Xero vs Quickbooks

November 22, 2023
Xero vs Quickbooks

In the realm of accounting software, the choice between Xero and QuickBooks is a crucial decision that can significantly impact the efficiency of your business operations. In this comprehensive comparison, we'll delve into various aspects to help you make an informed decision.


QuickBooks, available both online and as a desktop application, is tailored for businesses outsourcing their accounting tasks. However, with a limit of 40 users for its highest-tiered plan, it may not be the ideal choice for businesses with an extensive in-house accounting team. On the contrary, Xero supports unlimited users, making it a better fit for organizations managing their financial tasks internally.

Feature Comparison

Common Features

  • Pricing: Xero starts at $13 per month, while QuickBooks begins at $30 per month.
  • Integrated Payroll: Both platforms offer integrated payroll solutions, with Xero requiring an additional $40 per month and QuickBooks ranging from $45 to $125 per month.
  • Sales Tax Returns: Both Xero and QuickBooks support sales tax returns.
  • Receipts and Document Organization: Xero utilizes Hubdoc for online document access, while QuickBooks provides a mobile app and online version for receipt and document organization.
  • Mileage Tracking: Both platforms allow you to track mileage.
  • Invoicing: Xero and QuickBooks offer robust invoicing capabilities.
  • Cash Flow Snapshot: Both provide an at-a-glance view of your business's cash flow.

Unique Features

  • User Limit: Xero supports unlimited users, making it ideal for businesses with in-house bookkeeping teams. In contrast, QuickBooks limits users to 40, even with its Enterprise plan.
  • Inventory Management: QuickBooks excels in inventory management, making it suitable for businesses with inventory tracking needs.
  • Project Profitability: Xero stands out for businesses needing real-time project profitability tracking, a feature not as prominent in QuickBooks.
  • Multicurrency Support: Xero is the preferred choice for businesses expanding internationally due to its multicurrency support.

Pricing Structures


  • Starter: $25 per month
  • Standard: $40 per month
  • Premium: $54 per month


  • Simple Start: €17 per month
  • Essentials: €25 per month
  • Plus: €35 per month


QuickBooks boasts a more intuitive interface, catering to businesses without a strong accounting background. On the other hand, Xero, designed with accountants and bookkeepers in mind, may have a steeper learning curve but offers comprehensive functionalities for financial professionals.

Support Options

Both Xero and QuickBooks provide reliable support options, ensuring that users can access assistance when needed. QuickBooks, with its extensive user base, has a robust support system, while Xero's support aligns with its commitment to unlimited user access.


In conclusion, the choice between Xero and QuickBooks depends on your business's specific needs and preferences. QuickBooks shines for its user-friendly interface and inventory management, making it an excellent choice for small businesses. Conversely, Xero's strength lies in project profitability tracking and multicurrency support, catering to businesses with a global footprint.

Before making your decision, carefully evaluate your business requirements and consider the unique features each platform offers. Whether you opt for the simplicity of QuickBooks or the versatility of Xero, both platforms are powerful tools that can contribute significantly to the success of your business.

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