Picking the wrong Merchant of Record as an indie hacker will cost you. At $10K MRR, the fee difference between the most expensive option (Gumroad at 10%) and the cheapest (Creem at 3.9% + $0.40) is over $700 per month — that’s $8,400 a year walking out the door for no extra value.
Three newer MoR platforms are competing hard for indie hacker dollars right now: Dodo Payments, Creem, and Fungies. All three handle global tax compliance, subscriptions, and cross-border payments. But they’re built for different use cases, and the one you pick matters.
This is a straight-up comparison — fees, features, what each one actually does well, and who should use which. No affiliate links, no fluff.
What Is a Merchant of Record and Why Do Indie Hackers Need One?
A Merchant of Record (MoR) is the legal entity that takes on the liability of selling your product to customers. When a customer buys from you through an MoR platform, the platform — not you — is technically the seller of record. That means:
- The MoR handles VAT/GST collection in 50-150+ countries
- The MoR handles US sales tax (economic nexus rules, state-by-state filings)
- The MoR absorbs chargeback liability
- Customers see the platform’s name on their bank statement
Compare this to Stripe: you’re the merchant of record. You collect taxes. You file them. In 2024, multiple indie hackers posted on Hacker News and Indie Hackers about five-figure penalties for failing to register for VAT in EU jurisdictions after crossing the threshold. With an MoR, that risk goes to zero.
The trade-off is higher fees than raw Stripe (2.9% + $0.30). But for most solo founders, the compliance overhead cost — in time, accountant fees, or legal risk — far outweighs that percentage difference.
Creem: The Cheapest Fees in the Market Right Now
Creem launched in 2023 and has been aggressive on pricing. Their headline rate is 3.9% + $0.40 per transaction — the lowest flat rate of any MoR currently.
Creem Pricing Breakdown
| Monthly Volume | Creem Cost | Paddle Cost | Gumroad Cost | You Save vs Gumroad |
|---|---|---|---|---|
| $1,000 | $43 | $55 | $100 | $57/mo |
| $5,000 | $235 | $300 | $500 | $265/mo |
| $10,000 | $430 | $550 | $1,000 | $570/mo |
| $20,000 | $820 | $1,050 | $2,000 | $1,180/mo |
Note: Creem also charges no international surcharge, which most platforms add (Dodo Payments adds +1.5% for non-US cards). At $20K MRR with a global customer base, that difference compounds significantly.
What Creem Actually Includes
- Global tax compliance in 50+ countries
- Revenue splits (for co-founders and affiliates)
- Stablecoin payouts (USDC)
- Subscription management
- No international card surcharge
- Fraud protection
- Payouts on the 1st and 15th
Creem is genuinely the best option if your only priority is minimizing fees on subscription SaaS. Their fee calculator on the pricing page shows the math transparently.
Creem Weaknesses
Creem is relatively new. Their ecosystem is smaller, their integrations are fewer, and they don’t have the usage-based billing complexity that AI tool builders often need. If you’re selling software-plus-services, game assets, or need license key delivery baked in, you’re out of luck.
Dodo Payments: Built for AI Builders and Usage-Based Models
Dodo Payments positions itself as the MoR for AI tools, vibe-coded apps, and products with complex billing. Their base rate is 4% + $0.40 for US domestic transactions.
Dodo Payments Full Pricing
| Transaction Type | Dodo Payments Rate | Notes |
|---|---|---|
| US Cards & Wallets | 4% + $0.40 | Credit, debit, Apple Pay, Google Pay |
| International Cards | +1.5% surcharge | On top of base 4% + $0.40 |
| India Domestic (INR) | 4% + ₹4 | UPI, local debit/credit |
| BNPL (Klarna, AfterPay) | +3% | Additional to base rate |
| PayPal | +3% | Additional to base rate |
| Subscriptions | +0.5% | On top of base transaction rate |
| Disputes / Chargebacks | $30 per dispute | Standard industry rate |
| Refunds | $1 per refund | Processing fee |
That international surcharge matters. If your SaaS has 60% non-US customers (typical for developer tools), your effective rate on international transactions is 5.5% + $0.40 — nearly identical to Paddle.
