The 7 Best PayPal Alternatives for Your Business (UK)

The 7 Best PayPal Alternatives for Your Business (UK)

PayPal is an online payment system that allows individuals and businesses to send and receive money electronically. It allows users to link their bank account, credit or debit card to the PayPal account, and then use it to make payments online, in-store or via mobile. PayPal also provides options for businesses to accept payments on their website or through invoicing.

While PayPal is a widely used and well-known payment option, there are other alternatives available in the UK that offer similar or additional features. These alternatives may be a better fit for certain businesses or individuals, depending on their specific needs and preferences.

The purpose of this blog post is to introduce readers to the 7 best PayPal alternatives in the UK. The alternatives discussed in this post will include their features, benefits, and drawbacks to help readers make an informed decision about which payment option may be the best fit for them. This post will also provide a comparison of the alternatives and discuss which one may be the best fit for different types of businesses or individuals.

Disclaimer: Please note that the information provided in this blog post is for general informational purposes only. It is not intended to be financial advice and should not be relied upon as such. Always consult with a financial advisor before making any financial decisions. Additionally, this blog post contains affiliate links. If you click on these links and make a purchase, we may earn a commission at no additional cost to you. We only recommend products or services that we believe will add value to our readers

Alternative #1: Stripe

Stripe is an online payment processing platform that allows businesses to accept payments online, in-store, and via mobile. It also provides businesses with tools to manage subscriptions, recurring payments, and fraud prevention. Stripe is known for its simple integration with websites and apps, as well as its transparent pricing structure.

Features and benefits: Easy integration with websites and apps: Stripe can be easily integrated into a business's website or app, allowing them to start accepting payments quickly.

Transparent pricing: Stripe's pricing is straightforward, with a flat rate for each transaction and no hidden fees.

Recurring payments and subscriptions: Stripe allows businesses to easily set up recurring payments and subscriptions, making it a great option for businesses that offer subscription-based products or services.

Fraud prevention: Stripe provides built-in fraud prevention tools to help businesses protect themselves from fraud.

Global support: Stripe supports payments in 135+ currencies and can be used in 25+ countries.

Drawbacks: Limited customer support: Stripe's customer support is primarily through email and its self-service support center, which can be a drawback for businesses that require more hands-on support.

Limited invoice and accounting features: Stripe doesn't have built-in invoice and accounting features, businesses may need to rely on third-party solutions to keep track of their financials.

Limited business types: Stripe is mainly focused on small and medium-sized businesses, and certain types of businesses may not be able to use Stripe.

Alternative #2: Square

Square is a payment processing platform that allows businesses to accept payments online, in-store, and via mobile. It also provides businesses with tools to manage inventory, customer data, and analytics. Square is known for its easy-to-use platform and wide range of features for small and medium-sized businesses.

Features and benefits:

Easy to use: Square's platform is user-friendly and intuitive, making it easy for businesses to set up and start accepting payments.

Wide range of features: Square offers a variety of features such as inventory management, customer data management, and analytics.

Affordable pricing: Square offers a flat rate pricing model with no monthly fees, making it a cost-effective option for small and medium-sized businesses.

Hardware options: Square offers a range of hardware options such as card readers, registers, and receipt printers, making it easy for businesses to accept payments in-store or on-the-go.

Integrated with other apps: Square integrates with a variety of other apps, such as QuickBooks, to help businesses streamline their workflow.

Drawbacks: Limited support for high-volume businesses: Square is mainly focused on small and medium-sized businesses, and may not be the best option for businesses that process a high volume of transactions.

Limited customization: While Square offers a variety of features, some businesses may find that the platform is not fully customizable to their specific needs.

Limited international support: Square currently only supports payments in a few countries, and businesses looking to expand internationally may need to look for other options.

Alternative #3: Skrill

Skrill is an online payment system that allows individuals and businesses to send and receive money electronically. It allows users to link their bank account, credit or debit card to the Skrill account, and then use it to make payments online, in-store or via mobile. Skrill also provides options for businesses to accept payments on their website or through invoicing. It is also known for its low fees and support for various currencies.

Features and benefits: Low fees: Skrill has lower fees than PayPal, making it a cost-effective option for businesses and individuals.

Multi-currency support: Skrill supports payments in over 40 currencies, making it easy for businesses to expand internationally.

