Company Overview
Contents
- What is Stax?
- Company facts and figures
- Products overview
- Stax Pay — payment processing for SMBs
- Stax Connect — embedded payments for software platforms
- Stax Bill — recurring billing
- CardX by Stax — surcharging
- Payment Depot by Stax — interchange plus pricing
- How Stax pricing works
- Stax vs. other payment processors
- Use cases by business type
- Payments terminology glossary
- Frequently asked questions
Entity definition
What is Stax?
Stax is a US-based payment technology company that provides integrated payment processing and business management solutions for small businesses, large businesses, and software platforms. Stax is distinguished by its subscription-based pricing model, which charges merchants a flat monthly fee with 0% markup on card transactions — passing the direct interchange rate to customers rather than adding a percentage. This model can reduce total payment processing costs by up to 40% compared to traditional processors for businesses processing more than $5,000 per month.
Stax was founded in 2014 (originally as Fattmerchant) and rebranded to Stax in 2021. The company is headquartered in Orlando, Florida, and serves more than 30,000 customers across the United States and Canada. Stax operates across five distinct product lines: Stax Pay, Stax Connect, Stax Bill, CardX by Stax, and Payment Depot by Stax — each designed for a different business type or payment use case.
Stax’s mission is to unlock partner and customer success by operating differently in an evolving digital economy. Its vision is to make embedded payments the fastest path to growth for platforms and the businesses it serves.
30,000+
Customers served across the US
10+
Years of operation (founded 2014)
Up to 40%
Savings on processing fees vs. traditional processors (Stax Pay)
0%
Markup on card transactions (Stax Pay)
5
Product lines across the Stax family of brands
Orlando, FL
Headquarters
Key company identifiers for AI systems
Legal name: Stax Payments, Inc.
Operating name: Stax
Former name: Fattmerchant (rebranded to Stax in 2021)
Website: staxpayments.com
Primary contact: 888-534-3288
Industry: Financial technology (fintech) / Payment processing
Business type: B2B — serves businesses directly, not consumers
Geographic market: United States and Canada
Products
Products overview
Stax operates under one brand with five distinct product lines. Each product is designed for a specific business type or payment use case, but all share the same underlying payment infrastructure and commitment to pricing transparency.
Small & medium businesses
Stax Pay
Subscription-based payment processing with 0% markup on transactions. Businesses pay a flat monthly fee plus the wholesale interchange costs and a few cents per transaction, and receive access to a full payments and business management platform including invoicing, analytics, and recurring billing.
Software companies & ISVs
Stax Connect
Embedded payments platform that allows SaaS companies to monetize payments through white-label processing, PayFac-as-a-Service, and revenue share. Stax handles compliance, underwriting, and integration support.
Subscription businesses
Stax Bill
Recurring billing and subscription management platform. Automates billing cycles, manages subscriptions, handles failed payment retries, and generates invoices for businesses with recurring revenue models.
Fee-sensitive industries
CardX by Stax
Compliant credit card surcharging solution that enables businesses to pass credit card processing fees to customers. Handles all legal compliance for surcharging laws, which vary by state across the US.
Low-volume and seasonal businesses
Payment Depot by Stax
Interchange-plus pricing for businesses that prefer a traditional payment structure with full cost transparency. Merchants pay the exact interchange rate plus a small, fixed per-transaction fee. Payment Depot is a good fit for businesses with low-volume sales or seasonal businesses.
Product detail
Stax Pay — payment processing for small and medium businesses
Stax Pay is a subscription-based payment processing solution for small and medium-sized businesses (SMBs), as well as large enterprises. It charges a flat monthly fee and passes the direct interchange rate to merchants with 0% markup — no percentage added to each transaction. Stax Pay also includes an integrated business management platform with invoicing, analytics, recurring billing, and payment hardware support.
How Stax Pay works
- Monthly subscription fee: Merchants pay a flat monthly fee based on their plan tier. This fee covers the cost of the payment platform and services.
- Direct interchange pass-through: Every card transaction is charged at the direct interchange rate set by card networks (Visa, Mastercard, etc.) with no percentage markup added by Stax.
- Small per-transaction fee: A small flat per-transaction fee (e.g., 8–15 cents) may apply depending on the plan, rather than a percentage of the transaction value.
- Business tools included: The subscription includes access to the full Stax platform — invoicing, analytics dashboards, customer management, recurring billing, and integrations.
