FreshBooks vs. Xero: 2026 Comparison
Updated July 10, 2025 at 6:02 AM
Written by Alejandra Aranda
Content Analyst
Edited by Lindsay Page
Editor
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- Introduction
- Comparison Snapshot
- Pricing Comparison
- Reviewers Perspective
- Key Features Comparison
- Bottom Line
- Other Popular Comparisons
Recent verified reviews come from small businesses (86%) in the accounting, IT services, and retail industries.
Pros:
- Standby customer service
- Robust security measures
Cons:
- Confusing navigation
- Lack of comprehensive features
7,750 verified reviews evaluated
224 features analyzed
238 integrations considered
Comparison Snapshot
Starting Price
$21.00
Starting Price
$25.00
Pricing Comparison
Starting Price
$21.00 / month
Lite
$21.00 / month
Plus
$38.00 / month
Premium
$65.00 / month
Select
Pricing available upon request
Starting Price
$25.00 / month
Starter
$25.00 / month
Standard
$55.00 / month
Premium
$90.00 / month
Both Xero and FreshBooks offer 30-day free trials for customers to try the software before purchasing, and a credit card is not required for those free trials. FreshBooks is more affordable at the entry level but charges for users, while Xero includes more users at no extra cost.
Xero's pricing plans are popular among their users for being budget-friendly, with reasonable and competitive costs. They mention that plans are affordable, noting...
that features such as budgeting, expense tracking, and multi-currency support are included in the basic tiers. On the negative side, users mention that the pricing structure can be confusing, with some advanced features only available in higher-tier plans, which may not be cost-effective for smaller operations. Also, the need for multiple subscriptions for different functionalities can make Xero expensive over time. Regarding FreshBooks pricing plans, reviewers appreciate the software for the availability of a free trial, and they find the entry-level pricing reasonable and value the holistic package of features offered. However, some users express concerns about the increase in price when adding clients and users, which, just like Xero, can become expensive for growing businesses. Users also mention that the pricing in USD can be a drawback for international customers due to fluctuating exchange rates.
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Reviewers Perspective
Ease of Use
FreshBooks Reviewers Rating
"offers an intuitive and user-friendly interface, and the ability to customize"
4.0
Xero Reviewers Rating
"It’s intuitive user interface, first rate customer service..."
5.0
Both Xero and FreshBooks received praise from their users. Reviewers mentioned the user-friendliness of their interfaces, the benefit of integrating the software with third-party apps, and mobile accessibility.
In addition, Xero users appreciate different platform elements:
- A customizable home screen
- The software’s visually appealing design
- Local payment methods integration
- Continuous updates and training videos
On the other hand,...
FreshBooks reviewers highlight, regarding its ease of use: - Ease of navigation, creation of invoices, and management of receipts - Customizable templates - Automated reminders - Integration with PayPal and Stripe - Modern design On the negative side, there are also some concerns about both platforms' functionality and ease of use: Xero users complain about the menu structure, which can be confusing, as well as for limited customization options for invoices. There are also mentions of a sluggish performance of the interface, the lack of offline access, and the reliance on multiple apps for full functionality. FreshBooks users express dissatisfaction with the transition from the "Classic" to the newer version. They say that specific features are sometimes difficult to locate, and the interface can feel cluttered or overwhelming. Some users report that the interface is buggy, slow, and not responsive enough, with limitations on the number of users and clients.Value for Money
FreshBooks Reviewers Rating
"pricing is budget friendly for small and big organizations"
5.0
Xero Reviewers Rating
"The affordability along with a package of extended features make it a great tool"
4.0
Xero and FreshBooks have received mixed reviews from users regarding the affordability and features available in each pricing plan. In general, reviewers from both platforms value the flexibility of the pricing plans. Users from both platforms appreciate the availability of a 30-day free trial.
However, there are some differences that set the tools apart in terms of value:
Xero users appreciate different pricing elements:
- Budget-friendl...
Customer Support
FreshBooks Reviewers Rating
"One major pro for me is tailored customer support from agents in my hometown"
5.0
Xero Reviewers Rating
"It provides customer assistance via phone, email, and live chat"
4.0
Regarding the customer support options Xero and FreshBooks offer, both tools have multiple channels. Xero support channels include articles, learning courses, and online support 24/7 via email. They don’t have a phone number, but they can make calls to customers if needed. On the other hand, FreshBooks has different support channels depending on your time of request, region, and plan type: a region-specific phone number, live chat for specif...
