accounting rules are set by the Financial Accounting Standards Board (FASB). Main Differences Between Xero and QuickBooks Standards and Complianceīecause they cater to companies in different global regions, Xero and QuickBooks specialize in meeting different standards for accounting and financial reporting. But, overall, the two solutions offer very similar features and functionality. Xero is just a little more advanced in multi-currency support, reporting for multiple entities, and payment integrations. and Canadian companies.īetween the two, QuickBooks is a slightly more basic accounting tool. Xero is a New Zealand-based company that’s usually best for companies based in the U.K., Australia, New Zealand, and the APAC region. Indeed, each solution is set up to comply with accounting standards and regulations of different regions. Which is best for you depends for the most part on where your company is located and where you do business. The main difference in choosing between Xero and QuickBooks is geography. Overall, QBO and Xero are very similar, and if you don't need any specific functionality that one or the other doesn't have, we suggest you choose based on the location of your business. These solutions offer basic accounting functions for small and medium-sized businesses, with integrations and basic customization to add more functionality without adding too much cost as you grow. The dominant business accounting software solutions for folks just getting off the ground are QuickBooks (by Intuit) and Xero. Keep your solutions and processes simple and straightforward to start, and be prepared to make the switch to a more robust and costly solution as you grow. When you’re a small business just getting started, don’t overspend on complex accounting software right upfront.

That said, we don’t want you to fret over choosing accounting software!

The right solution supports business needs as a whole, not just the finance team or bookkeepers.

That’s because your accounting processes provide the information people like your CEO, and sales and marketing leaders need to make decisions to move the business forward. We can’t stress enough that choosing your accounting software is, at its heart, a business decision.

Xero accounting software pricing