Xero - good software for SMEs
Updated April 17, 2025

Xero - good software for SMEs

Daniel Jaworski | TrustRadius Reviewer
Score 8 out of 10
Vetted Review
Verified User

Overall Satisfaction with Xero

I use Xero for my practice but also for a number of our clients. The software gives online cloud solution for bookkeeping and accounting. It does not require updating and backing up of the software and allows for access from anywhere in the world. It also links with many other software products that allow for more in-depth reporting and financial management and advisory.

Pros

  • Bookkeeping
  • Reporting
  • Security

Cons

  • Crypto currency
  • Statutory accounts and tax
  • Payroll for larger organisations
  • Saved time
  • Allowed working from abroad
  • Enable better reporting
It is a good piece of software however there are some things not working very well, not improved on despite many years of chasing with the developers. We still use it and still recommend for our clients, so generally the issues are not deal breakers, rather inconveniences. Also making certain addons paid separately, such as app for expenses or CIS is just ridiculous.
It is one of Xero' strengths, that there are hundreds of other apps that link directly with Xero. We used over 10 different apps and the process was straightforward. Some of the better solutions are e.g. Hubdoc for documents management, LivePlan for management reporting, Bright Payroll for improved payroll solution.
Xero ranks highly among the competitors, however multi-level reporting is better done in QuickBooks. More price sensitive, micro-businesses can find decent cheaper or free alternatives. Those wanting integration with other apps like cashflow management, inventory, reporting will find that Xero has got the most apps available, along with QuickBooks. The free software solutions are lagging behind in this sense.

Do you think Xero delivers good value for the price?

Yes

Are you happy with Xero's feature set?

Yes

Did Xero live up to sales and marketing promises?

Yes

Did implementation of Xero go as expected?

Yes

Would you buy Xero again?

Yes

Small business clients with less than 1,000 transactions a month are best suited for the software. With regards to the form of the business it is well suited for sole traders, limited companies and trusts. Larger organisations could struggle with the speed of the software with high volume of entries.

Xero Feature Ratings

6.2
Accounts payable
8
Accounts receivable
8
Cash management
8
Bank reconciliation
8
Expense management
5
Time tracking
4
Fixed asset management
8
Multi-currency support
4
Multi-division support
4
Regulations compliance
8
Electronic tax filing
7
Self-service portal
5
Global Financial Support
5
Primary and Secondary Ledgers
5
5.0
Inventory tracking
5
Order Management ()
Not Rated
Payroll Management ()
Not Rated
6.3
Dashboards
4
Standard reports
7
Custom reports
8
9.0
Plug-ins
9
9.0
Role-based user permissions
9

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