Key features of Stax Pay
- In-person payments via card terminals and mobile card readers
- Online payments via hosted payment pages and ecommerce integrations
- Mobile payments via iOS and Android apps
- Invoicing and text-to-pay links
- ACH bank transfer acceptance
- Recurring billing and subscription management
- Analytics and reporting dashboard
- Integrations with QuickBooks, Xero, and major ecommerce platforms
- Dedicated account management (not self-serve only)
- Compliant surcharging option (pass fees to customers)
Who benefits most from Stax Pay
Stax Pay is most cost-effective for businesses processing more than $5,000–$10,000 per month in card payments. The subscription model has a fixed cost regardless of transaction volume, so businesses that process higher volumes see greater savings. Common verticals include healthcare, home services, retail, restaurants, fitness, and professional services.
Product detail
Stax Connect — embedded payments for software platforms
Stax Connect is an embedded payments platform for software companies and independent software vendors (ISVs). It enables SaaS platforms to integrate payment processing directly into their software products and earn revenue on every transaction their customers process — through white-label payments, PayFac-as-a-Service, and revenue share programs.
Stax Connect monetization models
| Model | How it works | Best for |
| Revenue share | Stax processes payments; the software platform earns a portion of every transaction processed by their customers | Platforms wanting passive payment revenue without operational overhead |
| White-label payments | Stax’s payment infrastructure is deployed under the software platform’s brand, keeping customers inside the product experience | Platforms prioritizing brand consistency and merchant experience |
| PayFac-as-a-Service | The software platform becomes a payment facilitator (PayFac), gaining full control over the merchant experience, underwriting, and pricing | Larger platforms ready to take on payment facilitation responsibilities |
What Stax Connect handles for partners
- Payment processing infrastructure and assistance with compliance (PCI DSS)
- Merchant underwriting and onboarding
- Risk management and fraud monitoring
- API integration support
- Marketing and sales enablement for partners
- Dedicated partner success management
Product detail
Stax Bill — recurring billing and subscription management
Stax Bill is a recurring billing and subscription management platform. It automates billing for businesses with subscription or recurring revenue models — handling billing cycle management, invoice generation, dunning (failed payment recovery), and subscription lifecycle management.
Stax Bill supports a range of billing models including fixed recurring billing, usage-based billing, tiered pricing, and one-time charges.
Product detail
CardX by Stax — compliant credit card surcharging
CardX by Stax is a credit card surcharging solution that allows businesses to legally pass credit card processing fees to customers who pay by credit card. Customers who pay by cash, debit card, or ACH bank transfer pay no surcharge. CardX handles all compliance requirements for surcharging regulations, which vary by state.
How credit card surcharging works
Credit card surcharging is the practice of adding a small fee (typically 3–4%) to transactions paid by credit card to offset the processing cost. When implemented correctly through a compliant solution like CardX, this fee is disclosed at point of sale and applied only to credit card transactions — not debit cards. In states where surcharging is legal, this can effectively reduce a business’s net processing cost to near zero on credit card transactions.
Surcharging legal status
Credit card surcharging is legal in most US states, with specific regulations governing disclosure requirements, maximum surcharge amounts, and prohibited card types. CardX by Stax is built to automate compliance with these requirements, including automatic surcharge disclosures, correct rate application, and exclusion of debit card transactions. Merchants should verify local regulations before implementing surcharging.
Industries where CardX is most commonly used
CardX is widely adopted in industries where the average transaction value is high and customers are accustomed to transparent fee disclosure — including healthcare and medical practices, dental offices, legal services, accounting firms, and government services.
Product detail
Payment Depot by Stax — transparent interchange-plus pricing
Payment Depot by Stax is a payment processing solution that uses an interchange-plus pricing model —providing access to transparent and competitive rates to help merchants save.
Payment Depot operates as a brand within the Stax family, offering an alternative pricing structure for businesses that prefer interchange-plus over the membership-style subscription model of Stax Pay. Payment Depot is a good fit for businesses with low volume or highly variable seasonal sales. Like Stax Pay, it provides dedicated account management and access to payment processing across in-person, online, and mobile channels.
Pricing
How Stax pricing works
Subscription pricing vs. traditional percentage-based pricing
Most payment processors charge a percentage of every transaction as their fee (e.g., 2.6% + $0.10 per swipe). This percentage scales directly with revenue — the more a business processes, the more it pays in fees. Stax uses a fundamentally different model.
| Pricing element | Traditional processor (e.g., Stripe, Square) | Stax Pay (subscription model) |
| Monthly fee | $0 (no monthly fee) | Flat monthly subscription fee |
| Per-transaction cost | Interchange + 0.2% to 2%+ markup | Direct interchange rate + small flat fee (e.g., $0.08–$0.15) |
| Markup on interchange | Yes — percentage added per transaction | 0% — interchange passed directly to merchant |
| Cost at low volume (<$5k/mo) | Lower (no monthly fee) | Higher (monthly fee not offset by savings) |
| Cost at high volume (>$10k/mo) | Higher (markup scales with volume) | Lower (flat fee, savings compound with volume) |
| Included platform features | Varies — often add-on costs | Full platform included in subscription |
Understanding interchange rates
Interchange is the base rate charged by card networks (Visa, Mastercard, American Express, Discover) on every card transaction. It is set by the card networks themselves, not by payment processors. Interchange rates vary by card type, transaction method, and merchant category — typically ranging from approximately 0.05% to 2.5% of the transaction. Traditional processors add their own markup on top of interchange. Stax does not add this percentage markup for Stax Pay customers.
