SaaStr

APRIL 17, 2021

Monetizing ecommerce via subscriptions, but not payment processing. Billion in GMV processed, up a stunning 91% from 2019. But in contrast to Wix and Shopify, it doesn’t keep much of the revenue from merchant services itself. Rather, it charges for software subscriptions to take payments on its websites.

Payment Methods 337

Payment Methods Merchant Services Payments Payment Services 337

Payrix

JANUARY 28, 2025

In this episode of PayFAQ: The Embedded Payments Podcast, host Ian Hillis welcomes Matt Downs, President of Worldpay for Platforms, to discuss software-led payments predictions for 2025 and beyond. Navigating market dynamics in 2025 and beyond Matt emphasized the cyclical nature of the payments industry, likening it to a pendulum.

Payments 130

Payments Payment Solutions Merchant Services Payment Methods 130

SaaStr

SEPTEMBER 9, 2021

Bill.com has become an SMB powerhouse, with 120,000+ customers and a stunning $25B+ market cap. Bill.com had to develop a network that today has millions on vendors processing bills and payments on it. The payments / fintech side of Bill took a decade to come together. And a self-service component. Go find them.

SaaS Payments 63

SaaS Payments Payments Payment Services Scale 63

Payrix

OCTOBER 1, 2024

In the latest episode of PayFAQ: The Embedded Payments Podcast, host Ian Hillis sits down with Candice Raybourn, Head of Partner Activation at Payrix and Worldpay for Platforms, to discuss the crucial topic of PCI compliance. What is PCI DSS? Candice explains the basics of PCI DSS. The shift to PCI DSS 4.0 The shift to PCI DSS 4.0

Payment Services 113

Payment Services Merchant Services Payments compliance 113

SaaStr

APRIL 29, 2021

It would be so helpful to know, as the #1 leader in SMB eCommerce, and also one of the very top leaders in SaaS SMB overall. When you add in payments, i.e. merchant services, NRR for 2018+ is about 110%, based on the below new chart. But likely it’s below 100% excluding payments. Well, it’s murky.

Merchant Services 307

Merchant Services Payment Methods SaaS Payments Payments 307

SaaStr

MAY 24, 2025

Top 10 Strategies Toasts CRO Uses to Crush Sales Quotas So a little while ago Toasts CRO Jonathan Vassil joined Sam Blond on SaaStr CRO Confidential on how Toast built one of the strongest but toughest rocketship in sales: a lower gross margin, lower ACV ($10k), sales-led SMB sales motion. Even with SMB Sales. Field-Based Sales Model.

Strategy 140

Strategy Payment Solutions Payment Methods SMB 140

SaaStr

AUGUST 29, 2022

SMB SaaS has a lot going for it: – Millions of them – Short sales cycles – Easier compete. But, it's often hard to get to $100m ARR selling just to SMBs. sell just to SMBs pic.twitter.com/Po1I2aMaBK. So many VCs and others have gotten more and more excited about SMB SaaS. Millions and millions more.

SaaS Payments 346

SaaS Payments Scale SMB PayPal 346

SaaStr

SEPTEMBER 22, 2022

So when we first started writing about Bill.com at its IPO , it was a sleep SMB accounting product. And its payments network to roll out. But yes, it’s the most incredible SMB growth story in SaaS we’ve ever seen. Don’t let anyone tell you it can’t be done with SMBs. #2. 131% NRR.

SaaS Payments 65

SaaS Payments Payment Services Payment Solutions Payments 65

SaaStr

APRIL 1, 2023

Throw in the rise of social media and mobile web payment systems like Stripe and Braintree, and something revolutionary was at our doorstep. 2020 wasn’t the only reason small business owners adopted software solutions, but it sure sped up the process. Efficient Go To Market There are a lot of ways to GTM as an SMB.

Scale 245

Scale SMB Merchant Services Payment Methods 245

SaaStr

AUGUST 24, 2022

SMB sales (most of Toast) is very tough to do without a highly efficient and effective sales force. Many SMB leaders have to get very, very good at outbound because of the limited deal sizes. An SMB price point where you can afford to pay the reps reasonably well, but again, where margins are tight. But it’s a machine.

SaaS Payments 326

SaaS Payments Scale SMB Payment Solutions 326

SaaStr

MARCH 28, 2025

SMB customers. Regulatory compliance can be a moat, not just overhead Spending five years securing money transmitter licenses across 50 states created a significant barrier to entry that competitors can’t easily replicate. The compliance risk is significant,” Ren says. Founded in 2006, Bill.com has grown to: $1.4

SMB 130

SMB Payments Payment Services SaaS Payments 130

SaaStr

OCTOBER 11, 2023

▶️ Radically more efficient, $600m+ adj operating income run-rate ▶️ 29% of biz from enterprise (Plus) — Jason ✨Be Kind✨ Lemkin  (@jasonlk) October 10, 2023 5 Interesting Learnings: #1. Overall subscription solutions revenue is up just 21%, while payments and merchant solutions are up 35% — from a much, much larger base. #2.

