Xero vs Acumatica

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Our analysts compared Xero vs Acumatica based on data from our 400+ point analysis of Accounting Software, user reviews and our own crowdsourced data from our free software selection platform.

Product Basics

Xero is a cloud-based accounting software designed for small businesses. It streamlines bookkeeping tasks like invoicing, expense tracking, bank reconciliation, and payroll, all accessible from any device. Xero boasts user-friendly interfaces and automated features, saving time and simplifying financial management. Popular features include online invoicing with reminders, bank feeds for automatic transaction import, and customizable reports for insights into cash flow and profitability. While Xero caters well to various industries, its strengths lie in freelancer/contractor work, startups, and service-based businesses. Pricing scales with business size and complexity, starting at a monthly subscription for basic accounting needs and increasing with additional features and users. Compared to some competitors, Xero offers a robust mobile app, strong integrations with third-party tools, and a focus on user experience. However, it may lack advanced inventory management or complex accounting functions suited for larger enterprises. Ultimately, Xero's value proposition lies in its ease of use, automation, and scalability, making it a popular choice for small businesses seeking a streamlined and efficient accounting solution.

Pros:
  • Cloud-based access anywhere
  • Easy invoicing and expense tracking
  • Automated bank reconciliation
  • User-friendly interface
  • Mobile app for on-the-go use
Cons:
  • Learning curve for new users
  • Limited inventory management
  • No built-in payroll (separate fee)
  • Higher cost for advanced features
  • Limited phone support
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Acumatica is cloud-based enterprise resource planning (ERP) software. It handles core business processes like financials, manufacturing, payroll, service management, order management and customer relationship management (CRM) for medium-sized companies and large enterprises.

A standout feature is its open architecture, making it easy to customize and connect to existing apps. Data security functions include multi-factor authorization (MFA) and IP access restrictions.

Recent reviews are positive about its user-friendly interface, scalability and functionality. While costing more than some basic ERP software, Acumatica offers robust features like project management, advanced reporting and inventory control, making it a good choice for growing businesses seeking to centralize and automate operations.

Compared to its competitors, users appreciate its flexibility and accessibility. However, its extensive customization options is a double-edged sword, requiring developer knowledge for complex modifications and integrations. While Acumatica's breadth of functionality is impressive, it can present a steeper learning curve for users new to the platform.

Acumatica offers a subscription-based model based on depth of functionality. This pricing structure allows unlimited user access to the system. The final price depends on added modules, consumption levels (including storage and transaction volumes) and licensing costs.
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Product Assistance

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24/7 Live Support
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Product Insights

