Pennylane vs Xero
Pennylane
Freelancers and very small businesses, SMEs and mid-sized companies, and accounting firms
2020; Paris, France
Xero
Small businesses, accountants and bookkeepers
2006; Wellington, New Zealand
Pennylane and Xero both sell cloud accounting to small businesses and their accountants.
Pennylane, founded in Paris in 2020, combines e-invoicing, invoicing, purchases, cash tracking and accounting with a business account and card for companies in France and Germany; Xero, founded in Wellington, New Zealand, in 2006, has 5 million customers in more than 180 countries.
Pennylane vs Xero: side by side
“Not published” means the vendor does not state it.
| Pennylane | Xero | |
|---|---|---|
| What it does | All-in-one financial management and accounting: e-invoicing, invoicing, purchases, real-time cash tracking, full accounting and a business account and card | Cloud accounting, payroll and payments platform for small businesses, with tools for accountants and bookkeepers |
| Best for | Freelancers and very small businesses, SMEs and mid-sized companies, and accounting firms | Small businesses, accountants and bookkeepers |
| Founded and HQ | 2020; Paris, France | 2006; Wellington, New Zealand |
| Ownership and funding | Founders hold the majority of voting rights; nine venture capital funds invest; €359m raised in six rounds, the latest €175m in January 2026 | Listed on the ASX; CEO Sukhinder Singh Cassidy |
| Customers or users | 1.5 million+ business owners, freelancers and finance directors; 6,500+ accounting firms; customers include Yuka and happn | 5 million customers in more than 180 countries |
| Pricing | France, one user, excluding VAT: Free €0, Starter €7, Basique €14, Essentiel €24 a month | UK from £18 a month (Ignite) to £70 (Ultimate), excluding VAT; US from US$27 (Early) to US$97 (Established) |
| Deployment and markets | Cloud software with a mobile app, data hosted in the EU; sold in France and Germany, with a Spanish company being set up | Cloud; customers in 180+ countries; offices in New Zealand, Australia, the UK, the US, Canada, Singapore and South Africa |
Main differences
Xero has customers in 180+ countries and offices in New Zealand, Australia, the UK, the US, Canada, Singapore and South Africa; Pennylane is sold in France and Germany.
Pennylane's French plans run from free to €24 a month for one user; Xero runs from £18 to £70 a month in the UK and from US$27 to US$97 in the US.
Xero is listed on the ASX; Pennylane's founders hold the majority of voting rights, and it has raised €359m in six rounds.
Pennylane includes a business account and card; Xero includes payroll and payments.
Pennylane works with 6,500+ accounting firms; Xero has tools for accountants and bookkeepers to work on their clients' books.
Which to choose
Choose Pennylane if
- Your business is in France or Germany, or you want accounting, e-invoicing and a business account in one product
Choose Xero if
- You operate across several countries outside France and Germany, or your accountant already works in Xero
Compare further
Common questions
Is Pennylane available outside France?+
Pennylane is sold in France and Germany, with a Spanish company being set up, and hosts its data in the EU. Xero has customers in more than 180 countries.
How much do Pennylane and Xero cost?+
Pennylane's French plans for one user cost €0 (Free), €7 (Starter), €14 (Basique) and €24 (Essentiel) a month, excluding VAT. Xero costs £18 (Ignite) to £70 (Ultimate) a month in the UK, excluding VAT, and US$27 (Early) to US$97 (Established) in the US.
Who owns Pennylane and Xero?+
Xero is listed on the ASX and led by CEO Sukhinder Singh Cassidy. Pennylane's founders hold the majority of voting rights, and it has raised €359m in six rounds, most recently €175m in January 2026.
Part of Accountio’s accounting technology coverage.
