Cloud accounting software review: Xero
The New Zealand-developed Xero accounting application has established itself as a serious contender in the UK market. Nigel Harris puts the latest version through its paces.
Xero.com had been well established for many years in New Zealand and Australia, where online banking is more advanced than in the UK. Having arrived in the UK a few years ago, it is now one of the leading online accounting services, due in particular to it unique automated bank feeds.
Xero is available in three sizes: Small (£12 per month for up to five sales and purchase invoices and 20 bank transactions); Medium (£19 per month for unlimited invoices and bank transaction); and Large (£24 per month, as Medium but with multi-currency).
Accountants can register for the free Partner Edition which enables them to manage multiple clients. Partner accountants can also supply a bare bones VAT Cashbook edition to clients who require only cashbook functionality and can either bundle the cost (£9 per month to the accountant) with their accounting fees or recharge it to the client at their chosen fee level. Accountants receive 25% off the standard price of the other Xero packages if they wish to resell them to clients and manage the accounting centrally.
Detailed review covers:
- Getting started
- Data entry
- Other features
Xero is a powerful and reasonably priced online solution for businesses looking for the standard accounting functions that most small businesses use. The absence of payroll and full stock control will not be an obstacle for most customers. The accountants' Partner Edition simplifies managing multiple Xero clients and creates a powerful platform for firms looking to standardise on a single SaaS service for their clients.