Xero: accounting software for growing businesses
Outgrown the basics, but a full ERP feels like overkill? Xero is cloud-based accounting software for businesses in the UK. Stay on top of VAT, MTD, and payroll. Bring your whole finance team in at no extra cost. And plug in the apps you already use for expenses, inventory, and more.
What growing UK businesses get from cloud accounting software
Xero gives growing teams powerful, real-time reports, automation, and over 1,000 connected apps in one flexible platform.
Stay on top of VAT, MTD, and HMRC reporting
File VAT directly with HMRC and confidently prepare for MTD. 90% of UK customers say Xero helps them stay compliant.
Save hours every week with Xero’s automations
Automated bank feeds and easy document uploads cut manual data entry – 4 in 5 Xero customers save 6 hours a month.
Connect the apps your business already uses
Add CRM, payroll, expenses, and inventory from the Xero App Store. Customers who connect see a 26% productivity boost.
Built for UK tax compliance with HMRC
Xero helps you handle UK tax the way modern software should. File VAT returns directly with HMRC. Stay compliant with HMRC. Submit MTD for Income Tax quarterly updates from inside Xero (beta – registration and eligibility apply). And track your obligations from one dashboard.
- 90% of UK customers agree Xero helps them stay compliant with HMRC requirements.
Track and file VAT with HMRC
Stay on top of VAT and MTD for Income Tax obligations with seamless submissions to HMRC. File returns directly to HMRC from Xero, with no sp
Less manual entry, more time for the work
Spends less time keying data and more on the work that matters. Bank feeds pull transactions into Xero, and AI-powered reconciliation suggests matches as you go. Bills upload from photos and emails. And JAX, your AI financial assistant, answers questions and handles routine tasks.
- 4 in 5 Xero customers say they save 6 hours monthly by eliminating manual data entry.
Reconcile transactions in clicks, not hours
Match transactions to invoices and bills in one click. Xero learns your patterns, so the next reconciliation runs even faster.
Real-time numbers for finance leaders
Real-time dashboards show your latest cash flow, profit, and KPIs as your books update. Build the reports your team needs with custom layouts. Forecast cash flow weeks or months ahead, and track budget against actuals across departments. Give your CFO, controller, and board the same clear view.
- 88% of customers agree Xero helps improve financial visibility across the business.
Forecast cash flow with confidence
Plug in invoices, bills, and expected payments. Xero builds a forecast that updates as your business does, so plans match reality.
Add your whole team, no per-seat fees
Most platforms charge by the user – Xero doesn't. Bring in your accountant, bookkeeper, and employees at no extra cost. Set role-based permissions so your team sees only what they need to. Work with your accountant or bookkeeper in Xero, so everyone is looking at the same live data.
- 91% of customers agree Xero is easy to use.
Permissions that scale with your team
Choose who sees what. Limit access to invoices, sales, purchases, or specific functions. Track user activity, like when users log in or make
Connect the tools you already work with
Why force your business into a rigid system? Xero connects with over 1000 apps – it’s accounting software for medium-sized businesses that adapts to your operations. Add the CRM you already use, run payroll inside Xero, automate bill capture, and sync your inventory. Reshape the stack as you grow.
- Xero customers who sync with over 1000 app integrations report a 26% average boost in productivity.
Over 1000+ apps – one connected platform
Browse the Xero App Store for tools tailored to your industry, or use Xero's open API to build the custom connections your team needs.
Online invoices with built-in payment options
Customise invoices and quotes with your branding. Xero, powered by Stripe, lets customers pay by card from any invoice – and just add GoCardless for direct debit. Pay bills in over 30 currencies through Crezco, and consolidate multiple bills to the same supplier into one transaction.
- Xero customers spend 50% less time chasing payments. Get paid up to twice as fast with online invoice payments.
Online invoice payments – the way customers pay today
Add a Pay now button to every invoice so customers can settle in seconds.
FAQs about accounting software for medium-sized businesses
A medium-sized business is generally understood as a growing business with more complex needs than a small business.
Many businesses outgrow basic accounting software well before hitting the upper limit, especially if they operate across multiple entities or trade internationally.
A medium-sized business is generally understood as a growing business with more complex needs than a small business.
Many businesses outgrow basic accounting software well before hitting the upper limit, especially if they operate across multiple entities or trade internationally.
It depends on your priorities. If you need a cloud platform with unlimited general users at no extra cost, more than 1,000 connected apps, and tools to help with UK compliance, Xero is built for that.
Compare against other platforms like QuickBooks, NetSuite, or Sage Intacct based on your team size, complexity, integration needs and total cost of ownership.
It depends on your priorities. If you need a cloud platform with unlimited general users at no extra cost, more than 1,000 connected apps, and tools to help with UK compliance, Xero is built for that.
Compare against other platforms like QuickBooks, NetSuite, or Sage Intacct based on your team size, complexity, integration needs and total cost of ownership.
It varies. Xero uses predictable monthly pricing with all general users included on every plan. Some competing platforms charge per seat, while Xero includes unlimited general users at no extra cost.
When comparing accounting software, look at total cost over 3 years rather than just the monthly licence, and weigh up implementation timelines too.
Check out Xero’s pricing plans
It varies. Xero uses predictable monthly pricing with all general users included on every plan. Some competing platforms charge per seat, while Xero includes unlimited general users at no extra cost.
When comparing accounting software, look at total cost over 3 years rather than just the monthly licence, and weigh up implementation timelines too.
