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Paddle

Payment providers · for freelancers and SMEs and large companies

Payment platform for software companies that sells as Merchant of Record and handles VAT and sales tax itself.

  • iDEAL
Price
from €0per month
Try it
Not freeno free trial
Netherlands check
1 of 6
Headquarters
LondenUnited Kingdom · For sellers outside the US, Paddle.com Market Limited (England and Wales) is the contracting party

Checked on on the Paddle site

Short verdict

Good fit for

Software companies that sell subscriptions worldwide and do not want to handle VAT in other countries themselves.

Less suited to

Webshops and service providers; Paddle is built for software, and 5% + 50 cents per transaction costs more than a regular PSP.

Key facts

  • Paddle is the seller (Merchant of Record) and remits VAT
  • 5% + 50 cents per transaction, no monthly fees
  • iDEAL for customers in the Netherlands on payments in euro

What is Paddle?

Paddle is a payment platform for software companies from London; sellers outside the US sign their contract with Paddle.com Market Limited. The big difference from a regular payment provider such as Stripe or Mollie: Paddle is the Merchant of Record. Paddle formally sells your software to your customer, calculates and collects the correct VAT or sales tax and files the returns; you receive the proceeds as a payout. The checkout is available in Dutch, among other languages, and iDEAL (iDEAL | Wero) is shown to customers in the Netherlands on payments in euro. According to the terms, Paddle and the seller are each independent controllers of personal data, with a Data Sharing Addendum instead of a regular data processing agreement. Paddle does not say where data is stored; for transfers outside the UK and the EEA it uses standard contractual clauses.

Good: you do not need to register for VAT or sales tax in other countries. No monthly fees, and iDEAL and a Dutch-language checkout are available.

Less good: 5% + 50 cents per transaction is steep if you only sell in the Netherlands. Paddle does not say where data is stored, and integrations with Dutch accounting software are not on the site.

How much does Paddle cost?

Starting price

€0 per month

No monthly fees; you pay 5% + 50 cents per transaction through the checkout (the pricing page does not name a currency). For that, Paddle acts as the seller (Merchant of Record) and handles VAT and sales tax worldwide. The pricing page does not say whether the amounts exclude VAT.

  • No free plan
  • No free trial
  • The vendor does not say whether this is excl. VAT

According to the Paddle site on . The current plans are on the vendor's site. Has the price changed? Let us know.

The Netherlands check

Useful if you run a business in the Netherlands. "Unknown" means we could not verify it.

  • Support in Dutch: Unknown

    You would rather ask a question in Dutch, to someone who knows how things work in the Netherlands.

  • App in Dutch: Unknown

    An app in Dutch is quicker to use and avoids mistakes, also for colleagues who read less English.

  • Data in the EU: Unknown

    Data in the EU falls under the GDPR. Outside the EU, especially in the US, other laws can give access to your data.

    More about data in the EU →

  • Data processing agreement: Unknown

    If a tool processes personal data of your customers, the GDPR requires you to sign a data processing agreement.

    More about the data processing agreement →

  • iDEAL: Yes

    Most Dutch people pay online with iDEAL. If customers cannot pay with iDEAL, they drop out sooner.

    More about iDEAL and Wero →

  • Company in the Netherlands: No

    A Dutch company falls under Dutch law. For some businesses that matters, for example in a dispute.

Checked on . Something no longer correct? Report an error.

Integrations

According to its own site, Paddle integrates with, among others:

  • HubSpot
  • Intercom
  • Databox

Alternatives to Paddle

All 10 alternatives to Paddle →

Paddle is based outside the EU. 10 European alternatives to Paddle

User reviews

No reviews yet. Reviews do not count towards our verdict.

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We check everything on the Paddle site, but prices and terms change. Do you see an error, or are we missing an alternative? You don't need to log in. We check every report ourselves within 5 working days. How we handle corrections.

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Frequently asked questions about Paddle

How much does Paddle cost?

Paid plans for Paddle start at €0 per month. No monthly fees; you pay 5% + 50 cents per transaction through the checkout (the pricing page does not name a currency). For that, Paddle acts as the seller (Merchant of Record) and handles VAT and sales tax worldwide. The pricing page does not say whether the amounts exclude VAT.

Who is Paddle for?

Paddle is aimed at freelancers, SMEs and large companies. Payment platform for software companies that sells as Merchant of Record and handles VAT and sales tax itself.

Does Paddle support iDEAL and Peppol?

Paddle supports iDEAL. Paddle does not support Peppol.

Which banks and tools does Paddle integrate with?

Paddle integrates with HubSpot, Intercom and Databox, among others.

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