We compared the two options in terms of their key features, pricing and customer service to help you decide which is right for your business. Given that there are several invoicing software on the market, it’s worth putting in some time to research your options before choosing one for your business. The online accounting dashboard gives you the tools to proactively follow up on outstanding invoices. Get a snapshot of cash coming in, going out, and bills that are due, to gain insights into business cash flow. Discover seamless app integrations for efficient accounting with Xero’s comprehensive accounting software.

On the other hand, FreshBooks may be a better fit for freelancers and solopreneurs, as the capabilities are easier to navigate. Xero includes extensive features that make it suitable to handle complex accounting processes for small- and medium-sized businesses as well as larger ones. The software makes it easy to pay bills, claim expenses, accept payments, track projects, manage contracts, store files and more. The Early subscription is tailored for solopreneurs and business owners who are just getting started. You’re able to send 20 quotes and invoices per month, enter five bills, reconcile bank transactions, capture bills and receipts with Hubdoc and view a short-term cash flow and business snapshot. Business owners, freelancers and entrepreneurs often spend a large chunk of time on administration and accounting.

1. Business owners, freelancers and entrepreneurs often spend a large chunk of time on administration and accounting.
2. All three of these offer the ability to scale their accounting for larger businesses and both Xero and QuickBooks offer specific training for accountants.
3. Once you’ve set up things like bank feeds and invoices, the dashboard charts and graphs will show that information.
4. FreshBooks charges $17 per month and QuickBooks charges $30 per month).

Plans to suit your business

However, it’s generally considered easier than QuickBooks Online. The Xero dashboard includes graphs showing total cash in and out, invoices owed to you, and bills you need to pay, to give you insights into your business cash flow. Xero’s accounting software is highly rated among small businesses. Read our 2024 Xero review to find out if it’s the right solution for your business.

Xero, FreshBooks and QuickBooks all offer 30-day free trials and extensive features for online support, including a live chat, email support and a knowledge base. All three of these offer the ability to scale their accounting for larger businesses and both Xero and QuickBooks offer specific training for accountants. These companies offer Gusto integration for the same price—$40 per month and $6 per month per person.

day free trial

All pricing plans cover the accounting essentials, with room to grow. Payments are due by the end of your monthly billing period based on the date you purchased your subscription. FreshBooks charges $17 per month and how letters of credit work QuickBooks charges $30 per month). However, the best option and price point will depend on the specific capabilities and features you are looking for. To get the best possible experience please use the latest version of Chrome, Firefox, Safari, or Microsoft Edge to view this website. Stay up-to-date with your business and see how different aspects are tracking and different areas performing.

Try accounting software for everyday business

Suited for small- and medium-sized businesses (SMBs), Xero is an affordable cloud-based accounting software system that streamlines these processes with plans starting at $13 per month. Keep in mind that the ability to use multiple currencies in the software and invoice is limited to the company’s highest tier, at $70 per month. If using multiple currencies is a priority to you, consider other platforms that offer this capability at a lower cost. Zoho, for example, is accounting software with a free invoice platform that allows you to bill in multiple currencies. Xero may be harder to learn than a simpler invoicing platform like Square Invoices or Zoho Invoice.

Accounting software

Xero is a great option for large teams and small- to medium-sized businesses that need high-level accounting systems. It’s also a good fit if you want to integrate Gusto Payroll to your accounting platform. Xero’s invoicing capabilities allow you to create and customize an invoice for clients and then accept credit card, debit card or bank transfer payments within the invoice itself. Account holders are able to customize online invoices to add a logo, accept payments instantly through the invoice, set automatic reminders for clients to pay and invoice directly from the Xero app. Xero processes payment through a payment gateway like Stripe, GoCardless and others. Keep in mind that these services charge a fee to process payments (usually around 2.9% plus 25 cents per transaction, though this varies by the payment processor).