FinancialForce vs Xero

March 18, 2025 | Author: Michael Stromann
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FinancialForce
FinancialForce cloud ERP is a comprehensive and innovative financial management system that takes a fresh approach to a traditional business function. This online accounting application combines the power of the Force.com cloud with a groundbreaking accounting system design. FinancialForce Accounting is native to Salesforce CRM.
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Xero
Xero is accounting software for small business. Like alternatives, Xero allows to manage invoicing, reconciliation, accounts payable, bookkeeping and more. Share access to your latest business numbers with your team & your accountant – so everyone is up to speed. Xero accounting software lets you work anywhere.

Financial management software, like the universe, is vast, confusing and full of numbers that never seem to add up quite the way you expect. FinancialForce and Xero, despite sounding like members of an intergalactic tax-collecting syndicate, both attempt to bring order to this chaos by living in the cloud, automating invoices and speaking multiple currencies fluently. They also boast integrations with other software, which means they can talk to your CRM, your bank and probably, if pressed, a sentient toaster.

FinancialForce, however, is the kind of system that a large, important-looking company with glass walls and very serious meetings would use. It’s bolted onto Salesforce, meaning that if your business revolves around selling things, managing projects and generally trying to look sophisticated, you’re in luck. Launched in 2009 in the US, it thrives on automating processes so thoroughly that, with a little effort, you might be able to delegate your entire existence to it. It particularly enjoys handling revenue recognition, which sounds either extremely useful or like something you’d need a PhD in interdimensional accounting to understand.

Xero, on the other hand, is the friendly, laid-back accountant who doesn’t mind if you turn up with a shoebox full of receipts. Born in 2006 in New Zealand, it was designed for small businesses, freelancers and people who get hives at the thought of corporate jargon. It excels at everyday bookkeeping, making payroll painless and reconciling bank transactions without forcing you to sacrifice a goat to the financial gods. Unlike FinancialForce, it exists independently of Salesforce, meaning it’s not beholden to a giant CRM overlord—just to the universal laws of tax compliance and existential dread.

See also: Top 10 Online ERP software
Author: Michael Stromann
Michael is an expert in IT Service Management, IT Security and software development. With his extensive experience as a software developer and active involvement in multiple ERP implementation projects, Michael brings a wealth of practical knowledge to his writings. Having previously worked at SAP, he has honed his expertise and gained a deep understanding of software development and implementation processes. Currently, as a freelance developer, Michael continues to contribute to the IT community by sharing his insights through guest articles published on several IT portals. You can contact Michael by email [email protected]