As businesses grow, managing accounts payable and receivable in Xero usually gets harder before anyone realizes it. In the initial days, it feels simple enough to manage single-handedly. A few invoices come in, a few payments go out, and everything stays manageable. Over time, though, approvals multiply, payments get tracked in different places, and reconciliation starts taking longer than it should.  

Most of the time, Xero itself is not the issue. The real slowdown happens in the workflow around it. 

Forwardly works alongside Xero to clean that up. It connects payments, approvals, automation, and reconciliation in one place, so finance teams are not bouncing between systems or repeating the same steps just to keep records accurate. 

Eliminating double data entry between systems

Duplicate work is one of the quiet drains on finance teams. A bill gets entered into Xero. The payment gets handled somewhere else. Later, someone has to circle back and reconcile everything. Each extra step creates room for delay or small errors that add up.  

When Forwardly connects to Xero, bills and invoices sync automatically. Teams can review, approve, and send payments inside Forwardly, and once the payment is complete, Xero updates right away. On the receivables side, when a customer pays through Forwardly, the payment is automatically matched to the correct invoice in Xero. 

There is no exporting spreadsheets or cleaning things up at the end of the month. The systems stay aligned as you go.  

Access to the Forwardly Business Network

Xero users also gain access to verified businesses on the Forwardly Business Network. This allows invoices to move directly into your accounting or ERP system, even if your vendors or customers use different platforms. The connection runs system to system, so you stay in control without relying on emailed PDF attachments. 

That shift makes a real difference. Instead of extracting data from documents after they arrive, invoices come in structured and ready to process. Bill creation becomes faster and far more accurate, with many teams saving over 70 hours a month that would otherwise go toward manual entry and corrections. 

Because businesses on the network are verified, there are no random PDF attachments, no spoofed emails pretending to be vendors, and no hidden malware risks. It replaces document-based invoicing with secure, direct integrations.  

AI-powered bill capture that feeds directly into Xero

Of course, not every invoice will arrive through a network connection. Some still come through email or uploads, and that is where automation matters. 

Forwardly allows invoices to be forwarded to a dedicated AP inbox or uploaded directly. Using auto-coding technology, it pulls in details like vendor name, invoice number, due date, and total amount without someone typing everything out. Once approved, the bill syncs into Xero. When payment is sent, the status is reflected in Xero automatically. 

It keeps invoice intake centralized and reduces the back-and-forth that usually slows teams down. 

Structured approval workflows for growing teams

As a company grows, approvals rarely stay neat. In the early days, it might just be a quick message asking, “Can we pay this?” Later on, it turns into long email threads, Slack messages, and occasional confusion about whether something was actually approved or just discussed.  

That kind of informal process works for a while, but it becomes risky once payment volumes increase. 

Forwardly puts some order around approvals without making it feel like red tape. You decide who needs to approve what and at what dollar amount, and the system keeps track in the background. So when someone asks, “Was this approved?” you are not digging through email chains or Slack messages trying to piece it together. You can just see it. 

For accounting firms handling payments on behalf of clients, that clarity matters. It reduces misunderstandings and makes it much easier to show exactly how decisions were made if questions ever come up. 

Simplifying migration for accounting firms

Changing payment systems is rarely something firms look forward to. When you are managing dozens or hundreds of client accounts, even a small disruption can create real anxiety around cash flow and client trust. 

That is why migration is handled carefully. Billing data, payment authorizations, and account setups are transferred securely with onboarding support guiding the process. The goal is simple: no interruptions and no surprises. 

Instead of asking firms to rip everything out and start over, the move happens in a steady, manageable way. Teams can phase out older AR systems without feeling like they are gambling with client payments or day-to-day stability. 

Flexible payment speeds

Different situations call for different timing. Sometimes a vendor needs to be paid immediately. Other times, a standard ACH works just fine.  

Forwardly allows businesses to choose the payment speed that makes sense for the situation, whether that is an instant transfer that takes upto 60 seconds, same-day ACH, or standard ACH transfer. The important part is that, regardless of speed, the accounting side stays aligned in Xero automatically. 

You get flexibility without creating extra reconciliation work later. 

A more connected AP and AR experience

Accounts payable and accounts receivable often operate in separate workflows, even though they affect the same cash position. 

With Forwardly connected to Xero, invoice data, approvals, and payments stay synchronized. Customer and vendor details are updated between connected businesses on the network, reducing the need to chase missing information. 

The goal is not to replace Xero. It is to extend it in ways that remove repetitive tasks and tighten the flow between systems.  

For teams that want fewer manual touchpoints, fewer security concerns, and clearer oversight of approvals and payments, the integration creates a more controlled and efficient way to manage both AP and AR inside Xero. 

Want to see how Forwardly works? Check out our product tour.