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Software · head to head

Freshteam vs Xero

Freshteam logo

Freshteam

Software

Smart HR software for growing businesses

From
Free
Rated
-
Full reviewWebsite
Xero logo

Xero

Software

Beautiful accounting software

From
$13/month
Rated
-
Full reviewWebsite

The short version

  • Only Freshteam has a free tier, so it costs nothing to try first.
  • Each has a real cost: Freshteam freshworks HRMS (formerly Freshteam) paid tiers as captured 19 February 2023 combined a per-employee monthly charge ($1.20 to $2.40+/employee/month) with a separate flat platform fee ($71 to $119+/month), on top of a $0 free tier; Xero the Early plan caps you at 20 invoices and 5 bills per month, and the invoice limit counts both approving and sending
  • They diverge on capability: Freshteam covers Applicant Tracking, Xero covers Bank reconciliation.

Where they differ

Only the attributes on which Freshteam and Xero actually diverge.

Attributes where Freshteam and Xero differ
AttributeFreshteamXero
Starting priceFree$13/month
Free tierYesNo
PlatformsWeb, Ios, AndroidWeb, Ios, Android, Api
Founded20102006

Identical on both: pricing model (subscription), user rating (Not yet rated), category (Unknown).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Freshteam

  • Applicant Tracking
  • Onboarding
  • Time Off
  • Employee Directory
  • Time Tracking
  • Documents
  • Org Chart
  • Freshdesk

Only in Xero

  • Bank reconciliation
  • Invoicing
  • Bill payment
  • Expense claims
  • Financial reporting
  • Inventory tracking
  • Project tracking
  • Mobile apps

What people use each for

The jobs each tool is most often brought in to do.

Freshteam

No use cases recorded yet. See the Freshteam review.

Xero

  • Small business bookkeeping, invoicing and bank reconciliationnot Freshteam
  • Bill payment and purchase order managementnot Freshteam
  • Sharing books with an accountant or bookkeepernot Freshteam

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Freshteam

  • Freshworks HRMS (formerly Freshteam) paid tiers as captured 19 February 2023 combined a per-employee monthly charge ($1.20 to $2.40+/employee/month) with a separate flat platform fee ($71 to $119+/month), on top of a $0 free tier

Xero

  • The Early plan caps you at 20 invoices and 5 bills per month, and the invoice limit counts both approving and sending
  • Invoices created by connected app partners count against the Early plan invoice limit
  • Multiple currencies, project time and cost tracking, employee expense and mileage claims and industry benchmarking are restricted to the top Established plan at $90 per month
  • Cash flow forecasting is capped at 30 days on Early and 60 days on Growing, with 180 days only on Established
  • Payroll is not included in any plan and costs an extra $36 a month plus $6 per employee or contractor through Gusto
  • Inventory Plus is a paid optional add-on rather than part of any plan
  • The advertised 90% off applies only to the first 6 months, after which the regular $25, $55 or $90 monthly price auto-renews
  • The introductory discount excludes add-ons, usage charges and payment fees
  • Payment fees apply to online invoice payments and to bill payments other than standard domestic ACH, and are billed on top of the subscription
  • Subscriptions are billed monthly with no annual payment option, and after upgrading you must wait one month before downgrading to a cheaper plan
  • Xero states subscription prices are increasing from October 1, 2026

Pricing, plan by plan

Freshteam

Free
  • FreeFree
    • 50 Employees
    • Basic ATS
    • Time Off
  • Growth$1.2/month
    • All Free features
    • Onboarding
    • Time Tracking
  • Pro$2.4/month
    • All Growth features
    • Custom Reports
    • Advanced Workflows

Xero

$13/month
  • Early$13/month
    • Send 20 invoices
    • Enter 5 bills
    • Reconcile bank transactions
  • Growing$37/month
    • Unlimited invoices & bills
    • Bulk reconcile transactions
    • Short-term cash flow
  • Established$70/month
    • Everything in Growing
    • Use multiple currencies
    • Track projects

Which should you pick?

Choose Freshteam if

  • You need applicant tracking.
  • You want to start without paying.
  • You work on Web, Ios, Android.
  • You also want onboarding.
Freshteam review

Choose Xero if

  • You need bank reconciliation.
  • You work on Web, Ios, Android, Api.
  • You also want invoicing.
Xero review

Questions people ask

Is Freshteam or Xero better?
Neither clearly leads. Freshteam starts at Free and Xero at $13/month, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Freshteam or Xero?
Freshteam has a free tier; the other does not. Paid plans start at Free for Freshteam and $13/month for Xero.
Does Freshteam or Xero run on more platforms?
Freshteam runs on Web, Ios, Android. Xero runs on Web, Ios, Android, Api.
Can I use Freshteam for free?
Yes. Freshteam has a free tier, so you can try it without paying. Xero starts at $13/month.
What can Freshteam do that Xero cannot?
Freshteam covers Applicant Tracking, Onboarding, Time Off, Employee Directory. Xero covers Bank reconciliation, Invoicing, Bill payment, Expense claims.
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