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Quick verdict

Xero edges it overall, winning 3 of 4 rating categories. FreshBooks is cheaper to start ($23 vs $27).

Choose FreshBooks if…

You’re freelancers and service businesses that bill clients for time. Invoicing-first accounting for freelancers and service businesses: beautiful invoices, time tracking, expenses and proposals, with full double-entry accounting underneath.

Visit FreshBooks
Choose Xero if…

You’re small businesses that want unlimited users and clean, modern accounting. Cloud accounting with unlimited users on every plan, clean bank reconciliation and 1,000+ integrations: a popular QuickBooks alternative, especially for growing teams.

Visit Xero

Side by side

FreshBooksXero
Our rating4.3/54.4/5
Value4/54.3/5
Features4.2/54.5/5
Ease of use4.8/54.4/5
Output quality4.3/54.4/5
CategoryAccounting & invoicingAccounting & invoicing
Free planNo: 30-day free trial, no cardNo: intro discount for new customers
Cheapest paid plan (monthly)$23/mo$27/mo
Same plan billed yearly - -
Top planPremium: $70/moEstablished: $97/mo
Seats1 user; $11/mo per extra team memberUnlimited users on all plans
Trial / refund30-day free trial, no credit cardIntro discount (often 80% off for 3 months)
PlatformsWeb, iOS, AndroidWeb, iOS, Android
Best forFreelancers and service businesses that bill clients for timeSmall businesses that want unlimited users and clean, modern accounting

FreshBooks: pros & cons

  • Easiest invoicing and time tracking
  • Great client-facing experience
  • Frequent intro promos
  • Client limits on Lite and Plus
  • Extra users cost $11/mo each

Read the full FreshBooks review

Xero: pros & cons

  • Unlimited users on every plan
  • Cheaper than QuickBooks at similar tiers
  • Excellent bank reconciliation
  • Early plan caps invoices at 20 a month
  • US payroll handled via Gusto integration

Read the full Xero review

Questions from readers

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