Xero is a popular accounting software solution for small businesses and is known for its extensive feature set, user-friendly platform and mobile-friendly design. With three plan options, it can cover the needs of a variety of business sizes and industries. But it won’t be the right fit for every business.
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Our list of the best Xero alternatives includes products with free plan options, industry-specific features, multilingual capabilities and more.
Best Xero Alternatives
Product | Promotion | Learn more | ||
|---|---|---|---|---|
QuickBooks Online Learn more on QuickBooks Online's secure website | 5.0/5 Best for Overall alternative | $35/month Additional pricing tiers (per month): $65, $99, $235. | 70% off for first three months or free 30-day trial. | Learn more on QuickBooks Online's secure website |
Zoho Books Learn more on Zoho Books' secure website | 4.5/5 Best for Multilingual accounting software | $0 Additional pricing tiers (per month): $20, $50, $70, $150, $275. | 14-day free trial of the Premium plan. | Learn more on Zoho Books' secure website |
FreshBooks Learn more on FreshBooks' secure website | 4.5/5 Best for Freelancers | $19/month Additional pricing tiers (per month): $33, $60, custom. | 75% off for 3 months. 30-Day Money Back Guarantee. | Learn more on FreshBooks' secure website |
Sage 50 Accounting Learn more on Sage 50 Accounting's secure website | 3.5/5 Best for Desktop software | $62/month Additional pricing tiers (per month): $103.92, $177.17. | N/A | Learn more on Sage 50 Accounting's secure website |
Striven Learn more on Striven's secure website | 3.5/5 Best for Industry-specific software | $35/month Per user. Additional pricing tiers per user (per month): $70. | 7-day free trial | Learn more on Striven's secure website |
Wave Accounting | 3.5/5 Best for Free software | $0 Additional pricing tiers (per month): $16 | N/A | |
QuickBooks Enterprise | 4.0/5 Best for Enterprise software | $1,481/year Additional pricing tiers (per year): $1,922; $2,363; $4,668. Adding users or cloud access costs extra. | 30-day free trial |
Our pick for
Overall alternative
QuickBooks Online
Learn more
on QuickBooks Online's secure website
Starting at
$35/month
Additional pricing tiers (per month): $65, $99, $235.
Promotion
70% off
for first three months or free 30-day trial.
QuickBooks Online is an industry leader in the accounting field, thanks to its strong feature set, scalability and ability to accommodate small businesses with more complex financial needs. With millions of users worldwide, your accountant will likely be familiar with it.
Pros
- Easy to share information with your accountant and to find QuickBooks experts and online resources if needed.
- More than 750 app integrations.
- Robust feature set includes record-keeping, reporting, invoicing and inventory management, plus a capable mobile app.
- Chat and phone support available Monday through Saturday in all plans.
Cons
- Expensive compared with the competition.
- Frequent price increases and a tendency toward upselling.
- Limited account users with each plan.
Our pick for
Multilingual accounting software
Zoho Books
Learn more
on Zoho Books' secure website
Starting at
$0
Additional pricing tiers (per month): $20, $50, $70, $150, $275.
Promotion
14-day free trial
of the Premium plan.
Zoho Books packs an impressive collection of features and capabilities for an affordable price, and higher-tier plans let users automate workflows and track project profitability. It’s an especially good choice for users that already use the company’s other in-house apps and for businesses that want software with multilingual capabilities (Zoho Books supports 10 languages).
Pros
- Less expensive than some competitors; free plan available for businesses with less than $50k in annual revenue.
- Email support in free plan; phone and chat support in paid plans.
- Rich feature set includes excellent invoicing, inventory management, workflow rules and a capable mobile app.
- Add accounting widgets to your phone’s home screen; track time using your Apple Watch.
Cons
- Fewer third-party integrations and reports than some competitors.
- No plan includes more than 15 users (can add additional users for a fee).
