If you’re in the process of choosing cloud-based accounting software in South Africa, you may be wondering whether QuickBooks or Xero is a better option for your business.
While both systems allow you to stay on top of your accounting, track expenses, generate invoices, run reports and more, there are some key differences between the two. Let’s compare the features and benefits of QuickBooks and Xero to see how they shape up.
Both QuickBooks and Xero offer a suite of features designed to streamline accounting for businesses. These include:
- Expense tracking
- Invoice generation
- Contract management
- Quote generation
- Inventory management
- Bank reconciliation
- Multi-currency handling
It’s worthwhile noting there are a number of features QuickBooks offers that are missing from the Xero suite:
- Multiple customisable invoice templates
- In-built packing slips
- QuickBooks Capital – in-built lending support for businesses
- A comprehensive point-of-sale solution
- Tax support
When comparing the cost of Xero vs QuickBooks, QuickBooks is the most affordable option at every pricing tier:
|Simple Start/Starter||R229||USD$20 (~R360)|
QuickBooks also offers a more comprehensive suite of features at a lower price point compared to Xero, For example, if you need to track income, expenses, invoices and time, you’ll be paying R351/month for QuickBooks (the Essentials plan), or ~R720/month for Xero (the Premium plan).
Additionally, QuickBooks offers 50% off on all pricing plans for new customers for six months. Find out more about QuickBooks introductory offer here.
Both QuickBooks and Xero offer mobile apps that allow users to access key accounting software features on the go. This includes:
- Sending and tracking invoices
- Tracking expenses in real time
- Tracking cash flow from anywhere, at any time
- Reconciling bank transactions
- And more
Users of both apps have been generally happy with their experience, although some Xero users reported issues with bugs, crashes and lack of key features.
When choosing the best accounting software for your business, it’s important to look for a solution that can integrate with your other key systems. QuickBooks and Xero enable integrations across a wide range of categories, including:
- Project management
- Email marketing
- Inventory management
There are integrations between hundreds of tools available with both QuickBooks and Xero, so choosing between the two here depends on your specific needs.
As your business grows, you’re likely to need different features and tools to meet changing requirements. While QuickBooks and Xero offer multiple pricing tiers for varying needs, QuickBooks makes it easier to scale up with the wider Intuit software suite, including QuickBooks Enterprise Solutions.
QuickBooks Enterprise is designed for larger or fast-growing businesses, with six times the capacity of other QuickBooks tiers. The Enterprise solution scales up to 30 users, supports up to a million list items, and offers advanced reporting, inventory and printing.
QuickBooks offers unlimited email, phone and live chat support for all customers, as well as an extensive online support and FAQ section. Conversely, Xero doesn’t provide phone support but does offer online support to customers.
In terms of overall customer satisfaction, QuickBooks is the clear winner with an average rating of 4.5 out of 5 stars on Capterra and more than 16,000 reviews. By contrast, Xero holds an average rating of 4.3 out of 5 stars with just over 1,800 reviews.
Finding the right accounting software for your small business
Ultimately, the right accounting software is one that can meet the needs of your business at a reasonable price point. Like any business decision, it’s a good idea to do your homework before making a decision.
Fortunately, most accounting software solutions offer a free trial, so you can get a feel for what’s out there before committing. If you’re interested in seeing how QuickBooks works for your business, sign up for a free 30-day trial – no credit card required.