QuickBooks Online vs Xero

by Gralio Feb 03, 2025

QuickBooks Online and Xero are both popular choices for small and medium businesses. QuickBooks Online offers a simpler, more intuitive interface, particularly beneficial for users with basic accounting needs and those embedded within the Intuit ecosystem. Xero, however, stands out with stronger bank reconciliation and broader third-party integrations, offering a more automated and connected experience.

At Gralio.ai we help to simplify your decision-making process by offering detailed, side-by-side software comparisons like this one, to help you confidently choose the tool that aligns with your business goals.

This comparison was created by analysing 5592 reviews and 60 websites, saving 1 day, 7 hours, 34 minutes of reading.

QuickBooks Online

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Xero

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About

QuickBooks Online is cloud-based accounting software designed to help businesses manage their finances. It offers tools for tracking income and expenses, creating invoices, managing inventory, and generating financial reports. QuickBooks Online is primarily geared towards small to medium-sized businesses and offers a user-friendly interface for managing financial data.

Xero is online accounting software designed for small to medium-sized businesses. It offers a range of features including automated bank reconciliation, online billing, and financial reporting. Xero integrates with hundreds of third-party business apps and offers a real-time view of your business finances. Its focus on automation and user-friendly design makes it a popular choice for businesses looking to streamline their financial management.

Summary

Main difference

QuickBooks Online is better for businesses heavily reliant on the Intuit ecosystem and prefer a user-friendly interface for basic accounting tasks. Xero excels in its robust bank reconciliation features and extensive third-party app integrations, making it ideal for businesses wanting automation and a wider ecosystem.

Relative strengths of QuickBooks Online (compared to Xero)

Strong Intuit ecosystem integration via Intuit API.
User-friendly interface, especially for basic accounting.
Wide variety of customizable reports.

Relative weaknesses of QuickBooks Online (compared to Xero)

Less reliable bank connections compared to Xero.
Limited mobile app functionality.
Fewer third-party app integrations compared to Xero.

Who should use QuickBooks Online VS. Xero

QuickBooks Online is user-friendly accounting software praised for its intuitive interface and reporting capabilities. It simplifies tasks like expense tracking and invoicing, making it perfect for small to medium-sized businesses. However, some users have reported issues with bank connections and customer support. Despite these drawbacks, it remains a popular choice due to its affordability and ease of use.

Xero is user-friendly accounting software ideal for small and medium-sized businesses. It simplifies financial management with features like bank reconciliation and reporting. Users praise its intuitive interface and integrations, while some note occasional bank feed issues and recent price increases.

Best for small to medium-sized businesses.
Ideal for various sectors, including retail, hospitality, and professional services.

Best for small to medium-sized businesses.
Suitable for most industries, including Healthcare, Finance, E-commerce, and more.

QuickBooks Online and Xero features

Supported

Partially supported

Not supported

Type in the name of the feature or in your own words tell us what you need

Accounting software integration

Supported

QuickBooks Online integrates with other accounting and financial management software.

Supported

Xero supports the ability to connect to accounting software for financial management through various integration methods.
Mobile app support

Supported

QuickBooks Online offers a mobile app to manage expenses.

Not supported

Xero does not explicitly mention the availability of a dedicated mobile application to manage expenses on the go in the provided sources.
Bank reconciliation

Supported

QuickBooks Online enables reconciliation of payments with bank statements.

Supported

Xero allows to reconcile payments with bank statements.
Receipt management

Supported

QuickBooks Online allows users to upload, store and match receipts to expenses.

Supported

Xero supports uploading, storing and matching receipts to expenses.
Intuit API

Supported

QuickBooks Online fully supports connecting and utilizing the Intuit API.

Not supported

Xero does not directly support connecting to and utilizing the Intuit API.
Manual expense

Supported

QuickBooks Online allows manual creation of expense entries, including cash transactions.

Supported

Xero allows users to manually input expense entries, including cash transactions.

Qualities

Value and Pricing Transparency

-0.29

Neutral sentiment

-0.13

Neutral sentiment
Customer Service

-0.14

Neutral sentiment

-0.11

Neutral sentiment
Ease of Use

+0.75

Strongly positive sentiment

+0.83

Strongly positive sentiment
Reliability and Performance

-0.06

Neutral sentiment

+0.34

Rather positive sentiment
Ease of Implementation

+0.39

Rather positive sentiment

+0.64

Rather positive sentiment
Scalability

+0.09

Neutral sentiment

-0.29

Neutral sentiment

QuickBooks Online and Xero Pricing

No data

User sentiment

Neutral

-0.29

We couldn't find a pricing page for QuickBooks Online.

Xero is a cloud-based accounting software that offers a range of plans to suit businesses of all sizes. All plans include features such as sending invoices and quotes, entering bills, reconciling bank transactions, and capturing bills and receipts with Hubdoc.