Our pick for
Freelancers
FreshBooks
Learn more
on FreshBooks' secure website
Starting at
$19/month
Additional pricing tiers (per month): $33, $60, custom.
Promotion
75% off
for 3 months. 30-Day Money Back Guarantee.
FreshBooks is a simple and affordable option for freelancers and very small businesses that don’t require many users and prioritize being able to operate on the go via mobile app. It’s an especially inexpensive choice for those who can work within lower-tier plans’ billable client limits, and all plans include time tracking.
Pros
- Stay in touch with clients through the FreshBooks mobile app and get notified when invoices have been viewed or become overdue.
- Intuitive, customizable invoicing capabilities compete with those of more robust accounting solutions.
- Track time and add billable hours to invoices in all plans.
- Weekday phone support in all plans.
Cons
- Highest-tier Select plan only comes with two users (additional users add $11 per month) and lower-tier plans put limits on billable clients.
- Least expensive plan lacks double-entry accounting reports, bank reconciliation and accountant access.
Our pick for
Desktop software
Sage 50 Accounting
Learn more
on Sage 50 Accounting's secure website
Starting at
$62/month
Additional pricing tiers (per month): $103.92, $177.17.
Sage 50 Accounting is a desktop product that has to be locally installed. It includes advanced inventory and job costing features in the higher-tier plans as well as some features specific to construction and manufacturing.
Pros
- Advanced inventory tracking and job costing features.
- Industry-specific features for construction, retail and professional services businesses.
- Phone and chat support, plus a dedicated account representative in all plans.
Cons
- Lowest-tier plan doesn’t include audit trails.
Our pick for
Industry-specific software
Striven
3.5
NerdWallet rating Learn more
on Striven's secure website
Starting at
$35/month
Per user. Additional pricing tiers per user (per month): $70.
Promotion
7-day free trial
Striven offers cloud accounting software that is designed to be able to grow with your business. The robust software includes features for general ledger, accounts payable and receivable, automated invoicing and can handle multi-currency transactions. The software also includes industry-specific features for a variety of business types.
Pros
- Offers industry-specific features for consulting businesses, nonprofits, manufacturing companies, professional services and more.
- Tools to ensure tax compliance.
- Other features include inventory tracking, reporting, invoicing, project management tools and the ability to categorize transactions using classes.
- Customer support available by phone and live chat.
Cons
- Monthly costs could add up quickly if you require multiple users.
- No mobile app.
- Limited third-party integrations available; no payroll integrations.
Our pick for
Free software
Wave Accounting
Starting at
$0
Additional pricing tiers (per month): $16
Promotion
N/A
Unlike some “freemium” software products, Wave doesn’t put out a bare-bones free product as bait, then load it down with costly upgrades. The free accounting software lets you add unlimited collaborators, along with unlimited bank and credit card connections. It can be a simple solution for small, service-based businesses.
Pros
- Free plan available.
- Intuitive, customizable invoicing capabilities compete with those of more robust accounting solutions.
Cons
- Lacks features that quickly growing companies need, like audit trails.
- Must subscribe to Wave’s Pro plan or other paid services (payroll, payments, advisor, etc.) to receive customer support from a human.
- No mileage tracking feature and must use Zapier for third-party integrations.
Our pick for
Enterprise software
QuickBooks Enterprise
Starting at
$1,481/year
Additional pricing tiers (per year): $1,922; $2,363; $4,668. Adding users or cloud access costs extra.
Promotion
30-day free trial
As far as locally installed desktop accounting software goes, QuickBooks Enterprise is one of the more feature-rich. While QuickBooks Online and other cloud-based products are typically easier to use, they don’t usually come with industry-specific features like QuickBooks Enterprise does. These include specialized reporting for construction companies, nonprofits, manufacturers, wholesalers and distributors.
Pros
- Strong feature set includes thorough record-keeping, invoicing and advanced inventory management and pricing rules.
- More than 200 reports, including industry-specific options for various industries.
