The system, involving cloud storage, will be able to link all farm financial transactions together and be instantly accessible for farmers and their accountants, in the same way bank transactions are already.
“We don’t want farmers having to key in any financials,” Xero chief executive Rod Drury said.
“Those transactions will talk to each other and the farmer can get on with farming.”
A lot of farmers use Xero’s standard accountancy software and the number one request from farm accountants was to bring on a specific farm package, he said.
Farm management and accounting had traditionally been disconnected so the same work often ended up being done twice.
Software advances had merged the two but not to a great level so far.
“New Zealand has an amazing range of rural portals, measuring weather, grass growth, livestock condition and fertiliser inputs.
“There’s huge innovation and we can plug in an accounting engine and get a seamless extension of that,” Drury said.
Xero is working on the project with a number of industry service providers.
With a range of farms systems, from small holdings to multi-property corporate ownership, NZ was a great test-lab in which to develop the system for eventual world sales.
The software package for farmers will cost $49 a month, reflecting Xero’s business model of commodity-pricing over a big market, but there will also be fees associated with the "add-on farm software providers adding another $200 or so a month".
Xero shares have risen 270% to $28.70 on the NZX this year, with a whopping 400% gain since this time last year.
