Float vs Xero (2024 Comparison)
Float offers specialized cash flow forecasting with a user-friendly interface and seamless accounting integrations, making it an ideal choice for businesses focused on financial planning.
- Specialized cash flow forecasting
- User-friendly interface
- Seamless accounting integrations
- Limited invoicing features
- No payroll management
Free plan?
YesStarting price
$59 per month
Xero provides a comprehensive accounting suite with robust invoicing and a wide range of integrations, making it a versatile choice for businesses looking to streamline their financial processes.
- Comprehensive accounting suite
- Robust invoicing system
- Wide range of integrations
- Higher learning curve
- More expensive than Float
Free plan?
YesStarting price
$2.90 per monthWhat is Float?
Float is a cash flow forecasting tool that helps businesses manage their finances with ease. It integrates seamlessly with accounting software, providing real-time insights into cash flow. This tool is perfect for businesses looking to maintain financial stability and make informed decisions. With Float, you can easily track your financial health, plan for future expenses, and ensure you have enough cash on hand to meet your obligations.
What is Xero?
Xero is a cloud-based accounting software designed for small to medium-sized businesses. It offers a comprehensive suite of tools for managing finances, including invoicing, payroll, and expense tracking. Xero's user-friendly interface and robust features make it an ideal choice for businesses looking to streamline their accounting processes. With Xero, you can easily collaborate with your accountant, access your financial data from anywhere, and make informed business decisions.
Pros and Cons of Float vs Xero
Pros & Cons of Float
- Float offers specialized cash flow forecasting tools that provide real-time insights and projections, helping businesses plan their finances effectively. This focus makes it an invaluable tool for financial planning.
- Float's user-friendly interface makes it easy for users to navigate and manage their cash flow, reducing the learning curve and allowing businesses to focus on their financial health.
- Float integrates seamlessly with popular accounting software, ensuring that businesses can easily sync their financial data and maintain accurate records without manual input.
- Float's invoicing features are basic, lacking the comprehensive tools found in other accounting software. This limitation may require businesses to use additional tools for invoicing needs.
- Float does not offer payroll management, which can be a drawback for businesses looking for an all-in-one financial solution. This limitation may necessitate the use of separate payroll software.
Pros & Cons of Xero
- Xero offers a comprehensive suite of accounting tools, including invoicing, payroll, and expense tracking, making it an ideal choice for businesses looking to streamline their financial processes.
- Xero's invoicing system is robust, allowing businesses to create, send, and track invoices with ease. This feature is essential for businesses with complex invoicing needs.
- Xero offers a wide range of integrations with other business tools, enhancing its functionality and making it a versatile choice for businesses looking to connect their financial data.
- Xero's extensive features may require a higher learning curve, which can be a challenge for users new to accounting software. Training and support may be necessary to fully utilize its capabilities.
- Xero's comprehensive features come at a higher price point, which may be a consideration for businesses with budget constraints. Evaluating the cost-benefit ratio is essential before committing.
Float vs Xero: At A Glance
Value to Price
Float offers a competitive pricing model that aligns well with its features, making it a great choice for businesses focused on cash flow management. Xero, on the other hand, provides a broader range of accounting features, justifying its slightly higher price point. If you're looking for comprehensive accounting solutions, Xero might be the better option.
Ease of Use
Float is known for its intuitive interface, making it easy for users to navigate and manage their cash flow. Xero also offers a user-friendly experience, but its extensive features may require a learning curve. If simplicity is your priority, Float is a great choice.
Functionality
Xero excels in functionality with its comprehensive suite of accounting tools, including invoicing, payroll, and expense tracking. Float focuses on cash flow forecasting, providing essential insights for financial planning. If you need a full-fledged accounting solution, Xero is the way to go.
Scalability
Both Float and Xero are scalable solutions, but Xero's extensive features make it more suitable for growing businesses. Float is ideal for small to medium-sized businesses looking to manage cash flow effectively. If scalability is a key concern, Xero offers more room for growth.
Integrations
Xero offers a wide range of integrations with other business tools, enhancing its functionality. Float also integrates with popular accounting software, but its focus remains on cash flow management. If you need extensive integrations, Xero is the better choice.
Customer Support
Both Float and Xero provide reliable customer support, but Xero's larger user base means more resources and community support. Float offers personalized support, which can be beneficial for smaller businesses. If personalized support is important, Float is a great option.
Security
Xero prioritizes security with robust measures to protect user data, making it a trusted choice for businesses. Float also ensures data security, but Xero's reputation in this area is stronger. If security is a top priority, Xero is the safer bet.