  • Affordable Payroll: Take advantage of the free trial to see how much time automated data entry can save and assess if the solution is a good fit for the business. Save countless hours on tracking expenses, calculating payments, processing payroll and more.
  • Better Interoperability: Centralize company processes and handle a wide range of functionality with more than 700 add-ons available through the app marketplace. This includes programs for CRM, e-commerce, inventory, invoicing, job tracking, payroll, time and attendance and more.
  • Centralizes Data and Processes: Organize information and put the primary software that handles day-to-day issues all in one place. Manage files to a document library where users can see originals next to updated versions. Send files to stakeholders to ensure a clear flow of information.
  • Saves Time: Eliminate tedious data entry and ensure better data integrity by cutting down on human error. Provide a clear documentation trail to ensure that the business is running ethically and save time hunting for documents when it’s time to verify the information.
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  • Focus on User Experience: Acumatica contains a range of automated capabilities for creating tax filing reports, billing and invoicing, calculating realized gains and losses, and managing taxes. The user-friendly experience coupled with fewer manual processes foster quick user adoption.
  • Access Everything in One Place: Review all business functions, databases and workflows in one place. Personalized dashboards fix the generalized view problem and let users see vital information.
  • Get Real-Time Visibility: Real-time visibility into business processes helps reduce inconsistencies and communication errors.
  • Support Global Operations: Set up shop in various locations and support transactions across multiple currencies.
  • Maintain Financial Health: Gain better control over your company’s financials by either segmenting or centralizing accounting among various locations and entities.
  • Comply With Complex Tax Regulations: Reduce tax headaches by accounting for use, sales, withholding and other considerations. Avoid penalties and fines with built-in tax management capabilities that ensure adherence to tax guidelines.
  • Choose From a Strong Partner Ecosystem: Acumatica has a vast network of partners offering industry-specific solutions and implementation services. Get the right options to align the system with your specific business needs.
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  • Payroll Processing: Provide payroll across 50 states. See when payments are due, track them and ensure on time payment. Analyze accounts payable with a quick view, schedule advanced payments and make batch payments.
  • Banking: Connect to the right bank to track and facilitate transactions daily. Keep an eye on the flow of money through a secure connection that goes directly into the solution.
  • Expense Management: Seamlessly track and manage expense claims. Access real-time data and reports that provide insight into patterns and trends. Record costs, see and approve claims, view overall spending and dole out reimbursements. Capture receipts to monitor employee spending and verify costs.
  • Project Management: Integrate with other workflows to facilitate financial project management. Provide a quote for client work before you begin to track time, costs, profitability and other variables for an accurate invoice.
  • Customer History: Use smart lists and contacts to contact details, emails, past sales, emails, invoices, past payments and more when working with a partner or client.
  • Mobile App: Let users track bank transactions, send invoices, access supplier details and more, from any mobile device.
  • Inventory Management: Undertake basic inventory management, including taking inventory, seeing what was bought or sold, look at reports on how well items are doing and get invoices and orders.
  • Gusto Integration: Calculate and pay taxes, deductions and employees through an integration with the accounting software Gusto. Simplify compliance and keep on top of industry updates.
  • Other Capabilities: Processes payment in multiple currencies, calculates sales taxes, tracks purchase orders, manages files and does several other administrative tasks.
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  • Financial Management: Manage accounting, budgeting, financial reporting and cash management on one platform. In addition to core functions like general ledgers, accounts receivables and payables, it offers automated bank reconciliations and multi-currency to support efficiency and global operations.
  • Distribution Management: Manage sales, inventory, and purchasing processes with one module. Top features include order management, inventory control and warehouse management. Its ability to handle complex inventory valuation methods and real-time inventory visibility sets it apart.
  • Order Management: Get better control over the entire order-to-cash process. From order entry and tracking to fulfillment and invoicing, it provides complete visibility and control.
  • Built-In CRM: Build and maintain strong customer relationships. Use sales force automation, marketing automation and customer service management tools to make every interaction meaningful. Integrated sales forecasting, lead scoring and customer lifecycle management drive sales growth and improve customer satisfaction.
  • Manufacturing: Get real-time visibility into shop floor activities. Create and manage multiple work centers. Manage everything from bills of materials (BOM) creation to work order management based on job dispatch lists.
  • Service Management: Use an extensive service management toolkit that includes service request creation, service contract management and installation management features. Enhance service delivery and improve technician productivity by offering a technical portal to start and end appointments.
  • Inventory Management: Capture key inventory details like class ID and item types. These support cycle routing with better visibility into stock levels. Build kits to stock with the option to disassemble kits into smaller components.
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Product Ranking

#3

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Accounting Software

#28

among all
Accounting Software

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Analyst Rating Summary

92
89
93
0
97
81
100
100
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Banking and Cash Management
General Ledger and Chart of Accounts
Integration and Extensibility
Journal Entries
Mobile Support
Banking and Cash Management
Financial Statements and Revenue Management
General Ledger and Chart of Accounts
Journal Entries
Multi-company Accounting and Asset Management

Analyst Ratings for Functional Requirements Customize This Data Customize This Data

Xero
Acumatica
+ Add Product + Add Product
Accounts Payable Accounts Receivable Banking And Cash Management Budget And Expense Management Financial Statements And Revenue Management General Ledger And Chart Of Accounts Integration And Extensibility Inventory Management Journal Entries Mobile Support Multi-company Accounting And Asset Management Platform Capabilities Project Accounting Reporting And Analytics Tax Management 93 97 100 89 89 100 100 83 100 100 79 89 100 90 92 0 81 100 80 100 100 0 73 100 0 100 0 80 0 98 0 25 50 75 100
78%
22%
0%
we're gathering data
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we're gathering data
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we're gathering data
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94%
0%
6%
63%
31%
6%
100%
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100%
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69%
23%
8%
60%
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40%
71%
14%
15%
100%
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0%
100%
0%
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100%
0%
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we're gathering data
N/A
we're gathering data
N/A
we're gathering data
N/A
86%
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14%
29%
71%
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100%
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0%
100%
0%
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100%
0%
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we're gathering data
N/A
we're gathering data
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we're gathering data
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60%
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20%
100%
0%
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89%
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11%
we're gathering data
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we're gathering data
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we're gathering data
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100%
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80%
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84%
5%
11%
we're gathering data
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we're gathering data
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we're gathering data
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80%
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Analyst Ratings for Technical Requirements Customize This Data Customize This Data

