Xero Overview
What is Xero?
Xero is a cloud-based small business accounting software with tools for managing invoicing, bank reconciliation, inventory, purchasing, expenses, bookkeeping and more. Xero is the alternative to QuickBooks. It’s modern, small business accounting software that lives in the cloud. It’s accessible from any computer or mobile device, making for a smarter and easier accounting process. Beautiful design The Xero dashboard presents users with a clear and concise overview of their financial situation. It provides small business owners with a greater understanding of their cashflow by highlighting bank balances, outstanding invoices, upcoming bills and expense claims in a visually appealing way. Connects with 500+ business apps Xero integrates with a variety of third-party apps commonly used by small businesses. Data flows directly into the Xero ledger, removing the time and effort required for manual data entry. Simple bank reconciliation Daily bank and credit card transactions are automatically imported into Xero and matched to their corresponding accounting transaction. Doing bank reconciliation is as easy as confirming the match is corrected and clicking “OK.” Free unlimited users Every Xero plan comes with unlimited users. No need to pay for extra licenses. Collaborate with colleagues or invite financial advisor to view data remotely and get valuable real-time advice! Seamless, automatic updates New features are added frequently based on feedback from our customers. Automatic updates occur every 3–6 weeks in the cloud, not on desktop. Unlimited email support Xero provides unlimited, around-the-clock email support from an experienced and knowledgeable staff. Convert from QuickBooks and Sage Xero will convert QuickBooks and Sage data for free when users sign up for a new account.Xero Overview
Pricing
Pricing options
Starter: $20/month
Standard: $30/month
Premium: $40/month
Xero Features
Screenshots
Xero Reviews for UK Users
Xero Reviews for UK Users
Absolutely love Xero
Xero has allowed us to get a real, detailed view on the financial situation within our company from one place. With a comprehensive setup, it can provide real value from day one.
Super Simple Accounting Software for Small to Medium Sized Businesses
As a small business our main priority is to keep our monthly book keeping tasks simple and quick. Since moving to Xero from MYOB we have found a significant reduction in our book keeping time input. We are NOT accountants or book keeping experts and Xero as an accounting system has definitely made this part of our business much more efficient. We are guided by our accountant as how best to use the software and have been able to develop a simple client - accountant relationship with Xero being the main conduit of information between us.
Affordable professional level accounting software for small business
It's been easier to use Xero than I expected, but I had a nasty surprise at tax time when I realized the default accounts/descriptions for expenses did not correlate 1:1 to IRS categories. (I should have checked this more closely when I set up my accounts because it's a New Zealand company, and the previous product was local.) This means I will need to double-check all my transactions for 2018 and the IRS has my vastly overestimated tax payment until I can do that and file my return on an extension.
I've had a much better experience importing data from financial institutions because Xero uses a well-known importing service that is trusted by the institutions.
I like being able to match multiple invoices to bank deposits because I usually don't run to the bank for each check. This will be more valuable as my company grows.
I should probably find an accountant to assist me with this, but I haven't found an accountant who understands both craft businesses and Xero.
Xero makes reconciling fun
I use Xero in two roles in my life, one as an employee and the other for the accounting software for my husband's business.
In my work New Zealand schools use this software as it is relatively easy to learn, quite intuitive and uses cloud accounting, enables document uploads for accountants to view etc. Once well set up it is also fast to use on a day to day basis.
At home I assist my husband to reconcile our business transactions for our accountant. We don't have to go in to the accountant's office or email invoices etc as we can upload them to Xero for him to see. You can set up the dashboard to get an overall view of your business and how much money is owed to you, and bills you owe, how you are tracking month to month, and the balances of your accounts you have linked to Xero.
Xero truly puts powerful data in the hands of small business owners
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Absolutely love Xero
Pros
Xero has transformed our financial management and provides us with all the real time data we could imagine, and where it lacks, integrations take over. While more "accountancy" friendly than some of the more simple products, once you work with your accountants to get this right, you won't regret it. The detail, features and holistic approach to managing company finances means that we are using this every day and with pleasure.
Cons
The interface is being updated, and it is needed as it is a little old fashioned in its design. That said, it is clean and clear and otherwise we love everything about Xero.
Super Simple Accounting Software for Small to Medium Sized Businesses
As a small business our main priority is to keep our monthly book keeping tasks simple and quick. Since moving to Xero from MYOB we have found a significant reduction in our book keeping time input. We are NOT accountants or book keeping experts and Xero as an accounting system has definitely made this part of our business much more efficient. We are guided by our accountant as how best to use the software and have been able to develop a simple client - accountant relationship with Xero being the main conduit of information between us.