Overall Rating
Xero's comprehensive features and strong reputation give it a slight edge over Float in overall rating. However, Float's focus on cash flow management makes it a valuable tool for businesses prioritizing financial planning. If you need a specialized cash flow tool, Float is a solid choice.
Float vs Xero: A Detailed Breakdown of Key Features
Cash Flow Forecasting
Float excels in cash flow forecasting, providing real-time insights and projections that help businesses plan their finances effectively. Xero offers cash flow forecasting as part of its broader accounting suite, but Float's specialized focus gives it an edge in this area. If cash flow management is your primary concern, Float is the superior choice.
Invoicing
Xero offers a robust invoicing system that allows businesses to create, send, and track invoices with ease. Float provides basic invoicing features, but its primary focus is on cash flow management. If invoicing is a critical component of your business operations, Xero is the better option.
Expense Tracking
Xero's expense tracking capabilities are comprehensive, allowing businesses to manage and categorize expenses efficiently. Float offers expense tracking as part of its cash flow management tools, but Xero's dedicated features make it more suitable for businesses with complex expense tracking needs. If detailed expense management is important, Xero is the way to go.
Payroll Management
Xero provides a complete payroll management solution, making it easy for businesses to handle employee payments and tax filings. Float does not offer payroll management, focusing instead on cash flow forecasting. If payroll is a key requirement, Xero is the clear choice.
Financial Reporting
Both Float and Xero offer financial reporting tools, but Xero's comprehensive suite provides more detailed insights and analysis. Float's reports are focused on cash flow, making it ideal for businesses prioritizing financial planning. If you need in-depth financial reports, Xero is the better option.
Collaboration Tools
Xero offers collaboration tools that allow multiple users to access and work on financial data simultaneously. Float also provides collaboration features, but its focus remains on cash flow management. If team collaboration is a priority, Xero offers more robust options.
Pricing Comparison of Float and Xero
We’ve compiled the pricing tables and highlighted the key features of both Float and Xero to aid in your decision-making process. Let’s explore what each platform has to offer.
Float Pricing Plans
- Track and predict cash across your project pipeline.
- Predict your company’s future cash reserves and ‘death date’.
- Track and explore your previous projects and cash activity.
- Add, combine and compare the business impact of each scenario.
- Track each active project with real financial transactions.
- Calculate your total project revenue based on finalized transactions.
- Float instantly reports how confident you can be in your decision making.
- Budget quickly with automatically suggested fixed costs.
- Get granular forecasts for your day-to-day cash position.
- Accurately calculate fully loaded costs of new employees.
- Compare a scenario to your business reality and establish any deviation.
- Export any scenario in CSV or PDF format.
Xero Pricing Plans
- Enter up to 5 bills for efficient tracking.
- Reconcile bank transactions with ease.
- Capture bills and receipts using Hubdoc integration.
- Access short-term cash flow and business snapshot.
- Enter unlimited bills for comprehensive tracking.
- Bulk reconcile transactions for efficiency.
- Advanced reporting and analytics for insights.
- Enhanced security features for data protection.
- Advanced project tracking and management tools.
- Priority customer support for quick resolutions.
- Comprehensive expense management features.
- Customizable dashboards for personalized insights.
Our Rating Methodology
We thoroughly evaluate each accounting software, focusing on key aspects like functionality, ease of use, and integrations. By analyzing user feedback and expert reviews, we ensure our recommendations align with your needs. Each factor is weighted to provide an accurate final rating, helping you make informed decisions.
Float or Xero: Which One Matches Your Business Needs?
Choose Float If You Need ...
- Specialized cash flow management
If you are a business focused on cash flow management, Float's specialized forecasting tools provide real-time insights and projections, making it an ideal choice for financial planning.
- User-friendly interface
If you prefer a user-friendly interface, Float's intuitive design makes it easy to navigate and manage your cash flow, reducing the learning curve and allowing you to focus on your financial health.
Choose Xero If You Need ...
- Comprehensive accounting solution
If you need a comprehensive accounting solution, Xero's suite of tools, including invoicing, payroll, and expense tracking, makes it an ideal choice for streamlining your financial processes.
- Wide range of integrations
If you require extensive integrations, Xero's wide range of connections with other business tools enhances its functionality, making it a versatile choice for connecting your financial data.
Frequently Asked Questions
Which tool is better for cash flow management?
Does Xero offer payroll management?
Can Float integrate with other accounting software?
Is Xero suitable for small businesses?
What are the main differences between Float and Xero?
Which tool offers better customer support?
Martin Lunendonk
Martin Lunendonk is a senior tech writer specializing in website builders, web hosting, and ecommerce platforms. With a background in finance, accounting, and philosophy, he has founded multiple tech startups and worked in medium to large tech companies and investment banking, bringing deep expertise and reliable insights to his software reviews.
