Should your SME be using Xero Accounting software?

by | Jul 15, 2015

Deciding on whether to change the accounting software for your small business can be a difficult decision. As you know, we use and recommend Xero but perhaps you don’t really know why. In this post we will give you an overview of the advantages and disadvantages of this top selling program to help you make a more informed choice based on what’s best for your specific situation.

Advantages of Xero

Intuitive dashboard. The dashboard where you will control your Xero software is laid out in an intuitive manner; this means that there is a short learning curve to master this software, even if you have not used it previously.

Easy Importation and compatible with earlier forms of most other major accounting software. One of the main reasons why users choose to stick with an accounting software brand that they don’t enjoy using is that they worry about having trouble importing their sales and other figures that they tracked with another brand of software. Xero is specifically designed to make it easy to import your old bookkeeping records, even if you used another accounting software program.

It’s all in the Cloud. Xero operates entirely in the cloud. This means that updates can be applied quickly and automatically so that you no longer have to suffer from down time for upgrades. This also makes the system faster and practically eliminates timing out and other potential losses of data and other information. Since the system is entirely in the cloud, it requires less space on your computer or other platform, which also saves time and money for your business.

Complete customisation and easy to run frequent reports. Don’t like the way a specific report is set up in Xero? That’s no problem – just customise your report and save it as a template for future reports. You can also make all of your reports, except for the 1099, a “favourite” so that you can quickly find them in the main drop down menu for reports at the click of your mouse.

Xero also makes it easy to run frequent reports and provide snapshots of every aspect of your business so that you get a bird’s eye view of your business and how well you are doing at any point in time. By being able to keep your hand on the proverbial pulse of your business at all times, you can more informed decisions and better strategic plans for your business.

Improved cash flows. A main drawback of many accounting software programs is the difficulty in creating and sending invoices to bill your clients. Being able to quickly bill your clients is often the key to getting paid on time and increasing your business’ cash flows. Xero makes it easy to create and send invoices and add new customers at any time and from anywhere, even from your mobile platform!

It’s easy to ask for help. Regardless of your experience level, most small business owners need some help with their books from time to time. Many accounting programs make it difficult to share your books, but Xero makes it easy and allows you to invite an unlimited number of authorized users and collaborators at any time.

It’s cheaper than most of its competitors. Many software companies ding their clients with an expensive new charge anytime that they upgrade. Xero offers a range of services and tiers with a low monthly subscription with a plan that can fit every business and budget, regardless of its size. Updates are free, and Xero includes payroll, accounts receivable and accounts payable in its packages as well.

 Disadvantages of Xero

Ongoing monthly subscription fee. Xero does require a low monthly subscription fee, with no commitment in order to use the software. Some may prefer paying a one-time free for software. While it’s true that some brands do only charge a one-time fee for the software, users should be aware that there are still fees that they will need to pay in the future for this type of software, such as whenever there is an update to the system. In the long run, these software packages tend to be more expensive than Xero because of the associated costs for IT, downtime and updates.

You might have fun. Many small business owners that used to dread doing their books find that they unexpectedly begin to actually enjoy doing their books when they start using Xero. If you hate having fun, this might be a significant drawback for you.

Now that you know a little bit more about the pros and cons associated with Xero, why not tell us what you think? Are you ready to start having fun while you do your books while also improving your cash flow and saving money?

If you are still a bit afraid about changing over to a new system, or have questions about how Xero could work for your business, why not get in touch with us today? We’ll be happy to go over your concerns and show you just how easy it can be to maintain your records with Xero.

 

 

 

Want to find out more?

T: 02 9699 2880
E: admin@accountsstudio.com.au

A: First Floor
8 – 10 Hart St
Surry Hills NSW 2010

What our clients are saying...

I have had many a chat with Sophie on the networking circuit. Sophie has a strong profile and reputation within business circles and I wouldn’t hesitate to recommend her to any soho needing direction, support and encouragement. I have a passion for educating small business myself and wholeheartedly support Sophie in her endeavour to actively reduce costs for those who may be unintentionally making uninformed decisions relating to business management. Many business owners are unnecessarily outsourcing tasks which are misdirected or can be achieved inhouse.

Gai Hook
Virtual Sales Strategy

2017-10-13T09:32:05+00:00

Gai Hook
Virtual Sales Strategy

I have had many a chat with Sophie on the networking circuit. Sophie has a strong profile and reputation within business circles and I wouldn’t hesitate to recommend her to any soho needing direction, support and encouragement. I have a passion for educating small business myself and wholeheartedly support Sophie in her endeavour to actively reduce costs for those who may be unintentionally making uninformed decisions relating to business management. Many business owners are unnecessarily outsourcing tasks which are misdirected or can be achieved inhouse.
I’ve worked with Sophie as a contributor to Confessions of a Mumpreneur – a fantastic book that she dreamt up, edited and produced. Apart from producing fabulous books that help so many others realise their entrepreneurial dreams, Sophie is an astute business person who is making her mark on her own terms. Watch this space – I’m sure we’ll see and hear a lot more from Sophie Andrews in the years to come.