Pros
As a small business we found Xero to be a simple and very cost effective solution for all our accounting - book keeping needs. Xero is very easy to set up with your accountant and reduces the time you need to spend on book keeping tasks each month. With automatic bank feeds the time we need to reconcile our accounts each month is minimal. The audit trail features mean any issues that arise can be quickly found and fixed. Being able to notate any transactions enables our accountant to quickly respond to our queries. As a small business keeping our external accountant costs down is very important to us and by using Xero means the time our accountant has to actually spend on our accounts is less and therefore so are the invoices we receive from him!
Cons
Some of the automatic accounts Xero suggests you reconcile to are not correct so it is important to double check each transaction before reconciling. We had issues setting up some of the automatic bank feeds and still have one bank account that will not process the feeds so we need to enter those transactions manually. When uploading a file of transactions we also had some issues and found it quicker just to manually enter them into the software.
Affordable professional level accounting software for small business
It's been easier to use Xero than I expected, but I had a nasty surprise at tax time when I realized the default accounts/descriptions for expenses did not correlate 1:1 to IRS categories. (I should have checked this more closely when I set up my accounts because it's a New Zealand company, and the previous product was local.) This means I will need to double-check all my transactions for 2018 and the IRS has my vastly overestimated tax payment until I can do that and file my return on an extension.
I've had a much better experience importing data from financial institutions because Xero uses a well-known importing service that is trusted by the institutions.
I like being able to match multiple invoices to bank deposits because I usually don't run to the bank for each check. This will be more valuable as my company grows.
I should probably find an accountant to assist me with this, but I haven't found an accountant who understands both craft businesses and Xero.
Pros
Professional double entry software at a very affordable price
Accommodates both cash and accrual accounting
Links to financial institutions to get transactions
Uses standard importer recognized by the financial institutions instead of just trying to log in remotely (and triggering fraud alerts)
Can match multiple invoices to a single deposit transaction imported from bank
Can keep using Xero as company grows
Cons
Pre-existing expense categories/descriptions don't map 1:1 with IRS definitions, so I'm having to go back to all my receipts to make sure expenses are entered in proper accounts because I didn't realize this when I switched
More difficult to focus on specific expense categories to check transactions
Have not been able to import historic data from previous app (possibly because it's not double entry) so I am still paying the subscription on that software to retain access to my data
No integration with Craftybase, so I have to enter supply purchases and customer invoices there independently
Xero makes reconciling fun
I use Xero in two roles in my life, one as an employee and the other for the accounting software for my husband's business.
In my work New Zealand schools use this software as it is relatively easy to learn, quite intuitive and uses cloud accounting, enables document uploads for accountants to view etc. Once well set up it is also fast to use on a day to day basis.
At home I assist my husband to reconcile our business transactions for our accountant. We don't have to go in to the accountant's office or email invoices etc as we can upload them to Xero for him to see. You can set up the dashboard to get an overall view of your business and how much money is owed to you, and bills you owe, how you are tracking month to month, and the balances of your accounts you have linked to Xero.
Pros
I like the ease of reconciling because once you get set up and code a few items it remembers them for next time for a faster job (you still have to check them to see if they are correct first).
I find it fun and satisfying to reconcile in Xero as it is quite visual, you see several lines waiting to be reconciled and then as you work through the transactions, coding them and clicking on the middle button, they disappear. Setting up bank rules is also a huge benefit, as they get coded automatically, ready for you to just hit the green 'ok' button. You can use this for your usual bills for example, electricity bill, local cafe, cell phone bill, internet charges. Although it does take time to set bank rules up to make sure all details are accurate, it saves time in the long run.
I like the fact that customers can upload documents into the files section of Xero and their accountant can see these documents immediately to work on them or code them.
I also like the search function as you can search for a particular number, or the first few letters of a name or business to find relevant transactions.
Being able to generate invoices and email them direct from Xero is great as it saves time.
Cons
It is not the software's fault exactly, but because reconciling is so easy there is a temptation to accept what Xero suggests for a transaction and reconcile to this account, instead of pausing and really checking if the code is the best one.
Xero is first and foremost a business accounting software, so the reports it can generate may not be exactly what other users of the software need, like schools for example, who may need a Xero add-on to get what they most need in regards to reports.
