Each staff reviewer at Merchant Maverick is a subject matter expert with experience researching, testing, and evaluating small business software and services. The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication. Merchant Maverick’s ratings are not influenced by affiliate partnerships. Wave’s Starter and Pro plans are affordable ways to set up invoicing and accounting solutions for your business. We went to user review websites to read first-hand reviews from actual software users. This user review score helps us give more credit to software products that deliver a consistent service to their customers.
Integration options
You can even turn estimates into invoices and send them in any currency. However, they are the only platform that charges a 1% fee for all invoices. This doesn’t seem like a lot, but if you send large invoices, it adds up quickly. For example, 1% of a $50,000 invoice is $500 — a substantial sum. As a free tool, sometimes Wave may be a bit lagging in terms of the richness of features.
Banking & Cash Management: Xero Wins
They all hold great potential to help you out in handling your company finances and invoicing. Most businesses will choose the Growing $30/month plan for access to unlimited invoices, bills, and reconciled bank transactions. However, some freelancers and very small businesses will be able to get away with the limits of the Early $9 plan and keep to a smaller budget. Wave, on the other hand, is well-suited for newer and smaller businesses that simply want to organize and automate their bookkeeping and accounting, but don’t necessarily need extended capabilities.
Xero is extremely customizable, although this flexibility does come at a higher price than Wave, especially if you need the $60/month plan to access all features. Like Wave, Xero is a fantastic choice for small businesses and freelancers. It’s especially beneficial if your business has additional needs, such as billing clients in multiple currencies or integrating inventory and point of sale transactions. Explore how the AI revolution and machine learning are transforming bookkeeping for small businesses. Learn about the benefits, tools, and trends sales revenue vs profit that are streamlining accounting processes and …
It also has plenty of reports to track your financials, and we can’t forget to mention its great security features. Finally, Xero has strong mobile apps that are perfect for on-the-go accounting, in contrast to other accounting apps that only offer limited features. Xero has received thousands of positive reviews for its apps for both iOS and Android devices. In Wave, you can connect your bank accounts only in the paid plan.
Newest Reviews
You also won’t find live bookkeeping services with Xero like you would with other accounting software options like Wave or QuickBooks Online. Wave takes the lead in pricing because it has a free plan for basic accounting and invoicing. Moreover, transaction fees for payments are lower and are a part of its ecosystem. However, since Wave’s accounting features are limited even in the paid plan, you may want to go with Xero instead to access better accounting features for an inexpensive monthly price. At Fundera, Randa specializes in reviewing small business products, software, and services.
How FreshBooks and Xero Stack Up
- Once again, Wave includes expense management tools and multi-currency functionality, both of which require the highest Xero plan.
- However, some freelancers and very small businesses will be able to get away with the limits of the Early $9 plan and keep to a smaller budget.
- They can experience dramatic fluctuations in transactions, clients, and revenue streams.
From generating, sending, and tracking invoices to managing your payroll and preparing you for tax season, modern accounting software is your financial Swiss Army knife. These platforms often go beyond the basics to offer real-time expense tracking by linking the laws that govern the securities industry directly to your bank accounts or enabling you to snap pictures of your receipts with a mobile app. Xero is a powerhouse accounting software, with the ability to create and send purchase orders, quotes, invoices and more with a few clicks.
At Pilot, we have a team of expert bookkeepers using unique tools to automate the most error-prone aspects of bookkeeping. We’ve taken the there is a «credit balance» shown on my statement. what is a credit balance non-promotional pricing into consideration for the purposes of this article. Let’s take a look at the features and pricing of both platforms — and compare their powers back to back. If you want a budget-friendly accounting and invoicing solution, Wave is a great free alternative to Xero. To help growing SMBs, we cover some of the most important considerations they must make when evaluating accounting software.