Xero

Score8.5 out of 10

886 Reviews and Ratings

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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Pricing
Users can set up complex and unique pricing requirements.
Category average: 7.7
Order entry
Users can enter an order once, and the data flows to all the necessary units such as fulfillment and billing.
Category average: 7.8
Intercompany Accounting
Automatically balance and reconcile GL for intercompany transactions
Category average: 8.3

Manufacturing module
The software helps track and manage raw materials, work-in-progress items, and finished goods.
Category average: 6.3
Centralized Rules Framework
Integrate disparate ERP and transactional systems into single ERP instance
Category average: 7.7
Single sign-on capability
The software system supports a centralized authentication mechanism allowing the user to access multiple systems with a single, centrally managed password.
Category average: 8.5

Most Frequent Users

Top 3 industries using Xero.

Based on HG Insights installation data

View all Reviews

#1 most frequent

Professional, Scientific, and Technical Services

18.8%

4,910 installations of 26,125

“We use it to manage our multiple business accounts, and reconcile transactions.”
— Owner, Best Fit Digital (Small Businesses)

#2 most frequent

Manufacturing

5.2%

1,359 installations of 26,125

#3 most frequent

Information

5.0%

1,317 installations of 26,125

Pros

Efficient and easy bank reconciliation
Intuitive invoicing and billing capabilities
User-friendly interface and navigation

Cons

Limited reporting customization and detail
Restrictive templates and overall flexibility
Deficiencies in inventory management features

Michelle J Raymond View profile

Founder in Marketing at B2B GROWTH CO (1-10 employees)

Use Cases and Deployment Scope

We are a small business of two employees, but have been using Xero since the beginning. I didn't want to be running my business off spreadsheets and then manually having to repeat everything with my accountant for tax time, etc. So for us, invoicing was a key part, BAS reporting, and tax returns were the key focus.

I've worked with different systems in the past, but needed something that was easy to navigate, set up, and use to get information when I needed it.

We are a consultancy, so we don't take advantage of the features related to inventory etc

Pros

Invoicing
Tax Reporting
Giving easy access to my accountant
Submit information to ATO

Cons

I think sometimes it's difficult to find where to change things if you havne't done it before. It's not always intuitive how to do things.
A lite version for small business would be good, where I could choose what I need. I'm sure I pay for a lot of stuff I don't use.

Return on Investment

Definitely positive as my accountant can easily access and help where we get stuck
I love that I'm confident that we are doing everything in a way that is compliant in the system.
Having a real system allows us to work with overseas clients easier because we look professional with invoicing etc

Usability

Alternatives Considered

MYOB

Other Software Used

PandaDoc, MailerLite

Bradwyn Trower

Managing Director in Finance and Accounting at Rombus (1-10 employees)

Use Cases and Deployment Scope

Xero is used as the base accounting software for our clients and our practice. All financial transactions are recorded on Xero, whether through inputs from bank feeds or HubDoc and outputs through platforms like Syft. Xero is the aggregator of all financial information for financial reporting and compliance.

Pros

Simple to understand accounting logic.
Fast access and load times.
Data integrity and audit trails.
Easy adoption and user access levels.

Cons

Sales order management would be a useful feature.
More complex inventory costing would be great.
More detailed audit trails would be welcomed.

Return on Investment

Time saving - no complex inputs required.
Ease of client involvement.
Ease of investigation.

Usability

Other Software Used

ClickUp, Syft Analytics, Hubdoc

Jane Morin

Senior Accountant in Finance and Accounting at STORIES designed for consumers (51-200 employees)

Use Cases and Deployment Scope

Xero has been very resourceful when it comes to handling our business accounting needs including invoicing and managing all our accounts receivable and payable. It comes with automation features to boost accuracy and save time. With Xero, categorizing our business expenses has been easy and it also handles expense management where teams can scan and upload receipts for approval.

Pros

Invoicing and quote is easy. Creating invoices, sending and tracking them is easy with this tool.
It makes expenses tracking easy. Capturing receipts and uploading them for approval is fast.
The bank reconciliation feature works well - Importing and matching bank transactions with statements is easy.
It comes with payroll features that makes processing salaries easy.
Reporting and analytics features are also very helpful.

Cons

Slow reporting and this needs to be improved to make the tool better.
It offers limited inventory tracking features.

Return on Investment

With expenses management features and ease of categorizing expenditure, Xero ensures transparency.
It comes with automation features thus boosting accuracy and this helps avoid costly financial errors while saving time.
Reporting and analytics features helps in decision making.

Usability

Other Software Used

Zoho Forms, Webex Connect, Accounting Seed

Verified User

Executive in Human Resources (51-200 employees)

Use Cases and Deployment Scope

Our company uses Xero for all of its financial management. Xero brings everything together in one place and has the ability to allow departments have have seperate access levels which enables the business to have specialist employees active in specfic functions.

Pros

Xero is excellent with payroll
The platform is great for remote expense submission
Xero is very good with compliance updates and management

Cons

Xero does tend to release changes and it is difficult to have prior knowledge of this
Online help could be improved
Menu selection could also be improved

Return on Investment

Massive time saver
Excellent with government compliance
Excellent with business analytics

Usability

Alternatives Considered

MYOB

Other Software Used

Employment Hero

Verified User

Director in Professional Services (1-10 employees)

Use Cases and Deployment Scope

Xero is our core accounting and financial operations tool for everything across our business. It handles everything from the day-to-day bookkeeping, connected to Dext, to the preparation of legal tax documents (corporation tax, VAT and personal payroll) and quarterly and annual performance reports.

Pros

Performance reporting
Bookkeeping
Invoice generation

Cons

User interface is improved, but could be better
Invoice customisation is poor
Quote system is okay, but more options for split payment would be beneficial

Return on Investment

Improved ability to liaise with accountants
Improved financial literacy and accessibility for internal team
Time saved on manual tasks like bookkeeping

Usability

Alternatives Considered

Zoho Books

Xero

What is Xero?

Categories & Use Cases

Media

Xero Key Features

Top Performing Features

Pricing

Order entry

Intercompany Accounting

Areas for Improvement

Manufacturing module

Centralized Rules Framework

Single sign-on capability

Who Buys & Uses Xero

Most Frequent Users

Professional, Scientific, and Technical Services

Manufacturing

Information

Most Frequent Users

Small Businesses

Mid-sized Companies

Enterprises

Most Frequent Users

Australia

United States of America

United Kingdom of Great Britain and Northern Ireland

Xero Reviews

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