Online Payment Software

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Showing 1 - 20 of 210 products
Showing 1 - 20 of 210 products

Corpay

Corpay is a cloud-based accounts payable solution, which helps enterprises across education, construction, hospitality, healthcare, manufacturing and various other industries approve and process invoice payments for both domestic ...Read more

4.67 (27 reviews)

Afterpay

FrontRunners 2022

Designed for retailers, Afterpay is an installation payment solution that allows customers to pay for products in installation payments, providing a more customized shopping experience. Customers can pay off goods/products in 4 in...Read more

Tipalti

Tipalti is a cloud-based accounting management solution that helps users automate their accounts payable process. It offers a variety of features, including invoice automation, payment remittance, regulatory compliance management,...Read more

4.61 (74 reviews)

Stax

Fattmerchant is a cloud-based accounting solution suitable for businesses of all sizes across industries such as e-commerce, healthcare and retail. Key features of the solution include point of sale integration, mobile processing,...Read more

4.60 (20 reviews)

Treasury Intelligence Solutions

TIS is designed specifically for global enterprises, delivering greater visibility, alignment, and automation across payment functions. TIS helps clients reimagine their world of payments to transform into more agile, competitive ...Read more

4.70 (10 reviews)

SpotOn

SpotOn Restaurant is a cloud-based point-of-sale solution that enables businesses to streamline processes related to food ordering, tableside payments, customer retention and more. The online ordering functionality enables busines...Read more

Dwolla

Dwolla offers digital payment technology that helps businesses of all sizes organize, scale and automate account-to-account payments in a secure environment. Dwolla’s payment platform powers billions of dollars for millions of en...Read more

4.27 (37 reviews)

FiveStars

FrontRunners 2022

Looking for a better way to acquire new customers and retain existing ones? Fivestars works with over 14,000 businesses across the United States and Canada to drive new shoppers into your storefront and returning 2x more than an a...Read more

Square Payments

FrontRunners 2022

Square Payments is a cloud-based payment processing tool for businesses within the retail, food and beverage, and health and fitness industries. Key features include fraud prevention, dispute management, touch-free transactions, a...Read more

Melio

Melio is an accounts payable solution that helps small businesses manage online payments via bank transfers and debit or credit cards. Key features include payment scheduling, automated data synchronization, reporting, invoicing, ...Read more

Software pricing tips

Read our Online Payment Buyers Guide

Subscription models

  • Per employee/per month: This model allows you to pay a monthly fee for each of your employees.
  • Per user/per month: Users pay a monthly fee for users—normally administrative users—rather than all employees.

Perpetual license

  • This involves paying an upfront sum for the license to own the software and use it indefinitely.
  • This is the more traditional model and is most common with on-premise applications and with larger businesses.

Rated best value for money

Stripe

FrontRunners 2022

Stripe is a cloud-based solution that offers a varied set of unified APIs and tools that enable businesses to manage and accept payments online. Stripe handles key payment functions, such as subscriptions, storing cards and d...Read more

Recurly

Developed to help companies streamline billing functions, Recurly is a cloud-based system providing billing and invoicing capabilities. Recurly integrates with several payment gateways, such as PayPal, Stripe, SagePay and more. ...Read more

4.54 (52 reviews)

Chargebee

Chargebee is a cloud-based accounting solution for businesses of all sizes across various industries such as telecommunication and media, e-commerce and IoT. The solution is PCI Level 1 certified and offers features such as subscr...Read more

4.35 (51 reviews)

Marketing 360

Marketing 360 is a cloud-based marketing platform suited for entrepreneurs as well as small and midsize businesses. This solution allows organizations to run social media advertising campaigns, conduct search engine optimization (...Read more

LetUs

LetUs is a cloud-based software solution that empowers the property management industry to take control of their finances and business processes. LetUs makes it easy for communities to collect rent, pay vendors, manage residents ...Read more

4.29 (7 reviews)

LawPay

LawPay is an online payment technology that caters to the law industry, where it offers law professionals a secure and easy platform for making payments anywhere, anytime. The software guarantees user's payment acceptance in compl...Read more

4.86 (57 reviews)

Balance

Balance is a payment processing solution designed to help businesses issue digital invoices, automate reconciliation processes and streamline financial transactions across multiple channels. Marketplaces can manage checkout experi...Read more

5.00 (5 reviews)

Bill.com

Bill.com is a cloud-based accounting solution specializing in billing and invoicing. With Bill.com, users can receive payments from clients, pay vendors and contractors and handle financial reporting. Bill.com includes an acc...Read more

Upflow

Upflow is an account receivable automation solution designed to help businesses manage invoices and payment reminders using pre-defined templates. Administrators can gain visibility into outstanding amounts, aging balances, Days S...Read more

4.77 (13 reviews)

HoneyBook

FrontRunners 2022

HoneyBook is a cloud-based customer relationship management (CRM) solution designed for small businesses. The solution helps users manage business processes from inquiry through to invoicing. HoneyBook lets users manage projects, ...Read more

Buyers Guide

Last Updated: August 06, 2021

Any business that accepts payment via credit or debit card, i.e., nearly every business, requires payment processing software. Those that have an online presence* in addition to a brick-and-mortar store require online payment processing.

The right online payment processor for your business will largely depend on the payment methods your customers typically use. With recent technology advances, including mobile payments and digital wallets, there are several factors you need to consider when selecting online payment software.

