Payment model Payment model
Merchant of Record for subscriptions
recurring revenue
Subscription sellers should compare dunning, retries, tax calculation, invoices, plan changes, API depth and chargeback responsibility.
Strong starting shortlist
Paddle
Strong fit for SaaS/software. Not for human services.
SaaS Downloadable software AI tools
Stripe Managed Payments
Best fit if you already live on Stripe and sell digital products.
Digital products SaaS already on Stripe Software
Polar
Developer-loved MoR with thoughtful DX and OSS funding features.
Open-source maintainers Indie SaaS AI tools
FastSpring
Mature global MoR for software. Solid for B2B SaaS that needs hands-on support.
SaaS Downloadable software Games
Lemon Squeezy
Founder-friendly MoR for digital goods. Strict on services.
Indie SaaS Digital downloads Templates
What to verify
- • Confirm the provider acts as legal seller, reseller or Merchant of Record for your exact flow.
- • Ask whether your product category, delivery model and customer countries are allowed.
- • Verify tax coverage for EU VAT, UK VAT, US sales tax and any priority customer markets.
- • Check payout countries, currencies, refund rules, chargeback handling and invoice support.
- • Usage-based billing and subscriptions are not the same feature; verify both if you need metering.