Outseta vs.
Stripe Billing

"Why would I use Outseta? I'd never pay more than Stripe fees."

Honestly, we hear it all the time. At Outseta we think the world of Stripe and are proud to be a Stripe Verified Partner. But whether you're considering Outseta, Stripe's own billing tools, or another membership software provider there are some important differences to consider.

Here's the information you need to make an informed decision.

Stripe fees are not created equal

While we hear "I'd never pay more than Stripe fees!" from prospective customers all the time, it's important to note Stripe fees are not created equal. For example, it's an incredibly common misconception that Stripe fees are simply:

  • 2.9% + $0.30 per transaction in the US
  • 1.4% + .25€ per transaction in Europe

These fees represent the absolute bare minimum fee that you may end up paying when processing a payment with Stripe. But if you're using Stripe's own billing tools to create subscriptions—or most other membership software providers—you also need to pay for Stripe's Billing products. This will cost you another .5% to .8% per transaction at a minimum, meaning you'll end up paying at least 3.4% to 3.7% per transaction.

You won't find these fees if you look at your Stripe fees at an individual transaction level—they're billed at the account level. You can find these fees within your Stripe account by going to All Transactions.

With Outseta you don't need to pay additional Stripe Billing fees.

We've been building billing tools for Stripe for over five years now

A fun fact—we started building Outseta almost six years ago now largely because Stripe didn't offer their own SaaS billing software. Founders like us needed an easy and flexible way to manage subscriptions and experiment with pricing models without spending countless hours integrating with Stripe's APIs. We scratched our own itch and realized there are enormous benefits to delivering all the table stakes software tools that early stage SaaS founders need in a single platform.

While Outseta may not be the immediately recognizable name that Stripe is, what we offer is distinctly unique. Our product has been optimized and improved for years now based on the feedback of thousands of ambitious founders.

What do I get for Outseta's 1% fee?

Outseta charges a 1% fee on successful transactions in addition to Stripe fees. What that means practically is for most customers in the US is:

Stripe Billing

  • 3.7% per transaction (2.9% Stripe fees + .8% for Stripe billing)


  • 3.9% per transaction (2.9% Stripe fees + 1% to Outseta)

Here's what you get for the 1% fee that you pay to Outseta:

  • The CRM, authentication, email marketing, help desk, and reporting tools that you'll inevitably need to run your business. We're an all-in-one tech stack rather than just a billing system, so you can manage your business from behind a single login.
  • A billing system perfectly integrated with all the other tools your business runs on—no integration work required. This may not sound that sexy, but consider the time that it will take to integrate Stripe Billing with your website, your CRM, your authentication tools, your product, your email marketing tools... This stuff take countless hours to build and maintain. With Outseta these integrations are pre-built for you out-of-the-box and you can manage your financial relationship with each customer directly from their CRM record.

Also of note—once you connect Stripe to your Outseta account, you never need to login to Stripe again. You can change prices, issues refunds, build sign up forms or payment links, and view financial reports directly from within the tool you're already in—Outseta!

Most membership software providers charge higher Stripe fees

While we've built our own billing tools at Outseta, most other membership software providers actually create subscriptions in Stripe under the hood. That means that you—the customer—is being charged for Stripe Billing on top of any other fees the membership software provider charges.

These additional fees are almost always higher than the 1% fee Outseta charges and show up as Application Fees when you look at individual transactions in Stripe.

Because these additional Application Fees are taken out as part of the transaction, it's pretty easy to miss how much you're actually paying in total fees to a membership software provider. At Outseta we've taken a different approach—we directly bill our customers for the 1% fee each month based on their payment volume.

This probably hurts us because we're deliberately sending our customers an invoice that shows the total payment processing fees that they're paying to Outseta. But based on all the confusion around this topic, I'm happy that we're overtly transparent with our fees.

Here's a very common illustrative example for a US-based customer:


  • Standard Stripe fees of 2.9% + $.30 per transaction
  • 1% fee (to Outseta)
  • Total fees: 3.9% + $.30 per transaction

Other membership software providers

  • Standard Stripe fees of 2.9% + $.30 per transaction
  • Stripe Billing fee of .8% per transaction
  • 2% fee (to membership software provider)
  • Total fees: 5.7% + $.30 per transaction

Final Thoughts

Whether you choose to use Stripe's own billing tools or Outseta, you're in good hands. The costs of processing payments in either scenario end up being almost exactly the same.

Outseta's going to save you a ton of time and technical work, because our billing tools come pre-integrated with an all-in-one platform designed to help you run a SaaS or membership business. If speed to market is important to you and you like the idea of managing your business from behind a single login, give us a look. Like most software buying decisions, there's a time and place for both options.

Try Outseta for free

“Everything you need to build a recurring revenue business...”

Outseta has been an amazing tool to have. Gone are the days of multiple products that cost the earth, Outseta does it all without fuss and complication!

Callum Burns
Founder, Tapn.to

Thanks for creating what I consider to be an incredible boon for SaaS start-ups. As a repeat investor, mentor, speaker, advisor and consultant to many startups, I really was excited to learn of you as you solve many many problems that SaaS start-ups often have.

Sam McMullen
VP of Strategy, Geex.gg

Let me start by saying that I love your company. I've been looking for a product in this niche for weeks and Outseta is a breath of fresh air.

Blake Ashley
Founder, Stelly.io