Xero getting expensive

[22]

I've used most/all of the different software offerings over the years and Xero I think offers the best overall package. But my subscription has nearly doubled in the last couple of years.

I have a teeny ltd company that remains <£20pcm, but my proper job the price is nudging £100. Not a huge cost but a huge increase. We're low 7-figure turnover, use it for repeating/regular invoices (~300pcm), small weekly payroll, do own VAT, don't use it for projects/pipeline and no add-ons/marketplace guff.

I've contacted support and I'm sure they'll come back telling me it's the investment in AI etc.

Anything new out there I might have missed? Is it still the strongest offering?

[mikebradford]

I have to agree
I like the xero interface however it has risen in price.

It's also annouying how they occasionally have discounted offers, unfortunately never coinciding with my renewel

[22]

mikebradford said:

It's also annouying how they occasionally have discounted offers, unfortunately never coinciding with my renewel

I think the offers are only ever for new subscribers.

[blueg33]

I found Xero to be too pricey. I moved to FreeAgent which despite the name isn't free but is cheaper. It works very well. Deals with all the usual stuff, invoicing, tax returns, VAT, dividends etc

[Abc321]

I use Sage for all my clients, bar 5 companies who were on Xero previously and did not want to change over.

Do agree though that Xero seems/is far more expensive than the other offerings (QB, FreeAgent, etc), especially if using Dext alongside it.

I get Sage at a relatively decent discount and 'sell it on' to clients - your accountant should be able to do the same.

[mikebradford]

blueg33 said:

I found Xero to be too pricey. I moved to FreeAgent which despite the name isn't free but is cheaper. It works very well. Deals with all the usual stuff, invoicing, tax returns, VAT, dividends etc

Thanks for this post
Will look into this software as it appears to suit my wife who's just started as a sole trader

[river_rat]

My Sage monthly went up from £30 to £39 (plus VAT) recently, which I thought was a bit of a hefty percentage increase.

[22]

To be fair to Xero customer service, they have bent over backwards this time to keep the peace - including a free period, loyalty discount and a much downgraded (but still suitable) plan level/price.

Obviously they wrote to me telling of changes and I had until a certain date to do something (and clearly didn't) but I wouldn't have thought any missed emails could make wholesale changes to cost.

Bupa similarly came to me with a mahoosive increase for the staff policy. Shopped around and went back to them with an AXA quote (which was nowhere near the same level of cover) and they matched it! Shows how much margin they make (although several years claim free thankfully across the workplace).

[Veg]

it is like utilities, you need to keep flipping between them.

I moved from Xero to QuickBooks and back again every 2 years or so. Needs planning or you end up with loads of duplications but not so bad

[AB]

I use Xero for 4 different business so I'm kind of stuck with them as everyone who uses it knows it and the accountants prefer it.

Over a barrel.