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Paddle vs Square

Paddle and Square are both payments & billing tools. Paddle is aimed at small businesses and developers, while Square is aimed at small businesses. Only Square has a free plan.

Paddle

Merchant of record for software companies

Square

Payments and POS for small businesses

PricingPaidFreemium · $49
Starting priceNot published$49/mo
Free planNoYes
Free trial——
Built forSmall businesses, DevelopersSmall businesses
Platformswebweb, ios, android
CountryGB · 2012US · 2009
Rating——

Choose Paddle if

SaaS and software companies that sell internationally and want to outsource tax and billing entirely.

  • Eliminates global tax compliance burden
  • Available to sellers worldwide including Turkey
  • Subscription billing and dunning included

Look elsewhere if: Marketplaces, physical goods or businesses that need Stripe-level API customization.

Choose Square if

Small brick-and-mortar businesses in supported countries.

  • Free POS software
  • Simple flat-rate pricing
  • All-in-one for small businesses

Look elsewhere if: Online-only SaaS (Stripe).

Paddle vs Square pricing

Paddle

  • Pay as you go5% + 50¢/per transactionMerchant of record: tax, fraud, chargebacks included
  • CustomCustomVolume pricing for larger businesses

Square

  • Square Free$0In-person 2.6% + 15¢, online 3.3% + 30¢
  • Square Plus$49/location/moIn-person 2.5% + 15¢, online 2.9% + 30¢
  • Square Premium$149/location/moLowest fees: in-person 2.4% + 15¢, online 2.9% + 30¢
  • Square ProCustomFor businesses processing over $250K/year

Paddle · Key features

  • Merchant of record: global tax calculation, collection and remittance
  • Checkout overlay and inline with localized pricing
  • Subscriptions, trials, upgrades, proration and dunning
  • Payment methods: cards, PayPal, Apple Pay, Google Pay, local methods
  • Retain for failed payment recovery and ProfitWell Metrics
  • Invoicing for B2B, API and webhooks

Cons

  • Higher fees than direct Stripe
  • Less customization than Stripe APIs
  • Onboarding review can take time

Square · Key features

  • POS software and hardware
  • Online store and invoices
  • Appointments and loyalty
  • Payroll and team management
  • Banking and loans
  • Restaurant and retail features

Cons

  • Limited country availability
  • Fees higher than interchange-plus at scale
  • Account holds possible

Paddle vs Square: FAQ

Do Paddle and Square have a free plan?

Paddle has no free plan. Square has a free plan.

Not sure yet?