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Australia-Pacific

Businesses slam Xero's compensation process as complex, frustrating

Small businesses in New Zealand have called Xero's compensation process after a recent outage complex and frustrating. According to RNZ Business, many companies describe the steps required to receive payment as overly bureaucratic.

A small business office with a laptop showing accounting software
Photo: Leeloo The First / Pexels
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Xero, the New Zealand-based accounting software firm, is facing strong criticism over its compensation process after a service outage. According to RNZ Business, small businesses say the scope of required documents and the criteria for calculating refunds are unclear.

Some companies report that claim forms require detailed proof of lost revenue and recovery time, which they say takes disproportionate effort for small firms. Xero said the process is designed for fair distribution and that it is working to shorten timelines.

The situation has revived debate about how cloud-based business software providers should be accountable to customers during outages. The New Zealand Small Business Council has called for sectoral guidance on service level agreements, and regulators say they are watching the process closely.

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This article is an AI-curated summary of the original story published by RNZ Business. The illustration is a stock photo by Leeloo The First from Pexels and is not from the original story.

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