Comparison

Microsoft Dynamics 365 Business Central vs Xero

On the evidence we track, Xero leads this comparison with a composite score of 74/100. Scores are only directly comparable because these tools share a category; the full breakdown and every source is below.

Machine formatsMarkdownJSONGraphQLMarkdown is open. JSON and GraphQL need a free key.
Microsoft Dynamics 365 Business Central49
★Xero74
Score
vioscaleAI score
Microsoft Dynamics 365 Business Central49 / 100low · 36%
Xero74 / 100medium · 74%
Pricing
Free tier
Microsoft Dynamics 365 Business Central✓
Xero✓
Model
Microsoft Dynamics 365 Business Centralfreemium
Price level
Microsoft Dynamics 365 Business Centrallow
Xeromid
Starting price
Microsoft Dynamics 365 Business Central–
Xero£18
Transparent
Microsoft Dynamics 365 Business Central✗
Xero✓
Integrations
Count
Microsoft Dynamics 365 Business Central8
Xero1,000
Security
Disclosure policy
Microsoft Dynamics 365 Business Central✓
Xero✓
Gdpr
Microsoft Dynamics 365 Business Central✓
Xero✓
Iso27001
Microsoft Dynamics 365 Business Central–
Xero✓
Pci
Microsoft Dynamics 365 Business Central–
Xero✓
Soc2
Microsoft Dynamics 365 Business Central–
Xero✓
Reliability
Status page
Microsoft Dynamics 365 Business Central–
Xero✓
Market
Availability
Microsoft Dynamics 365 Business Central–
Content
Faq
Microsoft Dynamics 365 Business Central6 items

Capabilities

Feature-by-feature on the axes that matter for accounting software. “-” means undocumented, not absent.

Core
Double-entry GL
Microsoft Dynamics 365 Business Central-
Xero-
Multi-entity
Microsoft Dynamics 365 Business Central-
Xero-
Multi-currency
Microsoft Dynamics 365 Business Central-
Xero✓
Bank feeds
Microsoft Dynamics 365 Business Central-
XeroDirect feeds
Modules
AP automation
Microsoft Dynamics 365 Business Central-
Xero✓
AR / invoicing
Microsoft Dynamics 365 Business Central-
Xero✓
Inventory
Microsoft Dynamics 365 Business Central-
Xero-
Fixed assets
Microsoft Dynamics 365 Business Central-
Xero-
Project accounting
Microsoft Dynamics 365 Business Central-
Xero✓
Compliance
Tax compliance
Microsoft Dynamics 365 Business Central-
XeroVAT, MTD for Income Tax, CIS calculations
Workflow
Accountant collaboration
Microsoft Dynamics 365 Business Central-
Xero✓
Payments
Payments capture
Microsoft Dynamics 365 Business Central-
Xero✓
Ecosystem
API access
Microsoft Dynamics 365 Business Central-
XeroFull
Deployment
Deployment
Microsoft Dynamics 365 Business CentralCloud
XeroCloud

What each one is

The product in its own terms, so the numbers below have context.

Microsoft Dynamics 365 Business Central

A cloud-based ERP solution designed to help small and midsize businesses manage finance, operations, and business processes. Trusted by over 55,000 companies.

Independently observed

Xero

Leader

A cloud accounting solution that consolidates invoicing, payroll management, tax compliance, and financial reporting in one place, with AI-assisted automation to minimize manual data entry.

Independently observed

Pricing

List pricing as published by each vendor, with the date we read it. Always verify at the source before you buy.

Microsoft Dynamics 365 Business Central

SubscriptionFree tier
as of verify ↗

Xero

Leader
from £18/moSubscriptionFree tier30-day trial

From £18/month. First month free.

  • Ignite£18/month
    • Send quotes and 20 invoices
    • Accept online invoice payments
    • MTD for Income Tax ready
    • Make online bill and payroll payments
    • Optional company accounts and tax
  • Grow£39/month
    • All Ignite features
    • Send invoices and quotes
    • Accept online invoice payments
    • Reconcile transactions
    • Smart document capture
    • +6 more
  • Comprehensive£55/month
  • Ultimate£70/month
as of verify ↗

Platform & deployment

Where each product runs and how it can be hosted. A dash means undocumented, not unsupported.

Platforms
Web
Microsoft Dynamics 365 Business Central✓
Xero✓
Deployment
Cloud / SaaS
Microsoft Dynamics 365 Business Central✓
Xero✓

Integrations

What each product connects to. Counts come from the vendor's own integration directory where one exists.

Microsoft Dynamics 365 Business Central

8 total
  • Microsoft Outlook
  • Microsoft Excel
  • Microsoft Teams
  • Microsoft Power BI
  • Dynamics 365 Sales
  • Dynamics 365 Customer Service
  • Dynamics 365 Field Service
  • Shopify
Independently observed

Xero

Leader
6 total
  • Hubdoc
  • TaxCycle
  • Countable
  • Stripe
  • GoCardless
  • WhatsApp
Independently observed
Still deciding?

Microsoft Dynamics 365 Business Central or Xero: which one depends on you

A composite score cannot know your constraints. Describe them and both get re-weighted against what you actually need, with the evidence behind every position.

Free to run, no account needed to start. How the evaluation works

Comparison generated from independently-sourced facts. Every value links to its source and retrieval date. See the method.