Xero vs MYOB for small business accounting?

Any thoughts on which software would be best for small business accounting? Thanks

geek_martha08, Jul 6, 4:13 pm

This is a Ford or Holden kind of question - each has pros and cons.

Google is your friend, first hit looks interesting

geek_king1, Jul 6, 4:39 pm

First things first - what exactly do you want the software to do for you?

geek_wotz_it_2_ya, Jul 6, 4:41 pm

After using both, I suggest Xero. Much more user friendly and the reporting capabilities are very good compared to MYOB :)

geek_aimz_bj, Jul 6, 4:50 pm

I've only used MYOB Essentials and found it very good. Been using it for a couple of years and no complaints. Very user friendly and does everything I need it to - invoices, quotes, payroll, and tracking expenditure etc.

geek_suicidemonkey, Jul 6, 5:21 pm

Exactly, the Ford has all the pros, the Holden the cons.

geek_ross1970, Jul 6, 5:28 pm

Have a friend that is now using Xero and they are always complaining about the to print reports is 5 steps and it has to download to YOUR PC from the cloud. NOT good.

I personally not like xero from what I have seen.

No accounting software should be EMAIL only support.
If you have a problem you have to email them and WAIT and WAIT and WAIT and (you guess it) Pray and wait for a answer on the question/problem.

geek_mr_lovebug, Jul 6, 6:23 pm

Both are meh.

geek_suicidemonkey, Jul 6, 6:27 pm

Actually before even considering either, what does your accountant recommend? At the end of they day they have to obtain the information from the package. Not overly familiar with Xero but I know it is costly compared to other user friendly packages and we have a few clients using it. Both are integrated accounting packages and unless you are confident using them correctly you should be fine, if not, you just create a headache for your accountant. We recommend Accomplish Cash Manager to our clients. Basic data entry programme that can be as basic or advanced as you need. We have an extremely large client using it with no problems and they are Invoice Basis for GST not Payments Basis which a lot of people are. And Accomplish have telephone support.

geek_joanie04, Jul 6, 6:50 pm

Both MYOB Essentials and Xero are extremely popular - any good accountant should know how to use them - especially since no software is required at their end. Both programs have features to allow your accountant to access all of your data with a simple login, so shouldn't be an issue.

geek_suicidemonkey, Jul 6, 7:13 pm

cloud based accounting is the most expensive option. You are paying for the privilege of always available, because its a web page. If you buy a package to use on your PC its cheaper because it's a one off cost, and usually doesn't need to be changed for 2-3 years.

geek_black-heart, Jul 6, 7:38 pm

The MYOB software packages aren't something easily picked up without training though. Whereas the cloud based solutions are very user friendly and easy to learn.

geek_suicidemonkey, Jul 6, 8:39 pm

We use MYOB cashbook, simple as, picked it up in an hour or so. Gives the accountant all they want and need, we do all our own coding here.

MYOB has been around for years they have a very solid base.

I do not think that XERO has yet turned in a profit, one day poof.

geek_kenw1, Jul 6, 8:43 pm

Talk to your accountant. You may only need to keep a Cashbook with some associated other records (like regular Bank Reconciliations etc). That can be done manually or, if you are happy with spreadsheets then keep a Cashbook via that software (Excel etc) - make sure you do backups tho!
What recods you keep depends on the complexity of your business - eg GST matters, employees and what goes with that (PAYE, ACC, Kiwisaver, Student Loan etc etc).

geek_mariner26, Jul 6, 9:23 pm

Never used Xero myself but according to Wikipedia they're worth $1.4 billion (with a "b") on the NZE. Doesn't seem like a small amount.

geek_suicidemonkey, Jul 6, 9:26 pm

Have a look at "Cash Book" , a NZ produced programme with local phone support in Auckland. (Pakuranga)
Suggest you check it out thoroughly at www.acclaim.co.nz
Very adaptable, easy to use and the fastest and easiest GST return you will ever see.
MYOB is good but very few companies use all its features, needs comprehensive training and is not cheap.
Free trial download and a wealth of distributors around the country. Click on "Dealer" button.

geek_rojill, Jul 6, 9:37 pm

And yet they other guy is correct they've never posted a profit. It's all share prices, it was over 2 billion a few months ago.

geek_black-heart, Jul 6, 10:24 pm

Ah ok fair enough.

geek_suicidemonkey, Jul 6, 10:39 pm

Use Xero daily for a large construction company. Have used MYOB in the past. Both are very similar but Xero is miles easier to use.

I'd also go with whichever one your accountant recommends. Also smh at those that think Xero will disappear overnight, it has been around nowhere near as long as MYOB. Just because it doesn't post large profits doesn't mean its unpopular.

In fact I'd say of the 500 invoices I see each month about 65% are from businesses that run Xero

geek_jon9, Jul 7, 12:18 pm

I don't think it will disappear overnight. But its been around 8 years, and spent all its profit and share investment on expanding. As yet it hasn't proven if its a profitable model. If they have created the infrastructure for a market where they do not get much market share ie the US, then tiny little NZ wont be enough to pay the over heads.

geek_black-heart, Jul 7, 1:10 pm

They only have big overheads because they are in expansion/growth mode.Once they stop spending all their money growing I'm sure there will be enough money for overheads and shareholders.

geek_skull, Jul 7, 5:21 pm

Really? What happens when they spend all that on infrastructure for the US market and don't get anywhere ? The UK?
As has been noted already NZ market uptake has been huge already, its not going to grow much any more.

Not to mention year on year data centers cost more to run, not less.
I wouldn't be surprised if we started seeing some cloud providers (probably not XERO) curl their toes in the next couple of years. Market is saturated.

geek_black-heart, Jul 7, 5:56 pm

Being popular does not pay the bills either.

geek_king1, Jul 7, 6:06 pm

it's called 'Cashbook Complete'
easy to use, i like it

geek_ford_transit, Jul 7, 8:32 pm

We are a small company that has recently migrated from MYOB Live to Xero at our accountants recommendation.
I thought this would be a nightmare to carry everything from one to another, but has not turned out to be so.
I'm still learning Xero, but I was up and running pretty quick on it. The biggest frustration with the MYOB Live system was that I got frequently locked out of working on my own accounts online, because of a password failure. For some reason it wouldn't recognise my valid password on many occasions and then lock me out of the system for at least 20 minutes. Very frustrating, and nothing the help desk could help with.
Xero seems to have its online interface well sorted in comparison. I do like cloud computing for accounting, it suits us.

geek_aldis, Jul 8, 2:04 pm

MYOB AccountRight? I've used it every day for 16 months and never had password problems.

geek_r.g.nixon, Jul 8, 5:30 pm

They keep on changing the name it used to be AccountRight Live, and we (three of us) have all had problems with logging in.
I found it very buggy.

geek_aldis, Jul 9, 12:57 pm

Yeah both MYOB & Reckon have woeful 'cloud' solutions.

geek_black-heart, Jun 8, 3:28 pm

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