Bonsai vs Xero
Bonsai and Xero are both accounting & finance tools. Bonsai is aimed at freelancers and agencies, while Xero is aimed at small businesses. Bonsai costs less, from $15/mo versus $27/mo for Xero.
Contracts, proposals, invoices and time tracking for freelancers
Cloud accounting popular outside the US
| Pricing | Paid · $15 | Paid · $27 |
| Starting price | $15/mo | $27/mo |
| Free plan | No | No |
| Free trial | 7 days | 30 days |
| Built for | Freelancers, Agencies | Small businesses |
| Platforms | web, ios, android | web, ios, android |
| Country | US · 2016 | NZ · 2006 |
| Rating | — | — |
Choose Bonsai if
Freelancers and small agencies.
- All-in-one for freelancers
- Professional templates
- Integrated payments
Look elsewhere if: Larger agencies needing PSA depth.
Choose Xero if
Small businesses outside the US and teams with many users who need books access.
- Unlimited users on all plans
- Excellent reconciliation experience
- Strong in UK, ANZ and international markets
Look elsewhere if: Very small freelancers (Wave, FreshBooks) or Turkish e-invoice compliance (Paraşüt).
Bonsai vs Xero pricing
Bonsai
- Basic$15/user/mo$9/mo billed annually; time tracking, tasks, CRM
- Essentials$25/user/mo$19/mo billed annually; invoices, proposals, contracts, portal
- Premium$39/user/mo$29/mo billed annually; Gantt, workload, reports, integrations
- Elite$59/user/mo$49/mo billed annually; 3 users minimum, custom permissions
Xero
- Early$27/mo20 invoices, 5 bills; 90% off first 6 months until Nov 2 2026
- Growing$59/moUnlimited invoices and bills
- Established$97/moMulti-currency, projects, analytics
Bonsai · Key features
- Proposals and contracts
- E-signature
- Projects and tasks
- Time tracking
- Invoices and payments
- Client portal and accounting
Cons
- Jack of all trades
- Accounting basic
- Team features on higher tiers
Xero · Key features
- Bank reconciliation with smart matching
- Invoices, quotes and online payments
- Bills, expenses and Hubdoc document capture
- Multi-currency accounting (Established)
- Projects, inventory and fixed assets
- Analytics, short-term cash flow and reporting
Cons
- Early plan limits are tight
- US payroll requires integrations
- Multi-currency only on the top plan
Bonsai vs Xero: FAQ
Which is cheaper, Bonsai or Xero?
Bonsai starts at $15/mo and Xero at $27/mo. Both prices are checked on the vendors' own pricing pages.
Do Bonsai and Xero have a free plan?
Bonsai has no free plan, a 7-day free trial. Xero has no free plan, a 30-day free trial.
Which is better for small businesses, Bonsai or Xero?
Xero lists small businesses as a core audience, while Bonsai is aimed more at freelancers and agencies.