Xero Vs QuickBooks…The Most Suitable Software

Trying to find the optimum accounting software for your business can be challenging. Xero and QuickBooks are the two largest names in cloud based accounting software. 

This information will assist you in deciding between the two top competitors. Selecting the one that will best suit your business needs can improve your accounting processes.

Accounting 

It is incredibly important to manage your business finances effectively even if you don’t have the relevant accounting experience. Xero and QuickBooks online both offer high quality accounting software. 

They have useful features that can be accessed on most devices. Whether you want to download a mobile app or access the website on a desktop computer. The choice is yours when it comes to these two companies. They both offer features including bank reconciliations, reports and accounts payable. 

Each software has the ability to perform your accounting tasks effectively. Therefore it is time to delve a little deeper into the services they provide.

Cost

Xero has plans that start at $12.50, whilst QuickBooks offers plans that start at $14. This is an introductory offer with both of them offering 30% to 50% off the normal price. Xero runs promotions like this regularly so it is a good idea to keep an eye out for promo codes.

The highest priced plan that QuickBooks offers is considerably higher than Xero. We know that costs for a business can add up quickly. Therefore opting for Xero is a more budget friendly choice. 

Both companies provide a similar premium plan option. This plan includes unlimited invoices, multi currency capabilities, time tracking, inventory management as well as customer support. Having the ability to send invoices and see your purchase orders in one app is a real game changer.

Cost is definitely an important consideration when it comes to accounting software. You should also be aware of the user friendliness of the service before making a decision.

User Friendliness And Integrations 

Having a long standing history of positive customer experiences Xero comes out on top in this area. Xero has a higher amount of positive customer service reviews compared to QuickBooks. Xero also boasts a simple start set up that can be completed in a matter of minutes. This means that your accounting software will be up and running almost immediately.

As well as online support Xero has plenty of information on their website including learning resources. This helps customers to use their accounting software correctly. 

QuickBooks on the other hand is well known for poor customer service. Many users experience long wait times and holds. If you are knowledgeable in accounting software this may not be an issue for you until experiencing a common outage.

QuickBooks has also received numerous complaints about bugs, unapproved charges and limited mobile app capability. Although Xero is clearly better when it comes to providing customer service they could both improve in this area. 

Xero also ranks higher with integrations. It offers over 700 integrations compared to QuickBooks who offers less at 590. Xero is compatible with more web browsers, which means that you can use it on virtually any browser.

Security

For many the majority of our life can be controlled by our sidekick the mobile phone. Digital means becoming more prevalent in the day to day running of our businesses. This means that our online security has never been more important.

Both software companies offer data encryption, redundancy and physical security measures to protect data. Xero has one of the strongest security reputations when it comes to the online space. QuickBooks have also recorded multiple outages on numerous occasions.

For a secure, user friendly experience we would recommend utilising Xero, as this will avoid any technical issues. This should be the real winner in the eyes of small business owners. 

We hope that this breakdown of each software has assisted with your decision. Both of these accounting software solutions offer a 30 day free trial. This allows you to try out the features for yourself. We recommend Xero as the perfect solution for a small business looking for software that will grow with their business. 

Although both companies are comparable in regards to their capabilities and features Xero is the clear winner. Xero offers lower costs, user friendliness and higher security measures. These are all elements that your business should take into consideration when choosing the optimum accounting software.

Once you have researched both Xero and QuickBooks I would suggest trying out the free trials. Let me know if you have any questions during this process as I am more than happy to assist. Get in touch via the contact us page or mobile at 0405 801 119.

Other blogs you might enjoy...

accounting problem

When the Books Go Bad!

Most Common Small Business Bookkeeping and Accounting Errors to Avoid When first starting out in business, most business owners realise they must know their numbers.

Read More »