QuickBooks vs. Xero

Choosing the right accounting software is pivotal for your business's financial health. Let's delve into what sets Xero and QuickBooks apart in this comprehensive comparison.


When it comes to managing your business finances, Xero and QuickBooks are two of the most well known options on the market. Each offers unique features designed to streamline accounting processes, enhance financial reporting, and improve overall efficiency. In this comparison, we'll explore the key differences and strengths of each platform to help you make an informed decision. However, for the discerning small business owner, there's another option that not only matches but exceeds the value found in these traditional players: Bench. Let's explore what makes each of these options unique, and why Bench might just be the best choice for your business.

Comparing QuickBooks and Xero


QuickBooks, a household name in accounting software, offers financial management tools tailored for small to mid-sized businesses. With a focus on automation, QuickBooks helps streamline accounting tasks, including tracking sales and expenses, managing bills, and payroll functions. Its extensive ecosystem of integrations allows businesses to customize the platform to their unique needs.


Xero is a cloud-based accounting solution known for its user-friendly interface and robust feature set. It's designed to facilitate small to medium-sized businesses with real-time financial data, offering everything from invoicing and payroll to expense tracking and reports. Xero stands out for its strong collaboration features, allowing multiple users to access financial data seamlessly, anytime, anywhere.

Which is better? QuickBooks or Xero

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QuickBooks stands out for its features designed to cater to a broad spectrum of accounting needs, from invoicing and payroll to expense tracking and financial reporting. It's a tool for those with a basic understanding of accounting principles, offering customization and integration options that can adapt to various business models. However, newcomers to accounting software may find the array of features daunting. The platform aims to streamline complex financial management tasks, but achieving fluency in its use can require a significant time investment, particularly for small business owners who are juggling multiple responsibilities.

Xero, and its user-friendly interface, aims to simplify accounting for small to medium-sized businesses. Compared to QuickBooks it excels in accessibility, providing a clear dashboard that highlights key financial information at a glance. Xero's setup and the emphasis on collaborative features, such as multi-user access and integration with other business tools, support a smoother daily operation. However, while Xero offers a gentler learning curve than QuickBooks, users seeking to leverage more advanced features may still face challenges without additional guidance or support.

When comparing QuickBooks and Xero, it's evident that both platforms bring strengths to the table regarding usability. QuickBooks offers depth and customization at the expense of a steeper learning curve, while Xero prioritizes user experience and accessibility, potentially at the cost of advanced functionality depth. However, both solutions share a common hurdle for many small business owners: the absence of personalized support. Navigating the complexities of accounting software alone can be a daunting task, leading to frustration and lost time.

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QuickBooks has invested in automation, understanding the value of saving time for small business owners. Its features, such as automatic bank feeds, invoice generation, and recurring payments, are designed to minimize manual data entry and reduce errors. The platform's ability to automate bookkeeping tasks, including tax calculations and financial reporting, streamlines operations. While these capabilities can enhance efficiency, they sometimes require a nuanced understanding of the system to set up and manage effectively. Automation in QuickBooks is possible, but it can feel impersonal and lacks the nuanced understanding that comes from a human touch, particularly when dealing with unique or complex financial situations.

Xero’s automation aims to make financial management as hands-off as possible for business owners. From capturing receipts and bills through its mobile app to automatically categorizing transactions based on past behavior, Xero reduces the need for manual oversight. Its automated bank reconciliation process can save business owners time and effort. However, the platform can't fully replicate the insights and personalized advice that come from working directly with a financial professional. Xero's automation makes everyday tasks easier but may fall short in providing the strategic guidance that businesses often need.

QuickBooks and Xero both offer robust automation features that cater to the need for efficiency in financial management. These tools are designed to save time by handling repetitive tasks, allowing business owners to focus more on their core operations. However, what's missing from both platforms is the personalized touch and guidance that come from a dedicated financial partner. Automation can streamline processes, but it cannot adapt to the unique challenges or opportunities a business may face.

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QuickBooks has an ecosystem of integrations, designed to connect with an array of third-party applications and services. This network includes solutions for payment processing, payroll, CRM, and more. The diversity of available integrations allows businesses to customize their accounting software to their specific operational needs, enhancing functionality and efficiency. However, the broad scope of QuickBooks' integration capabilities means that the quality and reliability of these connections can vary. Users may find that while some integrations add significant value, others may not meet their expectations in terms of performance or ease of use, requiring time-consuming trial and error to find the right fit.

Xero's approach to integrations is centered around creating a cohesive ecosystem that supports small businesses in streamlining their operations. With a focus on cloud-based applications, Xero offers integrations across a range of categories, including inventory management, time tracking, and ecommerce, among others. This network is designed to provide businesses with the tools they need to automate processes and improve efficiency. Like QuickBooks, however, the open nature of Xero's integration marketplace means that while many partnerships are highly beneficial, the overall experience can be inconsistent. Some integrations may integrate smoothly and enhance the platform's functionality, whereas others might not deliver the expected level of performance or user experience.

Both QuickBooks and Xero offer integration ecosystems that open possibilities for automating and enhancing business operations. The ability to connect with an array of third-party applications means businesses can tailor their accounting systems to their unique needs, potentially creating a more streamlined and efficient workflow. However, the expansive nature of these integration options also introduces a challenge: not all integrations are created equal. The process of identifying which integrations truly add value and which might fall short can be time-consuming and fraught with trial and error.

