Small businesses in Canada need reliable bookkeeping software to help them manage their finances effectively. Two popular options are Wave Accounting and Xero. In this article, we will compare and contrast the features, pricing, and user experience of both Wave Accounting and Xero to help you decide which one to use.
Wave Accounting:
Wave Accounting is a free cloud-based accounting software designed for small businesses with up to 10 employees. It offers features such as invoicing, expense tracking, and financial reporting.
Features: One of the standout features of Wave Accounting is that it is entirely free to use. This makes it a popular choice for small businesses with limited budgets. Wave Accounting also offers bank account and credit card integration, which makes it easy to track income and expenses automatically. Additionally, Wave Accounting offers a mobile app that allows users to manage their finances on the go.
Pricing: As mentioned earlier, Wave Accounting is entirely free to use. However, users can pay for additional features such as payroll and payment processing, which are not included in the free version.
User Experience: Wave Accounting has a straightforward and easy-to-use interface, making it an excellent option for small business owners who do not have extensive accounting knowledge. The software is designed to be intuitive, making it easy for users to navigate and find the features they need.
Xero:
Xero is a cloud-based accounting software designed for small businesses. It offers features such as invoicing, expense tracking, financial reporting, and payroll.
Features: Xero offers a range of features that make it suitable for small businesses, including invoicing, expense tracking, and financial reporting. One of the standout features of Xero is its integration with over 800 third-party apps, which allows users to customize the software to suit their specific business needs. Xero also offers payroll and HR functions, inventory management, and multi-currency support.
Pricing: Xero offers a 30-day free trial, after which users can choose from three pricing plans. The plans start at $20 CAD per month and go up to $40 CAD per month, depending on the features required.
User Experience: Xero has a sleek and modern interface, which is easy to navigate. The software is designed to be user-friendly and intuitive, making it easy for small business owners to manage their finances without needing extensive accounting knowledge.
Also Read : Bookkeeping Software in Canada: Sage vs Xero.
Comparison:
Both Wave Accounting and Xero offer a range of features that make them suitable for small businesses in Canada. However, there are some key differences between the two.
Firstly, Wave Accounting is entirely free to use, which makes it an excellent option for small businesses with limited budgets. Xero, on the other hand, offers more features and customization options, making it a better choice for businesses that require more advanced accounting functions.
Secondly, Xero offers a more modern and intuitive user interface, which may be preferred by some users. Wave Accounting, on the other hand, has a simpler interface, which may be better for small business owners who are new to accounting software.
Overall, both Wave Accounting and Xero are excellent bookkeeping software options for small businesses in Canada. The choice between the two will ultimately depend on the specific needs and preferences of each individual business.
