The Business of Software Wiki

A part of Joel on Software, and a companion to the Business of Software discussion group.

List of Online Payment Processors

* This is a stub and requires expansion.

  • Authorize.net
  • Avangate
  • BMT Micro
  • FastSpring
  • Digital River
  • e-junkie
  • Plimus
  • ClickBank
  • Commission Junction
  • Kagi
  • 2Checkout (2CO)
  • WorldPay
  • PayPal
  • Google Checkout
  • Paysimple

Payment Processors in the Digital River Network:

  • CCNow
  • Element5
  • eMetrix
  • eSellerate
  • FreeMerchant
  • GlobalTech
  • RegNet
  • RegNow
  • share*it!
  • SWReg (read this warning before signing on with SWReg, or anyone in the Digital River family)

Most payment processors charge a percentage of your software sale per transaction. This can range based on the services they provide and the level of customization they give. These rates range from 2.5% (the cost for a credit card transaction) to 15%.  Many of these services provide secondary tools. Here are the core services you can use to compare services:

  • Cost per transaction
  • Supported integration paths (software integration, web integration)
  • Accepted credit cards
  • Available languages and currencies
  • Handling sales taxes such as VAT
  • Ease of customization to get a seamless experience from your website to your store and back
  • Ability to print and ship CDs on demand
  • Size and success of an affiliate network
  • Deals and partnerships with distributors

Designing your own online store is also an option and there are many services that will allow you to accept a credit cards directly through your site. Processing your own credit cards gives you the most control over your customer data but may be a larger burden for smaller companies. Read this article: "5 Issues to Consider when Choosing Between In-House and Outsourced Payment Provider" here.