Inuit finally has a real competitor in the small business accounting software space. Peachtree/Sage never became a household name and Intuit always had market share. With the advent of SAAS software becoming commonplace, Xero has put together a great piece of accounting software suited for the small business. Its goal, to keep professional doing what they do best and automate much of the account for them.
Xero’s feature set comes with everything you would expect out of a small business accounting software. It handles invoicing, inventory, bill payment, asset depreciation and financial reporting. One of the key ways they differentiate themselves is that Xero plugs into a large amount of 3rd party applications. At the time of writing this, over 350. You can plug in anything from time-tracking software to payment platforms to payroll.
Xero also has a simple pricing model. It starts at $9, has a $30 option and a $70 option. From first look on their website, the differences are that that $9 has transaction limits and the $70 has multi-currency support. Most business are going to need to use the $30 option and then get the corresponding add ons that make sense.
With over 350 add ons, it can get confusing which ones hold their weight. In future editions we will be looking into the most popular add ons to give insight as to what they actually do and solve for.
Competition is exciting. Xero and Inuit are going to push each other and this is only going to benefit the end user with more features and better business tools.