33%
0%
67%
67%
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33%
100%
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83%
17%
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User Sentiment Summary

Great User Sentiment 4652 reviews
Great User Sentiment 2062 reviews
86%
of users recommend this product

Xero has a 'great' User Satisfaction Rating of 86% when considering 4652 user reviews from 5 recognized software review sites.

89%
of users recommend this product

Acumatica has a 'great' User Satisfaction Rating of 89% when considering 2062 user reviews from 5 recognized software review sites.

4.4 (17)
5.0 (13)
4.3 (339)
4.5 (1217)
4.33 (2132)
n/a
4.3 (1877)
4.5 (126)
n/a
4.3 (110)
4.3 (287)
4.4 (596)

Awards

SelectHub research analysts have evaluated Xero and concluded it earns best-in-class honors for Integration and Extensibility and Mobile Support.

Integration and Extensibility Award
Mobile Support Award

SelectHub research analysts have evaluated Acumatica and concluded it earns best-in-class honors for Multi-company Accounting and Asset Management.

Multi-company Accounting and Asset Management Award

Synopsis of User Ratings and Reviews

Affordable: Of all the reviews that mentioned price, over 70% felt it was well within their price range and felt satisfied.
Good Customer Service: Over 70% of reviews that mentioned the customer support said they received excellent service, especially from their reps.
Excellent Functionality: In more than 50% of all reviews that mentioned features, users were happy with its capabilities. They especially like the integrations, reconciliation process, invoices and accounting functions.
Simple and intuitive interface: Xero's clean layout and straightforward navigation make it easy for users of all skill levels to manage their finances. In over 80% of reviews that mentioned the UI, users said it was easy to navigate.
Automated tasks: Xero automates repetitive tasks like invoicing, expense tracking, and bank reconciliation, saving users valuable time and reducing errors.
Mobile app for on-the-go access: Manage your finances and stay up-to-date on your business performance anytime, anywhere with Xero's mobile app.
Customizable reports and dashboards: Gain valuable insights into your cash flow, profitability, and other key financial metrics with Xero's customizable reports and dashboards.
Multi-user access and permissions: Collaborate with team members and advisors seamlessly with Xero's secure multi-user access and permission controls.
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User-Friendly: While there were some mixed reviews concerning disjointed navigation and the need for in-depth end-user training, 75% of reviewers said that Acumatica is easy to use.
Reporting: Over 50% of users were in favor of Acumatica’s reporting. Those who were not in favor said that the reporting feature required IT assistance to generate specialized reports, as the custom report tool isn’t friendly for those without developer knowledge.
Customization: Nearly three-fourths of reviews that mentioned customization applauded the vast amount of opportunities for customization, while one-fourth of reviewers complained that users need IT assistance to complete customizations.
Functionality: Acumatica provides robust functionality — almost 82% of reviewers said the system came with every tool they needed and more. Reviewers also mentioned that yearly updates are rolled out, so functionality is always improving.
Integration: Of the users that mentioned integration in their review, 100% were satisfied with the connectivity to other systems.
Cloud-Based Scalability: Easily adapt to business growth by adding modules or users without data disruption or complex upgrades.
Seamless Integrations: Connect with various third-party tools and platforms through open APIs and connectors, streamlining data flow and operations.
Centralized Data: Consolidate all business information in one system, improving data accuracy, accessibility and reporting capabilities.
Mobile App Access: Manage key tasks and access data on the go with the mobile app, boosting productivity and flexibility.
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Limited inventory management: Xero lacks advanced inventory tracking features, making it less suitable for businesses with complex inventory needs.
Learning curve for complex features: While basic tasks are easy, some advanced features like multi-currency accounting can be challenging for non-accountants to navigate. Though the system was widely popular after implementation, users said it was old-fashioned and had a steep learning curve in 20% of reviews that mentioned the UI.
Higher cost for advanced features: Access to advanced features like payroll processing and multi-currency comes at a higher price point, potentially exceeding budgets for smaller businesses.
Limited phone support: Xero primarily relies on email and live chat for support, which may not be ideal for users seeking immediate assistance with critical issues.
Integration limitations: While offering many integrations, some key business tools may not have seamless integration with Xero, requiring workarounds or data duplication.
Invoices: While around 60% of users felt that the invoicing system worked well, around 40% said they had trouble making changes to them once they were saved.
Downgrading Issues: Around 20% of reviews that mentioned price said they had issues while trying to go to a lower pricing tier and often ended up paying a month or more at a higher rate.
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Support: Almost 70% of reviews concerning support were negative, given that Acumatica requires users to partner with a third party for support. In addition, there were some grievances surrounding the “Help” documentation.
Implementation: Between long implementation cycles and a requirement for a VAR to implement the system, 75% of reviewers said that they weren’t happy with the process.
Higher Cost Than Basic Options: Initial investment and per-application pricing can be steeper than some basic accounting software, especially for smaller businesses.
Steeper Learning Curve for Complex Needs: Extensive customization and advanced features may require dedicated IT resources or consultant support, increasing implementation costs.
Limited Industry-Specific Features: May lack specialized modules or functionalities for highly regulated or niche industries.
Reporting Customization Restrictions: While customizable, financial reporting options might not offer the depth and drill-down capabilities of dedicated reporting tools.
Occasional System Bugs & Glitches: 80% of users who mentioned platform speed report occasional bugs and glitches, requiring troubleshooting and potential downtime.
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Xero’s users say it’s easy to use and has good accounting and bookkeeping capabilities. Most found the price to be acceptable, with some complaints about issues they ran into while trying to switch to a lower pricing tier. More than 70% loved the customer service and felt their representatives were extremely helpful. It has a range of features including band feeds, invoice creation, integrations and reconciliation processes. The reconciliation was particularly popular with over 80% of reviewers who mentioned it describing positive experiences. One issue with the system came in making updates to invoices after they’d been saved. Some users said they were sent prematurely to clients or claimed to have difficulties changing the data at a later date. Many also felt that the implementation process for the new platform was difficult, but that once they learned where things were they felt comfortable. This may be a good choice for small and medium businesses. Larger companies should consider a system that’s able to handle a higher volume.

