Square and Stripe are both excellent, but they are built for different jobs. Square is an all in one provider designed around selling in person, with a till, hardware and a simple online store. Stripe is a developer first platform designed around selling online, with the APIs that run custom checkouts, subscriptions and marketplaces. Picking between them is really about where your sales happen.
Pricing and rates compared
For payments taken at the counter, Square is the cheaper option: a flat 1.6% against Stripe's 1.7% plus a small fixed fee per tap. Online, the comparison turns on order size. Square charges a flat 2.2%, while Stripe charges 1.7% plus a fixed fee per transaction, so above a certain order value Stripe is cheaper, and below it Square's no fixed fee model wins. Square also refunds chargebacks for free, where Stripe charges a per dispute fee. Set your in person and online split and your average transaction in the calculator above to see which lands lower for your mix, using the current rates and fees from the comparison table.
Who each one is built for
Square is for physical first businesses: cafes, shops, services and pop ups that take most payments in person and want a till, hardware and the option of a quick online store without hiring a developer. Everything lives in one account.
Stripe is for online first businesses, marketplaces and software products. Its APIs handle custom checkouts, recurring billing, multi party payouts and over 135 currencies, which is why most Australian SaaS and platform businesses build on it. The trade off is that getting the most from Stripe usually means some development work.
Australian support and settlement
Both are global operators with a strong Australian presence, both settle to Australian bank accounts on a next business day basis, and both support local cards and wallets. Stripe leans on documentation and email support suited to technical teams, while Square offers more hands on help suited to owners running a shopfront.
Switching and getting started
Square is the faster start for a shopfront: order a reader and trade the same day. Stripe is the faster start for a website if you have development support, or use its hosted checkout and payment links if you do not. With no lock-in either way, you can run both briefly during a transition, for example Square in store and Stripe online, which some omnichannel businesses do permanently.
Tooling and support
Square and Stripe earn their reputations in different areas: Square for in person ease and its all in one ecosystem, Stripe for the depth and reliability of its online platform. Square's free chargebacks are a genuine cost advantage for businesses that see disputes.
Pros and cons for this matchup
Square wins on the in person rate, free chargebacks, cheaper entry hardware and a ready made store, but its flat 2.2% online costs more on larger orders. Stripe wins on online and marketplace power, cheaper online rates at higher order values and global currencies, but it charges for chargebacks, costs slightly more in person, and is more technical to implement.
The verdict
If your sales happen mostly in person, or you want a simple all in one with a quick online store, Square is the pick and the cheaper in person rate seals it. If you sell mostly online, run a marketplace, or build software that needs billing and APIs, Stripe is the stronger platform and usually cheaper on larger online orders. Many businesses run both. Use the calculator above to weigh your own in person and online split.