- 24/7 phone and chat support.
Cons
- Outdated user interface.
- Limited direct, third-party integrations for payroll software and popular point-of-sale systems.
- Annual subscriptions are expensive; each additional user license costs extra.
Our picks for the best Xero alternatives
Quickbooks Online: Best overall alternative
Price:
- $35 per month for the Simple Start plan.
- $65 per month for the Essentials plan.
- $99 per month for the Plus plan.
- $235 per month for the Advanced plan.
Why we like it: QuickBooks is one of the most well-known and popular business accounting software platforms around. Its cloud-based software, QuickBooks Online, can be accessed anywhere you have an internet connection.
QuickBooks Online comes with four pricing plans so you can choose the right one for your business that includes all of the features you need. All of its plans offer the ability to track income and expenses, organize receipts, send invoices, connect your business bank account, run basic reports, grant access to your accountant and more. The Essentials plan comes with added features like bill management, time tracking and access for three users. The Plus plan (its most popular plan) includes inventory tracking, project tracking and access for up to five users. The Advanced plan allows up to 25 users on the account and includes features such as batch invoicing, automated workflows, 24/7 support and more. All plans also come with the option to add live monthly bookkeeping assistance (for an additional cost). Read our complete QuickBooks Online review.
» MORE: Xero vs. QuickBooks Online
Zoho Books: Best multilingual accounting software
Price:
- $0 per month for the Free plan.
- $20 per month for the Standard plan.
- $50 per month for the Professional plan.
- $70 per month for the Premium plan.
- $150 per month for the Elite plan.
- $275 per month for the Ultimate plan.
Why we like it: Another option for your accounting software is Zoho Books, one of the many services part of the Zoho One Suite. Zoho offers six accounting plans, ranging in cost from free (if your business earns less than $50,000 in annual revenue) to over $200. All plans allow for your accountant to access your books, and each plan tier increases the number of users and invoices allowed, in addition to a host of additional features.
The free and Standard plans offer all the expected accounting functions, including invoicing and online payment collection, mileage and expense tracking, automated bank reconciliation, customizable chart of accounts, sales tax tracking and more. Higher-tier plans offer useful tools such as project tracking, additional reporting options (including forecasting), inventory management and advanced business insights, among others.
One of the more noteworthy features of Zoho Books, however, is that the entire product is available in 10 languages, including Spanish, Chinese and Japanese. If you have a multilingual team, they may be able to access various features of the software in their preferred language, and if you work with multilingual clients, the software can create invoices in a variety of languages. Read our review of Zoho Books.
» MORE: Top Zoho Books alternatives
FreshBooks: Best for freelancers
Price:
- $19 per month for the Lite plan.
- $33 per month for the Plus plan.
- $60 per month for the Premium plan.
- Custom pricing for the Select plan.
Why we like it: FreshBooks got its start as invoicing software, so that’s one of its strongest features, but today it’s a full accounting software solution that makes it a worthy competitor to Xero. It offers four plan options — including a customized pricing option — that are generally designed to suit businesses ranging from freelancers/solopreneurs to small businesses with employees.
The most simple plan, FreshBooks Lite, comes with quite a few features, like unlimited and customized invoices, unlimited time tracking and expense entries, unlimited estimates and the ability to accept credit card payments and ACH bank transfers online. It’s a plan tailored to freelance accounting, and if you take advantage of one of FreshBooks’ frequent promotions, you can grab the Lite plan at a very low monthly cost.
The Plus and Premium plans give you additional features like double-entry accounting (the industry standard), unlimited proposals, recurring invoice automation, a higher allowance for the number of billable clients, accountant access and more. There is also a custom pricing option for those businesses that need access for more than one account user, are interested in lower transaction fees for online payments and prefer dedicated customer support and training. Read our FreshBooks review.
» MORE: Freshbooks vs. Xero
Sage 50 Accounting: Best desktop software
Price:
- $61.92 per month, for 1 user, for the Pro Accounting plan.