Secure: Skrill uses advanced security measures to protect users' information and transactions. Instant payments: Skrill allows for instant payments, allowing businesses to receive payments quickly.

Variety of withdrawal options: Skrill allows for withdrawal options such as bank transfers, credit or debit cards and other e-wallets.

Drawbacks: Limited customer support: Skrill's customer support is primarily through email and its self-service support center, which can be a drawback for businesses that require more hands-on support.

Limited options for businesses: Skrill's primary focus is on personal transactions, and its options for businesses may be more limited compared to other payment processors.

Some countries are restricted : Some countries are restricted from using Skrill and businesses may not be able to use it depending on their location.

Alternative #4: Google Pay

Google Pay is a digital wallet and online payment system developed by Google. It allows users to store their credit, debit, and loyalty card information, and make payments online, in-store, and via mobile. It also allows for peer-to-peer payments, and can be used for in-app purchases. Google Pay is particularly popular in India and other countries.

Features and benefits: Convenience: Google Pay allows users to make payments quickly and easily using their stored credit or debit card information.

Security: Google Pay uses advanced security measures, such as tokenization, to protect users' information and transactions.

Rewards and offers: Google Pay provides users with access to exclusive rewards and offers from participating merchants.

Integration with other apps: Google Pay can be integrated with other apps, such as Gmail and Google Maps, to provide a seamless experience for users.

Popularity: Google Pay is a well-known and widely-used payment option in India and other countries, which makes it easy for businesses to start accepting Google Pay as a payment method.

Drawbacks:

Limited international support: Google Pay is currently only available in a few countries, and businesses looking to expand internationally may need to look for other options.

Limited options for businesses: Google Pay is primarily focused on personal transactions, and its options for businesses may be more limited compared to other payment processors.

Limited customer support: Google Pay's customer support is primarily through email and its self-service support center, which can be a drawback for businesses that require more hands-on support.

Alternative #5: Apple Pay

Apple Pay is a mobile payment and digital wallet service developed by Apple Inc. It allows users to make payments using their compatible Apple devices, such as iPhone, iPad, and Mac. It also allows for peer-to-peer payments and can be used for in-app purchases. Apple Pay is particularly popular in the United States and other countries.

Features and benefits: Convenience: Apple Pay allows users to make payments quickly and easily using their compatible Apple devices.

Security: Apple Pay uses advanced security measures, such as Touch ID and Face ID, to protect users' information and transactions.

Rewards and offers: Apple Pay provides users with access to exclusive rewards and offers from participating merchants.

Integration with other apps: Apple Pay can be integrated with other apps, such as iMessage, to provide a seamless experience for users.

Popularity: Apple Pay is a well-known and widely-used payment option in the United States and other countries, which makes it easy for businesses to start accepting Apple Pay as a payment method.

Drawbacks: Limited international support: Apple Pay is currently only available in a few countries, and businesses looking to expand internationally may need to look for other options.

Limited options for businesses: Apple Pay is primarily focused on personal transactions, and its options for businesses may be more limited compared to other payment processors.

Requires Apple device: In order to use Apple Pay, users need to have an Apple device such as an iPhone, iPad, or Mac.

Limited customer support: Apple Pay's customer support is primarily through email and its self-service support center, which can be a drawback for businesses that require more hands-on support.

Alternative #6: Amazon Pay

Overview of Amazon Pay: Amazon Pay is a payment service developed by Amazon that allows users to make payments using their existing Amazon account information. It can be used to make payments on third-party websites and in-app purchases. It also allows for peer-to-peer payments, and can be used to make donations and subscriptions.

Features and benefits: Convenience: Amazon Pay allows users to make payments quickly and easily using their existing Amazon account information, eliminating the need to enter their payment details repeatedly.

Security: Amazon Pay uses advanced security measures, such as encryption, to protect users' information and transactions.

Integration with other apps: Amazon Pay can be integrated with other apps, such as Alexa, to provide a seamless experience for users.

Popularity: Amazon Pay is a well-known and widely-used payment option in many countries, which makes it easy for businesses to start accepting Amazon Pay as a payment method.

Available on multiple platforms: Amazon Pay can be used on websites, mobile apps, and Alexa-enabled devices, making it easily accessible to users.