Whether you're looking to invest in an online payment processing system for the first time or looking to upgrade your current software, this guide can help you make a more informed purchase decision.

Here's what we'll cover:

What is Online Payment Software?
Common Features of Payment Processing Software
What Type of Buyer Are You?
Key Purchase Considerations

*If you aren't set up for ecommerce, you should be. Head over to this article detailing why every store should have an online component and read our tips for how to get started.

What Is Online Payment Software?

To understand the role that online payment software plays in payment processing, you need to first understand the payment processing value chain, and second need to know how payment processing works.

There are several parties involved with the payment processing value chain:

  • Issuer: Bank that provides the cardholder with a credit/debit card. The bank approves/denies any transactions, bills the customer and collects the owed funds.
  • Cardholder: Consumer who initiates a sale at a business with their bank-issued card
  • Merchant: Business owner who submits transaction authorization request to an independent sales organization (ISO)/acquirer
  • Acquirer: Or, merchant service provider (MSP). Owns the merchant account enabling the merchant to process transactions, i.e., payment gateway
  • Card associations: E.g., Visa, MasterCard and Discover. Govern bank cards, monitor processing, manage clearing and settlement/funding of transactions.
  • Payment processor: Organization/vendor that partners with acquirer to open merchant accounts. Provide technology and support and oversees payment processing for acquirers.

 

Card associations

 

Source: Fidelity Payments

 

There are four key stages in how online payments are processed when businesses use a traditional merchant account:

  • Authorization: Customer initiates the sale; merchant requests authorization from customer's issuing bank via payment processor. This request route is known as the payments value chain (see above).
  • Batching: Merchant compiles daily sales and submits transactions in a batch to the acquiring bank for payment. Batching is important to allow time to manually review orders to check for fraud.
  • Clearing: Acquirer/MSP accepts batched transactions from the payment processor, forwards them to the card networks, who then distribute payment to the corresponding issuer. The issuer then debits the funds from the cardholder's bank account, routing the funds back to the acquirer through the card network.
  • Funding: The acquirer/MSP deposits the funds into the merchant's account.

Fees accrued during this process are subtracted from the funds the merchant receives: The issuer collects an interchange fee; the card network collects an assessment fee; and, the payment processor collects a processing fee.

Online payment processing software plays a pivotal role in this process, helping to pass authorization from the merchant to the issuing bank, payment through the card network from the issuing bank and settlement between the merchant site and the MSP.

Common Features of Payment Processing Software

While features will vary from system to system, online payment software should contain some or all of the following capabilities:

Common Capabilities of Payment Processing Software

 

Online payments Payment pages, merchant accounts and payment gateways allow merchants to accept payments for ecommerce, membership drives, event registration and more.
Ecommerce support Market your business, showcase and sell your goods or services online. Link online shopping cart to inventory, report on sales and manage customers. Mobile store (m-commerce) enables customers to access an ecommerce website from a mobile browser or app.
POS transactions Allows sales staff to process transactions for customers and ensures pricing is correct, inventory is adjusted and receipts are printed/emailed. Ability to accept multiple payment types, e.g., cash, check, electronic funds transfer, credit/debit cards (swipe and chip/EMV cards and both card present and card not present) and mobile payment apps.
Gift card management Merchants can purchase gift cards through their POS vendor, or through a third-party supplier, depending on the POS provider. Merchants have several options for setting up a retail gift card program, from using them in brand marketing or in a loyalty program (read more about that here).
Customer management Collect customer information including contact information, billing and shipping information, purchase history and recent searches. Use key dates like birthdays and anniversaries to target marketing efforts and tailor deals and loyalty programs to customers. Encourage customers to create and maintain user accounts.
Recurring billing Set up customers on subscription plans for products or services, save payment information and bill them on a recurring basis, e.g., weekly or monthly.
Reporting and analytics Track business performance and sales. Manage cash flow, automate invoicing and gain customer insights.

What Type of Buyer Are You?

Traditional business (with an online store): The ecommerce payment process referenced above will be the norm for most businesses with an online component. Customers can shop in the brick-and-mortar or visit their online marketplace, and inventory will be the same across both. Business owners require online payment processing to handle online purchases/returns.

Ecommerce business: A fully ecommerce business will follow this payment process as well. E-businesses will require online payment software to connect them to a merchant account and payment gateway and to process transactions, and won't require an in-store POS to handle card-present POS transactions.

Subscription economy business: Subscription economy businesses are relatively new. Examples include Blue Apron and Netflix. This business model is based on membership and recurring subscription fees. Most will be E-businesses without a brick-and-mortar. The focus is on marketing the brand, improving the customer experience and retention.

Key Purchase Considerations

Implementing POS software: If you're considering opening a retail shop, you'll need to implement a POS system to help you manage sales, inventory, accounting and customer management. Download our POS implementation checklist to help you as you get started.

Setting up an online business: Once you have your retail store set up and your POS system in place, you need an online presence. It's important to align your ecommerce strategy with your POS platform. Jordan Brannon, president at Coalition Technologies (a leading provider of online marketing services to small and midsize ecommerce retailers) says that if either the POS or ecommerce platform lacks an API, or pre-built integration, business owners should walk away.

Retail technology disrupters: On-demand services and support, i.e., subscription-based businesses such as Uber, Instacart and Stitch Fix, are considered to be the number one technology disrupter in the retail industry. This business model reflects how consumer expectations have changed regarding their retail experience. This includes a heavier focus on building relationships, creating memorable experiences and emphasizing personalized services.