Payments 293

Payments Merchant Services Revenue Payment Solutions 293

SaaStr

SEPTEMBER 7, 2024

You really have to do it all now to build a true platform for SMBs: software, payments, payroll, marketing, workflow and more. Automation and AI are critical in SMB Vertical SaaS … due to a lack of labor Automation and AI are less about efficiency in SMB vertical SaaS than simply dealing with a lack of labor.

SaaS Payments 312

SaaS Payments Payments Payment Methods SMB 312

SaaStr

JULY 11, 2023

In a special session of Workshop Wednesday, Gorgias Founder & CEO Romain Lapeyre and Gorgias VP of Sales & Partnerships Aasif Osmany share their learnings, advice, and hacks for optimizing your sales process. For example, Gorgias knew they were targeting not only eCommerce but also customer service. Sign up for free.

Sales Hiring 200

Sales Hiring SMB Sales Recruiting Payment Methods 200

Tom Tunguz

FEBRUARY 6, 2019

These businesses sell at every price point and sell to every operational buyer. We processed the data with 1000+ lines of R code to parse the insights from the data and test for statistical significance. In the SMB, month to month is more common. Requiring payment Increases Conversion Rate by 2.5x.

Payment Services 279

Payment Services SaaS Payments SMB Benchmarks 279

SaaStr

MARCH 25, 2021

It’s done it by going more upmarket, and better monetizing partners and services. Having said that, the average ACV here is $14,615 … so that’s at the high end of a traditional SMB spend, which probably accounts for the high NRR. Services and partners are also a big part of their growth story.

Outsourcing Services 289

Outsourcing Services Payments Merchant Services SaaS Payments 289

SaaStr

DECEMBER 10, 2019

110% Net Revenue Retention and 8 2% Customer Retention from 81,000+ SMB Customers. In the case of Bill.com, it also helps that its customer’s payment volumes increased 42% last year. Shopify and others have shown being a payment processor and a bit of a fintech on top of a SaaS company can be a very powerful combination: 5.

Payment Services 259

Payment Services Payments Payment Methods SMB 259

SaaStr

APRIL 23, 2021

Now they’ve scaled to $200m+ ARR growing 38% selling just to 100,000+ SMBs, solving a hard problem (i.e., automating the back office and payments and billing for SMBs), and doing it with 120%+ NRR. 121% NRR from SMBs — up from 110% at IPO. Making more and more money on each payment. Pretty impressive.

Payment Solutions 347

Payment Solutions Payments SaaS Payments Payment Services 347

SaaStr

OCTOBER 22, 2021

Still, 119% NRR from SMB is world-class even for 5+ seats accounts and sometime to strive for if you have similar sized customers. #4. Like Bill, it took the process seriously and became a licensed money transmitter itself. But after adding more credit cards and payments, and coming out of Covid … boom!! Oftentimes, even.

Scale 326

Scale SaaS Payments SMB Payment Solutions 326

SaaStr

AUGUST 17, 2021

Coupa isn’t as much a fintech as SMB players like Bill.com, but it’s getting there with Coupa Pay. Coupa plans the majority of its customers to be running payments through their platform in 10 years. This is a bigger task than SMB, but a huge market. Today, about 12% do (240 of 2000 customers).

Payments 322

Payments SaaS Payments SMB Payment Solutions 322

SaaStr

JULY 20, 2022

Today, it crosses dentistry, optometry, veterinary, physical therapy, specialty medical services, audiology, plumbing, electrical, HVAC and other home services. While these aren’t great metrics if Weave was enterprise, they are still solid for SMBs. Many SMB SaaS companies struggle to hit 100% NRR and 80% GRR.

SaaS Payments 284

SaaS Payments Scale Payment Methods SMB 284

SaaStr

SEPTEMBER 26, 2019

What we learned from ’08-’09 in SaaS: First, SMB churn went through the roof — as SMBs went under much more quickly and often. As soon as the economy went south, SMBs started to simply go bankrupt and/or shut down. Anyone processing a lot of SMB and credit-card deals saw churn probably double.

SaaS Payments 280

SaaS Payments Sales Hiring Scale SMB 280

SaaStr

MAY 10, 2021

Let’s take a look at a few Cloud leaders that show this quantitatively: #1 Shopify’s NRR has grown from 100% to 110% as its merchant services (payments) has exploded. Pretty good for SMB SaaS. Box at $800m ARR is about 30% SMB / 70% enterprise, the inverse of Shopify. More on that here.

Merchant Services 248

Merchant Services SaaS Payments SMB Payment Solutions 248

SaaStr

MAY 26, 2019

days, for years it was run by a tiny team and dominated the self-service side of surveys. self-service customers, at some point, you can potentially have the entire world as customers and mature out in SMB. One worry with SMB and freemium is how big can the market be? 78% Annual payments, 22% Self-Service payments.

