DIRECT ANSWER

A payment processor and a merchant of record take on different roles. Compare country eligibility, tax collection, chargebacks, payout support, fees and control over the customer relationship.

01

Why this matters

A payment processor and a merchant of record play different roles - the merchant of record handles sales-tax and VAT collection - which matters a great deal for a non-resident SaaS founder choosing between Stripe, Paddle and Lemon Squeezy.

02

Go deeper in the full guide

This quick answer is a starting point. For the complete decision - including the checks to run before you pay to form - read the related guide.

How to Open a US Business Bank Account as a Non-Resident Founder - read guide →

Evidence

Primary sources

  1. Taxpayer identification numbers (TIN)Internal Revenue Service ↗
  2. About Form W-8 BENInternal Revenue Service ↗
  3. Employer ID NumbersInternal Revenue Service ↗

Source facts and provider policies were checked on 21 July 2026. Always confirm the linked page before acting.

Important: This answer is general educational information, not legal, tax, accounting, banking or immigration advice. Your residence, ownership and operating facts can change the result.