Polar vs Paddle

Overview

Comparing two Merchant of Record solutions for software businesses.

Both Polar and Paddle act as Merchant of Record (MoR), handling tax compliance and payments for you. However, Polar is built by developers for developers with modern tooling, transparent pricing, and an open-source approach that gives you full control and visibility.

Feature Comparison

FeaturePolarPaddle
Payment Processing
Subscription Management
Merchant of Record
Global Tax Compliance
Framework Adapters
Automated Benefits Engine
Open Source

Pricing

Polar

4% + 40¢

per transaction

  • 20% cheaper than Paddle
  • No hidden fees or markups
  • All features included

Paddle

5% + 50¢

per transaction

  • Higher base fees
  • Additional fees for some features
  • Volume discounts require negotiation

On $100,000 in monthly revenue, Polar saves you ~$1,000/month compared to Paddle ($4,000 vs $5,000 in fees).

Developer Experience

Built for modern development

Polar is designed from the ground up for today's developers, with modern tooling, framework adapters, and a TypeScript-first approach. Paddle's tools feel dated in comparison.

  • 6-line integration

    Polar provides a 6-line integration with framework adapters, making it easy to get started with minimal code.

  • Framework adapters

    Polar provides native support for Next.js, BetterAuth, Laravel, and more.

  • Open source

    Polar is open source, so you can inspect and contribute to the codebase.

Transparency & Control

Open source vs closed platform

One of the biggest differences between Polar and Paddle is transparency. Polar is fully open source, giving you complete visibility into how the platform works and enabling community contributions.

With Polar

  • Fully transparent - see exactly how everything works
  • Open development with public roadmap and issue tracking
  • Community driven - contribute features and fixes
  • Data portability with full API access

With Paddle

  • Closed source - black box implementation
  • Private development with limited visibility into roadmap
  • Limited transparency - dependent on vendor roadmap
  • Limited data access - dependent on their API capabilities

Why Choose Polar?

A modern alternative to Paddle for forward-thinking teams

If you're choosing a Merchant of Record, Polar offers everything Paddle does but with better pricing, modern developer tools, and open source transparency.

  • 20% cheaper

    Same MoR benefits, lower fees (4% vs 5%).

  • Better developer experience

    Modern tooling built for today's tech stack.

  • Open source

    Full transparency, community contributions, public roadmap.

  • Built for developers

    TypeScript-first, framework adapters, 6-line integration.

Ready to switch from Paddle?

Join developers who are moving to a more modern, transparent, and affordable Merchant of Record solution.