- $103.92 per month, for 1 user, for the Premium Accounting plan.
- $177.17 per month, for 1 user, for the Quantum Accounting plan.
- Prices increase with each additional user.
Why we like it: Sage 50 Accounting is a desktop accounting solution, meaning it’s locally installed on one machine and can’t be accessed from multiple devices or on the go, the way that cloud accounting software can be. Sage 50 Accounting offers three plans: Pro, Premium and Quantum.
The Pro plan includes inventory management and job costing, features that competitors typically offer only in upper-tier plans. Upgrading to the Premium or Quantum plan will allow for more users to access the software, but be aware that adding users increases the cost of these products — the monthly prices listed above assume only one user. Additionally, these plans grant you advanced budgeting, reporting and inventory tracking along with a list of other useful features, including audit trails. Read our full Sage 50 Accounting review.
Wave Accounting: Best free software
Price: $0.
Why we like it: Wave offers a few paid services that include payroll and payment processing, but its accounting software is entirely free for users. Wave’s notable accounting features include the ability to connect an unlimited number of business bank and credit card accounts to help automate the reconciliation process, along with income and expense tracking, customizable invoicing and no limit to the number of collaborators (including accountants) that you can add to the account. Understanding that this is free software can help you adjust expectations accordingly. But if you don’t require some of the advanced capabilities you can get with other accounting products, this could be a great option. Read our review of Wave Accounting.
Striven: Best industry-specific software
Price:
- $35 per month per user for the Standard plan.
- $70 per month per user for the Enterprise plan.
Why we like it: Many accounting products on the market will advertise their software as solutions for specific fields and industries. Rarely, however, do those products include features different from the standard feature set that are intended to best suit the needs of a particular industry. That’s where Striven stands out among competitors.
In addition to a strong core accounting offering, Striven includes additional, varied features designed for particular needs of businesses operating in real estate, construction, education, the nonprofit sector and a handful of other industries. Striven’s software also includes tools for inventory and project management, CRM and HR.
QuickBooks Enterprise: Best enterprise software
Price:
- $1,481 per year for the Silver plan.
- $1,922 per year for the Gold plan.
- $2,363 per year for the Platinum plan.
- $4,668 per year for the Diamond plan.
Why we like it: If you run a well-established small business and/or find yourself quickly outgrowing the capabilities of your current accounting software, then you may benefit from enterprise-level software such as QuickBooks Enterprise. It comes at a higher price point than others on this list, but the features and capabilities may more closely align with your needs and may therefore be worth the investment.
At its core, QuickBooks Enterprise is desktop software, but you can purchase cloud access for an additional cost, which will allow you and your team to access real-time data from any device and location. All four plan options come with advanced reporting capabilities and 24/7 phone and chat support, in addition to the standard QuickBooks Desktop software features. The Gold plan includes payroll, while the Platinum and Diamond plans tack on advanced inventory management, billing workflows and up to 40 users who can access the account. Read our QuickBooks Enterprise review.
Nina Godlewski contributed to an earlier version of this article, which was first published on Fundera, a subsidiary of NerdWallet.
Last updated on June 18, 2024
Methodology
NerdWallet independently reviews accounting software products before determining our top picks. We collect the data for our software ratings from products’ public-facing websites and from company representatives. Information is gathered on a regular basis and reviewed by our editorial team for consistency and accuracy.
NerdWallet’s accounting software ratings favor products that are easy to use, reasonably priced, have a robust feature set and can grow with your business. The best accounting software received top marks when evaluated across 10 categories and more than 30 subcategories. Learn more about how we rate small-business accounting software.
These ratings are meant to provide clarity in the decision-making process, but what’s best for your business will depend on its size, growth trajectory and which features you need most. We encourage you to research and compare multiple accounting software products before choosing one.
NerdWallet does not receive compensation for any reviews. Read our editorial guidelines.