Drawbacks: Limited customer support: Amazon Pay's customer support is primarily through email and its self-service support center, which can be a drawback for businesses that require more hands-on support.

Limited options for businesses: Amazon Pay is primarily focused on personal transactions, and its options for businesses may be more limited compared to other payment processors.

Limited international support: Amazon Pay is currently only available in a few countries, and businesses looking to expand internationally may need to look for other options.

Tied to Amazon account: In order to use Amazon Pay, users need to have an Amazon account, which may not be suitable for all users.

Alternative #7: TransferWise

Overview of TransferWise: TransferWise is an online platform that allows individuals and businesses to send and receive money internationally. It uses a peer-to-peer model and the real exchange rate, making it a cost-effective option for international payments. It also provides businesses with the ability to hold and manage multiple currencies in their account and issue invoices.

Features and benefits: Low fees: TransferWise uses a peer-to-peer model, which allows it to offer low fees compared to traditional banks and other online payment processors.

Real exchange rate: TransferWise uses the real exchange rate, which means that users get a fair exchange rate when sending money internationally.

Multi-currency support: TransferWise supports payments in over 50 currencies, making it easy for businesses to expand internationally.

Secure: TransferWise uses advanced security measures to protect users' information and transactions.

Business features: TransferWise provides businesses with the ability to hold and manage multiple currencies in their account, issue invoices, and automate payments.

Drawbacks: Limited support for high-volume businesses: TransferWise is mainly focused on small and medium-sized businesses, and may not be the best option for businesses that process a high volume of transactions.

Limited invoice and accounting features: TransferWise doesn't have built-in invoice and accounting features, businesses may need to rely on third-party solutions to keep track of their financials.

Limited customer support: TransferWise's customer support is primarily through email and its self-service support center, which can be a drawback for businesses that require more hands-on support.

Some countries are restricted: Some countries are restricted from using TransferWise and businesses may not be able to use it depending on their location.

Comparison of Alternatives

In comparing and contrasting the features of the 7 alternatives, it's important to note that each of them has their own unique set of features that cater to specific types of businesses or individuals. For example, Stripe is known for its easy integration with websites and apps, while Square offers a wide range of features for small and medium-sized businesses. Skrill and TransferWise are good options for businesses looking for lower fees and support for multiple currencies, while Google Pay and Apple Pay are popular mobile payment options. Amazon Pay is an option for businesses looking to integrate with Amazon's ecosystem and its customer base.

In terms of which alternative may be the best fit for different types of businesses or individuals, it largely depends on their specific needs and preferences. For example, a business that primarily operates online may find Stripe to be the best fit, while a business that primarily operates in-store may find Square to be a better fit. Businesses looking for low fees and support for multiple currencies may prefer Skrill or TransferWise. Businesses looking for a mobile payment option may prefer Google Pay or Apple Pay, and businesses looking to integrate with Amazon's ecosystem may prefer Amazon Pay.

In terms of fees and other costs, it's important to note that each alternative has its own pricing structure. Stripe and Square have flat rate pricing models, while Skrill and TransferWise have lower fees than PayPal. Google Pay and Apple Pay have no additional fees, but businesses may have to pay fees for chargebacks or refund. Amazon Pay fees vary depending on the type of transaction and location, it's important for businesses to review their fees and compare them with other alternatives.

Conclusion

In conclusion, the blog post discussed 7 PayPal alternatives that are available in the UK. These alternatives include Stripe, Square, Skrill, Google Pay, Apple Pay, Amazon Pay, and TransferWise. Each alternative was discussed in detail, including an overview, features and benefits, and drawbacks. We also compared and contrasted the features of the 7 alternatives, discussed which alternative may be the best fit for different types of businesses or individuals and mentioned any notable differences in fees or other costs.

It's important for readers to remember that the best alternative for them may not be the same for everyone else. The blog post provides an overview of each alternative, but readers should also consider their own business or personal requirements and compare the fees and other costs before making a decision.

In conclusion, the call to action for readers is to try out one of the alternatives discussed in the blog post. They can sign up for a free trial or test the service with a small transaction to see how it works for them. It's also recommended that readers research and compare different alternatives before making a decision and to reach out to the customer support for any questions or concerns.

This article was updated on September 29, 2023