One of Xero’s main distinguishing features is the fact that it offers unlimited users even on the lowest tier plan. Xero includes extensive features that make it suitable to handle complex accounting processes for small- and medium-sized businesses as well as larger ones. The software makes it easy to pay bills, claim expenses, accept payments, track projects, manage contracts, store files and more. We recommend using Xero if you’re a small-to-medium-sized company that values affordability, collaboration, and user-friendly design.
- I’ve not seen this level of sophistication in other accounting applications.
- This integration is only available to Buildertrend’s advanced and complete plan users.
- Buildertrend’s project management tool includes scheduling, messaging and comments, to-do’s, timesheets and daily logs.
- Read our in-depth review of Buildertrend, covering its features, pricing, and more.
- Xero also functions as an expense management solution to help you keep track of your or your employees’ expenses.
Luckily, both providers offer 30-day free trials (though if you opt for QuickBooks’ free trial, you won’t get the typical 50% off discount the company offers new users for their first three months). You can take both software programs for a test drive before you commit to one over the other. For instance, if you need multiple users, choose Xero—each Xero plan includes unlimited users, while QuickBooks’ Simple Start plan includes only one user.
Is Xero Right for You or Your Business?
The platform is highly customizable, allowing you to tailor it to your specific needs. Buildertrend allows easy collaboration and communication among team members, subcontractors and clients. PCMag.com is a leading authority on technology, delivering lab-based, independent reviews of the latest products and services.
Xero lets new customers sign up for a 30-day free trial to test out its features. You can add Gusto payroll to any plan for an extra $40 per month, plus $6 per month per person. Includes the formula for the present value of a future amount project tracking tools in most expensive plan; has transaction tracking tags; lacks industry-specific reports; users with multiple businesses must pay for separate subscriptions.
Sure, Xero could use a few improvements—most notably, expense tracking for its cheaper plans—but with those features at that price, you’ll be hard-pressed to do better than Xero. If you use Xero, your financial data can sync seamlessly across payroll platforms like Gusto, expense and receipt tracking software like Expensify, and ecommerce apps like Shopify. (In contrast, accounting products from Sage or Zoho sync largely with other Sage or Zoho apps, not third-party solutions.) It’s hard to find a more convenient accounting solution than that. Another essential feature included in this plan is the app’s capability to capture bills and receipts using Hubdoc, Xero’s data capture tool. The purpose of Hubdoc is to reduce the manual data entry process by capturing all necessary information from bills and receipts and extracting and publishing all data in the Xero platform.
- Xero also grows with your company, integrating with your email, customer relationship management (CRM), or point-of-sale platforms to help streamline operations even further.
- I recommend finding a bookkeeper who is experienced who can show you the ropes.
- Luckily, both providers offer 30-day free trials (though if you opt for QuickBooks’ free trial, you won’t get the typical 50% off discount the company offers new users for their first three months).
- Alternatively, you can search Xero’s help posts and discussion boards about common problems on Xero Central.
For free invoicing platforms, consider Zoho Invoice, Square Invoices or PayPal Invoicing, although these platforms provide fewer capabilities. Wave is a solid choice for small businesses looking for free accounting software. We believe everyone should be able to make financial decisions with confidence.
And we’ve hit on Xero’s unlimited users before, but it’s worth mentioning again. Most accounting software providers limit users by plan, like QuickBooks, or charge an extra fee for each user, like FreshBooks or Zoho Books. It provides a comprehensive view of a company’s cash flow by presenting upcoming bills and outstanding invoices in a clear, tabular format. Whether you have its basic or most advanced plan, the Xero app supports unlimited users for real-time collaboration between your employees, accountants, and financial advisors.
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It also provides a demo company account that allows you to practice on dummy data. Customers who are brand new to accounting software will especially benefit from this level of help. 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. After you start a free 30-day trial of Xero, you’ll activate the account and provide details about your business.
There’s nothing exceptional about Xero’s user interface and navigation, but I find using it to be a pleasant and professional experience. A simple toolbar divides Xero’s features into logically organized menus, and individual working pages are intuitive (with some exceptions) and clean. As on desktop, you can then choose to save the invoice as a draft, approve it, or send it via email. If you didn’t receive an email don’t forgot to check your spam folder, otherwise contact support.
Because Xero doesn’t charge more as you add users to your plan, it offers a cost-effective way to provide employees access to real-time financials. Furthermore, you can scale it up as your company grows; Xero integrates with over 1,000 third-party apps for payroll, time-tracking, and more. Xero is a cloud-based, double-entry accounting software for small businesses not exceeding 2,000 transactions a month.
Just make sure you don’t exceed the limit; if you do, you’ll be automatically bumped up to the Growing plan, which is more than twice as expensive. The drastic price jump from $13 to $37 a month means Xero isn’t particularly scalable—another reason we’re more comfortable recommending it to midsize businesses rather than small ones. Invoices can also be converted from the quotes you created for a particular job or project. Moreover, you can set rules to categorize every transaction and match them with each receipt, bill, or invoice.
Capture bills and receipts with Hubdoc
Most businesses will soon find themselves needing to upgrade to a more costly plan. Xero comes in three pricing levels, all of which kick in after a 30-day free trial, and they all support unlimited users. Xero Early ($15 per month) has monthly limits of 20 invoices and quotes and five bills. Xero Growing ($42 per month) adds unlimited billing and invoicing and quotes. Xero Established ($78 per month), the version we tested, is the only version to offer multiple currency support.
Our expert industry analysis and practical solutions help you make better buying decisions and get more from technology. Xero’s thorough online help files come in handy when you want to modify a sales form. These tools aren’t as intuitive to use—nor are the data fields as plentiful—as they are in QuickBooks Online. Any advanced modifications you need to make must be done in Microsoft Word.
After you’ve set up an account, Xero suggests a handful of accounting tasks you can do to start learning the ropes. You can play with the app using a demo company and fake data, which is the best place to start practicing. When you’re back in your live account, you should spend some time establishing your preferences for settings like user permissions, currencies, invoices, and online customer payments.
How does Xero work?
Xero also offers the option to add full-service payroll support from Gusto to any plan. This Gusto-Zero integration starts at $40 per month plus $6 per employee. If you are looking for payroll software in addition to accounting software, be sure to check out our guide to the best payroll software for 2023.