Check out Xero’s pricing plans
It depends on your business. For businesses that want to extend their accounting software, Xero connects with more than 1,000 apps so you can add tools for things like payroll, sales data management, inventory and expenses.
Xero can connect with other tools through connected apps and custom integrations, so you can build the setup that fits your business. Otherwise, Xero plus more than 1,000 connected apps lets you customise and extend your setup to fit your business needs.
It depends on your business. For businesses that want to extend their accounting software, Xero connects with more than 1,000 apps so you can add tools for things like payroll, sales data management, inventory and expenses.
Xero can connect with other tools through connected apps and custom integrations, so you can build the setup that fits your business. Otherwise, Xero plus more than 1,000 connected apps lets you customise and extend your setup to fit your business needs.
At the very least, your software should help you handle:
- VAT lodged with HMRC
- Making Tax Digital for Income Tax obligations, with submissions to HMRC
- payroll and RTI submissions to HMRC
- CIS scheme obligations to HMRC and subcontractors
Xero covers MTD for VAT, Real Time Information (RTI) for payroll, and CIS for the construction industry,
As your business grows, so do your compliance obligations. Xero automates the key ones — payroll submissions, VAT returns, and CIS filings — so nothing falls through the cracks.
At the very least, your software should help you handle:
- VAT lodged with HMRC
- Making Tax Digital for Income Tax obligations, with submissions to HMRC
- payroll and RTI submissions to HMRC
- CIS scheme obligations to HMRC and subcontractors
Xero covers MTD for VAT, Real Time Information (RTI) for payroll, and CIS for the construction industry,
As your business grows, so do your compliance obligations. Xero automates the key ones — payroll submissions, VAT returns, and CIS filings — so nothing falls through the cracks.
As soon as you need to! Watch for the signs – it’s time to think about switching if you are:
- hitting user limits
- paying for people who barely use the system
- juggling spreadsheets for reports your software won't run
- unable to connect the apps your business actually relies on
And if you have complex audit needs – because you’re a multi-entity business, or trading internationally, say – the case for switching gets clearer. Xero is built for businesses at exactly this stage.
As soon as you need to! Watch for the signs – it’s time to think about switching if you are:
- hitting user limits
- paying for people who barely use the system
- juggling spreadsheets for reports your software won't run
- unable to connect the apps your business actually relies on
And if you have complex audit needs – because you’re a multi-entity business, or trading internationally, say – the case for switching gets clearer. Xero is built for businesses at exactly this stage.
Definitely – multi-currency and consolidation are non-negotiable for medium-sized businesses with subsidiaries or international trade.
Xero supports multiple currencies on the Established plan, and each foreign currency transaction shows the exchange rate for the day it was created. You can also pay bills in over 32 currencies through Crezco.
Definitely – multi-currency and consolidation are non-negotiable for medium-sized businesses with subsidiaries or international trade.
Xero supports multiple currencies on the Established plan, and each foreign currency transaction shows the exchange rate for the day it was created. You can also pay bills in over 32 currencies through Crezco.
Setup time depends on the complexity of your data and migration needs. Xero provides setup guidance, conversion tools, and migration support to help you move from your previous system.
It’s quick and easy to set up your business in Xero, and if you need further assistance with your move, you can use an assisted conversion service included in your Xero subscription. Xero has setup support and a certified partner network to help shorten the time from signup to going live.
Setup time depends on the complexity of your data and migration needs. Xero provides setup guidance, conversion tools, and migration support to help you move from your previous system.
It’s quick and easy to set up your business in Xero, and if you need further assistance with your move, you can use an assisted conversion service included in your Xero subscription. Xero has setup support and a certified partner network to help shorten the time from signup to going live.
At a minimum:
- bank feeds
- payroll for the UK
- bill payments or bills management
From there, prioritise the tools your team uses– CRM, inventory, project management, and reporting tools. Xero has a huge app selection, so you can pick the app that best suits you for each function rather than compromise on a single suite.
At a minimum:
- bank feeds
- payroll for the UK
- bill payments or bills management
From there, prioritise the tools your team uses– CRM, inventory, project management, and reporting tools. Xero has a huge app selection, so you can pick the app that best suits you for each function rather than compromise on a single suite.
Xero makes it simpler to move from another accounting system by helping you choose a conversion date, review and export your balances, import your information, and customise your chart of accounts. If you need more help, assisted conversion services are available in the UK.
And Xero has a network of certified partners who do this for a living.
Choose the start of a financial year or sales tax period for easy reporting.
Xero makes it simpler to move from another accounting system by helping you choose a conversion date, review and export your balances, import your information, and customise your chart of accounts. If you need more help, assisted conversion services are available in the UK.
And Xero has a network of certified partners who do this for a living.
Choose the start of a financial year or sales tax period for easy reporting.
Built for your industry
Xero adapts to how your business runs, with industry-specific apps and reporting layered on the same core platform.
Professional services
Track projects, time, and billable hours with the right Xero apps. See your margins as the work happens.
Retail and ecommerce
Sync inventory and payment services with Xero using apps from the Xero App Store.
Construction and trades
Manage payroll submissions to HMRC with confidence. Manage jobs and track profitability in one place.
Start using Xero for free
Access Xero features for 30 days, then decide which plan best suits your business.
Explore useful features to run your business
Xero’s online accounting software is designed to make life easier for small businesses – anywhere, any time.
