Accounting software is a cloud-based tool that helps businesses record sales, expenses, invoices, and VAT in real time, then automates tasks like bank reconciliation and payroll. In Ireland, the best small business accounting software is Xero for most companies, thanks to its Irish VAT support, live bank feeds with AIB, Bank of Ireland and Revolut, and strong integrations, though Surf, Sage, Kashflow and AccountsIQ each suit specific business types.
There are many different cloud accounting software options in the Irish market, many offering free trials to win you over. But where do you start looking for the right one for your business? We’re here to help.
Online accounting software helps you stay on top of your bookkeeping and makes managing your business finances easier. Our accountants have years of experience working with different online software products and know the real advantages for small businesses in terms of accessibility, usability, integrations, and cost.
Benefits of using cloud accounting software
Allows you to work from anywhere
With bookkeeping software, you can access your business finances anytime, from any internet-connected device.
Provides real-time information
When you use online accounting software to record sales, invoices, and expenses, you always have accurate, up-to-date visibility of your business’s financial position.
Automated accounts processes
Time-intensive processes such as bank reconciliation, invoicing, and paying bills can be automated in online accounting software.
Collaboration and gated access
You can enable multiple users to access and collaborate with your account, improving communication between important parties.
Security
Software providers follow strict security and data guidelines to protect sensitive financial information, reducing the risk of data breaches.
Accounting Software Comparison Table (Ireland)
| Software | Irish VAT Handling | Live Bank Feeds | Payroll Integration | Best For |
|---|---|---|---|---|
| Xero | Manual VAT rate setup, guided by your accountant | Yes, AIB, Bank of Ireland, Revolut and more | Via third-party apps (800+ integrations) | Startups to SMEs wanting room to grow |
| Surf | Fully adapted to Irish tax standards | Yes, real-time | Built-in payroll | Small/medium Irish businesses wanting local support |
| Sage | Always up to date with Irish VAT legislation | Yes | Available, add-on training offered | Teams needing multiple user access |
| Kashflow | Handles Irish cash accounting VAT & Return of Trading Details | Yes, most Irish banks | Built-in payroll | Simple, integrated bookkeeping + payroll |
| AccountsIQ | Robust VAT reporting (occasional lodgement sync issues) | Yes | Available | Multi-entity, multi-currency, complex businesses |
Which Accounting Software Should You Choose?
- Choose Xero if you’re a startup or growing SME and want the widest range of integrations and long-term flexibility.
- Choose Surf if you want an Irish-built system with strong local phone/email support.
- Choose Sage if you need multiple team members with different access levels.
- Choose Kashflow if you want built-in payroll and straightforward Irish VAT handling without a steep learning curve.
- Choose AccountsIQ if you operate across multiple entities, currencies, or have more complex reporting needs.
Quick checklist before you decide:
- ☐ Does it handle Irish VAT and Return of Trading Details correctly?
- ☐ Does it connect to your business bank account?
- ☐ Do you need built-in payroll, or will you run payroll separately?
- ☐ How many users need access, and at what permission level?
- ☐ Will your accountant/bookkeeper be working in the system with you?
Best Online Accounting Software for Startups and Small Businesses in Ireland
1. Xero
Xero is our top recommendation. It’s easy to use at every level, has a very user-friendly interface, and suits both startups and small to medium businesses, so you can keep using the same software as you grow.
It also has an excellent online presence, publishing regular guides, videos, and help articles. The software integrates with over 800 third-party apps, making it easy to consolidate your business tools into one platform. As a Xero Accounting Firm, we can help with setup and Xero conversion if you’re switching from other software.
VAT: Xero requires Irish VAT rates to be entered manually, so when we set up new clients we make sure their accounts are configured correctly from day one. It’s straightforward, and there’s plenty of support available.
Live bank feeds: Connect your bank accounts to Xero and have transactions imported automatically. Bank of Ireland, AIB, and Revolut all work well with Xero.
2. Surf
Surf Accounts is an Irish system whose cloud-based accounting and CRM software suits small and medium-sized businesses.
- Free unlimited telephone and email support for clients.
- Stylish invoicing, bank reconciliation, inventory management, and payroll are among its features. Fully adapted to Irish tax standards and very user-friendly.
- All systems update in real time, in collaboration with your accountant, accessible anytime, anywhere, on any device.
- Business owners and accountants can work in the system simultaneously, making account management quick and easy, with no need for backups or restores.
3. Sage
Sage is UK-based with an Irish-adapted system suited to both small and medium-sized companies, offering different packages based on your needs.
- Invoicing, payments, reporting, and bank account connection.
- Always up to date with the latest VAT legislation.
- Ability to add additional users to your account.
- Training available at an additional cost.
