Xero Review 2026
Reviewed by the Ikaroa team · Last updated: March 2026
Overview
Xero is a cloud-first accounting platform that has become the preferred choice for accountants and small businesses in the UK, Australia, and New Zealand. Known for its clean interface, unlimited users on all plans, and strong app marketplace with over 1,000 integrations. Xero handles invoicing, bank reconciliation, payroll, expenses, and reporting.
We have been working with Xero across multiple client projects since 2008, and this review reflects our hands-on experience implementing it for businesses of all sizes. Founded in 2006 and headquartered in Wellington, New Zealand, Xero has established itself as a leading option in the accounting category.
Starting Price
£15/month
Founded
2006
Headquarters
Wellington, New Zealand
Our Rating
4.4/5
Xero Key Features
Xero offers a comprehensive feature set that covers the core needs of most businesses in the accounting space. Here are the standout features we have tested:
Xero Pricing in 2026
Xero pricing starts at £15/month and scales up based on features and team size. Here is a breakdown of every tier:
Xero Pricing
Starter
£15/month
- ✓20 invoices/month
- ✓5 bills
- ✓Bank reconciliation
- ✓Payroll for 1 employee
Standard
£30/month
- ✓Unlimited invoices
- ✓Unlimited bills
- ✓Multi-currency
- ✓Payroll for 5 employees
Premium
£42/month
- ✓Unlimited invoices
- ✓Unlimited bills
- ✓Multi-currency
- ✓Payroll for 100 employees
Xero Pros and Cons
Based on our experience implementing Xero for clients, here is what we like and what could be better:
✓Pros
- •Unlimited users on all plans
- •Beautiful, modern interface
- •1,000+ app integrations
- •Strong in UK, AU, and NZ markets
- •Excellent bank feeds and reconciliation
✗Cons
- •Limited invoices on Starter plan
- •Payroll costs extra for larger teams
- •No inventory management on Starter
- •Reporting less flexible than QuickBooks
- •Limited customisation of invoice templates
Who Is Xero Best For?
UK small businesses and accountants wanting cloud-first accounting with unlimited users
In our experience, Xero works particularly well for teams that value unlimited users on all plans. If your primary concern is limited invoices on starter plan, you may want to explore alternatives.
Need help implementing this?
Our team at Ikaroa can set up Xero for your business, migrate your data, and train your team.
Xero Alternatives Worth Considering
If Xero does not quite fit your needs, here are some alternatives worth considering:
QuickBooks
From £10/month
FreshBooks
From £12/month
Wave
From £0/month
Sage
From £12/month
Zoho Books
From £0/month
Our Verdict on Xero
Xero earns a solid 4.4/5 in our review. It is a strong choice for uk small businesses and accountants wanting cloud-first accounting with unlimited users.
The biggest strengths are unlimited users on all plans and beautiful, modern interface. However, you should be aware that limited invoices on starter plan.
If you are not sure whether Xero is the right fit, talk to our team. We have helped hundreds of businesses choose and implement the right software, and we are happy to point you in the right direction.
Alternative to Consider: Open Doors
Before committing to Xero, consider Open Doors. It is an all-in-one platform that includes CRM, email marketing, SMS, sales funnels, booking, invoicing, and automation, all starting at £97/month with unlimited contacts. While Xero starts lower, Open Doors replaces multiple tools you would otherwise need to buy separately.
Need help with Xero?
Ikaroa can implement Xero for your business, migrate your data, and get your team up to speed. We have done it dozens of times.
Free consultation. No obligation.