PayPal Business vs Square Payments: which one fits your business?
Side-by-side comparison of PayPal Business and Square Payments — fees, features, ease, support, and which one fits your business. Scored on the same rubric.
Short answer: it's a tie on our scorecard — pick on fit, not score.
| Scored on | PayPal Business | Square Payments |
|---|---|---|
| Right fit for small biz | 8 | 8 |
| Ease of use | 9 | 9 |
| Fees & pricing | 7 | 7 |
| Customer support | 5 | 5 |
| Features | 9 | 9 |
| Monthly fee | $0 | — |
| Online transaction fee | 2.99% + fixed fee | — |
| In-person (QR) fee | 2.29% + $0.09 | — |
| Instant transfer fee | 1.5% (capped) | — |
| Monthly Fee | — | $0 (Basic) |
| In-person Rate | — | 2.6% + 10¢ |
| Online/Keyed Rate | — | 2.9% - 3.5% + 15¢ |
| Instant Transfer Fee | — | 1.75% per transfer |
PayPal Business in one paragraph
PayPal Business is the ultimate 'day one' tool for solopreneurs to get paid, though its automated fraud filters can be a headache for rapidly scaling firms.
Skip it if: You should not pick this if you process over $50,000 monthly and need a dedicated account representative to handle disputes.
Square Payments in one paragraph
Square is the gold standard for speed and simplicity, though you pay a premium in transaction fees for the convenience.
Skip it if: Skip it if your business processes more than $20,000 per month, as you'll save thousands elsewhere with interchange-plus pricing.
Frequently asked questions
Who should skip PayPal Business?
You should not pick this if you process over $50,000 monthly and need a dedicated account representative to handle disputes.
Who should skip Square Payments?
Skip it if your business processes more than $20,000 per month, as you'll save thousands elsewhere with interchange-plus pricing.