Stripe vs Square in Australia: which suits your business?

For most Australian small businesses, the choice comes down to where you take payments. Stripe suits businesses that get paid mainly online, through a website, booking system or invoices sent by email. Square suits businesses that take payments in person, at a counter or on site, and want card readers and a point-of-sale app that work out of the box.

Both are reputable, both handle the major cards, and both connect to common accounting software. The details below will help you decide which fits the way you actually get paid. Fees change, so we link to each provider’s own pricing page rather than quoting numbers that may be out of date by the time you read this.

The short version: online-first vs in-person

Think about where most of your money comes from today, and where you want it to come from in a year.

That last point matters more than most comparisons admit. If the booking, quoting or job software you already use only supports one of them, that often settles it.

Fees: where to check and what to compare

Check the current rates on Stripe’s Australian pricing page and Square’s Australian pricing page. Pricing varies by payment type and can change, so compare them side by side on the day you decide.

The headline card rate is only one line. Compare these too:

• Online vs in-person rates. They’re often different, and your mix determines what you actually pay.
• International cards. If you sell to overseas customers or tourists, check the extra charge for foreign cards and currency conversion.
• Invoices and payment links. Some features carry their own fee on top of the card rate.
• Faster payouts. Getting money sooner than the standard schedule usually costs extra.
• Disputes. Check the fee when a customer disputes a charge with their bank.
• Software and hardware. Monthly plans for extra features, and the upfront cost of readers or terminals.

Work it through with your real numbers: last quarter’s card takings, split into online and in person, with a rough count of transactions. Small differences in rate matter less than which provider charges you for the features you’ll actually use. If you mostly take pre-orders with set pickup days, for example when selling farm produce online, online fees matter more than terminal costs.

A simple way to do it: put both providers in two columns of a spreadsheet, list every fee that applies to you down the side, and multiply by last quarter’s volume. Add the hardware cost spread over three years. The total, not the headline rate, is the number to compare.

Invoicing and deposits

Both let you send an invoice by email or text with a link the customer can pay by card. Both can also create payment links you can drop into a message or quote, which is useful for deposits.

Square’s invoices are designed to be used straight from its app, which suits sole traders and small teams who want everything in one place. Stripe’s invoicing and payment links are flexible and commonly built into other software, such as booking systems, quoting tools and accounting platforms.

For businesses that take deposits, like clinics confirming bookings or tradies locking in a start date, look at how each handles part payments, how the deposit shows on the final invoice, and whether refunds can be done without a phone call to support.

If you bill the same customers every month, such as memberships, retainers or maintenance plans, check how each handles saved cards and recurring billing. Stripe’s documentation also covers BECS Direct Debit from Australian bank accounts, which some businesses prefer for larger regular amounts. Ask what happens when a card expires or a payment fails, and whether the customer gets an automatic prompt to update their details.

Payouts and cash flow

How quickly money hits your bank account affects cash flow more than a small difference in fees.

At the time of writing, Square’s Australian help pages say standard transfers arrive the next business day, with instant transfers available for a fee. Stripe’s documentation lists a standard payout speed of two business days for Australia, and your first payout can take longer while your account is verified. Both let you adjust payout timing in some way. Check each provider’s current help pages, as schedules and fees can change.

If you’re running tight on cash, faster standard payouts can be worth more than a slightly lower card rate.

Also be aware that payment providers can hold or delay funds if something looks unusual, like a sudden jump in volume or a single large payment well above your normal size. If you’re about to take an unusually big deposit, it’s worth contacting support first so it doesn’t get held for review.

Hardware and taking payments on site

This is where Square is strongest. It sells card readers and terminals designed for its own point-of-sale app, and the setup is straightforward for a non-technical owner. According to Square’s Australian site, it also supports Tap to Pay on iPhone through its apps, so you can take contactless payments on a compatible phone without a separate reader.

Stripe also offers card readers and Tap to Pay in Australia, but they generally work through apps and software built on Stripe rather than a standalone till. If your job management or booking software uses Stripe for in-person payments, that can work well. If you just want to open an app and take a payment, Square is simpler.

For tradies working in patchy reception, check how each handles payments when the connection drops, and whether your phone model is supported.

Connecting payments to your website, CRM and accounting

A payment provider is only one part of the chain. The real time savings come when a paid invoice updates your accounts, marks the job as paid in your CRM, and sends a receipt without anyone touching it.

• Accounting. Both connect to Xero and other accounting software. Check the current integrations on the Xero App Store or your accounting provider’s marketplace, as features differ between apps.
• Website. Stripe is supported by most website and ecommerce platforms. Square has its own online store tools and plugins for some platforms. If you’re planning new websites or online booking, check support before you choose.
• CRM and automation. Both have APIs, so payment events can trigger follow-ups, receipts and job updates. Stripe’s developer tools are the more extensive of the two.

Here’s what joined up looks like for an appointment-based business: a client books online and pays a deposit, the booking appears in the calendar, the CRM tags them as paid, the balance invoice goes out after the appointment, and the payment lands in Xero already matched. No one retypes anything.

Avoid running two providers unless you have a clear reason. Every extra system is another set of payouts to reconcile.

Surcharging: the RBA rules in plain English

The rules changed recently. Following the Reserve Bank’s review of card payment costs, the RBA’s March 2026 conclusions set out that surcharging on debit and credit cards should end from 1 October 2026.

According to the Australian Small Business and Family Enterprise Ombudsman, since 1 October 2026 businesses can no longer add a surcharge when customers pay by eftpos, Mastercard, Visa or American Express. The ASBFEO also notes that clearly disclosed weekend or public holiday surcharges are still allowed.

What this means in practice:

• Remove any card fee line from your invoices, payment pages and checkout.
• Check your Stripe or Square settings for surcharge or “pass on fees” options and turn them off for the affected cards.
• If you need to factor card costs into your prices, you can review your pricing. Be honest about the reason for any increase, as the ASBFEO points out.
• For other payment methods, check your provider’s terms and the RBA’s FAQs, and ask your provider if you’re unsure.

This is general information, not legal or financial advice.

How to decide this week

1. List where you take payments. Online, in person, on site, by invoice. Note the rough split.
2. Check your existing software. Which provider do your booking, quoting and accounting tools support?
3. Price it with your numbers. Use each provider’s current pricing page and last quarter’s takings.
4. Test the customer side. Pay a $1 invoice from your own phone with each. Count the taps.
5. Check payouts. Make sure the timing suits your cash flow.

Whichever you choose, the setup matters as much as the brand. If you’d like online payments and invoicing connected to your website, CRM and accounting, we set that up for local services businesses and others. Once you have chosen, the habits in our guide to getting paid faster matter more than the provider.