Softwr

Accounting · head to head

Lago vs FreeAgent

Lago logo

Lago

Accounting

Open-source billing infrastructure for usage-based models

From
Free
Rated
-
Full reviewWebsite
FreeAgent logo

FreeAgent

Accounting

Accounting software for small businesses and freelancers

From
Free
Rated
-
Full reviewWebsite

The short version

  • Each has a real cost: Lago free tier limited to 10,000 entities per month with 5M event cap; FreeAgent introductory pricing shown is 50% off the regular rates

Where they differ

Only the attributes on which Lago and FreeAgent actually diverge.

Attributes where Lago and FreeAgent differ
AttributeLagoFreeAgent
Pricing modelFreemium with optional paid tierssubscription
PlatformsWeb, Cloud, Self-hosted, On-premise, VPCWeb

Identical on both: starting price (Free), free tier (Yes), user rating (Not yet rated), category (Accounting).

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 Lago

  • Real-time usage metering
  • Multiple pricing models
  • Automated invoicing
  • Prepaid credits
  • Entitlements
  • Multi-currency support
  • Payment orchestration
  • Revenue analytics

Only in FreeAgent

Nothing recorded that Lago does not also cover.

What people use each for

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

Lago

  • Building usage-based billing for high-volume APIs and infrastructurenot FreeAgent
  • Implementing metered billing for AI and tokenized servicesnot FreeAgent
  • Creating subscription and hybrid pricing modelsnot FreeAgent
  • Managing multi-currency billing for global companiesnot FreeAgent
  • Maintaining billing infrastructure without vendor lock-innot FreeAgent

FreeAgent

  • Submitting VAT and Self Assessment tax returns to HMRC directlynot Lago
  • Splitting rental income and expenses across multiple properties automaticallynot Lago
  • Collecting invoice payments faster through one-click payments and remindersnot Lago
  • Capturing bills and receipts via AI to auto-categorize expensesnot Lago
  • Filing Real Time Information payroll directly to HMRC for employeesnot Lago

Where each one falls short

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

Lago

  • Free tier limited to 10,000 entities per month with 5M event cap
  • No specific pricing published for Pro annual plan or Scale plan
  • Self-hosted and on-premise deployments require engineering resources
  • Community support only on free tier
  • Scale plan requires annual contracts and sales engagement

FreeAgent

  • Introductory pricing shown is 50% off the regular rates
  • All prices exclude 20% VAT
  • Add-ons required for some features (Smart Capture Unlimited £5/month, Amazon integration £6/month)

Pricing, plan by plan

Lago

Free
  • Build (Free)Free
    • 10,000 managed entities per month
    • 5M usage events per month
    • 1K events per second rate limit
  • Pro$399/month
    • 10,000 entities included (graduated pricing to 100K)
    • 25M usage events included (to 500M with graduated rates)
    • 10K events per second (upgradeable to 100K)
  • Scale$null/custom
    • Custom entity and event volumes
    • 50K events per second (upgradeable to 100K)
    • RBAC and SSO (SAML)

FreeAgent

Free
  • Sole Traders$9.5/month
    • Introductory rate (regular price £19/month)
    • Annual option at £95/year (regular £190)
  • Landlords$5/month
    • Introductory rate (regular price £10/month)
    • Annual option at £50/year (regular £100)
  • UK Partnerships/LLPs$13.5/month
    • Introductory rate (regular price £27/month)
    • Annual option at £135/year (regular £270)
  • UK Limited Companies$16.5/month
    • Introductory rate (regular price £33/month)
    • Annual option at £330/year (regular £330)

Which should you pick?

Choose Lago if

  • You need real-time usage metering.
  • You want to start without paying.
  • You work on Web, Cloud, Self-hosted, On-premise, VPC.
  • You also want multiple pricing models.
Lago review

Choose FreeAgent if

  • You want to start without paying.
FreeAgent review

Questions people ask

Is Lago or FreeAgent better?
Neither clearly leads. Lago starts at Free and FreeAgent at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Lago or FreeAgent?
Lago starts at Free and FreeAgent at Free.
Does Lago or FreeAgent run on more platforms?
Lago runs on Web, Cloud, Self-hosted, On-premise, VPC. FreeAgent runs on Web.
Can I use Lago for free?
Both have a free tier, so you can try either at no cost before committing.
What is Lago best used for?
Lago is most often used for building usage-based billing for high-volume apis and infrastructure, implementing metered billing for ai and tokenized services, creating subscription and hybrid pricing models, managing multi-currency billing for global companies. Of those, building usage-based billing for high-volume apis and infrastructure and implementing metered billing for ai and tokenized services are not what FreeAgent is typically brought in for.
What can Lago do that FreeAgent cannot?
Lago covers Real-time usage metering, Multiple pricing models, Automated invoicing, Prepaid credits.

Answered from the vendors’ own pages

Lago: Can I use Lago open-source for free?

Yes, Lago is open-source under the AGPLv3 license and can be self-hosted. The cloud-based Build plan is also free with limits of 10,000 entities and 5M events per month.

Source
FreeAgent: Does FreeAgent offer a free option?

FreeAgent is free for qualifying customers maintaining business accounts with NatWest, Royal Bank of Scotland, Ulster Bank, or certain Mettle accounts.

Source
Lago: What payment providers does Lago integrate with?

Lago integrates with Stripe and Adyen for payment processing. It is not a payment processor itself but orchestrates payments through these providers.

Source
FreeAgent: What is FreeAgent's pricing for sole traders?

Sole traders pay £9.50/month (50% introductory rate; regular £19/month), or £95/year annually (regular £190/year), excluding 20% VAT.

Source
Lago: Does Lago support multiple currencies?

Yes, Lago supports multi-currency billing with automatic currency conversion for global businesses.

Source
FreeAgent: What add-ons does FreeAgent offer?

Optional add-ons include Smart Capture Unlimited at £5/month and Amazon integration at £6/month, allowing customers to extend base plan functionality.

Source
FreeAgent: Does FreeAgent offer a trial?

FreeAgent provides a 30-day free trial with no commitment, and customers can cancel at any time during or after the trial period.

Source
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