Introduction
As a small business owner, keeping track of your finances is crucial. But with so many accounting software options on the market, it can be overwhelming to choose the right one for your business. Two popular options are QuickBooks and Xero - but which one is the best fit for your needs? In this blog post, we'll provide a factual unbiased comparison of QuickBooks vs Xero.
Features
One of the most important aspects of an accounting software is the features offered. Both QuickBooks and Xero offer a variety of features to help small businesses manage their finances. Here's a breakdown of some of the key features of both:
QuickBooks
- Creates invoices, manages bills, and tracks expenses
- Generates profit and loss reports
- Syncs with bank accounts and credit cards
- Handles payroll
- Gives access to over 65 reports
- Integrates with hundreds of third-party applications
Xero
- Creates and sends invoices
- Manages bills and expenses
- Generates reports, including profit and loss
- Syncs with PayPal and bank accounts
- Provides inventory management
- Integrates with over 800 third-party applications
While both software offer similar features, Xero seems to be more comprehensive especially in terms of inventory management and payment options.
Ease of Use
In addition to functionality, it's important to consider ease of use when choosing an accounting software. After all, you don't want to spend hours trying to figure out how to use it.
QuickBooks
QuickBooks has an intuitive dashboard that lets you quickly navigate to the feature you need. However, the software may be a bit overwhelming at first due to the number of features available.
Xero
Xero has an even more user-friendly interface, making it easier to navigate for beginners. However, due to its comprehensive functionality, it may also have a steeper learning curve.
Price
Price is also an important factor to consider.
QuickBooks
QuickBooks has four plans, ranging from $15/month to $150/month. The plan you choose depends on the features you need and the size of your business.
Xero
Xero also has four plans, ranging from $11/month to $62/month, depending on the features you require for your business.
It's worth noting that both companies regularly offer discounts and promotions, so make sure to check their websites for the most up-to-date pricing information.
Customer Support
Lastly, when choosing an accounting software, you want to make sure you have access to good customer support in case you run into any issues.
QuickBooks
QuickBooks offers 24/7 customer support via phone, email, or chat. They also have a comprehensive help center with articles and guides to help you troubleshoot issues on your own.
Xero
Xero offers 24/7 email support and chat support during business hours. They also have a help center with articles and guides.
Conclusion
Overall, both QuickBooks and Xero are great options for small business accounting. They have similar feature sets and pricing, but Xero might offer a more comprehensive solution. When it comes to ease of use, Xero seems to be the clear winner. However, the choice ultimately depends on the specific needs of your business.
References
- QuickBooks vs. Xero: A Battle for Small Business Accounting - Investopedia
- Xero vs QuickBooks Online: US Edition - Merchant Maverick