Plans

User sentiment

Neutral

-0.13

See full Pricing page

QuickBooks Online and Xero review insights

5592 reviews analysed from and

Users love

User-friendly interface for basic accounting tasks.
Seamless integration with banks for transaction imports.
Wide variety of reports that can be easily generated and customized.
Affordable pricing for small businesses.

User-friendly interface, easy to learn and use
Excellent bank reconciliation features, including bank rules
Comprehensive reporting options available
Seamless integration with other apps like Hubdoc

Users dislike

Bank connections can be unreliable and require frequent re-linking.
Customer support wait times can be long, especially for complex issues.
Mobile app functionality is limited compared to the web version.
Recent changes to the interface have made it harder to navigate.

Bank feeds can be unreliable and sometimes disconnect
New invoicing system is clunky and less efficient
Payroll features have been removed from the starter plan
Price has increased significantly in recent years with minimal new features

QuickBooks Online and Xero Ratings

G2

4.3/5

(684)
Capterra

4.4/5

(2425)

Company health

Employee growth

No data

Web traffic

No data

Financing

No data

How reliable are the bank feeds in QuickBooks Online vs. Xero?

Both QuickBooks Online and Xero users report issues with bank feed reliability. While both aim to automate bank reconciliation, user reviews indicate frequent disconnections and the need to re-link accounts. Neither product appears to have a clear advantage in this area based on user feedback.

Which product offers better customization for financial reporting?

Xero offers better customization for financial reporting. While QuickBooks Online provides standard reports, Xero explicitly states its capability for customizable reports, allowing users to tailor them to specific needs.

What are the advantages of QuickBooks Online?

QuickBooks Online offers a user-friendly interface specifically designed for small to medium-sized businesses making basic accounting tasks easier. It seamlessly integrates with banks for transaction imports, provides a wide variety of customizable reports, and offers affordable pricing plans. QuickBooks Online also offers robust billing automation features, including automated invoicing and recurring billing.

What are the disadvantages of QuickBooks Online?

QuickBooks Online users report issues with unreliable bank connections requiring frequent re-linking. Customer support wait times can be lengthy, especially for complex issues. The mobile app offers limited functionality compared to the web version. Some users find recent interface changes have made navigation more difficult.

Alternatives to QuickBooks Online and Xero

Multiview ERP

Multiview ERP is a cloud-based accounting and financial management software designed for mid-sized to enterprise-level businesses across various industries. It aims to replace manual processes and spreadsheets with automated workflows, multi-entity financial consolidation, and real-time data analysis. Multiview promises improved accuracy, faster reporting, and time savings for finance teams. Its strengths include robust reporting and customization options, along with strong security measures to protect sensitive financial data.

ZarMoney

ZarMoney is cloud-based accounting software designed for businesses of all sizes. It offers a comprehensive suite of tools including invoicing, expense tracking, financial reporting, and inventory management. ZarMoney aims to streamline financial tasks and enhance collaboration through real-time data sharing and customizable features.

Coupa

Coupa is a cloud-based software platform that helps businesses of all sizes manage their spending. It brings together all your spending information, from sourcing and purchasing to invoices and expenses, in one place. This gives you greater control and visibility, helping you save money, improve efficiency, and make smarter decisions. Coupa integrates with other systems like your ERP, and offers tools for managing vendors, automating tasks, and analyzing spending patterns.

FreshBooks

FreshBooks is cloud-based accounting software designed for small and medium-sized businesses. It simplifies tasks like invoicing, expense tracking, time management, and online payments. FreshBooks aims to make financial management more accessible and less time-consuming for business owners.

SAP Concur

SAP Concur helps businesses of all sizes manage their travel expenses, invoices, and overall spending. It streamlines expense reports, automates invoice approvals, and provides real-time visibility into company spending. This helps control costs, reduce risks, and improve employee productivity. SAP Concur integrates with other software and offers a mobile app for employee convenience.

SoftLedger

SoftLedger is a cloud-based accounting software designed for growing companies, especially those managing multiple entities, currencies, or digital assets. It offers core accounting functions like accounts payable/receivable, general ledger, and financial reporting in real-time. SoftLedger aims to be more powerful than basic bookkeeping software, but more user-friendly and affordable than traditional ERP systems. It also boasts a flexible API for integrating with other software, making it adaptable for various industries.

Page co-authored by

Michal Kaczor

CEO at Gralio

Michal has worked at startups for many years and writes about topics relating to software selection and IT management. As a former consultant for Bain, a business advisory company, he also knows how to understand needs of any business and find solutions to its problems.

Tymon Terlikiewicz

CTO at Gralio

Tymon is a seasoned CTO who loves finding the perfect tools for any task. He recently headed up the tech department at Batmaid, a well-known Swiss company, where he managed about 60 software purchases, including CX, HR, Payroll, Marketing automation and various developer tools.

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