Xero truly puts powerful data in the hands of small business owners
Pros
I have been using Xero for a good number of years now and can only recommend it! The usability is fantastic, the ability to see really clearly how the accounts work is groundbreaking in its field. I love the bank reconciliation and the bank feeds. The automation of data is actually fun and linking it into the add-ons can make life a lot easier and save time and money. It is a great way to keep things simple and clear. I love the advisor features, that you can't break it (although you can make a real mess if not careful). For me the biggest benefit is the clarity of the data and the ability to drill down into virtually anything.
Don't use Xero in super complex scenarios and I would recommend that you employ a proper XERO accountant - who actually knows how to use Xero and uses the data when using it though or you will end up paying twice - once for entering the data to xero - and again when the accountant pulls it out into their own software. Overall I would absolutely recommend Xero for people who are more serious than working in spreadsheets but who are turning over £50k-£3m+ with a fairly simple process.
Cons
We have found that Xero does not work well in all scenarios but there are work arounds - the bigger the business and the more complex the processes the less it suits but then if you are bigger/more complex you should arguably be using something else!
Support is not awesome! It can take time and you are often met with unhelpful suggestions. There has been an increased number of 'blips' in the software in more recent months and the support has been almost useless in those cases and I have had to find workarounds. Conversation/instant message support should surely be on the cards?
Another thing that I don't like is the highly evangelical nature of the conferences! It borders on the cultish and if you are not 'in' then you are definitely 'out'! I have not found there to be any benefit to being on the 'directory' for that same reason.
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Xero Pricing
Xero Pricing
Starter: $20/month
Standard: $30/month
Premium: $40/month
Starter: $20/month
Standard: $30/month
Premium: $40/month
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Xero Features
Xero Features
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Categories
Categories
Video Tutorials
Video Tutorials
Additional information for Xero
Additional information for Xero
Key features of Xero
- Access control
- Ad hoc reporting
- Assignment management
- Auto-matching
- Automated scheduling
- Automatic backup
- Automatic updates
- Balance sheet
- Bank reconciliation - auto import & code transactions
- Billing & invoicing
- Budgeting
- Bulk imports
- Business analysis
- Business asset tracking
- Business performance analysis
- Cash coding
- Cash flow management
- Cashflow forecasts
- Charting
- Check printing
- Contact history
- Contact management
- Convert from QuickBooks
- Credit card processing
- Currency conversion
- Customer & supplier tracking
- Customer database
- Customer history
- Customizable branding
- Customizable reporting
- Customizable templates
- Dashboard - see bank balances, sales & bills
- Data import
- Data import/export
- Data security
- Depreciation & disposal
- Depreciation calculation
- Depreciation tracking
- Document approval
- Document management
- Document storage
- Document templates
- Drag & drop interface
- Electronic payments
- Email integration
- Email templates
- Expense claims
- Expense tracking
- File & transaction storage
- Files attachments
- Financial management
- Financial reporting
- Fixed asset management
- Free, unlimited email support
- General ledger
- Goal setting / tracking
- Inter-company funds transfers
- Inventory management
- Inventory tracking
- Invoice management
- Invoice processing
- Invoicing - create and send invoices automatically
- Keyboard shortcuts
- Manual journals
- Mobile apps (iPhone, iPad, Android)
- Mobile integration
- Monitoring
- Multi-currency
- Order confirmation
- Order management
- Order tracking
- Pay bills
- PayPal & Stripe payments
- Payment processing
- Payroll management
- Permission management
- Price management
- Profit / loss statement
- Progress tracking
- Purchase order management
- Quick & easy 1099s
- Quote management
- Real time data
- Real time reporting
- Receipt management
- Receive bills electronically
- Recurring billing
- Reimbursement management
- Repeating journals
- Retail inventory management
- Sales & spending monitoring
- Sales tax management
- Search functionality
- Smart lists
- Status tracking
- Stock management
- Template management
- Third party integration
- Transaction history
- Watch list
Benefits
GetApp Analysis
GetApp Analysis
Xero is an online accounting software suite that utilizes a modern cloud network to fully accommodate the complete range of accounting needs. The app allows you to coordinate and manage all financial processes within an easy to use platform, accessible from all internet-enabled devices.
The software is geared towards small to medium-sized businesses looking to increase their accounting efficiency while at the same time adding a little fun to the process. The app also serves as a remote collaboration and advisory platform for accounting professionals, eliminating the need for client visits and unnecessary paperwork.
The user-friendly dashboard transforms the resource draining and time-consuming tasks of transaction monitoring, bill paying, invoice issuing, purchase order creation and expenses management - to name a few - into enjoyable activities that support accountants in their daily tasks and free-up business owners to get more out of their limited time. Xero also provides payroll management for users, customers or businesses in the US and Australia.
