XERO vs QuickBooks, which is right for you? Find out the key differences as well as 12 questions to ask to help you choose the right bookkeeping software.

Xero VS QuickBooks - how to choose the right bookeeping software

 

When you start a business, manual tracking with Excel and Word (or a pen and paper!) might feel manageable. 

But what happens when your client base grows and you’re busy doing the hands on jobs? Most of the time bookkeeping falls to the bottom of the pile or gets chucked on the do later pile.

And we know how that works out when you need to find figures, lodge BAS … even finding a receipt can take up too much time!

Solution? Accounting software. 

 

Why you should consider bookkeeping software from day one.

 

In business, what you make vs what you spend, invoicing, reconciling your accounts, having a simple process for capturing your receipts and the ability to easily understand your position and share it with your bookkeeper and accountant are all CRUCIAL to the success of your business. 

And a successful business is what you want! 

For as little as $20 a month (less than a cocktail?!) you could be on your way to saving time and money from the get go. 

 

The choice between Xero VS QuickBooks will depend on your business size, needs, and budget.

 

Here’s a quick summary of the key differences between Xero and QuickBooks:

  • Xero targets small businesses and freelancers, while QuickBooks targets small to mid-sized businesses.
  • Xero is cloud-based, while QuickBooks offers both cloud-based and desktop versions.
  • Xero offers a mobile app, while QuickBooks doesn’t.
  • QuickBooks has more features for invoicing, inventory management, and payroll, while Xero excels in ease of use and collaboration features.
  • QuickBooks is generally more expensive than Xero, though both have different pricing plans.
 
 

12 questions to ask to bookkeeping software

01

Does it have a clear and easy snapshot or dashboard feature

02

Can you directly import bank transactions? (this is called a bank feed)

03

Can you use the software to invoice clients?

04

Can you use it to manage GST and BAS?

05

Does it have a time recording or billing function?

06

Can it take care of employee compliance e.g. Single touch payroll, payroll and super?

07

Does it have a phone app? Do you want one?

08

Can you link it with your bookkeeper and accountant?

09

Does it have a secure, cloud based back up system?

10

Can you use it to capture receipts?

11

What sort of support do they offer? E.g. are they based in Australia or a convenient time zone? Do you prefer phone, chat or email support?

12

What does it cost? Do they have suitable plans for you now, and in the future?book

 

Conclusion

XERO vs QuickBooks – if you’re going to DIY bookkeeping, the software you choose will depend on your business size, needs and budget.  

We recommend you consider using software from day 1. For as little as $20 a month you could save yourself a heap of stress later down the track and be ahead of the game when it comes to understanding your financial position 

Key differences between Xero and Quickbooks are listed above

Use our 12 questions to help you pick the most suitable software for your business

 

Have you found this helpful?

We think you’ll love our Starting a Business Made Simple eGuide – it’s the ultimate resource to set you up for success.

Side step the common pitfalls new business owners make and get it right the first time.  You’ll thank us later

Like this article?

Share on Facebook
Share on LinkedIn
Share on Pinterest

you may also like...

Contact Us

Ready to take your books and business to smooth operator level? Smart choice!

Contact Us

Ready to take your books and business to smooth operator level? Smart choice!

Contact Us

Ready to take your books and business to smooth operator level? Smart choice!

Contact Us

Ready to take your books and business to smooth operator level? Smart choice!