Home > Top 5 E-Invoicing Middleware Solutions for Xero: Comparison
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Top 5 E-Invoicing Middleware Solutions for Xero: Comparison

In today’s digital business era, e-invoicing is becoming a ready. For businesses using Xero, selecting an appropriate e-invoicing middleware is crucial. The right solution will enable improved transaction handling, enhanced data protection, and enhanced reporting. The current guide offers a detailed comparison of Xero e-invoicing middleware solutions. It talks about top service providers, combining functionalities, and associated costs. The objective is to help you determine the perfect solution for your business needs.

Comparison of Xero E-Invoicing Middleware

Xero E-Invoicing Middleware Comparison

For Malaysian businesses, e-invoicing is no longer optional. Under LHDN’s guidelines, companies must comply with Peppol-based electronic invoicing standards.

If your business runs on Xero, the good news is that Xero already provides a free e-invoicing solution via Tickstar — an accredited Peppol service provider. This built-in connection allows you to send and receive invoices that comply with Malaysian government requirements without paying extra middleware fees.

But if you’re using an ERP or accounting system not yet Peppol-ready, you’ll need an e-invoicing middleware provider such as Storecove or Pagero. These accredited service providers act as a bridge, ensuring compliance, secure invoice delivery, and system integration.

Electronic Invoices

Electronic invoices (e-invoices) are structured digital documents that replace paper-based billing. They follow international standards like Peppol BIS Billing 3.0, ensuring:

  1. Compliance with Malaysian rules
  2. Secure data transmission between businesses, clients, and tax authorities
  3. Reduction of manual errors through validation and automation

With Xero + Tickstar, e-invoices can be delivered directly through the Peppol network. Middleware providers add value when multiple systems, formats, or global compliance are needed.

Electronic Invoices Solutions

Electronic Invoices Solutions

Electronic invoices, or e-invoices, are digital documents. They replace traditional paper bills. E-invoicing allows the concurrent preparation and delivery of invoices. It reduces manual work and errors. The best solutions support multiple formats. These formats follow global standards like Peppol. They enable safe and smooth information exchange across different platforms.

Good solutions also connect easily with inventory control, payment, and documentation apps. Batch processing, automatic reconciliation, and configurable templates are certain features that make the process efficient. They make the invoicing procedure faster and simpler.

Check on the blog -> Mastering Bank Reconciliation With Malaysian Banks

Check on the blog -> Malaysia’s E-Invoicing Implementation: Pioneering Efficiency Through Peppol Framework

 

Top 5 Middleware Solutions comparing with Xero Cloud Accounting Software

Invoici from Xero

1. Xero (via Tickstar – Free for Xero users)

  1. Directly integrated into Xero at no additional cost
  2. Accredited under Peppol standards
  3. Supports invoice delivery, compliance, and reporting
  4. Ideal for SMEs already on Xero

Storecove logo

2. Storecove

  1. An accredited Peppol system provider, delivering compliant and reliable invoice exchange.
  2. Makes it easier for Malaysian businesses with custom incorporations that achieve local regulatory compliance without compromising on international standards.
  3. Allows for quick invoicing and payment procedures with fewer manual interventions and mistakes.
  4. The transaction-based pricing, therefore, is flexible and scalable based on business volume growth.
  5. Provides automated invoice validation in Peppol standards to prevent errors and simplify audits.

Middle Pagero logo

3. Pagero

  1. Facilitates complete invoicing and procurement procedures, offering direct connection to Peppol, among others to automate invoice reconciliation, approval procedures, and provides
  2. No prerequisites are necessary for it to function, but it connects with Xero to automate invoice reconciliation, approval procedures, and provides concurrent updates.
  3. Compromises confidentiality through the use of encryption, access control, and secure information transfer measures, which safeguard critical information.
  4. Transaction-based pricing makes it the perfect option for small businesses and large corporations with high volumes of files.
  5. Includes an intuitive platform for simplifying compliance, automating functions, and providing supply chain visibility.

Basware logo

4. Basware

  1. A cloud-hosted software-as-a-service strategy for automating invoice processing and regulation compliance for multiple jurisdictions.
  2. Supporting international standards such as Peppol with features including automated extraction, validation, and payment processing with incorporation capability.
  3. Offer on-the-spot minute-level dashboards and reports to stakeholders to monitor their invoicing cycle, areas of bottlenecks, and optimize cash flow.
  4. Price is scalable, document-by-document, and includes the capability to scale according to changing business needs.
  5. Prioritizes safety and automation to help organizations rid themselves of human errors and safeguard sensitive financial information.

5. Peppol Service Providers

  1. Malaysia recognizes 60+ accredited providers, including Avalara, Comarch, Deskera, and Bukku (Nukleus Ventures). These can be useful if you’re running accounting systems beyond Xero.
  2. While combining with the Peppol system, various providers now provide assistance to secure the sending and receiving of electronic invoices across the globe by companies.
  3. These providers assist companies with registering at Peppol to simplify the onboarding procedure.
  4. They process multiple invoice templates and integrate with multiple business platforms like Xero, inventory control, and CRM platforms.
  5. Features normally comprise automatically verifying invoice information, concurrent status, and detailed audit trails for compliance and transparency.
  6. They help prevent manual processing, speeding up transactions, and boosting the overall efficiency of invoicing.

Conclusion

Peppol Network

All the above solutions operate on the Peppol network, which ensures:

  • Interoperability across different accounting/ERP platforms
  • Secure delivery of invoices across borders
  • Compliance with Malaysian government rules

Businesses should always confirm their chosen provider is accredited to avoid non-compliance risks.

