Xero Review - why 4.3 stars?

Xero Review
ITQlick Score: 94/100
ITQlick Rating:
(4.3/5)
Pricing: 2/10 - low cost
Category: Core Accounting -> Xero review
Ranking:Ranked 6 out of 137 Core Accounting systems
Company: Xero
Pricing: starts at $12 per month
Typical customers: Small businesses and start ups
Platforms: Desktop, Mobile, Cloud
Links: Xero pricing, Xero alternatives
Shlomi LaviShlomi Lavi / updated: Mar 09, 2022

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What is Xero?

Xero is a cloud-based accounting software built for small businesses, accountants, and bookkeepers. The software offers features such as:
  • Pay Bills: Xero provides a platform where end-users can track and pay bills on time. End-users can also get a clear overview of accounts payable and cash flow.
  • Claim Expenses: This feature offers a simple way for end-users to manage their employee expense claims. With, Xero end-users can capture costs, submit, approve and reimburse claims, and view spending.
  • Bank Connections: End-users can connect their bank to Xero and set up bank feeds. They can also make transactions flow securely straight into Xero each business day.
  • Accept Payments: This feature helps end-users accept payments online and get paid up to twice as fast by connecting to Stripe, GoCardless, and others.
  • Track Projects: Xero users can get invoices and get paid for jobs. They can also keep track of time, costs, and project profitability within the accounting system.
Xero is accounting software that started in 2006. The company is headquartered in Wellington City, Wellington, New Zealand. The company has a workforce of more than 3,500 employees. Forbes identified Xero as the Innovative Growth Company in the world in 2014 and 2015.

Who is it best for?

Xero is best for small businesses, freelancers and non-profit organizations. It can be used in industries that have to do with accounting, advertising, computers, Financial Service, Hospitality, Retail and Services. Xero would be great for startups and mid-size business that already have customers in many different countries. Most of Xero customers come from New Zealand.

Companies currently making use of this service are Workflowmax, Shopify and 31Three.com.

Main features and functionalities

Xero can help small businesses save more time on back-office processes and focus on giving higher value services. Other services like PayPal, Stripe, Bill.com and Expensify can easily be integrated to the software. Xero customers that rely on financial institutions like City National Bank should not have any problem feeding transactions directly into it.

What is the actual cost?

Xero offers three license pricing options which are Starter, Standard, and Premium. The Early plan begins at $12per month. The Growing plan comes at $34 per month. The Established plan comes at $65 per month.

The Starter plan comes with features such as Sending quotes and 20 invoices, Enter 5 bills, Reconciling bank transactions, Capturing bills and receipts with Hubdoc, Short-term cash flow, and business snapshot.

The Standard plan comes with everything in the starter plan, including Sending quotes & invoices, Short-term cash flow, and business snapshots.

The Premium plan comes with every feature in Standard, including Using multiple currencies.

ITQlick pricing score is 2 out of 10 (10 is most expensive). Access ITQlick pricing guide for Xero. You can also find here pricing information from Xero's website.

Pros

  • Xero is a User-friendly accounting software even for non-accountants
  • The software is preferable for accounting in small businesses
  • Xero can integrate with other cloud-based systems such as Dext and Flowlens
  • Provides real-time bank feeds and bank reconciliation
  • A large variety of add-ons are available for users to pick

Cons

  • Users sometimes complain of system glitches during usage
  • Cannot create multiple entries from one company
  • Cannot be used without an internet connection
  • Not enough invoicing templates
  • Does not support complex project tracking

How it stacks up?

Access a head to head analysis of Xero vs alternative software solutions.
ITQlick rating
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Xero
ITQlick rating
4.3/5
Score
94/100
Pricing
2/10
License pricing
$12 per month
Functionality
46
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Wave Acc...
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4.4/5
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97/100
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Zoho Boo...
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4.4/5
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96/100
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2.4/10
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$10 per organizer/month
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FreshBooks
ITQlick rating
4.5/5
Score
95/100
Pricing
2/10
License pricing
$6 per month
Functionality
28

Frequently Asked Questions (FAQs)

Is it the best Core Accounting system?

Xero is ranked 6 out of 137 software in their category (Core Accounting systems).

How they are rated on ITQlick?

The rating of Xero is 4.3 stars out of 5 and the total score is 94 out of 100. The rating score is based on our unbiased data-based algo. Learn more - rating methodology page.

Is it an easy to use Software?

Yes, Xero makes it fairly easy to use. This product is user friendly and intuitive.

Is it cloud-based?

Yes, they offer cloud based hosting, which means IT resources are retrieved through web-based tools and applications and you don't need to buy servers and additional hardware equipment.

Can it be used on mobile?

Yes, you can access Xero on your mobile/smart phone.

What should we ask during a demo session?

Differences between Xero and alternatives?

The most popular alternatives to Xero in 2022: QuickBooks, Wave Accounting, Zoho Books, FreshBooks, Vyapar. Access the complete competitors analysis here - Xero VS Core Accounting Software alternatives.

Is Xero right for you or your business?

Xero Is an accountant system built to change the game for small businesses. The accounting software connects people with the correct numbers anytime, anywhere, on any device. Xero targets accountants and bookkeepers and helps them build a trusted relationship with small business clients through online collaboration.

List of categories

Accounting & Finance
Fixed Asset Management
Recurring Billing
Billing & Invoicing
Budgeting & CPM
Check Printing
Core Accounting
Financial reporting
Fund Accounting
Payment Processing
Project Accounting
Recurring invoicing

List of features

Accounts Payable
Accounts Receivable
Billing & Invoicing
Budgeting & Forecasting
Fixed-Assets
Purchase Orders
Data Analysis Tools
Forecasting
Fixed Asset Management
Inventory Optimization
Supplier Management
Warehouse Management
Inventory Management

Author - Shlomi Lavi

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Shlomi Lavi is an entrepreneur and founder of ITQlick.com. He holds a Bachelor of Science (B.Sc.) in Information Systems Engineering from Ben Gurion University in Israel. Shlomi brings 17 years of global IT and IS management experience as a consultant and implementation expert for small, medium and large-sized (global) companies. Shlomi’s goal is to share the best knowledge and news about information systems so you can make smarter buying decisions for your business.