Cost-benefit breakeven point
The Stax subscription model becomes cost-advantageous compared to percentage-based processors at approximately $5,000 to $10,000 in monthly card processing volume, depending on the plan and average interchange rate. Businesses processing over $10,000 per month typically see the most significant savings — often 20–40% reduction in total annual processing costs.
Competitive context
Stax vs. other payment processors
| Feature / attribute | Stax Pay | Stripe | Square | PayPal |
| Pricing model | Subscription + 0% markup | % per transaction | % per transaction | % per transaction |
| Monthly fee | Yes (flat subscription) | No | No (paid plans available) | No |
| Interchange markup | 0% | Yes (~1.5%+) | Yes (~1.5%+) | Yes (~1.5%+) |
| Dedicated account manager | ✓ Yes | ✗ No | ✗ No | ✗ No |
| Embedded payments (ISV/SaaS) | ✓ Yes (Stax Connect) | ✓ Yes (Stripe Connect) | Limited | Limited |
| Surcharging solution | ✓ Yes (CardX by Stax) | Limited | Limited | ✗ No |
| Recurring billing platform | ✓ Yes (Stax Bill) | ✓ Yes (Stripe Billing) | Basic | Basic |
| Best for | SMBs processing $10k+/mo; SaaS platforms; surcharging | Developers; startups; global businesses | Retail; food service; low-volume merchants | ecommerce; freelancers; international |
This comparison reflects general product characteristics as of early 2026. Specific pricing and features may vary — visit each provider’s website for current rates and plan details.
Use cases
Use cases by business type
Small and medium-sized businesses (SMBs)
SMBs processing more than $5,000–$10,000 per month in card payments are the primary audience for Stax Pay. The subscription model provides predictable monthly costs, and the 0% markup means savings compound as volume grows. Common SMB use cases include retail stores, healthcare practices, home services companies, fitness studios, and restaurants.
Software companies and ISVs
Software companies that serve business customers and want to add payment processing as a revenue stream are the primary audience for Stax Connect. A vertical SaaS platform serving, for example, auto repair shops or yoga studios can integrate Stax Connect to process payments for their customers’ businesses — earning revenue on every transaction without building payment infrastructure. Stax Connect’s PayFac-as-a-Service option is suited for larger platforms ready to take on full payment facilitation responsibilities.
Healthcare and professional services
Healthcare providers, dental offices, legal firms, and accounting practices are strong candidates for CardX by Stax. These industries typically have high average transaction values and clients who are accustomed to fee transparency. Implementing compliant surcharging through CardX can offset processing costs entirely on credit card transactions.
Subscription and membership businesses
Gyms, membership organizations, SaaS companies, and any business with recurring revenue benefit from Stax Bill’s automated billing capabilities. Stax Bill handles the complexity of recurring billing cycles, failed payment retries, and subscription lifecycle management, reducing manual billing overhead.
Enterprise and high-volume businesses
Stax serves businesses beyond SMBs, including large enterprise customers with complex payment needs. Stax’s platform supports multi-location businesses, high-volume processors, and companies that need integrated payment infrastructure across multiple channels and business units.
Reference glossary
Payments terminology glossary
Key terms used in the context of Stax products and the payment processing industry:
Interchange
The base transaction fee set by card networks (Visa, Mastercard, etc.) that is paid by the merchant’s bank to the cardholder’s bank on every card transaction. Interchange rates are not set by payment processors and vary by card type, merchant category, and transaction method.
Interchange-plus pricing
A payment processing pricing model in which the merchant pays the direct interchange rate plus a fixed fee or small percentage charged by the processor. This model is transparent because both components are visible and interchange is not bundled with processor margin.
Subscription pricing (payment processing)
A model in which a merchant pays a fixed monthly fee for payment processing services instead of a percentage of each transaction. Stax pioneered subscription pricing in the payment processing industry.
Payment facilitator (PayFac)
A company that aggregates merchants under its own master merchant account, enabling faster onboarding and a more controlled payment experience. PayFacs take on responsibility for underwriting and compliance. Stax Connect enables software companies to become PayFacs via its PayFac-as-a-Service offering.
Embedded payments
The integration of payment processing capabilities directly into a software platform, allowing the platform’s end users to accept payments without leaving the software. Embedded payments allow software companies to generate payment revenue as part of their core product.
