Paddle Business

As a merchant of record, Paddle takes on the legal responsibility for transactions in each country where a software business sells, managing the associated tax registration, collection, remittance, and compliance requirements that are otherwise a significant operational and legal burden for software businesses selling globally.

This merchant of record model allows software companies to focus entirely on their product rather than becoming experts in global tax compliance.

Paddle's subscription management capabilities handle the complete lifecycle of software subscriptions including checkout, provisioning, plan changes, upgrades, downgrades, trials, pauses, and cancellations with the payment infrastructure and compliance overhead managed automatically.

Global payment method support across credit cards, PayPal, and regional payment methods allows software businesses to accept payments from customers worldwide without individually integrating each payment method.

Revenue recognition, financial reporting, and reconciliation features provide the financial visibility that software businesses need to manage their recurring revenue operations effectively.

Paddle targets software companies, SaaS businesses, and digital product sellers at all scales who want to sell globally without the operational overhead of managing payment processing partnerships, tax compliance across dozens of jurisdictions, and subscription billing infrastructure independently.

Its merchant of record model is particularly valuable for smaller software businesses and independent developers who would be disproportionately burdened by the legal and administrative complexity of global compliance if they managed it directly.