Odoo vs Xero — Accounting Software Comparison [2026]
In summary, Xero is a popular cloud accounting tool for freelancers and small businesses, known for its simplicity and bank feeds. Odoo offers everything Xero does plus inventory, manufacturing, CRM, HR, eCommerce, and project management in a single platform. For pure accounting simplicity, Xero wins; for growing businesses needing more than accounting, Odoo is the better investment.
Feature Comparison
| Feature | Odoo | Xero |
|---|---|---|
| Core Function | Full ERP with accounting | Cloud accounting |
| Pricing | $24.90/user/month (all apps) | $15-78/month (limited users) |
| Inventory | Full multi-warehouse management | Basic tracking only |
| CRM & Sales | Built-in pipeline + quotations | Third-party apps only |
| Bank Feeds | Automated bank reconciliation | Excellent bank feed network |
| Manufacturing | Full MRP | Not available |
| User Limits | Unlimited | Limited by plan tier |
| App Marketplace | 40,000+ Odoo apps | 1,000+ Xero apps |
Choose Odoo When
- You have outgrown Xero and need inventory, CRM, or HR
- You want one platform instead of Xero + 5 add-ons
- You need manufacturing or project-based billing
- You have more than 5 users
Choose Xero When
- You only need simple bookkeeping and invoicing
- You are a freelancer or solo practitioner
- Your accountant uses Xero and you want seamless collaboration
- You need the simplest possible setup
Frequently Asked Questions
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