Odoo vs Zoho Books : Streamlining SME Accounting

Introduction: 

In the realm of accounting software for SMEs, Odoo and Zoho Books stand out as reliable solutions. They offer features designed to streamline operations, boost efficiency, and ensure adherence to regulations. With their easy integration and user-friendly interfaces, both platforms are great options for SMEs requiring minimal training. 

 
This blog dives deep into a comparison of Odoo and Zoho Books, focusing on the key features crucial for SMEs like us. We'll be analyzing integration, user-friendliness, security, tax compliance, reporting, support, cost, and scalability. By the end, you'll have valuable insights to choose the accounting software that best suits your business needs. 

General Accounting Features Comparison 
 

Feature 

Odoo Accounting  

Zoho Books 

General Scope 

Multi-currency, several subsidiaries, multi-user, several newspapers 

Multi-currency, limited subsidiaries, multi-user, limited newspapers 

Supported Countries  

Supports accounting operations in 140 countries 

Supports accounting operations in 15 countries 

Accrual and Cash Accounting 

Supports both methods 

Supports both methods 

Real-time Accounting 

Offers real-time accounting 

Not supported 

Access Rights  

Granular control per screen and field  

Access rights per screen 

Customizable Validation Steps 

Allows customization 

Allows customization 

Third-Party Integration 

Robust API  

Integrates with third-party apps 

Spreadsheet Integration 

Supported 

Supported 

Customer Portal 

Includes a customer portal 

Provides a client portal 

Customer/Supplier Communication 

Supports emails, WhatsApp, and other third-party apps 

Provides email communication 

Internal Communication 

Provides email, chat, and video conferencing  

Provides email and chat 

When it comes to accounting solutions, Odoo and Zoho Books each offer robust options tailored to different business requirements. Odoo boasts a global presence and supports operations across numerous countries. Additionally, it integrates internal communication tools, enhancing collaboration within your organization. On the other hand, Zoho Books presents a more streamlined solution, ideal for smaller businesses with straightforward operations. 

Accounts 
 

Feature 

Odoo Accounting  

Zoho Books 

Customer Invoices  

Proforma invoices, multiple taxes per line, discounts, price lists, advanced payment terms, configurable email templates  

Does not support Proforma invoices 

Reconciliation of Pending Payments 

Supported 

Supported 

Electronic Signature on Invoices 

Supported 

Supported 

 

Customer Credit Limit 

Supported 

Supported 

Artificial Intelligence 

Real-time accounting, AI account prediction, Automatic lettering, OCR invoices  

OCR invoices 

 

Sending Invoices  

Generate invoice in PDF, batch sending by email, sending by WhatsApp, Sending invoices by post 

Generate an invoice in PDF, Batch sending of invoices, by email 

Customer Statements 

Aged customer balance reports, By customer statements, automated follow-up emails, Automated reminder actions 

Aged customer balance, 
By customer statements, 
Automated follow-up emails, Automated reminder actions 

Online Payments  

Credit card, PayPal, UPI  

Similar features 

Recurring Revenue 

Automated recurring invoices, contract/subscription management, recurring business KPIs, alerts for contract renewal 

Similar features 

Miscellaneous 

Automated COGS entries, automated prepaid income, regularization of orders 

Only automated COGS entries 

Both Odoo and Zoho Books offer a variety of tools for managing accounts, such as creating invoices, reconciling payments, setting credit limits for customers, and automating processes. However, Odoo's innovative use of artificial intelligence in accounting sets it apart from Zoho Books. Odoo provides real-time insights and predictions, offering advanced features that enhance efficiency and decision-making in financial management, making it a standout choice for businesses looking for cutting-edge accounting solutions. 

Accounts Payable 
 

Feature 

Odoo Accounting  

Zoho Books 

Supplier Invoices  

Invoice control with purchase orders and receipts  

Similar functionality 

Three-Way Matching 

Supported 

Not Supported 

Multiple Taxes per Line 

Supported 

Supported 

Purchasing Agreements 

Supported 

Not Supported 

Multi-Step Payment Terms 

Supported 

Not Supported 

Side-by-Side View: PDF/Form 

Supported 

Not Supported 

Expense 

Mobile app, validation process, employee reimbursement 

Mobile app, Employee reimbursement 

Artificial Intelligence 

Scanning supplier invoices, scanning expense receipts  

Similar functionality 

Supplier Payments 

Aged supplier balance tracking, printing checks, automated SEPA transfers, ACH transfers 

Does not support Automated SEPA transfers 

Expense 

Employee expense reports, expense validation flow, disallowed expenses management 

Does not support disallowed expenses 

 

Miscellaneous 

Fixed asset management, regularization of purchases 

Not supported 

 

Odoo Accounting and Zoho Books both handle supplier invoices and offer mobile apps for expense management. However, Odoo excels in supporting three-way matching, purchasing agreements, multiple taxes per line, and multi-step payment terms, features not available in Zoho Books. Odoo also provides a side-by-side view of PDFs and forms, enhancing user experience. In expense management, Odoo's mobile app offers advanced AI-driven features for scanning invoices and receipts, a step ahead of Zoho Books. Additionally, Odoo supports aged supplier balance tracking and automated SEPA transfers, features missing in Zoho Books. Lastly, Odoo includes fixed asset management and purchase regularization, which are not part of Zoho Books' offerings. 