Where Dodo Payments Shines
Dodo Payments’ real advantage is breadth of features included in the base plan:
- Usage-based billing — metered billing with token/credit tracking ($1 per million events)
- License key delivery — automated key generation included
- Storefront builder — no-code ready-to-use product pages
- Abandoned cart recovery — free to enable, 5% on recovered revenue
- Subscription dunning — automated failed payment recovery
- India UPI support — important if you’re targeting Indian developers
- Tax management in 150+ countries
For an AI tool charging based on token consumption, or a micro-SaaS with complex tiered billing, Dodo Payments’ feature set beats Creem at the moment. They also have the best India market support of the three.
Fungies: Best for Game Developers and Digital Asset Creators
Fungies is positioned differently. Their pricing is 5% + $0.50, which is higher than both Creem and Dodo Payments. But Fungies has a specific superpower: they’re built from the ground up for game developers, game asset sellers, and indie studios who need a fully customizable storefront with MoR compliance baked in.
What Makes Fungies Different
- Custom storefront builder — build a branded store on your own domain
- Game asset marketplace features — designed for Unity assets, game art, audio packs
- SaaS subscriptions + one-time products in one store
- Unlimited products and uploads — no extra charge for catalog size
- Full MoR compliance — global VAT, US sales tax, chargeback management
- Developer-friendly API and webhooks
- Responsive support — founders and small teams particularly praise this
If you’re selling Unity assets, 3D models, game audio packs, or running a niche software storefront where you want full brand control, Fungies’ storefront builder is significantly more polished than the checkout-focused approach of Creem and Dodo Payments.
Fungies Weaknesses
At 5% + $0.50, Fungies is the most expensive of the three at scale. At $50K MRR, you’re paying ~$2,500/month in fees vs ~$2,000 with Dodo Payments and ~$1,950 with Creem. The gap is real.
Fungies also doesn’t have the same depth of usage-based billing features as Dodo Payments — so pure SaaS products with complex metering are better served elsewhere.
Side-by-Side Comparison: Creem vs Dodo Payments vs Fungies
| Feature | Creem | Dodo Payments | Fungies |
|---|---|---|---|
| Base fee | 3.9% + $0.40 | 4% + $0.40 | 5% + $0.50 |
| International surcharge | None | +1.5% | Included |
| Subscription billing | ✅ | ✅ (+0.5%) | ✅ |
| Usage-based billing | Limited | ✅ Full | Limited |
| License key delivery | ❌ | ✅ | ✅ |
| Storefront builder | Checkout-focused | Basic | Full custom store |
| Revenue splits | ✅ | ❌ | ❌ |
| Stablecoin payouts | ✅ USDC | ❌ | ❌ |
| India UPI support | ❌ | ✅ | ❌ |
| Tax coverage | 50+ countries | 150+ countries | Global |
| Abandoned cart recovery | ❌ | ✅ Free | ❌ |
| Game asset store | ❌ | Limited | ✅ Built for it |
| Best for | High-vol sub SaaS | AI tools, India mkt | Game devs, assets |
Real Fees at Scale: The Numbers That Actually Matter
Let’s run the math for a SaaS doing $5K MRR with 60% international customers:
- Creem: 3.9% + $0.40 flat (no international surcharge) → ~$235/mo
- Dodo Payments: 4% + $0.40 on 40% US ($80 in fees) + 5.5% + $0.40 on 60% international ($165 in fees) + 0.5% subscriptions → ~$270/mo
- Fungies: 5% + $0.50 → ~$300/mo
- Paddle: 5% + $0.50 → ~$300/mo
- Gumroad: 10% → $500/mo
At $5K MRR, Creem is ~$65/month cheaper than Dodo Payments because the international surcharge erodes Dodo’s base fee advantage. At $50K MRR that’s $650/month — nearly $8K/year.
