Joshua D'Costa
Growth & Marketing
Jan 23, 2025
|
6
min
Stripe has earned its reputation as a global favorite, however, Stripe's approach has left a gap for Indian SaaS businesses with its “invite-only” policy in India limited local support, high transaction fees, and compliance issues often left solopreneurs, Micro-SaaS founders searching for alternatives.
Indian SaaS Revenue is expected to show an annual growth rate of 25.3% (CAGR 2025-2029), resulting in a market volume of US $9.22 billion by 2029. Choosing the right Merchant of Record that can simplify global payments, and tax compliance and can provide local payment options has become crucial.
Let’s discuss Five Alternatives to Stripe, analyze their pros and cons, and why they stand out
for Indian users handling international transactions.
What is Stripe
Stripe is an Irish-American payment processing platform widely used all around the globe and trusted by businesses of all sizes. It offers a developer-friendly interface and supports payments in over 195+ currencies. Stripe provides a range of features from invoicing and subscription billing to tax compliance and account automation.
However, Stripe has limited accessibility for Indian companies. Its recent move to "invite-only" in India coupled with its high fees ( 2 to 4.5% with additional fee) and lack of local support for Indian businesses has made many solopreneurs and microSaaS founders explore Stripe alternatives in India.
Dodo Payments
Dodo Payments is a Merchant of record with comprehensive solutions for managing all aspects of global payment processing designed for solopreneurs, Indie-hackers, and Micro SaaS companies. It offers a seamless platform that simplifies global payments for digital products, handles transactions and ensures compliance, all from one easy-to-use dashboard.
Pros
Easy onboarding
Advanced subscription tools
Localised Checkout Option
24/7 personalized customer support
Affordable pricing with transparency and no hidden fee
Provides Secure and seamless Global Transaction
Secure license key provisioning
Designed for Solopreneurs, Indie Hackers, and Micro SaaS founders.
Cons:
Dodo Payments currently lacks the global brand recognition like Stripe.
Pricing:
Competitive pricing with a special Beta offer for early users:
4%+40c transaction fee (reduced from 5%+50c).
Why Choose Dodo Payments?
1. As a Merchant of records, Dodo Payments streamlines the process of calculation, collection, and remittance of VAT, GST, and sales taxes across 150+ countries with its Global tax compliance.
2. Cross-border payment that boosts conversion by offering familiar, region-specific payment methods (UPI in India) to international audiences.
3 . Subscription management tools that automate recurring billing systems with features; automated retries and detailed invoicing, effectively reducing involuntary churn.
Paddle
Paddle is a Merchant of Record platform designed to simplify Cross-border payment for SaaS businesses. It manages payments, taxes, and subscriptions, providing a centralized solution for businesses expanding internationally.
Pros:
It simplifies tax compliance across multiple countries.
Strong support for subscription-based businesses.
Centralized platform for managing global operations.
Cons:
Limited flexibility for localized payment methods outside of Western markets.
Ticket-based support can delay issue resolution.
Paddle provides ticket-based and scheduled customer support.
Customer Payments and Merchant Payouts are primarily optimized for the West.
Focused on larger companies, making it less suitable for smaller businesses.
Pricing:
Paddle charges 5% + $0.50 per transaction + additional fees.
Lemon Squeezy
Lemon Squeezy is an easy to use payment processing platform designed for creators and SaaS businesses with features tailored to sell digital products globally. Stripe acquired Lemon Squeezy in 2024 which left many creators and SaaS founders wondering about the future of the platform.
Pros:
User-friendly interface for creators and online sellers.
customizable storefronts, simple to set up a professional presence.
Supports digital goods like software, ebooks, and design assets.
Cons:
Limited support for localized payment methods outside the United States
The platform caters to content creators rather than focusing on the specific needs of SaaS companies.
Randomly stops supporting products and unstable onboarding criteria.
Pricing:
5% + 50¢ per transaction + Additional fee
PayPal
Paypal is a global leader in online payment processing, enabling businesses and individuals to send and receive money across borders. It was Established in 1998 and in 2002 eBay acquired PayPal for 1.5 billion dollars. Eventually became an independent company again in 2015 when eBay spun off PayPal. Its presence spans over 200+ countries, making it a go-to platform for global payments.
Pros:
Has High global reach and operates in 200 countries.
Supports multiple currencies
Globally well-known brand that customers trust for online transactions.
Cons:
No invoicing solution
Does not handle Sales Tax
High fees and currency conversions
Does not provide alternate payment methods.
One of the common issues by users is Account freezes.
Limited support for Indian merchants as it does not have any support team in India.
Pricing:
PayPal Merchant Fees 4.40% + Fixed Fee
Fixed fee for commercial transactions (based on currency received)
Gumroad
Gumroad is a well-known platform for creators to sell both digital and physical products, you can find pretty much anything. Known for its simplicity and ease to use interface, it’s well-suited for individual creators and small businesses looking to get started quickly.
Pros:
It offers an intuitive, User-friendly interface.
No upfront cost, just pay as you sell.
Sell anything from digital and physical products
Supports digital downloads and recurring subscriptions.
Cons:
Limited scalability for SaaS businesses
High transaction fees
Lack of advanced features such as subscription management
Pricing:
10% cut per Sale
Conclusion
When selecting the right payment processing platform, an alternative to Stripe make sure you prioritise features like;
Transparent and competitive pricing for your global transactions, user-friendly interface with reliable customer support and look for a platform with cross-border payment options that can simplify compliance for you.
Dodo Payment is the perfect choice for Indian MicroSaaS founders, indie hackers, and solopreneurs, looking for low fees, subscription management tools, and automated tax compliance.
Explore Dodo Payments for seamless, cost-effective solutions tailored for Indian merchants.