Banks & Cash 
 

Feature 

Odoo Accounting  

Zoho Books 

Bank Statements 

Banking interfaces, import interfaces: SEPA, OFX, QIF, CSV, Camt.053  

Does not support import interface: SEPA  

Deposit Tickets 

Supported  

Not supported 

Miscellaneous 

Bank Reconciliation Reports, Automated exchange rate, Automated conversion differences, SDD mandate  

Does not supported SDD mandate 

Odoo Accounting and Zoho Books both offer robust banking and cash management features. While both support importing bank statements in various formats and banking interfaces, Odoo goes further by offering automated exchange rate management and conversion differences handling, features that are not available in Zoho Books. This makes Odoo a more comprehensive solution for banking needs compared to Zoho Books. 

Diverse Operations 
 

Feature 

Odoo Accounting  

Zoho Books 

Indian Localization  

GST, TDS, eBilling, eWaybill, UPI support 

Similar Functionalities  

Audits 

Supported 

Supported 

Several Subsidiaries 

Supported 

Supported 

Journal Entries 

Automatic transfers, intercompany postings, auto-publish in the future, finalization of accounting entries 

Only support Intercompany postings 

Document management 

Document search engine, Automatic division of multiple invoices, Customer portal, Collect by email, 

Collect by scan, Download from portal 

Does not support Automatic division of multiple invoices 

Odoo Accounting and Zoho Books both excel in offering comprehensive reporting and analysis features, including legal reports, income statements, and balance sheets. However, Odoo's broader range of legal reports and advanced features, such as VAT declarations, give it an edge over Zoho Books in terms of financial analysis and compliance reporting. Additionally, Odoo's advanced reporting tools like pivot tables, customizable dashboards, and KPI tracking provide users with deeper insights into their financial data compared to Zoho Books. 

Analysis 
 

Feature 

Odoo Accounting  

Zoho Books 

Legal Report 

Income statement, balance sheet, cash flow, VAT declarations, tax audit report, bank reconciliation, aged customer balance, aged supplier balance, general summary 

Does not support general summary 

Reports 

Pivot tables on multiple dimensions, customizable dashboards, spreadsheet, annotate reports, customizable KPIs, ratio analysis, predefined closing of the financial year 

Does not support Pivot tables on multiple dimensions, Customizable dashboards, Spreadsheet, Annotate reports 

 

 

 

Both Odoo and Zoho Books offer comprehensive reporting and analysis features. Odoo provides a wide range of legal reports, including income statements, balance sheets, and VAT declarations. Zoho Books offers similar features, making it suitable for businesses looking for detailed financial analysis and compliance reporting. Additionally, both platforms offer advanced reporting tools such as pivot tables, customizable dashboards, and KPI tracking, allowing users to gain valuable insights into their financial data. 

User Interface 
 

Feature 

Odoo Accounting  

Zoho Books 

Full Web Interface 

Yes 

Yes 

Mobile App  

Android and iPhone 

Similar Functionality 

Productivity Tools 

Mass changes, group into lists, view design 

Does not support View design 

Marketplace 

App Store / Add-ons 

Similar Functionality 

Both Odoo and Zoho Books provide a full web interface and mobile apps for Android and iOS. However, Odoo stands out with its productivity tools, allowing users to make mass changes, group items into lists, and design views, which are not supported in Zoho Books. Odoo also offers a marketplace for add-ons, providing users with additional tools to enhance their accounting experience. 

Pricing & Conditions 


Feature 

Odoo Accounting  

Zoho Books 

Price 

Free forever 

₹8,988/year - ₹96,000/year 

Contract Length 

Monthly & Annual 

Monthly & Annual 

Free Trial 

15 days 

14 days 

Free Updates 

Yes 

Yes 

Hosting and Maintenance 

Yes 

Yes 

 

Support 

Yes 

Yes 

 

In terms of pricing, Odoo offers a free forever plan, which can be attractive for SMEs with limited budgets. On the other hand, Zoho Books' pricing ranges from ₹8,988/year to ₹96,000/year, offering more features but at a cost. Both Odoo and Zoho Books provide monthly and annual contract options, allowing businesses to choose the plan that suits their needs. However, it's important to consider factors such as free trial duration, availability of free updates, hosting, maintenance, and support when deciding between the two accounting software solutions. 

Conclusion: 
 

In conclusion, after a thorough comparison between Odoo and Zoho Books, it's clear that both platforms offer robust accounting solutions tailored to the needs of SMEs. While Zoho Books provides a focused solution suitable for smaller businesses with simpler operations, Odoo stands out with its global presence, extensive feature set, and innovative use of artificial intelligence. 

However, when considering the ideal accounting software for your business, Odoo emerges as the preferred choice. With its multi-currency support, real-time accounting insights, and customizable options, Odoo offers the flexibility and advanced features necessary to streamline operations and drive growth. 
 

If you still have any doubts or questions about which accounting software is right for your business, please don't hesitate to contact us. Our team is here to provide you with personalized guidance and support to help you make the best decision for your business needs. 

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Odoo vs Zoho Books : Streamlining SME Accounting
BizzAppDev Functional Executive May 8, 2024
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