But if 80% of your customers are in the US, Dodo Payments gets closer: ~$240/mo vs Creem’s $235/mo. Essentially equivalent. And you get way more features.
Who Should Use Which Platform
Pick Creem if:
- You’re a subscription SaaS with a global (non-US-heavy) customer base
- Minimizing transaction fees is your top priority
- You want stablecoin payouts or revenue splits for co-founders
- You’re in early stages and want the simplest setup possible
Pick Dodo Payments if:
- You’re building an AI tool with usage-based pricing
- You need license key delivery baked in
- You’re targeting the Indian market (UPI support is a real differentiator)
- You want abandoned cart and dunning automation without third-party tools
- Your customer base is predominantly US-based
Pick Fungies if:
- You’re a game developer selling assets, DLC, or premium downloads
- You want a fully branded custom storefront on your own domain
- You need a mix of one-time products and recurring subscriptions in one place
- You want MoR protection without sacrificing storefront customization
- You’re an indie studio that wants responsive, founder-level support
Key Takeaways
- Creem has the lowest flat fee (3.9% + $0.40) with no international surcharge — best deal for subscription SaaS with global customers
- Dodo Payments has the most features — usage-based billing, license keys, UPI, cart recovery — at a comparable price if your customers are US-based
- Fungies is purpose-built for game devs and digital asset creators who need a full custom storefront with MoR compliance, not just a checkout widget
- At $10K MRR, the fee difference between Creem and Gumroad is $570/month — $6,840/year you could be reinvesting in growth
- All three platforms eliminate the compliance nightmare of DIY Stripe — no VAT filings, no US sales tax registrations, no chargeback management
FAQ
Is Creem legitimate as a Merchant of Record?
Yes. Creem acts as a full MoR, handling global VAT/GST and US sales tax collection and remittance in 50+ countries. They’re a newer platform (launched 2023) but are processing real volume for indie SaaS teams. AppSumo reviews and community feedback on Indie Hackers are generally positive, though the company is younger and smaller than Paddle or FastSpring.
Does Dodo Payments work for non-US founders?
Yes, and it’s actually one of their strongest use cases. Dodo Payments was built with non-US developers in mind — they have native India UPI support, 150+ country tax coverage, and explicit documentation for founders based outside the US who want to sell globally without forming a US entity.
Can Fungies handle SaaS subscriptions, not just one-time digital products?
Yes. Fungies supports both recurring subscriptions and one-time product sales from the same storefront. Their platform was initially known for game assets but has expanded significantly to cover SaaS billing, including subscription management, API-based checkout embedding, and webhook integrations for subscription lifecycle events.
What happens with chargebacks on these platforms?
Since all three are true MoRs, chargebacks go to the platform, not to you. Creem and Fungies include chargeback handling in their base fee. Dodo Payments charges $30 per dispute, which is standard industry rate (Stripe also charges $15-$35 depending on the dispute type). The key benefit: you’re not managing the dispute process yourself, and your Stripe account isn’t at risk of being flagged.
Conclusion
There’s no wrong answer here — Creem, Dodo Payments, and Fungies are all legitimate, well-built MoR platforms. But they’re optimized for different things.
If you’re a subscription SaaS founder who wants to minimize fees and your customer base is global, Creem is likely the best deal in 2026. If you’re building an AI tool with usage-based pricing and complex billing, Dodo Payments has the features you need. If you’re a game developer or digital asset creator who wants a branded storefront with MoR protection, Fungies is built for you.
Any of these beats Gumroad’s 10% fee or the compliance risk of running raw Stripe without tax handling. The decision isn’t whether to use an MoR — it’s which one.
Ready to get started? Sign up for Fungies and launch your global store in minutes — no setup fees, no monthly costs, just a commission when you sell.