4. Kashflow
Kashflow is a UK product adapted for the Irish market. Its interface is user-friendly and easy to navigate, though probably not at the same level as Xero. Its adaptation to Irish requirements has made it a popular choice.
- Handles bank feeds well for the majority of Irish banks.
- Supports Irish cash accounting for VAT and can manage the Return of Trading Details.
- Offers payroll features, so bookkeeping and payroll can be integrated in one system.
5. AccountsIQ
AccountsIQ is an Irish system with the functionality required for Irish and UK legislation. We’d recommend it for larger businesses or high-potential startups. As a more sophisticated system, it comes with a steeper setup and learning curve than the others on this list.
- Designed for companies with more complex accounting requirements.
- Intuitive dashboard, generally user-friendly considering its complexity.
- Strong for multi-entity and multi-currency accounting.
- Sophisticated reporting, including non-financial reports.
- Robust VAT reporting, though we’ve occasionally seen bounced lodgements not reflected correctly on VAT returns.
Should You Buy Accounting Software Yourself, or Outsource to a Bureau?
Before you commit to a subscription, it’s worth asking a more basic question: do you want to run the software yourself, or hand bookkeeping (and payroll) over to an accounting bureau?
- Running it yourself gives you full day-to-day visibility and control, but you’re responsible for VAT accuracy, reconciliations, and staying current with Revenue rules, and you still pay a subscription fee every month regardless of how much you use it.
- Outsourcing to a bureau or accountant hands the software setup, reconciliation, VAT filing, and compliance to specialists. Many accounting firms, including ours, provide the accounting software itself free of charge as part of an ongoing bookkeeping or payroll service, so you’re not paying for a licence on top of the service fee.
The real comparison isn’t “software cost vs no cost”. It’s the cost of a standalone software subscription plus your own time, versus a bureau fee that already includes the software and the hours you’d otherwise spend on reconciliations, VAT returns, and payroll runs. For most small businesses without in-house bookkeeping expertise, outsourcing works out more cost-effective once your time is factored in.
Not sure which makes sense for your business? Get in touch with our team and we’ll walk you through both options based on your numbers.
Top Payroll Software in Ireland
If you need a dedicated payroll solution, whether alongside your accounting software or as a standalone system, these are the most widely used options for Irish small businesses:
| Payroll Software | Key Strength | Best For |
|---|---|---|
| BrightPay | Revenue-compliant payroll with the BrightPay Connect cloud portal for employee self-service, automatic cloud backup, and remote access for you and your accountant | Businesses wanting a dedicated, Ireland-focused payroll tool |
| Sage Payroll | Integrates directly with Sage accounting | Businesses already using Sage |
| Kashflow Payroll | Built into the Kashflow accounting platform | Businesses wanting accounting + payroll in one login |
| Thesaurus Payroll Manager | Long-established, widely used by Irish accountants and bureaus | Bureaus and accountants managing payroll for multiple clients |
Worth highlighting: BrightPay Connect is an add-on portal that lets employees view payslips and request leave online, while giving you (or your outsourced bureau) secure, automatic cloud backup of payroll data, useful whether you run payroll in-house or hand it to us to manage.
If you’d rather not manage payroll software at all, talk to us about outsourced payroll. In many cases the software cost is absorbed into the service.
How does accounting software work?
01. Set up the software
Create an account, connect bank accounts & set up the chart of accounts – this involves entering business information and configuring the software to match our needs.
02. Record financial transactions
Use the software to record sales, expenses, receipts, invoices and bank statements, this can often be done automatically and shared with your accountant for streamlined accounts preparation.
03. Review financial reports
With financial information recorded accurately, generate reports such as profit and loss statements, balance sheets, and cash flow statements.
FAQ
What is the best online accounting software for small business?
Xero is the best online accounting software, as voted by our Accounting and Bookkeeping Teams. There are many popular and well-regarded options on the market but overall, we think Xero is the best.
What is the cheapest online accounting software?
The cheapest online accounting software is Sage, starting at €12 per month for starter accounting. The cost of online accounting software varies depending on the provider and the features included. While there is also free software, we find that it is best to discuss your business with a professional who can recommend the most suitable software for you.
What is the simplest accounting software?
Xero is the most straightforward, user-friendly, and simple accounting software for small businesses. Xero’s comprehensive online resources, access to expert advice from Xero-certified advisors, and their integrations with other apps make it one of the most reliable software on the market.
What is the best bookkeeping software for sole traders?
The best bookkeeping software for sole traders depends on the specific needs and requirements of the user. While there are plenty of software options that offer features for sole traders, such as invoicing, expense tracking, and financial reporting, we recommend that you speak to an expert about the best bookkeeping software for sole traders.