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User reviews, coupled with our extensive research, confirm Acumatica’s reputation for flexibility and scalability. Still, certain features and overall performance have drawn mixed reviews.First, the positives. A majority of user reviews highlight Acumatica’s functionality and its ease of use. Popular mentions include the quoting and billing, accounts location, and inventory management features. Other honorable mentions are the accounts payable and invoice routing tools.Reviewers specifically mention that managing administrative functions is a breeze and accessible from anywhere. One user even mentioned that their business is retiring other legacy systems because Acumatica fulfills those needs by offering tools to manage various business functions on one platform with complete access to past data.For those who swear by Excel, Acumatica offers a comforting bridge with its robust Excel integration. The export to Excel feature is available on every grid. No more tedious manual transfers.However, drawbacks like the less-than-ideal calendar feature and tricky project management tools have been noted. Users say that project management, while capable of managing multiple projects at once, could have fewer steps.The platform’s performance can be a hiccup. Multiple users experienced glitches, especially when dealing with large datasets or navigating through generic inquiries. The system also logs out after 60 minutes of idle time. Defining user inactivity timeout is only available for Acumatica 2023 R1 and beyond.Beyond user reviews, our research team delved into the strengths and weaknesses of Acumatica. According to our research, it’s the best in the game for order and service management.Acumatica's biggest differentiator lies in its open architecture and customization options. Unlike some competitors with limited customization or reliance on pre-built modules, Acumatica lets you tailor the platform to their specific workflows and processes.The caveat is that molding the platform will take time and a great deal of expertise (either through internal IT or external support). Implementation will get drawn out, and expediting this process without proper alignment with your business needs will deter you from getting complete value for the amount you pay.The timeline and pricing might not be suitable for smaller firms or startups. Some users also wished the private cloud perpetual (PCP) licensing model wasn't discontinued. We suggest looking for other options if you don’t want to pay a monthly recurring fee.So, is Acumatica right for you?Acumatica is a strong contender if your business demands a highly adaptable system and you're prepared to invest time and resources in customization. However, if you prioritize rapid implementation and lightning-fast performance, you might want to explore other options.

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