or startup business owner and haven’t any understanding of bookkeeping, try watching some of the better youtube videos, especially those done by bookkeepers and accountants on basic theory and practice. Take your study seriously and cross-reference information. Then watch the Xero videos available, not just from the company itself but also from accountants and bookkeepers. Good luck and welcome to the 21st century of online bookkeeping!
Xero has an interface that's easy to read and to navigate. The setup process is well presented and the support is good in response to tickets and also in their excellent training programs.
Once you’ve understood how the flow of importing transactions and bank feeds, reconciling and generating reports is presented, you can keep your bookkeeping well ahead of any competitor’s product.
Any bookkeeping software requires some knowledge, training and experience in the theory and process of accounting. Xero is no exception, despite what may be claimed.
Having said that, Xero is the least difficult to comprehend of the better softwares available.
Excellent Invoicing Capabilities for Clients
Our biggest problem was delinquent payments or clients preferring to send checks. While Xero still allows us to state in the invoice we accept checks, the ability to link directly to the payment portal has increased credit card payments by 75% which increase our efficiency in processing and closing out accounts.
We love the intuitive nature of the software that allows us to quickly craft an invoice and have that PDF invoice hyperlinked to the payment portal section of Xero. In addition the ability to track when a client has opened allows little room for any excuses for late invoice payments.
We send a very limited amount of invoices per month, so the cost to invoice ratio can be a bit high when broken down. A pay per invoice price structure might be a better method for those that only send 5-6 invoices a month.
Xero, a great accounting software easily adaptable globally
Xero has been great to use with our network of global businesses.
Xero is a great cloud accounting software. We have clients from all over the globe and Xero has worked just as well for clients in the United kingdom as well as clients in South Africa and Australia. The basic functions are very user friendly and our clerks get on well with it. Xero integrates with thousands of apps if you are one for automating functions. This makes sure that you can bring the latest technology to you using approved apps. There is a also a free trial period that allows customers to make sure this system works for them.
Xero may become a bit expensive as you add more apps for more functionality. It would be good to have a fixed cost which would allow access to all the apps in the Xero app store thereby allowing you to know that you will have no extra costs no matter what you decide to add on.
Amazing kiwi product just needs a call centre
Amazing completely changed my accounting career and business!
Makes your accounting easy. Saves you time and money and allows me as an accountant to get closer to you. Really worth the additional spend to save your time.
The only thing they could do better is have a call centre!
Perfect accounting solution for people who run their own business
Excellent all round accounting package for companies small and large.
Complete accountancy services for a small business.
This software as a service has everything a business might need including full employee PAYE, expenses and purchase order integrations.
As a small business owner its very easy to align your bank and client accounts with xero. The functionality from just the mobile app is tremendous, let alone the full Web app experience.
Roles are important in xero, from employee expenses to external accountancy and consultancies, you can give everyone a suitable level of access.
There are a few issues around invoicing that you aren't able to control. For instance, if you have a bad paying client and need to automate incurred interest you'll need an add-on's service and these can add a great expense to the smaller business.
Xero - Software for Dummies
Overall the experience has been good for what we need at this time.
Ease of use. The system is extremely easy to use; regardless of how tech savvy the person is. From entering invoices, paying bills and reconciling accounts every part is easy to follow along. No real training needed.
I wish that we could set things up to do autograft payments direct through the system vs. through our bank.
Good Value and StraightForward
I enjoyed having Xero and made use of it whilst I had it. It was simple enough, even for a novice user like myself. The fact I could integrate it with my bank account and automatically enter expenses and raise invoices with my own branding etc. was great.
I only stopped using it because my bank started offering free accounting software with my account and so it made sense to use that. Whilst it may not have all the features of Xero, it does enough for me. I'd have no issue going back to Xero if/when the need should arise though.
I signed up to use Xero as I needed some accounting software to manage my business finances. There was a half price trial which attracted me to it and also I could automatically integrate my bank account in with the software which seemed like a great idea to me in order to keep things simple.
I'm no accountant and so I liked this feature and it was also relatively simple to manage VAT returns and EOY accounting too without needing to know too much.
I'm not sure that there was anything I didn't really like about the software. I think any issues I had were because I was a novice user. So entering some expenses took me longer than perhaps they should because I was never 100% sure of what I was doing, but I don't think I can blame the software for that. The guidance was all there.
Powerful software that's too expensive for sole-traders
Xero is excellent for book-keeping my own business, although the learning curve was very difficult (and I've had this feedback too from friends and family who use Xero too) and every month when the service is charged I find it difficult to justify the cost of it - it is far too expensive for a sole trader. That being said, it has significantly eased my book-keeping and the auto-reminders for clients regarding invoices has reduced a lot of stress. There are alternative services that seem to offer service parity for sole traders that are half the price (i.e. Rounded) that do look appetising, however the inability to export my data offline is a problem, and accountants prefer to use Xero.
Excellent feature set including bank reconciles, quoting, invoicing, auto-reminders, ability to share with accountant
Very difficult and stressful to learn, far too expensive for sole traders (needs a better suited plan for sole-traders), too many periods of unexpected down-time per year, inability to export data offline for backing up or long term archival, needs better systems for tracking expenses from other accounts that aren't banking related (i.e. transport cards where expenses could be claimed for travel).
Great accounts for business
I like the way xero integrates with lots of other programs, so you can easily connect your bank account, sales channels, inventory management and alaylitcs software. With all these integrates the work load is reduced considerably, making it feasible to do day to day book keeping as you go without hiring a specialist.
