Xero's most affordable tier, Early, costs $2.50/month for the first 6 months (then $25/month) but caps you at 20 invoices and 5 bills. FreshBooks' Lite plan is cheaper at $1/month for the first year (then $23/month) and includes unlimited invoices and quotes. Both vendors lead with steep introductory pricing that reverts to a much higher regular rate — the number that actually matters for budgeting is the ongoing one, not the promotional headline.
The cap versus the seat
Xero structures its pricing around business growth stages, attaching explicit numerical limits to its lower tiers. The Early plan is $2.50/month for new customers' first 6 months, reverting to $25/month afterward, and includes "Send quotes and 20 invoices" and "5 bills." The next tier, Growing, is $5.50/month for 6 months (then $55/month) and removes those invoice and bill caps, adding full automation for bill entry and tracking. The top tier, Established, is $9/month for 6 months (then $90/month) and includes the same core invoicing features as Growing plus additional capabilities. Both Growing and Established allow unlimited invoices, quotes, and online payments — at any point in the billing cycle.
FreshBooks takes a different approach by pricing per user rather than per business tier, and its promotional windows vary by plan. The Lite plan is $1/month per user for the first year, then $23/month, marketed toward new solopreneurs, with no invoice caps listed. The Plus plan is $8.60/month per user for the first 3 months (an 80% introductory discount), reverting to $43/month. The Premium plan is $14/month for 3 months, then $70/month. Unlike Xero's Early tier, FreshBooks' Lite plan doesn't restrict invoice volume even during the promotional period.
| Plan | Vendor | Intro Price | Regular Price (after promo) | Key Limitations/Features |
|---|---|---|---|---|
| Lite | FreshBooks | $1/mo (first year) | $23/mo | Unlimited invoices, quotes |
| Plus | FreshBooks | $8.60/mo (first 3 months) | $43/mo | — |
| Premium | FreshBooks | $14/mo (first 3 months) | $70/mo | — |
| Early | Xero | $2.50/mo (first 6 months) | $25/mo | 20 invoices, 5 bills |
| Growing | Xero | $5.50/mo (first 6 months) | $55/mo | Unlimited invoices, bills |
| Established | Xero | $9/mo (first 6 months) | $90/mo | Unlimited invoices, bills |
Choosing your ceiling
If you're a solo freelancer sending fewer than twenty invoices a month, Xero's Early plan is the cheapest option during the promotional window, but budget for it to become $25/month after 6 months — still the most structured all-in-one option at that point. FreshBooks' Lite plan is even cheaper during its own promo ($1 vs $2.50), and its $23/month regular rate undercuts Xero's Early tier's $25/month regular rate once both promos expire, while offering unlimited invoicing FreshBooks' entry tier never caps. If you anticipate exceeding twenty invoices monthly, compare the regular rates directly: Xero Growing lands at $55/month long-term versus FreshBooks Plus at $43/month — FreshBooks stays cheaper even after both introductory windows end. Either way, don't budget off the promotional sticker price; the real ongoing cost is 5-10x higher once the intro period lapses.
Pricing verified on 2026-09-16.