 

Real-Time Features

Modern middleware offers:

  • Instant invoice delivery & receipt
  • Due date reminders & payment requests
  • Automatic reconciliation with line items
  • Real-time reporting for audits and compliance

For Xero users, many of these are already available without additional cost. Middleware adds further value where customization or multi-system integration is required.

Pricing Comparison

  • Xero (Tickstar): Free, bundled with subscription.
  • Middleware providers (e.g., Storecove, Pagero, Basware): Typically transaction-based or subscription-based, with costs depending on:
    • Number of invoices exchanged
    • Data storage and records download
    • Advanced integration features

SMEs should compare unit prices and check for hidden costs such as setup, customization, or compliance upgrades.

Conclusion

Your response of choice for Xero e-invoicing middleware for your business hinges on the special requirements of your company. Consider your budget requirements and compliance requirements. Consider, too, how much incorporation each product will have with present systems. Data protection and transparency in terms of pricing are key things to consider. Your middleware of choice will improve your invoicing and billing. It will save time and minimize mistakes.

When selecting a method, identify your priorities. Do you need on-the-spot sending of invoices? Is safety foremost on your agenda? Or do you need robust reporting? Different methods emphasize different features. Some are ideal for automation and velocity. Some emphasize protection and compliance. Having the proper fit can help your business operate more smoothly.

Caltrix Asia is an Xero implementation specialist for Malaysian companies. They are well-versed in digital transformation. They offer tailored strategies according to local business needs. They have a combining support team for Xero with other middleware methods. They facilitate deployment effortlessly. They also offer ongoing support to streamline business processes. Due to their location and familiarity with the industry, Caltrix Asia is a reliable partner.

FAQs

What advantages does Peppol accreditation provide my business while selecting an e-invoicing middleware for Xero?

Peppol accreditation confirms that a middleware provider is compliant with global criteria for the use of secure and interoperable electronic invoicing. Your invoices move seamlessly across borders via a Peppol-certified service. It gives you peace of mind regarding data security, authenticity, and compliance. It also simplifies onboarding to government portals and minimizes non-compliance penalties on local legislation. In addition, Peppol support typically improves when combined with global trading partners. This allows for broader international business opportunities.

Can small companies make use of these e-invoicing middleware products, or are these suited best for large enterprises?

Small enterprises can definitely benefit from e-invoicing middleware solutions. The majority of vendors, like Caltrix Asia, offer flexible pricing models in terms of transfer volume. They are very flexible and have no need for enormous initial capital outlays. They automate labor-consuming work processes, reduce mistakes, and facilitate improved financial flows oversight. These advantages are especially critical for small enterprises with issues of efficiency and growth. E-invoicing strategies allow small enterprises to compete more favorably against larger corporations.

What do I need to check in the security features of an e-invoicing middleware?

In evaluating security features, make sure that data is encrypted in transit and at rest. Role-based access must be used to restrict sensitive data. Make sure the provider includes detailed audit logs to track all invoice activity. Make sure the provider complies with local data protection law and global standards like ISO/IEC 27001.

Protected APIs and regular security audits are also signs of a secure infrastructure. Ensure the provider enables invoice activity verification. Validate that the provider adheres to the regional data protection standards and the globally recognized. Other indicators of a secure architecture include consistent control measures and fortified application interfaces. These controls keep your financial data from being compromised and accessed illegally.

How important is integration with other business platforms, like stock management or CRM software, in choosing middleware?

Seamless incorporation with other business applications is necessary. It eliminates manual data entry and errors. It speeds up order fulfillment, payment receipts, and reporting activities. Your e-invoicing application, combined with inventory control, CRM, and accounting systems, provides a streamlined business process. It improves real-time financial and inventory visibility. The integrated system supports better decision-making and overall productivity.

Check on the blog -> 2025 5 Best Cloud CRM Software in Malaysia (Overview & Cost)

Is there any additional cost I need to consider beyond the initial subscription or transaction charges?

Yes, there are extra fees beyond subscription or transfer fees. There may be setup fees, customization fees, and training fees. Support or maintenance may be done by some suppliers. Other aspects like additional reporting, certain custom combinations, or API access may also come with further expenses. You would also look for whether there is an upgrade charge to continue being compliant with regulations. You should inquire about these costs in advance so you can plan your expenses properly and not have any surprises in the future.

How can Caltrix Asia assist my business in going digital with invoicing and integrating with Xero?

Caltrix Asia is an expert in enabling Malaysian businesses to smoothly implement digital invoicing. They provide customized strategies that are local regulation compliant and international standard compliant, like Peppol. Their experts offer end-to-end services such as system evaluation and customized middleware installation. They help integrate Xero into your processes. Caltrix Asia also offers training and ongoing support to maximize your processes and save money. With local market understanding and caring customer service, they make it easy to go digital with invoicing. They reduce downtime and boost operational efficiency.

author

Alfred Ang

Alfred has led the company in helping over 500 SMEs successfully transition to digital platforms. With expertise in cloud accounting software implementation and other tech stacks. Alfred empowers businesses to access real-time, accurate financial data for informed decision-making. As a Chartered Accountant (CGMA, ACMA, and MIA member), he is driven by the mission to streamline traditional accounting processes. Alfred’s accomplishments include winning the Xero Award for Medium Accounting Partner of the Year in 2024.

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