DashNex Payment Gateway Setup: Stripe vs PayPal vs Square

Quick answer: Stripe has lowest total fees and best developer experience. PayPal has highest trust with customers. Square is best if you also sell in-person.

Payment Gateway Comparison

Feature	Stripe	PayPal	Square
Transaction fee	2.9% + 30¢	3.49% + 49¢	2.9% + 30¢
Payout time	2 days	Instant (1%) or 1 day (free)	1-2 days
Chargeback fee	$15	$20	$15
Customer trust	High	Highest	High
Setup time	10 min	5 min	15 min
DashNex integration	✅ Native	✅ Native	⚠️ Via API
Best for	Most businesses	High trust needed	In-person + online

---

Cost Comparison at Different Revenue Levels

$1,000/month revenue (20 orders @ $50 each)

Stripe:

Transaction fees: $1,000 × 2.9% = $29
Per-transaction: 20 × $0.30 = $6
Total: $35 (3.5%)

PayPal:

Transaction fees: $1,000 × 3.49% = $34.90
Per-transaction: 20 × $0.49 = $9.80
Total: $44.70 (4.47%)

Difference: $9.70/month ($116/year) - Stripe wins

$5,000/month revenue (50 orders @ $100 each)

Stripe:

$5,000 × 2.9% + (50 × $0.30) = $145 + $15 = $160 (3.2%)

PayPal:

$5,000 × 3.49% + (50 × $0.49) = $174.50 + $24.50 = $199 (3.98%)

Difference: $39/month ($468/year) - Stripe wins

$10,000/month revenue (100 orders @ $100 each)

Stripe:

$10,000 × 2.9% + (100 × $0.30) = $290 + $30 = $320 (3.2%)

PayPal:

$10,000 × 3.49% + (100 × $0.49) = $349 + $49 = $398 (3.98%)

Difference: $78/month ($936/year) - Stripe wins

Stripe saves $116-936/year depending on volume.

---

Stripe Setup (10 minutes)

Step 1: Sign up at stripe.com Step 2: Verify email and business details Step 3: In DashNex:

• Settings → Payments
• Select Stripe
• Enter API keys (from Stripe dashboard)
• Test with $1 transaction Step 4: Enable radar (fraud prevention) - free

Pros:

• Lowest fees
• Best fraud protection
• Instant payouts available (+1%)
• Great dashboard

Cons:

• Requires business verification
• 2-day payout standard

---

PayPal Setup (5 minutes)

Step 1: Sign up for PayPal Business account Step 2: In DashNex:

• Settings → Payments
• Select PayPal
• Connect account (OAuth) Step 3: Test checkout

Pros:

• Customers trust PayPal
• Instant payouts available (1% fee)
• No verification needed initially
• Buyer protection increases conversions

Cons:

• Higher fees (3.49% + 49¢)
• More chargebacks/disputes
• Can hold funds if suspicious activity

---

Square Setup (15 minutes)

Step 1: Sign up at squareup.com Step 2: Get API credentials Step 3: In DashNex:

• Settings → Payments
• Custom Integration
• Enter Square API keys
• Configure webhook Step 4: Test transaction

Pros:

• Great for retail + online
• 1-2 day payouts
• POS integration
• Same rate online and in-person

Cons:

• More complex DashNex setup
• Fewer online-specific features

---

Which Should You Choose?

Choose Stripe if:

✅ You want lowest fees ✅ You’re running online-only store ✅ You care about developer experience ✅ You need advanced fraud protection

90% of DashNex stores should use Stripe.

Choose PayPal if:

✅ Your customers expect PayPal option ✅ You sell to international customers ✅ You need instant payouts frequently ✅ You want one-click PayPal checkout

Good as secondary option alongside Stripe.

Choose Square if:

✅ You also sell in-person (retail/events) ✅ You want unified POS + online ✅ You need inventory sync

Best for hybrid businesses.

---

Multi-Gateway Strategy

My recommendation: Use both Stripe + PayPal

Why:

• Offer customer choice
• Reduces cart abandonment
• PayPal increases trust
• Total cost still lower than Shopify

Setup:

1. Primary: Stripe (lowest fees)
2. Secondary: PayPal (customer trust)
3. Show both options at checkout

Conversion impact: +5-15% by offering PayPal option

---

FAQ

Q: Can I use multiple payment gateways?

Yes! DashNex supports Stripe + PayPal + custom integrations simultaneously.

Q: Do I need business bank account?

For Stripe/Square: Yes (eventually). PayPal: No (can use personal initially).

Q: What about international payments?

Stripe and PayPal both support international. Check their country lists.

Q: How do refunds work?

Full fee is refunded by processor. You only lose payment processing fee.

---

Related:

• DashNex vs Shopify
• DashNex Security Checklist

---

About: I’m Mike Holownych. I help entrepreneurs set up profitable online stores. Learn more →