Looking for a Lemon Squeezy alternative based in Europe?
Lemon Squeezy's 5% + 50¢ headline rate hides significant add-ons for EU merchants. If transparent pricing, EU jurisdiction, and native European payments matter to you, here's how Vatly differs.
Vatly vs Lemon Squeezy: feature comparison
See how Vatly stacks up against Lemon Squeezy for European SaaS businesses.
| Feature | Vatly | Lemon Squeezy |
|---|---|---|
|
Company headquarters
Where the legal entity is based
|
🇳🇱 Netherlands (EU) | 🇺🇸 USA |
|
CLOUD Act exposure
US government data access risk
|
✓ None | ✗ Exposed |
|
Data processing location
Where customer data is processed
|
✓ EU only | ✗ US-based |
|
Merchant of Record
Handles tax compliance for you
|
✓ | ✓ |
|
Global tax compliance
VAT, GST, Sales Tax handled
|
✓ | ✓ |
|
European payment methods
iDEAL, Bancontact, SEPA, etc.
|
✓ Native | ✗ Limited |
|
Non-US card surcharge
Extra fee for international cards
|
✓ None | +1.5% |
|
Subscription surcharge
Extra fee for recurring payments
|
✓ None | +0.5% |
|
PayPal surcharge
Extra fee for PayPal payments
|
✓ None | +1.5% |
|
Payout fees (non-US)
Cost to receive your money
|
✓ 5 free/month, then €0.25 | 1% (bank) / 3% (PayPal) |
|
Abandoned cart recovery fee
Fee for recovered payments
|
✓ Included | +5% |
|
Developer-first API
Modern REST API with SDKs
|
✓ | ✓ |
The hidden costs of Lemon Squeezy
💸 The fees add up fast
Lemon Squeezy's 5% + 50¢ headline looks competitive, but for EU merchants it's just the start. Add +1.5% for non-US cards (most of your EU customers), +0.5% for subscriptions (your core business model), and +1.5% for PayPal. A €50 subscription paid by a German customer with a German card? That's 7% + 50¢.
Then there's payouts: 1% fee to get money to your non-US bank account, or 3% (capped at $30) via PayPal. And if you use their abandoned cart recovery? Add another 5% on recovered transactions.
🏛️ US jurisdiction, US rules
Lemon Squeezy is a US company. Your merchant agreement, your customer data, and your business relationship all fall under US jurisdiction. That means CLOUD Act exposure and potential US government data access requests.
Vatly is a Dutch company (EU). Your data stays under EU legal frameworks. No CLOUD Act, no US subpoena risk for your European customer data.
💳 European payments as an afterthought
Lemon Squeezy is built on Stripe, which treats European payment methods as add-ons. Your Dutch customers want to pay with iDEAL? Your Belgian customers prefer Bancontact?
Vatly is powered by Mollie, Europe's payment provider. iDEAL, SEPA Direct Debit, Bancontact, Sofort — these are native, not bolted on.
Why EU-based matters
🇪🇺 True GDPR compliance
With Vatly, your data never leaves EU-controlled infrastructure, simplifying your compliance burden. No complex SCCs or data transfer mechanisms needed.
🏛️ Data sovereignty
Your customers' payment data, invoices, and personal information stay within EU jurisdiction. Essential for enterprise customers with strict data residency requirements.
💶 European payment expertise
Built by developers who understand SEPA, iDEAL, Bancontact, and European payment preferences. Native support for the payment methods your EU customers prefer.
🤝 EU support hours
Get support during European business hours from a team that understands EU business practices, tax requirements, and regulatory landscape.
Frequently asked questions
Does Lemon Squeezy handle EU VAT?
Yes, Lemon Squeezy collects and remits VAT as a Merchant of Record. However, Lemon Squeezy is a US-based company, which means your European customers' data is processed under US jurisdiction and subject to the CLOUD Act. Vatly offers the same VAT handling but is fully EU-based, keeping all data within EU jurisdiction.
Is Lemon Squeezy GDPR compliant?
Lemon Squeezy processes data on US-based infrastructure. While they may follow GDPR principles, as a US company they are subject to the CLOUD Act and FISA 702, which can override GDPR protections. For full GDPR compliance with an EU-based Merchant of Record, Vatly processes and stores all data within the EU.
What are Lemon Squeezy's fees for European merchants?
Lemon Squeezy charges 5% + $0.50 per transaction. On top of that, there is a +1.5% surcharge for non-US cards (which most European customer cards are) and +0.5% for subscriptions. Payout fees add another 1-3%. Vatly offers transparent EU-based pricing without hidden card surcharges for European transactions.
What is the best Lemon Squeezy alternative for European SaaS?
Vatly is an EU-based Merchant of Record built specifically for European SaaS companies. Unlike US-based alternatives, Vatly offers native European payment methods (iDEAL, Bancontact, SEPA Direct Debit), EU data sovereignty, and transparent pricing without non-US card surcharges.
Ready?
Ready to switch to an EU-based MoR?
Join European SaaS founders who chose data sovereignty without compromising on features.