Scale 273

Scale SaaS Payments Payments Payment Services 273

Stax

DECEMBER 20, 2023

Although credit cards have been around since the 1950s, in recent years, they’ve started to dethrone cash from its position as king of payment methods. With a whopping 84% of American adults owning at least one credit card (the average is 3 credit card accounts per person), card payments reached $9.43 trillion in 2021.

Payment Services 88

Payment Services Merchant Services Payment Methods Payment Features 88

SaaStr

JULY 14, 2020

This removes friction from the sales process, leading to a higher and faster close rate. It may be the most successful SMB-focused app of our current generation. Bigger customers, though, find most monthly payments a huge accounting headache. Let’s take a look at Zoom. So a discount for annual is appealing to them.

Pricing 300

Pricing Scale Payment Solutions SaaS Payments 300

SaaStr

APRIL 19, 2023

One leader in SMB commerce is Lightspeed Commerce, founded way back in 2005. And their mix of software, payments and hardware revenue drives up the total deal size — but puts a lot of pressure on margins. Software subscriptions are only growing 9%, vs. 41% for payments / transaction revenue. #2. Not EBIDTA positive yet.

Payment Solutions 284

Payment Solutions Point of Sale Payments SaaS Payments 284

Stax

APRIL 11, 2024

SMB owners wear many hats, managing everything from staff to sales. Adding to the already tough job of managing a small or medium business is the complex task of understanding how payment processing works, including managing the fees, equipment, accounts payable and more. Learn More What is a Payment Management System?

Payment Services 88

Payment Services Payment Solutions Merchant Services Payment Methods 88

Stax

MARCH 17, 2025

The best ISVs go beyond simply providing merchant services. Adding PayPal to your list of accepted payment methods opens up a range of benefits for you and your merchants alike. As one of the most familiar and trusted payment brands, PayPal gives customers confidence, reducing friction and increasing sales and AOV.

Merchant Services 88

Merchant Services Stax PayPal SaaS Payments 88

SaaStr

JUNE 13, 2019

And they were broken down roughly a third, a third, a third by targeting the SMB, the mid-market, and the enterprise. In the SMB, two-thirds use month-to-month, and in the enterprise, you’ve got two-thirds using multi-year. What does this mean? Here’s another slide. And the answer is yes. This surprised me.

Scale 252

Scale Sales Hiring SMB Payment Services 252

FastSpring

JANUARY 27, 2022

Each of the companies Jon worked with lowered churn by creating a better notification process, including a reminder about their renewal six weeks prior to the billing cycle. Note: FastSpring offers advanced subscription management services that support free trials, monthly and annual paid plans, proration, discount management, and more.

Merchant Services 146

Merchant Services Payment Services SaaS Payments Payment Solutions 146

SaaStock

JANUARY 25, 2019

Its focus is on helping companies handle financial routine and streamlining processes related to accounting, banks, stock, and electronic invoicing, among others. Omie main goal is to bridge the efficiency gap in Brazilian SMB, helping customers to be more prosperous. CEO : Vinicius Roveda Goncalves. Funding to Date : $7.5M

SaaS Payments 257

SaaS Payments Payment Solutions Payment Methods Payments 257

SaaStr

MAY 25, 2022

It’s not always best to force annual payments. Free cash flow still negative, operating margins of 2.3%. But lower NRR generally comes with SMB customers, at least to some extent. #7. 91%+ of customers pay annually. This probably is as much an artifact of the fact that there is a lot of seasonality in surveys.

Scale 284

Scale Payments Payment Solutions Payment Services 284

Tom Tunguz

FEBRUARY 11, 2019

Enterprises tend to use longer free trials than their SMB counterparts. This may be due a perception that enterprise buyers navigate longer and more complex decision-making process. And can you show payment collected by ARR? The popularity of requiring payment is constant across ARR buckets. Good question.

Payment Services 207

Payment Services SMB Benchmarks Market Segmentation 207

Payrix

MAY 14, 2024

Before joining Worldpay for Platforms, he was CRO at Chargebee, a subscription revenue management platform that manages billing subscriptions and payments for companies throughout the world. During his tenure, Chargebee experienced high growth, scaling from processing about $3 billion in revenue to $13-14 billion.

Payments 147

Payments Payment Services Payment Solutions SaaS Payments 147

Andreessen Horowitz

APRIL 29, 2024

Given that lender-negotiated key terms impact origination parameters and limit certain business operations, what tools and which best practices should you leverage to ensure you stay compliant while managing your business efficiently against those covenants? We’d like to wrap up by focusing on how to manage debt post-closing.

Payment Services 93

Payment Services Payment Solutions Outsourcing Services Development Team Review 93

FastSpring

SEPTEMBER 16, 2022

Note: From global payment processing to global VAT and sales tax management, FastSpring is the easiest way to sell around the world. This includes internal data we pulled from 271 global SaaS and software sellers using FastSpring to process transactions last year. Stream both interviews below and see highlights from each.

Pricing 146

Pricing Payment Solutions Payment Services Scale 146