← Back to comparisons Paddle vs Lemon Squeezy
Paddle vs Lemon Squeezy
side by side.
Compare Paddle and Lemon Squeezy by accepted products, tax coverage, pricing, features and best use cases.
Paddle
Merchant of Record built for software, SaaS, and AI tools. Handles global tax, billing and chargebacks under Paddle's name.
True Merchant of Record high confidence
- Best for
- SaaS, Downloadable software, AI tools, B2B subscriptions
- Avoid if
- 1:1 coaching, Consulting, Services with human delivery
- Pricing
- 5% + 50¢ on most transactions
Lemon Squeezy
Merchant of Record for indie SaaS, digital downloads and software. Notably refuses services and human-delivered offers.
True Merchant of Record high confidence
- Best for
- Indie SaaS, Digital downloads, Templates, Ebooks
- Avoid if
- Any human-delivered service, Coaching, Consulting
- Pricing
- 5% + 50¢ per transaction
Product eligibility
| Product | Paddle | Lemon Squeezy |
|---|---|---|
| SaaS | Accepted | Accepted |
| Downloadable software | Accepted | Accepted |
| Online courses | Unclear | Likely accepted |
| 1:1 coaching | Likely refused | Refused |
| Consulting | Refused | Refused |
| Communities | Unclear | Unclear |
| Digital downloads | Likely accepted | Accepted |
| Templates | Likely accepted | Accepted |
| AI tools | Accepted | Accepted |
Tax coverage
Paddle
- EU VAT
- Yes
- UK VAT
- Yes
- US sales tax
- Yes
- Canada GST/HST
- Yes
- Australia GST
- Yes
Lemon Squeezy
- EU VAT
- Yes
- UK VAT
- Yes
- US sales tax
- Yes
- Canada GST/HST
- Yes
- Australia GST
- Yes