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A detailed comparison between Dynamics 365 Business Central & Xero Accounting

In a fast moving business environment and with technology advancing at a rapid scale, the importance of keeping up to date with technology and improving efficiency has never been greater for businesses. 

When it comes to deciding which cloud-based finance systems will help transform the way you manage finances in your business, it can often be a tricky choice. To help you come to a decision on this, in this blog article, we will provide you with a like for like comparison between two ERP powerhouse products: Dynamics 365 Business Central & Xero Accounting. 

ParametersDynamics 365 Business CentralXero Accounting
Latest VersionDynamics 365 Business CentralXero Accounting
Implementation CostsStarting from £7,200Starting from £400
Ongoing CostsMuch lower cost of ongoing usage & supportHigher cost of ongoing usage & support
Licensing ModelsSubscription based model - you pay to use the system on a monthly basisSubscription based model - you pay to use the system on a monthly basis
Types of User

A user is licensed for either of the following licensing options:

Dynamics 365 Business Central Essentials

- Financial Management
- Customer Relational Management
- Supply Chain Management
- Human Resources
- Project Management

Dynamics 365 Business Central Premium 

All the variables included in the above + Service Order Management & Manufacturing

Dynamics 365 Business Central Team Member

A user is licensed for either of the following licensing options:

Starter

- Send 5 invoices and quotes
- Enter 5 bills
- Reconcile 20 bank transactions
- Submit VAT to HMRC for Making Tax Digital
- Automatic CIS calculations and reports
- Capture bills and receipts with Hubdoc

Standard

- Send invoices and quotes
- Enter bills
- Reconcile bank transactions
- Submit VAT to HMRC for Making Tax Digital
- Automatic CIS calculations and reports
- Capture bills and receipts with Hubdoc

Premium

- Send invoices and quotes
- Enter bills
- Reconcile bank transactions
- Submit VAT to HMRC for Making Tax Digital
- Automatic CIS calculations and reports
- Capture bills and receipts with Hubdoc
- Handle multiple currencies

Price/licence (per month)Essential - £53Starter - £10
 Premium - £78Standard - £24
 Team Member - £6Premium - £30
Number of UsersUnlimitedUnlimited
Number of TransactionsUnlimited4000 per month
 Core Functionality 
FinanceYesYes - multiple currencies only available with a premium licence
Operations, inventory & warehouse managementYesSimple inventory management capability
Sales CRMYesCreate sales quotes, store & track contacts
ProjectsYesYes
Supply chain managementYesNo
Service managementYesNo
ManufacturingYesNo
 Additional Capabilities 
ConfigurationConfigure views/dashboards, processes & fieldsYes
Cloud Based or On PremiseBothCloud only
Accessible across all devicesYesYes
Data AnalysisFully integrated with Power BI, fast reports, customised dashboardsFinancial reporting & an editable dashboard available
Artificial IntelligenceYesNo
ConnectivityFully connective via Common Data Model, 200+ connections availableGood connectivity with 500+ business applications. Only limited API transactions per month allowed
Office 365 IntegrationOffice 365 seamlessly integrated with Dynamics 365 for Outlook and ExcelLimited
Automation and custom applicationsYes through the Microsoft Power PlatformNo

 

As you can see from the above comparison table, Dynamics 365 Business Central provides more of a wide range of functionality than can be seen with Xero Accounting software. Better still, Dynamics 365 Business Central is fully scalable as your business grows. Furthermore, Dynamics 365 Business Central delivers critical information and access to insights along with a seamless integration with Office 365 which allows you to take advantage of a number of key benefits that will drive a strong return on your investment. 

Next Steps?

If you have read the above comparison table and are keen to take the next step with a tailored quick start Dynamics 365 Business Central package or are looking to get a quick quote via our Business Central calculator then please give our team of experts a call today on 020 3004 4600 or submit an enquiry via our online contact form. 

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