Wednesday, January 8, 2025

Comparing payment provider fees and features: a breakdown of few popular options

As I prepare to launch my new product, I’ve been evaluating several payment providers (LemonSqueezy, Paddle and PayPro Global) to find the best fit for my needs. To simplify the process, I created this document to consolidate all the relevant details about fees, affiliate commissions, payout methods, and other critical features in one place. By comparing these aspects across platforms, I aim to make an informed decision—and help others do the same.

LemonSqueezy

Fees

LemonSqueezy fee details.

Platform Fees

Their base fee is 5% + $0.50. Additionally to that, they charge:

+0.5% for subscription payments
+1.5% for international (outside of the US) transactions
+1.5% for PayPal transactions

So for example, the total fee for international subscription via PayPal would be 8.5% + $0.50.

Affiliates and Affiliate Fees

They have an affiliate fee of 3% for each sale done through affiliate referral.
They also deduct 2% from affiliate commission. 

For subscriptions, affiliates earn a commission on the initial sale, as well as on all recurring charges, as long as the customer remains subscribed. 

LemonSqueezy affiliate platform.

Payouts and Payout Fees

For payouts via Stripe:

  • Free for bank accounts in the US
  • 1% per payout for bank accounts outside the US

For Payouts via PayPal:

  • A flat fee of $0.50 per payout for accounts in the US
  • 3% capped at $30 per payout for accounts outside the US

Payout schedule is twice a month and minimum payout threshold is $50.

Paddle

  • They advertise invoicing as a separate service. Customer invoicing is not done automatically.
  • They say that they are working with two affiliate platforms, FirstPromoter and Rewardful, but that they don’t have direct affiliate programs.
  • Contact form doesn't allow duck.com email addresses.

Fees

Platform Fees

Their base fee is 5% + $0.50. There are no additional fees. For subscriptions under $10, they charge a flat 10% fee.

Payouts and Payout Fees

No any additional payout fees, supported payout methods are: PayPal, Payoneer, Bank/Wire transfer. Payout schedule is once a month and minimum payout threshold is $100.

PayPro Global

They have an affiliate system, it can be set up both for the first order only, or for recurring subscriptions. They support tier commissions too.

Fees

If a chargeback occurs, there is a chargeback fee of $15, regardless of the transaction amount.

Platform Fees

Their fee is 4.9% + $1. There is a separate fee for transactions under $10, and it is $0.90. There are no additional fees.

Payouts and Payout Fees

Payouts are once a month. The minimum payout threshold is $400 USD. Payout fee depends on the method:

  • Payoneer pre-paid card – $2 USD
  • Wire Transfer – $21 USD
  • ACH (North America) – $3 USD
  • PayPal For US & Canada – Free
  • PayPal Internationally – 2% (max $20 USD fee)

What to ask your potential payment provider

In case you want to prospect another payment provider, here is a list of additional questions that are mandatory to have answers to:

  • What are the payout fees?
  • What payout methods are supported?
  • What is the minimum payout threshold?
  • What is the payout schedule?
  • Is there any special pricing for microtransactions, e.g., products under $10?
  • Are there any affiliate fees?
  • How is the affiliate commission for subscriptions set up: only for the first charge or for all recurring charges?




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