Jennifer Dalitz
Gender Diversity expert, Career Coach, Award winning blogger on women, work & leadership @ www.TheSheEOBlog.com

2017-10-13T09:50:01+00:00

Jennifer Dalitz
Gender Diversity expert, Career Coach, Award winning blogger on women, work & leadership @ www.TheSheEOBlog.com

I’ve worked with Sophie as a contributor to Confessions of a Mumpreneur – a fantastic book that she dreamt up, edited and produced. Apart from producing fabulous books that help so many others realise their entrepreneurial dreams, Sophie is an astute business person who is making her mark on her own terms. Watch this space – I’m sure we’ll see and hear a lot more from Sophie Andrews in the years to come.
I got to know Sophie through my previous employer where Sophie still handles the bookkeeping side of things. While we worked together I have found Sophie very accurate, punctual and very pleasant to work with. And recommend her highly.

Dianna Holwerda
Client Service Manager, John Sergeant Associates Pty Ltd

2017-10-13T09:55:05+00:00

Dianna Holwerda
Client Service Manager, John Sergeant Associates Pty Ltd

=
I was recommended to The Accounts Studio at a networking event and have been working with them for the last 2 years. The team have all been very approachable and available – two things essential when it comes to understanding your accounts! I now no longer have the stress every three months of getting my BAS correct and even better I have a clear understanding of where my company is financially! Thanks Sophie and TAS team!

Eleni Mitakos
Galmatic Pty Ltd

2017-10-13T04:16:02+00:00

Eleni Mitakos
Galmatic Pty Ltd

I was recommended to The Accounts Studio at a networking event and have been working with them for the last 2 years. The team have all been very approachable and available – two things essential when it comes to understanding your accounts! I now no longer have the stress every three months of getting my BAS correct and even better I have a clear understanding of where my company is financially! Thanks Sophie and TAS team!
I have really enjoyed working with you guys and look forward to a successful 2013. From the moment we started with TAS I have seen value. The figures are accurate, you are accessible (and approachable!) and most of all – you are cool people!

Chris Du Plessis
Managing Director, Origin Meat Pty Ltd

2017-10-13T04:20:03+00:00

Chris Du Plessis
Managing Director, Origin Meat Pty Ltd

I have really enjoyed working with you guys and look forward to a successful 2013. From the moment we started with TAS I have seen value. The figures are accurate, you are accessible (and approachable!) and most of all – you are cool people!
"Sophie is so professional – careful, attentive and punctual – she has made managing my accounts not just easier, but a whole lot less stressful"

Fast Ed
TV Chef from Better Homes & Gardens

2017-10-13T04:23:15+00:00

Fast Ed
TV Chef from Better Homes & Gardens

"Sophie is so professional – careful, attentive and punctual – she has made managing my accounts not just easier, but a whole lot less stressful"
Sophie has been a tremendous support and guiding light for my business. I have continually succeeded when acting on her advice and by using her services. Her products are fantastic and her ideas and accuracy is out of this world. I would never hesitate to recommend Sophie’s services and I would invite anyone to contact me for a referral.

Belinda Grundy
GM, Property Styling Online and BG Property Styling

2017-10-13T09:21:50+00:00

Belinda Grundy
GM, Property Styling Online and BG Property Styling

Sophie has been a tremendous support and guiding light for my business. I have continually succeeded when acting on her advice and by using her services. Her products are fantastic and her ideas and accuracy is out of this world. I would never hesitate to recommend Sophie’s services and I would invite anyone to contact me for a referral.
Sophie has the spirit of the Entrepreneurial Business Owner! Whether she is running a successful single family website, creating a product for small business owners or running her own bookkeeping agency she is always right on track as to what small business needs. If you want to speak to someone who not only knows what business owners are going through-she also does something about it- then don’t miss out, connect with Sophie! She is someone who can not only think outside the square- she has true strategic thinking; which is often spoken about but is rarely truly placed into action.

Sue Heins
Councillor at Warringah Council

2017-10-13T09:25:16+00:00

Sue Heins
Councillor at Warringah Council

Sophie has the spirit of the Entrepreneurial Business Owner! Whether she is running a successful single family website, creating a product for small business owners or running her own bookkeeping agency she is always right on track as to what small business needs. If you want to speak to someone who not only knows what business owners are going through-she also does something about it- then don’t miss out, connect with Sophie! She is someone who can not only think outside the square- she has true strategic thinking; which is often spoken about but is rarely truly placed into action.
Sophie is an amazing business woman. She is able to take the complexities of business and break them into manageable pieces for small and home based business owners to work with. She’s clever, creative, supportive and very generous. She’s the reason that so many small businesses are doing so well. If yours is a small or home based business then Sophie is someone you need to know.

Anne Maybus
Writer and Content Creator, Clever Streak

2017-10-13T09:26:35+00:00

Anne Maybus
Writer and Content Creator, Clever Streak

Sophie is an amazing business woman. She is able to take the complexities of business and break them into manageable pieces for small and home based business owners to work with. She’s clever, creative, supportive and very generous. She’s the reason that so many small businesses are doing so well. If yours is a small or home based business then Sophie is someone you need to know.
Sophie is efficient, direct and gets the job done. She responds quickly, keeps me updated and has a way of simplifying things and making my life easier. She is all about efficiency and that’s what makes it great to work with her, I highly recommend her to anyone who wants someone to efficiently look after their books and she is great value for money too.

Adam Dobson
Strategic Resourcing Manager

2017-10-13T09:28:24+00:00

Adam Dobson
Strategic Resourcing Manager

Sophie is efficient, direct and gets the job done. She responds quickly, keeps me updated and has a way of simplifying things and making my life easier. She is all about efficiency and that’s what makes it great to work with her, I highly recommend her to anyone who wants someone to efficiently look after their books and she is great value for money too.