FreshBooks vs Xero: Choosing accounting software 2025
After your trial is up, you can choose from one of several FreshBooks pricing plans. Each plan has different workflows and accounting solutions for businesses at different stages, as well as client limits or unlimited billable clients, depending on your specific needs. However, Wave’s features are more limited than many competitors in order to keep the price low, so it may not suffice for growing businesses. The Early subscription is tailored for solopreneurs and business owners who are just getting started. You’re able to send 20 quotes and invoices per month, enter five bills, reconcile bank transactions, capture bills and receipts with Hubdoc and view a short-term cash flow and business snapshot.
As a small business owner, you get unlimited access to FreshBooks accounting software through our 30-day free trial, with no contracts and no credit card required. You even get free phone and email support in case you have questions about setting up your account. These reports help small business owners identify areas for improvement and make evidence-based decisions in real time. Xero doesn’t offer as many pre-built reports compared to Xero alternatives such as QuickBooks. FreshBooks includes unlimited time and mileage tracking with all plans. You can automatically track time using net working capital ratio definition the mobile app, a browser extension or third-party apps like Trello and Asana.
- To review this software, I signed up for a free trial of the Xero Established plan.
- However, due to its limited feature set and lack of audit trails and third-party integrations, it’s not ideal for small businesses that have the potential to grow.
- While FreshBooks includes bills as part of its Expense dashboard, Xero has a unique centralized bill dashboard that was recently launched by the company.
- FreshBooks has a number of specialized features you won’t find in any other accounting software.
- Xero is a great option for large teams and small- to medium-sized businesses that need high-level accounting systems.
- The best accounting software received top marks when evaluated across 10 categories and more than 30 subcategories.
How much does Xero cost?
FreshBooks’ small business reporting tools allow users to know exactly how their business is performing. Using straightforward dashboards and reports, companies benefit from accurate and valuable information. From centralized dashboards to reports like profit and loss, paid taxes and more, FreshBooks offers several reporting tools. FreshBooks takes on business intelligence analytics and reports with a friendly user interface and minimalistic simplicity. In contrast, Xero offers more in-depth BI analytics tech, but these add-ons often come with a cost. NerdWallet independently reviews accounting software products before determining our top picks.
A significant difference between FreshBooks and Xero is their payroll capabilities. FreshBooks does not offer built-in payroll tools, while Xero is known for its simple and effective payroll features. Customers that use FreshBooks and want to run payrolls can integrate the PEO solution Gusto – an easy-to-use payroll solution designed for small businesses. Additionally, clients can acquire add-ons, such as Advanced Payments for $20 per month or Gusto Payroll.
Plans to suit your business
Discover seamless app integrations for efficient accounting with Xero’s comprehensive accounting software. From streamlined bank connections to intuitive online invoicing, Xero’s features empower you to prioritize business growth. Given that there are several invoicing software on the market, it’s worth putting in some time to research your options before choosing one for your business. All pricing plans cover the accounting essentials, with room to grow. Learn more about how to automate Xero, or dive into these ready-to-use workflows for both apps.
Award Winning Support
Whether you want to accept online credit card payments, set up bank transfers, or get paid through FreshBooks Payments, you can easily set up the method you prefer. You can also set up different payment methods for different clients, nnpc publishes 2020 audited financial statements depending on what suits them best. If you’re on a tight budget, then check out Wave Accounting, which offers a forever free Starter plan — yes, you read that correctly! The Growing plan costs $47 per month and includes unlimited numbers of invoices and bills.
The company provides features and tools for businesses, accountants and bookkeepers to pay bills, claim expenses, make bank connections and more. If you want to add multiple users to your accounting software, Xero is likely a better choice than FreshBooks because it accommodates unlimited users in all plans. You can add new users via email and assign them one of seven different user roles, including “read only” and “advisor” access. If you want to further customize a user profile, you can give users additional permissions to particular features, like reports, projects and new expenses.
If you didn’t receive an email don’t forgot to recording notes receivable transactions check your spam folder, otherwise contact support. Get the most out of Xero with access to our team of onboarding specialists during your first 90 days. To write this software comparison report, we evaluated FreshBooks and Xero by examining their official websites, resources and documentation.
