Xero vs FreshBooks Comparison 2025

Furthermore, in the case of invoicing, you can see when your invoices are opened and let them be instantly paid by your clients with the online payment option. New Zealand-based online accounting company Xero started its career in 2006, quickly becoming a trustworthy companion for over 600k sole proprietors and small businesses around the world. Discover seamless app integrations for efficient accounting with Xero’s comprehensive accounting software. The payment date depends on when you signed up to a pricing plan.

Xero to start charging developers API usage fees, replacing revenue share deals

And let’s not forget about the outstanding customer service, which answers all your questions in a courteous and prompt manner within a short amount of time by phone or via email. FreshBooks is a perfect choice with a super straightforward user-interface that lets you easily create invoices, estimates and expenses. The accounting solution automatically creates your reports and it helps you filing your 1099s as well.

Accounting software for your US small business

The Register has seen that mail, which opens “We are deeply committed to investing in our ecosystem” and states that Xero wants to “ensure our platform supports your are sales an asset or liability if so why app development journey.” Exclusive SaaS-y accounting outfit Xero has advised developers who integrate their products with its services that they’ll soon have to pay for the privilege in a new way. If you need support with any of Xero’s business or practice products, we’re here to help. Xero is usually the No. 1 choice of sole proprietors and small businesses, and for a good reason. As you can see, no matter which of these two solutions you choose, you will get almost the same features for almost the same price.

Keep track of your unpaid and overdue invoices, bank account balances, profit and loss, cash flow, and bills to pay. First, open a dedicated business account for all your incoming and outgoing payments. Log in anytime, from anywhere, to send invoices, pay bills, and manage your cash flow. Wherever you go, the mobile app keeps your small business growing. All pricing plans cover the accounting essentials, with room to grow.

Collaborate online in real time

With the simple inventory management software you will be able to speed up your quotes and invoicing, track the quantity and profitability of your items, and get real-time stock valuation. Using your mobile device you can capture and process your receipts and attach them to invoices and projects. Whenever you access your account you can see your cashflow, banking, the clients who owe you and many more in just seconds. Both of these software solutions offer almost the same essential features, such as invoicing, quoting, estimating and more. Managing a business can be frustrating at times, especially for those who are not professional accountants or bookkeepers. Take advantage of Freshbooks’s limited-time offer and get 60% off your subscription for the first six months.

Here’s some more guidance on accounting software tools and how they could suit your small business.
As a Xero user, you can enjoy tailored offers to help your business thrive.
You can add as many Xero organizations as you like, choose a pricing plan for each one, or set up a free 30 day trial.
There are three basic steps to setting up an accounting system.
The accounting solution automatically creates your reports and it helps you filing your 1099s as well.
“There was a lot of support from them to help smaller apps like us build the Xero ecosystem. Those days are truly over now.”

You can upgrade or downgrade your plan or cancel your subscription at any time with one month’s notice. Choose the best apps to make running your business even easier. Keep track of your unpaid and overdue invoices, bank account balances, profit and loss, cash flow and bills to pay. Run your business from anywhere with Xero’s easy accounting app.

You can also collaborate with other people, like accountants and bookkeepers, by giving them access to view and share your figures. Accounting software like Xero does this work for you. There are three basic steps to setting up an accounting system. If you’re still unsure, Xero users can contact our support team 24/7 for help. Xero has all sorts of resources on business and finance topics to help, all written in plain English for when you want clear, simple answers.

Gusto payroll plays nice with Xero

Simplify your finances and get more done with Xero online accounting software. The company offers four very similar pricing plans with almost the same features for $12.95 per month, $19.95 per month, $29.95 per month and $39.95 per month respectively. With your subscription you can integrate almost 40 different third-party applications and services from CRMs to online payment tools such as PayPal. If you allow online payments for your clients they will be greeted by a user-friendly portal where they can easily and quickly check and accept their estimates and pay their invoices.

It’s easy to connect your bank so your transactions flow into Xero, and to create professional invoices from scratch. The software is intuitive, so people with no accounting or finance background can learn the basics quickly. Take care of jobs with the Xero Accounting app and stay productive – from effortlessly tracking your mileage and expenses, to checking outstanding invoices. The company has also clarified its language to specify “apps must not use bots or browser extensions to undermine our security controls or simulate user actions.” ® Phil Johnson, general manager of payroll and HR software house Tanda, suggested a shift to his company will result in lower bills. The table is starkly clear to Alex Lacota, co-founder of a balance sheet reconciliation app for Xero called RecHound, because his access to APIs was previously free.

Running a business can feel like you against your paperwork. The second change mentioned in the email comes in the form of revisions to Xero’s legalese to prohibit using API data to train artificial intelligence and machine learning models. Lacota says he understands Xero’s need to charge for its API, but feels Xero’s prices are too high for his business and for startups. “RecHound has not once increased it’s fees over the last 3 years, and I’ve been steadfast on keeping them as is, even while we deliver new features,” he wrote.

Claim expenses

Discount applies to base Early, Growing, Established plan subscriptions only, and will not apply to any additional charges for add-ons, usage or payment fees. Figure out if a mobile accounting app could help your small business. Here’s some more guidance on accounting software tools and how they could suit your small business. Our accounting software is designed for small businesses and gives you how much does turbotax cost prices flexibility, control, and visibility of your finances.

of customers agree Xero is easy to use

Xero is usually the No. 1 choice of sole proprietors and small businesses, and for a good reason.
Phil Johnson, general manager of payroll and HR software house Tanda, suggested a shift to his company will result in lower bills.
Simplify your finances and get more done with Xero online accounting software.
Each month, Xero sends you a link to your subscription invoice with easy ways to pay for your accounting software.

We also have online articles, videos and training available. Our support team is here to offer advice. See your numbers anytime, anywhere. Find out more about Xero’s 9 tax audit red flags for the irs commitments to data protection and data security.

Useful features to run your business

Xero small business accounting software grows with you. Use Xero accounting software to hop online with your employees, bookkeeper, or accountant – even if you’re on opposite sides of the world. Using its stellar projecting and time tracking features you will always be able to quickly manage your timing and add billable and unbillable times to your invoices too.

Customize Xero with the Xero App Store

Check out the Xero App Store to find, try and buy business apps that connect easily to Xero online accounting software. Xero’s online accounting software is designed to make life easier for small businesses – anywhere, any time. Xero’s accounting software has flexible plans so you can adjust your subscriptions to access the features you need as your business grows.

Manage your cash flow, track expenses, accept payments online, and much more – all without leaving Xero. “A fee as high to access the journals of our users would be severely impactful for RecHound, and it would render smaller, less developed apps completely unfeasible,” he wrote. “There was a lot of support from them to help smaller apps like us build the Xero ecosystem. Those days are truly over now.” Xero also helps you with 1099s, lets you manage your account on your mobile device as well, and it has a 24/7 customer support. You can also access all of the services of FreshBooks by using its stellar application, available for both iOS and Android platforms.

Does your business need an accounting app?

Accounting online with Xero will protect your data through multiple layers of security, such as encryption. Give your team access to Xero’s software and invite your advisor to collaborate. Get to know your finances with accurate, daily figures when you’re accounting online with Xero. That’s what makes accounting online beautiful.