The right payment solution can ease many of the recurring problems that businesses face, from poor cash flow management to heavy manual process overload that can hike up costs. Digital tools for payments can not only help you get on the fast track to technology adoption, but can also significantly save costs. For instance, the U.S. government that processes over 19 million invoices each year found that switching to electronic invoicing across the federal board could cut costs by 50%, saving approximately $450 million annually.
In a world that is increasingly going digital, choosing an appropriate payment tool can streamline payment systems, improve security, enhance customer trust, and customer experience. In fact, the global digital payments market is expected to reach $19.89 trillion in size by the year 2026, growing at a CAGR of 24.4%.
Many businesses have turned to GoCardless for its direct debit payments without cards, allowing flexibility, lower prices, and solid integration options. However, GoCardless is no universal solution for all payment options. Some organizations find GoCardless expensive with restricted functionality, and even limits with integrations. If you are someone looking for GoCardless alternatives, we will outline the top five worth considering.
What is GoCardless?
GoCardless is a payment solution that combines features of Open Banking and Direct Debit processing to help businesses automate payment collection. It is typically used to collect recurring payments ranging from subscriptions to invoicing and payments in installments. GoCardless is particularly popular for its direct bank-to-bank payments that reduces high transaction fees, tackles slow network problems, and reduces failure rates.
Key Features of GoCardless:
- Automated recurring payments via direct debit
- Integration with accounting software like Xero and QuickBooks
- International payment collection in multiple currencies
- Low transaction fees compared to card payments
Pro Tip: If you're looking for a payment solution that integrates with your billing and invoicing software, consider options that support automated workflows and reconciliation.
Despite its advantages, GoCardless may not be the right fit for all companies. If you are looking for GoCardless alternatives, read on for more details.
Why Consider a GoCardless Alternative?
There are several reasons businesses seek alternatives to GoCardless. GoCardless only supports direct debit, giving no options for credit cards or instant payments. It specifically serves Europe, Australia, and North America, confining worldwide reach. Transactions can take several days for account processing, impairing cash flow. Customers also complain about low customization options. For these reasons, many look for GoCardless alternatives.
Top 5 GoCardless Alternatives to Consider
If GoCardless doesn’t fully meet your payment processing needs, several other options offer better flexibility, features, and better pricing. Here are five GoCardless alternatives to consider:
1. Chargebee
Chargebee is a subscription billing and revenue management platform for every business. It takes the hectic activity out of things, enabling recurring billing, invoicing, and revenues recognition, and is also an excellent option for companies that are dependent upon subscription models.
Pros:
- Advanced subscription management and automated invoicing
- Supports multiple currencies and payment gateways
- Dunning management to recover failed payments
- Compliance with global accounting standards (ASC 606, IFRS 15)
Cons:
- Can be expensive for small businesses
- Setup requires some learning curve
Also Read: Looking for an all-in-one solution? Check out the best software for bookkeepers and accountants to simplify financial management.
2. Stripe
Stripe is a payment platform reputed for its developer tools and customizable payment solutions. It suits every size of business and provides a worldwide payment infrastructure.
Pros:
- Supports multiple currencies and global payments
- Strong API for custom integrations
- Advanced fraud detection tools
Cons:
- Can be complex for non-developers
- Transaction fees can be high for smaller businesses
3. PayPal
PayPal has a long history as an international payment service. It helps enterprises make online and in-person payments with ease. A great choice for businesses looking for a dependable and well-accepted payment service.
Pros:
- User-friendly and globally accepted
- Easy integration with e-commerce platforms
- Strong buyer and seller protection
Cons:
- Higher transaction fees compared to other alternatives
- Limited customization for payment flows
Pro Tip: Businesses using PayPal can improve efficiency by integrating it with AI in accounting tools for automated reconciliation.
4. Razorpay
Razorpay, being a payment gateway, impresses with its fast and secure online transactions for businesses in India. It supports UPI, cards, and net banking.
Pros:
- Supports UPI, credit/debit cards, and wallets
- One-click checkout for faster transactions
- Subscription billing and invoicing features
Cons:
- Primarily focused on the Indian market
- Customer support response times can be slow
Also Read: Explore client accounting services software that simplifies payments and workflow management.
5. FreshBooks
FreshBooks is an accounting software that includes invoicing and payment processing features. It is best for freelancers and small businesses looking for an all-in-one financial solution.
Pros:
- Simplified invoicing and expense tracking
- Built-in time tracking and project management tools
- Integration with major payment gateways
Cons:
- Limited advanced payment processing features
- Higher subscription cost for premium features
Choosing the right GoCardless alternative depends on your business needs. If you need subscription billing, Chargebee is a great option. For global payments, Stripe and PayPal offer extensive reach. Businesses in India may find Razorpay more convenient, while FreshBooks suits small firms needing accounting features.
Simplify Payments, Maximize Profits
Making changes to your payment stack can feel like a task you’d rather avoid. But sticking with higher fees and limited options can hold your business back.
Cone supports both Stripe and GoCardless to send proposals, contracts and automate billing, payments. Once set up, Cone keeps your payments organized, automatically updating invoice statuses and sending reminders when needed.
Try Cone for free now!