#1 most frequent
Australia
36.0%5,439 installations of 15,122
What is Xero?
Xero is an online accounting software product for small businesses and personal finance. Its features beyond general ledger and double-bookkeeping include quotable invoicing, bank reconciliation, purchase order and expense management, and tax management. Third party apps can extend its features further.
Categories & Use Cases
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Top Performing Features
Electronic tax filing
The software provides a full electronic interface for the filing of repeatable taxes, such as payroll or sales tax.
Category average: 8.5
Journals and Reconciliations
Automate and synchronize ledgers and processes
Category average: 8.9
Standard reports
The software offers pre-built reports with metrics standard to the category.
Category average: 8.5
Areas for Improvement
Centralized Rules Framework
Integrate disparate ERP and transactional systems into single ERP instance
Category average: 8
Configurable Accounting
Configure accounting rules and segments for each chart of accounts
Category average: 8
Enterprise Accounting
Create accounting for disconnected ERP and non-accounting source systems
Category average: 8.1
Who Buys & Uses Xero
#2 most frequent
United States of America
20.9%3,167 installations of 15,122
#3 most frequent
United Kingdom of Great Britain and Northern Ireland
20.3%3,075 installations of 15,122
Pros
- Robust bank reconciliation with seamless bank feeds.
- Effective invoicing and recurring billing capabilities.
- Flexible and customizable financial reporting tools.
Cons
- Limited customization options for reports and invoice appearance.
- Complex or limited integration capabilities with some third-party applications.
- Occasional reports of declining software performance, slowness, or outages.
Xero Review
Use Cases and Deployment Scope
We use Xero as our accounting tool. We don't have any 1099 employees or contractors so our business is pretty straightforward. We just want to know what our margins are, what our revenue and expenses are so that we can keep track of our progress and then file for taxes at the end of year.
Pros
- Sync's to our payroll (Gusto)
- Easy to read reports
- Adding Expenses and Sales
Cons
- 1099 functionality
- More in depth accounting reports
Return on Investment
- reduced time spent on accounting
- improved reporting to see our real time number
Usability
Alternatives Considered
QuickBooks Desktop Enterprise
Other Software Used
Gusto
Xero accounting
Use Cases and Deployment Scope
We use Xero to invoice our clients, track our financial data and submit reports to HMRC. We also use integrations with our bank feed and payment processors (Stripe and GoCardless), in order to reconcile transactions and automate recurring payments from our clients, either using a saved credit card or Direct Debit.
Pros
- Recurring invoices
- Detailed financial reports
- Integrations with 3rd party tools
- Customer payment automation
Cons
- Easy customisation of invoice design
- User-friendliness / learning curve
Return on Investment
- It helps me to delegate and automate a lot of work
- However it also means I have to rely on having professional support
Usability
Alternatives Considered
Wave Accounting
Other Software Used
Basecamp, Hubstaff, Typeform, Google Workspace, Intuit Mailchimp
Dont remove core functionality and keep pricing the same while also loosing your focus on small businesses.
Use Cases and Deployment Scope
It is our financial system of record, all transactions are done via Xero. All bank recons, VAT/PAYE reporting, budget management, annual reports etc. Invoicing, follow-ups etc.
Pros
- Budgeting
- Reconcilliation
- Statutory Reports
Cons
- Dashboard customization.
- Balance Sheet and Income Statement View Customization.
Return on Investment
- Esase of reconciliation saves me time.
- Balance sheet and Income statement oversight, saves time.
- Negative - removed the payroll functionality as part of the offering, now I have to spend more with a third party vendor for a basic payroll.
Usability
Alternatives Considered
Odoo Accounting
Other Software Used
n8n
Xero - easy to use accounting software
Use Cases and Deployment Scope
We use Xero as our accounting software for A/P, A/R, Bank accounts, etc. We also use it for financial reporting and helping us to keep on top of where our business is financially. Xero continues to add products, such as payroll, to help our business run efficiently. It has helped us have an in time view of our financials and with the new syft it is even better.
Pros
- Accounts Payable
- Financial Report - Being able to create our own reports
- Good customer support
- Excellent support of small to mid size businesses
- Financial dashboard for up to the minute picture of company
- Bills available to streamline a/p process
Cons
- Accounts Receivable - there is no capability of adding finance charges on late invoices. This is a HUGE problem.
- Reports - it is great to be able to create your own reports but it is a little difficult to figure out how to use it.
- Checking - Our credit union business side is not able to download to Xero. This is a burden in keeping on top of finances throughout the month.
Return on Investment
- It has saved considerable time in entering data for A/P and A/R
- It has given us the opportunity to customize reports that can be shared with our employees - keeping them informed of the health of the organization
Usability
Alternatives Considered
QuickBooks Desktop Pro and QuickBooks Online
Other Software Used
Gusto, Workglue, DripJobs
Xero Works
Use Cases and Deployment Scope
We use Xero as our accounting software for our website business. It is a mid size business. We use it to process all our invoices, payments, and payables. It is very user friendly and intuitive. Navigation within Xero is easy and we can access all the reports we need for tracking business activities. Also our payroll software integrates to Xero without issues.
Pros
- Easy to process customer payments.
- Easy access to reports
- Payroll Software Integration.
Cons
- I find bank reconciling cumbersome, but this could be a user problem rather than a Xero problem.
Return on Investment
- Made day-to-day much easiern - from invoicing to receiving payments.
- Payroll seamlessly integrates into Xero
- Reports can be customized to meet the needs of the business.
Usability
Alternatives Considered
QuickBooks Online
Other Software Used
QuickBooks Online, Datto Autotask PSA