ic regions, and an email ticket to an appropriate support specialist. Both reviewers of Xero and FreshBooks have mixed opinions about the platforms’ customer support. On the positive side, Xero and FreshBooks users think that the support team is responsive, helpful, and quick to respond. They also appreciate the personalized support (even local agents in the case of Xero). The users also mention that both customer services offer multiple channels, including chat. However, some concerns about customer support include: - Xero reviewers complain about the lack of phone support, long response times for email support, the lack of direct assistance, and the perceived indifference of the support team to feature requests and basic functionality issues. - FreshBooks users express concern about long response times and unhelpful or generic answers from the support team, some support tickets remain unresolved for extended periods, the limited availability of the live chat, and the perception of a decline in customer service over time.Expert Analysis of Features
Invoice creation
FreshBooks Feature Rating
4.59 / 5
Xero Feature Rating
4.67 / 5
Xero and FreshBooks offer tools to generate and customize invoices.
Here’s what Xero users like about this feature:
Ease of creating invoices
Intuitive interface
Customization options
Quick process of generating invoices
Set up recurring invoices
Integrations with payment processors
However, some users experience issues with invoice creation on Xero, as they mention the need for better preview descriptions and additional line items.
Here’s what FreshBooks users like about this feature:
Ease and efficiency of creating invoices
User-friendliness
Customizable templates
Automation
Professional-looking invoices
Seamless workflow for tracking payments
Duplicate and edit invoices
PDF downloads
Invoice creation for Xero: Of the 101 reviewers who gave detailed accounts of their use of invoice creation, 99% rated this feature as important or highly important.
Invoice creation for FreshBooks: Of the 90 reviewers who gave detailed accounts of their use of invoice creation, 99% rated this feature as important or highly important.
Online invoicing
FreshBooks Feature Rating
4.66 / 5
Xero Feature Rating
4.72 / 5
Xero and FreshBooks allow users to manage invoices online.
Here’s what Xero users like about this feature:
Quick send of invoices
Online payment via Stripe and GoCardless
Ease of tracking invoice status
Reminders sending
Invoice access from anywhere
Convert quotes to invoices
However, some users experience issues with online invoicing on Xero, as they find the initial setup challenging but manageable with basic knowledge.
Here’s what FreshBooks users like about this feature:
Reduce paper-based methods
Cash flow and payment collection improvement
Automated payment reminders
Integration with online payment methods
Online invoicing for Xero: Of the 96 reviewers who gave detailed accounts of their use of online invoicing, 96% rated this feature as important or highly important.
Online invoicing for FreshBooks: Of the 120 reviewers who gave detailed accounts of their use of online invoicing, 95% rated this feature as important or highly important.
Billing and invoicing
FreshBooks Feature Rating
4.60 / 5
Xero Feature Rating
4.56 / 5
Both Xero and FreshBooks offer tools for streamlining the process of billing and invoicing.
Here’s what Xero users like about this feature:
Recurring invoices
Payment tracking
Suppliers and customers' invoice management
However, some users find the template creation process cumbersome, but overall find the system efficient and user-friendly.
Here’s what FreshBooks users like about this feature:
Intuitive and highly customizable
Professional invoices with branded elements
Late fees
Detailed insights
Invoice management with the mobile app
Billing and invoicing for Xero: Of the 162 reviewers who gave detailed accounts of their use of billing and invoicing, 92% rated this feature as important or highly important.
Billing and invoicing for FreshBooks: Of the 118 reviewers who gave detailed accounts of their use of billing and invoicing, 94% rated this feature as important or highly important.
Bottom Line:
Xero is a robust accounting software solution focused on features tailored to small businesses, particularly those in the accounting, IT services, and retail sectors. It offers a wide range of functionalities that cater to businesses' diverse needs, making it a preferred choice for small enterprises looking for a full-featured accounting tool.
FreshBooks is a cloud-based accounting software ideal for small businesses, particularly those that are client-based. It excels in providing tools for billing, invoicing, and expense management, making it a preferred choice for businesses that require efficient client management and financial tracking.
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Sources
Our independent and objective research is based on market demand signals along with analysis of our proprietary data, including product information, verified user reviews, and advisor conversations with buyers. We did not consider client status when selecting products in this list.
Product descriptions: In our descriptions of each featured product, we included the following details:
Most valued features: Our research team analyzed verified accounting software reviews on Software Advice to identify each product’s highest-rated features (among features with at least 5 reviews). We then summarized user sentiment using real reviews for each feature.
Review excerpts: Review excerpts are passages extracted from longer reviews written by verified reviewers. We obtain these excerpts by applying an algorithm that considers factors including, but not limited to, length, sentiment, topic coverage, and thematic relevance. Excerpts represent user opinion and do not represent the views of, nor constitute, an endorsement by Software Advice or its affiliates. Excerpts are trimmed for brevity.