What is Xero?
Xero’s main purpose is to transform the accounting processes into a more efficient and enjoyable experience for small business owners and their accountants. The app succeeds in doing this by allowing all team members concerned in financial operations to connect to the company’s financial database via their desktop computers, laptops and mobile devices. This enables all stakeholders and the company accountant to track, collaborate on, and complete accounting tasks from home or on the go.
The benefits of using Xero to manage your accounting activity are evident in the enhanced accessibility of financial data, the collaboration opportunities, the transparent pricing and processes, and the unburdening of time and human resources.
Using Xero, small businesses who previously relied on spreadsheets, messy paperwork and dispersed files to manage their balance sheets, can rest in the knowledge that their financial data is more accurate and up-to-date than ever.
Xero Main Features
Bank Reconciliation
All financial transactions are automatically imported into the Xero database and linked to the corresponding accounting transactions. All the user has to do in order to confirm that the match is correct, is to press the “OK” button and the transaction will be reconciled in the system. Users who need to import feeds from more bank accounts, credit cards and PayPal accounts, will be happy to know that Xero can do this in a few minutes.
Xero also lets you reconcile more complex transactions, such as split payments, by defining your own custom rules. Furthermore, this feature includes fast cash coding, providing the ability to import and automatically reconcile pre-coded bank statements. This is the perfect tool for reconciling large numbers of transactions and for importing data from other systems.
Dashboard
The Xero dashboard is where business owners can get a complete picture of their key accounts, income and expense reports, upcoming bills and pending invoices. This feature provides a valuable overview that gives users a clear understand of all their company’s financial activities in a glance. Moreover, certain accounts can be watch-listed and monitored in greater detail by enabling notifications.
The layout of the dashboard makes it easy to use and navigate, while the intuitive graphs provide a visual understanding of key data that helps users compare account activity in a more tangible way. The dashboard not only displays data, it also allows you to perform tasks such as adding accounts, bills and issuing invoices by clicking on the corresponding buttons.
Invoicing
Xero’s invoicing system forms an important part of the accounting suite letting you generate and customize professionally branded invoices. The customization options include the addition of your company’s logo, foreign currency conversion, and the ability to save different templates to be used for separate clients.
The online invoicing system can issue invoices for payments that come from PayPal accounts, bank transfers or credit cards, with no country-related exceptions. One of the key features of Xero’s invoicing tool is the notification system that alerts you when your invoice has been opened by the recipient, eliminating any confusion over “lost invoices”.
If the payee is based in a foreign country and using a different currency, Xero will undertake the task of automatically converting the invoice into the currency used by the client. This means that you never have to worry about calculating exchange rates. Xero covers over 160 currencies and automatically updates exchange rates every hour.
Add-On Marketplace
There are many activities related to running a small business outside of bookkeeping and accounting, however most of these activities are interlinked in some way. Many small businesses already use a number of other systems such as CRMs, inventory management tools, time trackers, receipt scanners and so forth. Importing all this data from multiple apps to Xero can seem like a daunting task, however this is made hassle-free through the some 500 plus add-ons offered on the Xero Marketplace.
The marketplace provides easy navigation and search options that let users find what they are looking for fast. Add-ons are listed across 15 horizontal categories and 11 industry verticals. The Xero Marketplace is your one-stop source for all integration needs, with seamless integration offered between Xero and any app you sign-up for on the marketplace.
Automatic Updates
For a system that holds strictly private information in the cloud, it is of the utmost importance to remain secure and impenetrable by hackers and other malevolent attackers. Xero developers are perfectly aware of this potential security threat and for this reason provide a dedicated security team whose job it is to keep your data safe on a daily basis.
As users go about their daily business, the Xero team are busy providing constant improvements to their service, adding small adjustments and new features on a constant basis. New features are added every 3-6 weeks to ensure that the efficiency of the app and your user experience are always at the most optimal level.
Xero Integrations
Integrations is an area that Xero has covered one hundred percent. As a business owner running multiple apps, having the ability to have your apps speak to each other is fundamental. For this reason, the Xero Marketplace is a stroke of genius.
The Marketplace offers an ever growing list of more than 500 add-ons categorized by the business needs they serve. Some of the most popular of these add-ons include: Bill.com, Constant Contact, Square, Squarespace, Zen Payroll, Stitch Labs, Kabbage, and BodeTree.
