Getting paid on time is one of the biggest challenges for small businesses — especially when clients delay or overlook invoices. The good news? Xero has rolled out two new tools to make payment collection faster, simpler, and more flexible.

Whether you’re working from the office or on the go, these features are designed to keep cash flowing without constant follow-up. Let’s dive into how SMS invoicing and Tap to Pay can help streamline your process.

Send Invoices Instantly via SMS

Xero now allows you to send invoices directly by SMS, making it easier than ever to reach your customers wherever they are.

How it works:

If your client’s mobile number is saved in their contact record, you’ll now see the option to “Send via SMS” when sending an invoice. The text message includes a secure link to view and pay the invoice online — no app needed.

Why this matters:

• Faster visibility: SMS open rates are over 90%, compared to 20–30% for email.

• Fewer delays: Text messages are usually seen within minutes, meaning your invoice isn’t sitting unread in an inbox.

• More convenient for clients: Ideal for sole traders, busy customers, or anyone who prefers mobile communication.

Requirements:

• Available in Australia and New Zealand for now.

• You must be using Xero’s new invoicing layout.

• Currently limited to sales invoices (not quotes or bills).

Learn how to activate it here: Send an invoice via SMS

Tap to Pay — Turn Your Phone Into a Card Reader

For businesses that interact with customers in person, Tap to Pay is a game-changer.

Using supported apps like Square, Zeller, or Stripe, you can now accept contactless payments directly from your smartphone, with no need for separate hardware.

How it works:

Simply connect your preferred payment app to Xero. Your smartphone becomes a payment terminal, allowing customers to tap their card or phone to pay instantly. The payment is recorded in the connected system and synced to Xero for easy reconciliation.

Why this matters:

• On-the-spot payments: Perfect for tradespeople, consultants, markets, or mobile services.

• Fewer unpaid invoices: Eliminate the delay between service and payment.

• Xero syncs it all: No double-handling or manual entries later on.

Requirements:

• A supported payment provider (e.g. Square, Zeller, Stripe)
• A compatible mobile device with NFC (iPhone XS or newer, or NFC-enabled Android)
• Payment app installed and linked to your account
• Integration set up between the provider and Xero

Learn more about Tap to pay at Accept payments on the spot with Tap to Pay on Android and Xero Tap to pay on Iphone.

Together, these tools offer greater flexibility and control over how and when you get paid — and they fit right into the way modern businesses operate.

If you’re already using Xero, these features are ready to go. If not, now’s a great time to see how Xero can streamline quoting, invoicing, reconciliation, and more. At MKG Partners, we can help you get started or make the most of your setup. Contact us now.