Square Pricing
Pricing model: Flat-rate. Based on publicly available information from Square's official site. Contact Square directly for ISV-specific pricing.
Fee Breakdown
| Fee Type | Details |
|---|---|
| Processing | 2.6% + $0.10 in-person; 2.9% + $0.30 online; 3.5% + $0.15 manually keyed |
| Markup | Flat-rate; no interchange passthrough on standard plan |
| Setup | No setup fee |
| Monthly | No monthly fee for base plan; Square Plus at $29/mo per location |
Hidden Costs to Watch
- ⚠ Custom pricing only available above $250K annual volume
- ⚠ Chargeback fee of $0 (Square covers it) but funds are held during dispute
- ⚠ International cards not supported for US-based sellers
- ⚠ Instant transfers cost 1.75% of transfer amount
- ⚠ Premium API features require Plus or higher subscription
Alternatives
Square Pricing for ISVs: What You Actually Pay
Understanding Square’s pricing requires looking beyond the headline rate. For ISVs integrating payments into their software, the total cost includes processing fees, platform charges, and the revenue share model — and the math changes significantly depending on your transaction volume and merchant profile.
How Square’s Flat-rate Pricing Works
Square uses a flat-rate pricing approach. For ISVs, the key question isn’t just what your merchants pay per transaction — it’s how much of that payment revenue flows back to your platform. The gap between the merchant-facing rate and your cost basis is your embedded payment margin.
ISVs should negotiate pricing based on aggregate platform volume, not individual merchant volume. Most providers, including Square, offer better rates when you can commit to higher total processing volume across all your merchants.
Hidden Costs ISVs Should Watch For
Beyond the published processing rate, ISVs integrating Square should budget for:
- Chargeback fees: Charged per dispute regardless of outcome, these add up for ISVs in higher-risk verticals
- Currency conversion: Cross-border transactions typically carry an additional markup
- PCI compliance: Depending on your integration method, compliance validation costs vary
- Integration and maintenance: Developer time for initial integration and ongoing API updates
Comparing Square Pricing to Alternatives
When evaluating Square’s pricing against competitors, compare the total cost of ownership — not just the per-transaction rate. Factor in setup time, integration complexity, ongoing maintenance, and most importantly, the payment revenue your ISV can earn through each platform’s revenue sharing model.
The cheapest processor isn’t always the best choice for ISVs. A platform that costs slightly more per transaction but offers better revenue sharing, faster merchant onboarding, or lower integration complexity often delivers higher net payment revenue.