# Xero vs Frappe Books (2026): Free Alternative to Xero

Canonical: https://caniforkit.com/vs/xero-vs-frappe-books
Last updated: 2026-08-11

Compare Xero ($25/mo) vs Frappe Books ($0/mo open source AGPL-3.0 alternative to Xero). Side-by-side breakdown of pricing, self-hosting setup, data storage, and practical trade-offs.

## Side-by-Side Comparison Matrix

| Feature / Metric | Xero | Frappe Books |
| --- | --- | --- |
| Monthly Subscription | $25/mo | $0.00 / month |
| 1-Seat Annual Cost | $300/yr | $0.00 / year |
| 5-Person Team Annual Cost | $1,500/yr | $0.00 / year |
| 10-Person Team Annual Cost | $3,000/yr | $0.00 / year |
| License Model | Proprietary Commercial SaaS | AGPL-3.0 |
| Hosting / Runtime | Vendor Cloud | Local |
| Data Ownership | Stored on vendor servers | Each company is a local SQLite .db file selected by the user, with its ledger, invoices, bills, and related records in that file. |
| GitHub Stars | Closed Source | ★ 4.9k |
| Code Repository | None | https://github.com/frappe/books |
| The Catch / Trade-off | Recurring subscription cost | Frappe Books is a local SQLite desktop ledger, so it gives up Xero's shared cloud workspace, managed bank feeds, payroll links, payment network, and accountant access. |

## About Frappe Books
Offline invoices, bills, payments and reports with a real ledger; multi-user cloud work is absent.

- **Installation**: Native desktop installer; Homebrew and Flatpak paths are also published
- **Data Storage**: Each company is a local SQLite .db file selected by the user, with its ledger, invoices, bills, and related records in that file.
- **Supported Platforms**: desktop, one-click install
- **The Catch vs Xero**: Frappe Books is a local SQLite desktop ledger, so it gives up Xero's shared cloud workspace, managed bank feeds, payroll links, payment network, and accountant access.

## Cost Savings Breakdown
Switching from Xero to Frappe Books eliminates ongoing per-seat subscriptions:
- **Solo / 1-seat**: Save **$300/year**
- **5-person team**: Save **$1,500/year**
- **10-person team**: Save **$3,000/year**

## Frequently Asked Questions

### Is Frappe Books a good free alternative to Xero?
Yes. Frappe Books is a verified open source (AGPL-3.0) replacement for Xero. Offline invoices, bills, payments and reports with a real ledger; multi-user cloud work is absent.

### What is the catch when switching from Xero to Frappe Books?
Frappe Books is a local SQLite desktop ledger, so it gives up Xero's shared cloud workspace, managed bank feeds, payroll links, payment network, and accountant access.

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