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Personal Support

QuickBooks includes personal support through various channels, like phone, chat, and a community forum, aiming to assist users with technical issues and general inquiries about the platform. This support structure is designed to ensure users can find help when they encounter difficulties or have questions regarding the software's features and functionalities. While this level of support is valuable for troubleshooting and basic guidance, it often stops short of offering the in-depth, business-specific advice that small business owners may need. Issues related to strategic financial planning, tax optimization, and customized bookkeeping solutions typically fall outside the scope of QuickBooks' support services and is only offered for an extra cost.

Xero provides its users with personal support through a dedicated help center, online chat, and email, focusing on addressing technical queries and facilitating ease of use. However, the nature of this support is predominantly technical, with limited capacity to offer personalized business, tax, or bookkeeping advice. Small business owners looking for tailored financial strategies or specific guidance on optimizing their accounting processes may find the available support less comprehensive than needed for making informed financial decisions.

When evaluating the personal support offered by QuickBooks and Xero, it's clear that both platforms prioritize technical assistance, ensuring users can utilize the software effectively. This level of support is important for resolving system errors, understanding features, and facilitating day-to-day software use. However, the scope of this support often doesn't extend to the personalized, strategic advice that can make a significant difference to a small business's financial health. Small business owners frequently require guidance that goes beyond technical support, including insights into financial planning, tax strategy, and bespoke bookkeeping practices.

Is Xero or QuickBooks the best accounting software
for business owners?

Try Bench Instead.

What is Bench?

Bench is more than just accounting software; it's a complete financial solution tailored for small businesses. Combining innovative technology with real human expertise, Bench takes the burden of financial management off your shoulders, giving you more time to focus on what you do best: running your business.

Try us for free—we’ll do one month of your bookkeeping and prepare a set of financial statements for you to keep

Xero and QuickBooks feature comparison

How does Xero and QuickBooks compare to Bench?






Slightly steeper learning curve

Most user-friendly, with personalized support included




High, with added personal touch and guidance



Most extensive

Selectively curated for quality

Personal Support



Unlimited personal support included

Dedicated Bookkeeping Team



Yes, a team that knows your business inside and out

Pricing Flexibility



Best value with customized plans

Tax Preparation & Filing



Yes, comprehensive tax services with support from a dedicated Tax Advisor

Real-time Financial Insights



Focused with key insights

Financial Reporting



Focused with key reports

Why Bench over Xero?

While Xero offers a great deal of automation and collaboration tools, it lacks the personalized touch that many small business owners crave. Bench fills this gap by providing not only state-of-the-art software but also a dedicated team of bookkeeping professionals. This means you get the clarity of your financial situation and actionable insights tailored to your business, something that software alone can't provide.

Why Bench over QuickBooks?

QuickBooks might be a household name in the accounting software world, but its one-size-fits-all approach can leave users wanting for more personalized service. Bench offers a more intimate, bespoke financial service, ensuring that your business isn't just another account number. With Bench, you're paired with a dedicated team that knows your business inside and out, ready to provide guidance and support.

Why business owners love Bench

Business owners rave about Bench for its simplicity, effectiveness, and the peace of mind it offers. With Bench, you're not just getting software; you're getting a partner dedicated to your financial success. Our clients appreciate the blend of technology and human expertise, ensuring their finances are meticulously managed and always tax-ready. Our service is designed to allow you to  focus on your business, not the intricacies of accounting and bookkeeping. You simply provide us with your monthly financial information, and we handle the meticulous number-crunching, ensuring precision and reliability. It's the preferred choice for those looking for more than just accounting software but a comprehensive financial solution. It's no wonder that 95% of business owners feel peace of mind when Bench does their books.

“I am able to have conversations with them about how to categorize things for my unique business, but then, for the most part, they run with it. And I have to do very little work to have my books reconciled every month and have all the numbers ready for tax time.”





“They message me when they need things, and are quick to respond to my questions or concerns. They run a tight ship! Everything is so organized and user-friendly.”





Frequently Asked Questions

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Who will I be working with specifically? Will I work with the same people every month?

Your bookkeeping team consists of 3 professionally trained bookkeepers, including one senior bookkeeper who reviews all of your monthly statements and your Year End Financial package.

We try our best to keep you with the bookkeeping team you’re assigned when you come on board. If there’s any change in your bookkeeping team, we’ll let you know as soon as possible and make sure the transition is a smooth one.

Your Bench Tax team consists of a Bench Tax Coordinator and a Bench Tax Advisor. You can learn more here!

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Where are your bookkeepers located? What are their qualifications?

Each customer's main point of contact is a dedicated in-house, professionally-trained bookkeeper, based in North America. Part of what makes Bench unique is that we blend together the human touch with modern technology. Our in-house team is also supported by machine learning technology, which allows us to automatically process large amounts of financial data instantly, and close your books faster and accurately.

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What does my bookkeeper do?

Your bookkeeper reconciles your accounts, categorizes your transactions, and produces your financial statements. They also make adjustments to your books to ensure they’re tax-compliant. Occasionally your bookkeeper might need your input on things like categorizing a transaction properly, but we try our best to make bookkeeping as hands-off as possible for you.

You can also book a call with your bookkeeper (or send them a message) whenever you’d like. There’s no extra fee or hourly charges for support—we’re always happy to nerd out about bookkeeping and your financial statements.

Join thousands of small business owners who trust Bench with their books

With our personalized approach and dedicated support, we're here to ensure your financial success is always within reach. Discover the Bench difference today and focus on what truly matters - growing your business.