Paddle

★★★★★ 4.9

The All-in-One Payments & Tax Solution

Stop worrying about global sales tax, billing, and compliance. Paddle acts as your Merchant of Record, handling the legal complexities so you can focus on building your SaaS.

Merchant of Record Tax Automation SaaS Specialized Global Payouts Fraud Prevention

QUICK SPECS

ModelMerchant of Record
Pricing5% + $0.50
Tax Handling100% Automated
Countries200+
Setup Fee$0

Kiree Verdict

For SaaS founders who don't want to become tax experts, **Paddle is a game-changer**. By acting as the Merchant of Record, they take over the liability for Sales Tax and VAT globally, which is a massive relief for companies selling to 100+ countries. It's the "easy button" for SaaS global scaling.

What You'll Need

Ready to apply? Here is the checklist of information and documents you should have prepared before you begin the Paddle application.

Registered Business (LLC/Corp/Ltd)
Functional Website (Live Product)
Clear Terms of Service & Privacy Policy
Detailed Business Activity Description
Founder/Owner Identification
Bank Account for Payouts (e.g. Mercury)

Global Tax & MoR Advantage

How Paddle handles your global tax burden compared to standard gateways like Stripe:

Tax Liability Transfer

Paddle is legally responsible for calculating, collecting, and remitting Sales Tax and VAT in every jurisdiction. You get one payment from Paddle, and they handle the rest.

Automatic Compliance

No need to register for VAT in the EU or Sales Tax in various US states. Paddle's MoR model covers you globally from day one, saving thousands in compliance costs.

Onboarding Timeline

StepEstimated Time
Account Application10 Minutes
Business Review & Approval1–3 Business Days
Integration & Sandbox Testing1–2 Days
Live ProcessingInstant after approval

The Recommended SaaS Stack

F

Firstbase

P

Paddle

M

Mercury

X

Xero

Build Your Complete US SaaS Infrastructure

By combining Firstbase for incorporation, Paddle for payments/tax, and Mercury for banking, you create a fully compliant global business from your bedroom.

After You Set Up Paddle

Frequently Asked Questions

Does Paddle support my country?

Paddle supports founders from 200+ countries. As long as your business is registered in a supported jurisdiction (like the US, UK, or most of Europe), you can use Paddle regardless of your physical location.

How is Paddle different from Stripe?

Stripe is a Payment Service Provider (PSP). You are the seller, and you are responsible for tax compliance. Paddle is a Merchant of Record (MoR). Paddle is the seller of record, meaning they take on the legal tax liability on your behalf.

What are the fees?

Paddle typically charges 5% + $0.50 per transaction. While higher than standard processors, this includes all tax compliance, dunning, and global billing infrastructure costs.