The product is constantly growing with new integrations and reports added, you can also directly post VAT returns and other official filling to HMRC from inside the app.
I would like to see a full function smartphone app and native desktop app. At the moment the iPhone app allows limited functions but you have to go to the web app to get all the real functionality.
Xero - A Truly Cloud Accounting Software
The software is feature-packed and easy to use. With that said, it might be costly for you if you have a lot of users and add-ons.
What I like most is the automation and reporting capabilities of the software. There are features in order to correct multiple erroneous entries like Find and Recode and lots of add-ons to integrate to other Softwares. The reports selection is wide and if you're a practice partner, you'll have even more access to the reports ready for external reporting.
For me, the pricing is a bit high especially for a small business or freelancers. The lowes option starts at $20 for 5 invoices, 5 bills, and 20 bank transactions which can be easily exceeded with use.
Concerns with Xero
We've been using Xero for about two years now. There have been a few hiccups along the way but for the most part things have been ok. Recently however, we've had a problem with our bank feed uploading into Xero in order to reconcile transactions. We first encountered this issue on 2/10/18. We informed Xero and they said they would look into the issue. A couple of weeks went by without hearing anything about the feed working as it should. We contacted them again and they said they were still working on the issue but that we could manually download the transactions ourselves in the meantime. Today is 4/10/18 (2 months later) and they still have not fixed the issue. We are still having to manually download these transactions ourselves in order to reconcile our bank accounts within the Xero software.
I spoke with Xero this morning and they still do not have a timeline for when this will be fixed. They said they use an outside company to perform the importing of bank feeds functions and that they are not responsible for it not working. They said when we signed up for the Xero service we were informed about the possibility of the feed possibly cutting out at some point in the fine print (terms & conditions). They refuse to issue any sort of refund for their monthly service during this time of inconvenience because they say the bank feed import function is a free service offered by a third party.
The problem we have is that Xero is marketing this service as part of their overall monthly service package which you assume is really included in your monthly service fee you pay to them. When it doesn't work they take no accountability for it not working. We think it's very deceptive for them to market a service (bank import functionality) to prospective buyers, which you assume is included with your monthly service fee, but then take no responsibility for it not working when things breakdown. We believe they do this to gain a competitive advantage over other companies like Quickbooks. Instead of just charging for the bank import service which would increase their monthly service fee and make them less competitive on a price basis with their competition they artfully setup their service to be able to offer a more competitive price but not assume any of the responsibility when the service doesn't work as expected. The general consumer doesn't think to put this deceptive tactic together when they sign up for the service and Xero assumes once they have you onboard you'll deal with the issue until they can get it fixed because switching accounting software companies at a later date is extremely inconvenient.
The service accomplishes most of what it was intended to do albiet at a bit of a learning curve for the new user.
There is no customer service support number to call. Bank feeds do not work properly. IOS app is mising some functionaility
Xero is a good online billing platform for small businesses
For small businesses who have basic needs, Xero is great. Easy setup and has does most of the things you need.
Xero is easy to use - even employees can use it to load sales invoices and employee expenses. It is great that they have an IOS and Android App, allowing you access on the go. Tracking and reporting on invoices is easy and with integrations with 3rd party services you can easily receive and send information.
It does not update directly from our banking platform - to let us know an invoice is paid. Also if someone requests finance to approve an invoice, finance does not get an notification. You have to let finance know and they have to go and find the invoice and approve.
I hate bookkeeping so much less now!
Before I switched to Xero, I was going my business bookkeeping in Gnucash, and it was all a very manual process - downloading bank files, importing them into my software, categorizing all of the transactions, creating invoices and bills, marking payments. I hated every minute of it. Xero makes so much of that automatic, and the rest is easy and painless. I can stay on top of it, so I can always see exactly what's going on with my business.
The bank feed integrations make it so easy to keep my books up to date. It's also pretty great to be able to do quick updates in the mobile app - I mostly use it to reconcile transactions, and I love it that it auto-suggests matches for existing transactions and repeated transactions.
I wish the phone app had an option to create transfers between accounts. If it could do that, I'd almost never need to log into the desktop app except to view reports.
Support if dreadful
I cannot recommend this product, if you needed to contact support for an urgent request you are more than likely going to be left completely unoperational.
An easy to use software that provides good basic features. Software is usually trouble free.
Customer support is virtually non existent. You need to navigate to an online form and once submitted you wait with no acknowledgement that your request has even been received. Wait time is measured in days - 3 days it took before our last support request was answered and then it was obvious the support case worker had very little understanding to the issue raised which.
A relatively support
Industry Leader in Cloud Accounting for a Reason
Xero HQ is perfect for managing multiple clients at a practice level (i.e. bas notifications, billing, user permissions).
The Add-On suite is still growing rapidly. Across multiple industries I have used several different Add-Ons for HR, Inventory, Job Costing etc and all are integrated with Xero effectively and seamlessly.
Easy to recommend to clients due to its standing reputation.
The budgeting tool and complex reporting tool is still slightly obtuse and insufficient (give me a three way budgeting tool within Xero!)
Great accounting software!
We have had a great experience with Xero and look forward to using them in the future. I know that the software will only continue to get better and more robust.
I appreciate the functionality of Xero and that they are still coming out with new features to try out. The reporting in Xero is clean and just what we need.
For complex accounting situations, Xero doesn't always have the ability to record such situations. These are limited in occurrence. I think the Checks module in the software is my least favorite just because it could use some simplifying in terms of how you void a check, for instance.