Further popular add-ons include: Harvest, Batchbook CRM, Vend, Evernote, PayPal, Xpenditure, Expensify, Unleashed, WorkflowMax, Spotlight, Magento, Podio, Eventbrite, Infusionsoft, and Receipt Bank.
Xero Pricing
Xero’s pricing plans differ according to region. Prospective users should consult the official pricing page of the corresponding Xero website for their location. In general, Xero is offered through 3 different plans. The most basic is the “Starter” plan that costs $9 per month and is limited to five invoices, five bills and 20 bank transactions.
The next plan is the “Standard” package that costs $30 per month and offers an unlimited number of invoices, bills and transactions.The “Premium” plan, costing $70 per month in total, supports multi-currency transactions and is thereby aimed at businesses that have multi-national clients and collaborators. A 30-day free trial of the “Starter” pack is available.
Xero Bottom Line
- Carry out and collaborate on all accounting and bookkeeping tasks from any internet-enabled device
- Integrate with your existing applications through the Xero Marketplace - offering over 500 add-ons.
- Generate insightful financial reports and view all financial activity through a KPI dashboard
- Easy to use, intuitive interface with clear navigation
- Mobile application for accounting and collaboration on the go
Xero FAQs
Xero FAQs
Below are some frequently asked questions for Xero.
Q. What type of pricing plans does Xero offer?
Xero offers the following pricing plans:
Starting from: US$20.00/month
Pricing model: Subscription
Free Trial: Available
Starter: $20/month Standard: $30/month Premium: $40/month
Q. What are the main features of Xero?
Xero offers the following features:
- Access control
- Ad hoc reporting
- Assignment management
- Auto-matching
- Automated scheduling
- Automatic backup
- Automatic updates
- Balance sheet
- Bank reconciliation - auto import & code transactions
- Billing & invoicing
- Budgeting
- Bulk imports
- Business analysis
- Business asset tracking
- Business performance analysis
- Cash coding
- Cash flow management
- Cashflow forecasts
- Charting
- Check printing
- Contact history
- Contact management
- Convert from QuickBooks
- Credit card processing
- Currency conversion
- Customer & supplier tracking
- Customer database
- Customer history
- Customizable branding
- Customizable reporting
- Customizable templates
- Dashboard - see bank balances, sales & bills
- Data import
- Data import/export
- Data security
- Depreciation & disposal
- Depreciation calculation
- Depreciation tracking
- Document approval
- Document management
- Document storage
- Document templates
- Drag & drop interface
- Electronic payments
- Email integration
- Email templates
- Expense claims
- Expense tracking
- File & transaction storage
- Files attachments
- Financial management
- Financial reporting
- Fixed asset management
- Free, unlimited email support
- General ledger
- Goal setting / tracking
- Inter-company funds transfers
- Inventory management
- Inventory tracking
- Invoice management
- Invoice processing
- Invoicing - create and send invoices automatically
- Keyboard shortcuts
- Manual journals
- Mobile apps (iPhone, iPad, Android)
- Mobile integration
- Monitoring
- Multi-currency
- Order confirmation
- Order management
- Order tracking
- Pay bills
- PayPal & Stripe payments
- Payment processing
- Payroll management
- Permission management
- Price management
- Profit / loss statement
- Progress tracking
- Purchase order management
- Quick & easy 1099s
- Quote management
- Real time data
- Real time reporting
- Receipt management
- Receive bills electronically
- Recurring billing
- Reimbursement management
- Repeating journals
- Retail inventory management
- Sales & spending monitoring
- Sales tax management
- Search functionality
- Smart lists
- Status tracking
- Stock management
- Template management
- Third party integration
- Transaction history
- Watch list
Q. Who are the typical users of Xero?
Xero has the following typical customers:
Freelancers, Non Profit, Small Business
Q. What languages does Xero support?
Xero supports the following languages:
English
Q. What type of pricing plans does Xero offer?
Xero has the following pricing plans:
Subscription
Q. Does Xero support mobile devices?
Xero supports the following devices:
Android, iPhone, iPad
Q. What other apps does Xero integrate with?
Xero integrates with the following applications:
Capsule, Entryless, FIVE CRM, Loc8, Payment Evolution, ProWorkflow, Receipt Bank, TriggerApp, Vend, WORKetc
Q. What level of support does Xero offer?
Xero offers the following support options:
Forum, Knowledge Base, Online Support, Video Tutorials
Xero has allowed us to get a real, detailed view on the financial situation within our company from one place. With a comprehensive setup, it can provide real value from day one.