FreshBooks vs Xero
By Itai Varochik | Updated 2026
Quick Verdict
Overall Winner: Xero (4.5/5)
We tested FreshBooks and Xero side-by-side. Xero comes out ahead overall, but FreshBooks may be better for specific use cases.
Score Breakdown
| Criteria | FreshBooks | Xero |
|---|---|---|
| Features | 7.5/10 | 8.5/10 |
| Ease of Use | 9/10 | 8.5/10 |
| Value for Money | 7.5/10 | 7.5/10 |
| Customer Support | 8.5/10 | 7/10 |
| Overall | 8.1/10 | 8/10 |
Feature Comparison
| Feature | FreshBooks | Xero |
|---|---|---|
| Invoicing | Yes | Yes |
| Time Tracking | Yes | No |
| Expenses | Yes | No |
| Client Portal | Yes | No |
| Projects | Yes | No |
| Reports | Yes | No |
| Bank Feeds | No | Yes |
| Multi-Currency | No | Yes |
| Reporting | No | Yes |
| Unlimited Users | No | Yes |
Pricing Comparison
FreshBooks: $19/mo – $60/mo
Xero: From $15/mo
FreshBooks Pros & Cons
Pros
- Best-in-class invoicing
- Built-in time tracking
- Client portal
- Intuitive for non-accountants
Cons
- Limited inventory
- Client limits on lower tiers
Xero Pros & Cons
Pros
- Unlimited users on all plans
- Beautiful, intuitive interface
- 21,000+ bank feed integrations
- 1,000+ app marketplace integrations
- Strong multi-currency support
- Popular with accountants globally
Cons
- Limited inventory management
- No built-in payroll in all regions
- Starter plan limited to 20 invoices/month
- US market share smaller than QuickBooks
- Phone support not available on all plans
Key Specifications
| Spec | FreshBooks | Xero |
|---|---|---|
| Rating | 4.3/5 | 4.5/5 |
| Pricing | $19/mo – $60/mo | From $15/mo |
| Year Founded | 2003 | 2006 |
| Headquarters | Toronto, Canada | Wellington, New Zealand |
| Employees | N/A | 4,500+ |
| Multi-Currency | N/A | Yes (160+) |
| Users Included | N/A | Unlimited |
| Best For Region | N/A | Global |
Our Verdict
Xero wins overall. Choose FreshBooks if you value Freelancers. Choose Xero if you prioritize Small businesses with multiple team members.
Frequently Asked Questions
Is FreshBooks better than Xero?
Based on our testing, Xero scores higher with a rating of 4.5/5 compared to FreshBooks's 4.3/5. However, the best choice depends on your specific needs.
What is the main difference between FreshBooks and Xero?
FreshBooks is known for: Best invoicing and accounting software for freelancers.. Xero is known for: Cloud accounting software with beautiful design and multi-currency support..
Which is cheaper, FreshBooks or Xero?
FreshBooks pricing: $19/mo – $60/mo. Xero pricing: From $15/mo.
Can I use FreshBooks and Xero together?
While both tools serve similar purposes in the Accounting Software category, some users do use complementary features from both platforms.
What are the pros of FreshBooks?
Best-in-class invoicing. Built-in time tracking. Client portal
What are the pros of Xero?
Unlimited users on all plans. Beautiful, intuitive interface. 21,000+ bank feed integrations
Which accounting software should I choose?
Choose FreshBooks if you value Freelancers. Choose Xero if you prioritize Small businesses with multiple team members.