Quick verdict
Our take in a nutshell.
Xero appeals to businesses that want capable cloud accounting without the QuickBooks brand. The UI is clean and modern, and many accountants and bookkeepers are familiar with it. Invoicing, bank feeds, reporting, and multi-currency are solid.
We like Xero for its clarity and the breadth of integrations—hundreds of apps connect for payroll, time tracking, and industry needs. Reporting is strong, and the dashboard gives a good overview of cash flow and receivables.
Some users find a learning curve compared to simpler tools, and add-ons can increase total cost. If you're comparing to QuickBooks and want an alternative with a different feel and strong ecosystem, Xero is a top pick.
Rating breakdown
How we scored this product.
Features
4.6Full accounting: invoicing, expenses, bank feeds, reporting, and multi-currency. Add-ons extend functionality.
Pricing
4.5Lower entry price than QuickBooks; tiered plans. Add-ons and user limits can increase cost.
Ease of Use
4.5Clean, modern interface. Some learning curve for users new to accounting software.
Support
4.4Help center and support options; community and partners available. Quality generally good.
Integrations
4.7Large app marketplace—700+ integrations for payroll, time tracking, ecommerce, and more.
Pros and cons
What we liked and what to watch for.
Pros
- Clean, modern UI and dashboard
- Accountant-friendly and widely adopted
- Strong invoicing and reporting
- Large integration ecosystem
Cons
- Learning curve for some users
- Add-ons and extra users can increase cost
- Some features vary by region
Who this software is best for
Ideal users and use cases.
Xero is best for businesses looking for a strong QuickBooks alternative with a clean interface and solid accounting features. It suits companies that want cloud accounting with good reporting and integrations.
Who should avoid it
Solo users who want the simplest possible tool might find it more than they need. Businesses that rely heavily on Intuit ecosystem (e.g. TurboTax, QuickBooks Payroll) may prefer staying in QuickBooks.
Pricing overview
What to expect to pay.
Xero offers tiered plans starting around $15/month. Higher tiers add more invoices and bills, multi-currency, and other features. Per-user and add-on costs can apply.
Entry tier covers basics; mid and upper tiers add capacity and features like multi-currency and advanced reporting. Check limits on invoices and bills for your volume.
Xero often has a lower starting price than QuickBooks; total cost depends on users and add-ons. It's competitive with FreshBooks and Zoho Books for mid-market small business.
Starting price: $15/mo
Key features
What stands out.
- Invoicing and quotes
Create and send professional invoices and quotes; track payments and reminders.
- Bank feeds and reconciliation
Connect bank and credit card accounts; match transactions and reconcile with a clear workflow.
- Reporting
P&L, balance sheet, and other reports; export for accountants and tax prep.
- Integrations
Connect to payroll, time tracking, ecommerce, and hundreds of other apps via the Xero app store.
Integrations
Plays well with your stack.
Xero's app marketplace includes hundreds of integrations so you can connect payroll, time tracking, and other tools to your books.
- Payroll
- Time tracking
- Ecommerce
- Expense apps
- Bank feeds
- CRM and project tools
Alternatives
Other options we review.
QuickBooks OnlineMarket leader with broad features and ecosystem; higher starting price.
FreshBooksFreelancer-focused; simpler invoicing and time tracking.
Zoho BooksValue and automation; strong if you use Zoho.
WaveFree core accounting and invoicing.
Sage AccountingCore accounting for SMBs.
Compare with other accounting software
See how Xero stacks up head-to-head.
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Xero FAQs
Quick answers.