PayPal vs Square
A detailed comparison to help you choose the right payment processing solution for your project.
Quick Verdict
PayPal has a feature edge based on documented capabilities, but the best choice depends on your constraints. PayPal is best for b2c products, while Square excels at omnichannel businesses. See methodology for how we compare tools.
PayPal
Feature edgeThe household name in payments
Best for
Square
Payments for omnichannel
Best for
Feature Comparison
| Feature | PayPal | Square |
|---|---|---|
| Card Payments | Yes | Yes |
| Subscriptions | Yes | Yes |
| Invoicing | Yes | Yes |
| Marketplace/Connect | Yes | No |
| No-code Options | Yes | Yes |
| Mobile SDKs | Yes | Yes |
| Global Payments | Yes | Yes Limited countries |
Pricing Comparison
PayPal
Square
PayPal Pros & Cons
Pros
- +High consumer trust
- +PayPal wallet users
- +Good for B2C
- +Venmo integration
Cons
- -Dated developer experience
- -Complex account management
- -Aggressive holds
Square Pros & Cons
Pros
- +Great for in-person + online
- +Good POS system
- +All-in-one business tools
- +Easy onboarding
Cons
- -Less developer-focused
- -Limited global coverage
- -Not ideal for pure SaaS
PayPal Verdict
PayPal makes sense when your customers expect it. The DX lags behind Stripe, but the consumer trust is real.
Square Verdict
Square shines when you need both in-person and online payments. For pure online SaaS, Stripe is usually better.
More options in Payment Processing
Looking for different tradeoffs? Explore alternatives to each tool.
Related guides
Frequently Asked Questions: PayPal vs Square
Is PayPal or Square better?
It depends on your use case. PayPal is best for b2c products and audiences expecting paypal. Square is best for omnichannel businesses and retail + online. PayPal makes sense when your customers expect it. The DX lags behind Stripe, but the consumer trust is real.
Is PayPal free?
No, PayPal does not have a free tier. Pricing starts at 2.99% + 49¢.
Is Square free?
No, Square does not have a free tier. Pricing starts at 2.9% + 30¢.
Can I migrate from PayPal to Square?
Yes, you can migrate from PayPal to Square, though the complexity depends on how deeply integrated your current solution is. Most developers recommend evaluating both tools in a test environment before committing to a migration.
Which is more popular, PayPal or Square?
Both PayPal and Square are popular choices in their category. The best choice depends on your specific requirements, team expertise, and budget rather than popularity alone.