Adding Payments and Fintech to SaaS Can Be Great. But You Gotta Watch the Margins.
SaaStr
AUGUST 11, 2022
Shopify now gets 2x the revenue from payments and merchant services than it does from SaaS subcriptions. Ok now let’s look at some pure-play Fintechs: PayPal: 47% Gross Margins. So it makes sense bolting on payments to SaaS can be attractive. At least, be cognizant that Payments + SaaS isn’t a free lunch.
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