Have some questions about online play.

Talking some friends into picking up Forza Horizon 3, but I haven’t really touched online. I know there is freeroam and co-op campaign but how does the matchmaking work? Like if I want to race a friend does it stop and make us pick cars from the same class/level or is it just a free for all? I guess their main concern is I’m able to play a lot more than them so I have access and resources for much faster cars.

Any help would be appreciated.