You’ll save manual entry time, reduce errors, and get a complete view of your payroll costs and liabilities in Xero. Impress your customers with Xero’s professional invoicing software for small business owners. Customize your invoices with your branding and payment terms, then save the changes to templates to speed up the process with every invoice. Xero lets businesses manage all their essential operations in one integrated package. It combines functions like financial management and inventory tracking to save you time and boost your productivity. New users can access a free one-month trial with no credit card required.

Business Finances

While basic features are user-friendly, advanced tools like balance sheet inventory management or custom reporting can be complex to master without training or prior accounting knowledge. Unfortunately, Xero isn’t HIPAA compliant even though it has a webpage marketing its software to healthcare businesses. This is worth noting if you work in healthcare, since using accounting software to process patient-related financial transactions could expose sensitive information and lead to HIPAA violations. When it comes to creating journal entries, I found Xero offers many of the same advanced features found in enterprise-level accounting software like SAP or BlackLine.

Take control of your fiscal year-end with Xero and Gusto

These relationships do not dictate our advice and recommendations. Our editorial team independently evaluates and recommends products and services based on their research and expertise. You’ll receive your invoice at the end of your monthly billing period. Your free month begins once you finalize your business and set up in Xero. You will receive a reminder 7 days before your free month ends and then you will be charged for your second month and onwards.

Strong Collaboration Capabilities

Businesses requiring advanced global operations or complex product/asset tracking may need to complement Xero with additional systems. Xero provides excellent support for Integration & Customization features, with a 79.03% weighted support score. Xero provides weak support for Multi-Currency & Global Operations features, with a 40% weighted support score. The solution supports 19 out of 35 criteria in this useful module. Xero provides fair support for Budgeting & Financial Planning features, with a 55.71% weighted support score.

• Name your template, and then adjust the options to customize your invoice.
• As an intuitive cloud accounting platform for SMBs, Xero offers security tailored for smaller teams.
• Now, this feature caught my attention as many accounting applications do not have it, and you need to manually download the bank data for reconciliation.
• Overall, the process was intuitive and easy, and I was particularly impressed by the fact you could configure payments without having to navigate away from the invoice builder.
• Explore strategies to prevent errors, detect fraud, and maintain accurate financial records.
• If using multiple currencies is a priority to you, consider other platforms that offer this capability at a lower cost.

I think Xero is an affordable online accounting software that can work well for businesses of all sizes. I was pleasantly surprised by the advanced general ledger features and user-friendly invoicing and project management functions. This reduced functionality is to be expected with most mobile accounting apps, including FreshBooks’ and QuickBooks’ xero software mobile apps. During our most recent round of testing, we were highly impressed with Xero’s financial planning features. Particular highlights include its expense tracking, cash flow projection, and budget-setting tools. There’s also Xero analytics, the platform’s dedicated AI arm for accessing detailed cash flow predictions up to 90 days in advance.

Xero Accounting Review 2025: Pricing, Features, Alternatives

By adopting updates promptly, businesses ensure more accurate financial data, better insights, and fewer errors in reporting. Discover how Xero’s comprehensive features and intuitive design can revolutionize the way you manage your business finances. Explore tools that streamline everyday tasks, provide valuable insights, and empower you to make informed decisions for business success. Xero provides tools for tracking expenses, uploading receipts via mobile apps, and categorizing costs.

The platform automatically processes bank feeds, categorizes transactions, and updates financial records, saving hours of data entry time while maintaining accuracy. This allows businesses to focus on strategic projects rather than routine How to Run Payroll for Restaurants accounting tasks. Xero stands out as a robust, user-friendly, and scalable cloud accounting platform that has revolutionized small business financial management.