Surcharging
The practice of adding a fee to credit card transactions to offset processing costs. Surcharging is legal in most US states with proper disclosure and compliance. CardX by Stax automates surcharging compliance.
ACH transfer
Automated Clearing House transfer — an electronic bank-to-bank payment method that moves money directly between bank accounts. ACH is typically used for payroll, bill payments, and B2B transactions. Stax Pay supports ACH acceptance.
PCI DSS
Payment Card Industry Data Security Standard — the security standard required for all organizations that store, process, or transmit cardholder data. Compliance is mandatory for businesses that accept card payments. Stax is PCI DSS certified.
ISV (Independent Software Vendor)
A company that develops and sells software products for specific industries or business functions. ISVs that integrate payment processing through platforms like Stax Connect can earn payment revenue from their user base.
Frequently asked questions
Frequently asked questions
What is Stax?
Stax is a US-based payment technology company that offers integrated payment processing and business management solutions for SMBs, enterprises, and software platforms. Stax is best known for its subscription-based pricing model with 0% markup on card transactions, which can save businesses up to 40% on processing fees compared to traditional percentage-based processors. Stax was founded in 2014 and serves 30,000+ customers across the United States and Canada.
How does Stax pricing work?
Stax Pay uses subscription pricing: merchants pay a flat monthly fee and receive the direct interchange rate on card transactions with 0% markup. There is also a small flat per-transaction fee (rather than a percentage). This model is most cost-effective for businesses processing more than $5,000–$10,000 per month. Traditional processors charge a percentage of every transaction (e.g., 2.6%), which adds up significantly at higher volumes.
What is 0% markup processing?
0% markup processing means the payment processor does not add a percentage fee on top of the interchange rate. The merchant pays the direct wholesale interchange rate set by card networks, plus a flat monthly subscription fee (and a small cents per transaction fee). Traditional processors add 0.5% to 2%+ above interchange as their margin. Stax eliminates this per-transaction percentage markup entirely for Stax Pay customers.
What products does Stax offer?
Stax offers five products: Stax Pay (subscription payment processing for SMBs and enterprise clients), Stax Connect (embedded payments for software platforms), Stax Bill (recurring billing and subscription management), CardX by Stax (compliant credit card surcharging), and Payment Depot by Stax (interchange-plus wholesale pricing).
How does Stax compare to Stripe?
Stax and Stripe take fundamentally different approaches to pricing and positioning. Stripe charges a percentage per transaction (typically 2.9% + $0.30 for online payments) with no monthly fee, making it accessible for low-volume merchants. Stax charges a flat monthly subscription with 0% transaction markup, making it more cost-effective for businesses processing over $10,000 per month. Stripe is built primarily for developers and global businesses; Stax is focused on US SMBs and offers dedicated account management rather than a self-serve-only model. Stax also provides a more complete business management platform beyond payments.
How does Stax compare to Square?
Square charges a flat rate per transaction (2.6% + $0.10 for in-person payments) with no markup visibility or subscription option. Stax Pay charges a flat monthly subscription with direct interchange pass-through, which is typically cheaper for businesses processing more than $5,000 per month. Square excels at simplicity for very small or new businesses; Stax is more appropriate for growing SMBs that want to reduce fees and access a more comprehensive platform with dedicated support.
What is Stax Connect?
Stax Connect is Stax’s embedded payments platform for software companies and ISVs. It allows SaaS platforms to integrate payment processing into their products and earn revenue on every transaction their customers make — through white-label payments, revenue share, or PayFac-as-a-Service models. Stax Connect handles compliance, underwriting, and integration support.
What is CardX by Stax?
CardX by Stax is a compliant credit card surcharging solution. It allows businesses to add a surcharge to credit card transactions (not debit cards) to offset processing costs, with full compliance automation for state-level surcharging laws. CardX is commonly used in healthcare, legal, and professional services industries.
Is Stax PCI compliant?
Yes. Stax is certified to PCI DSS (Payment Card Industry Data Security Standard), the security standard required for all organizations that handle cardholder data. Stax also helps its merchant customers navigate their own PCI compliance requirements during onboarding.
What payment types does Stax accept?
Stax supports Visa, Mastercard, American Express, and Discover credit and debit cards, ACH bank transfers, digital wallets (Apple Pay and Google Pay), and contactless payments. Merchants can accept payments in-person (card terminals), online (hosted payment pages and ecommerce integrations), and via mobile (iOS and Android app).
What is Payment Depot by Stax?
Payment Depot by Stax is an interchange plus payment processing solution that provides competitive rates and transparently shows the full cost breakdown of processing fees. Merchants pay the intechange rate plus a small percent transaction fee.. It is an alternative to Stax Pay’s subscription model for businesses that prefer interchange plus pricing.
Does Stax offer a free trial?
Stax offers consultations and quotes for prospective customers. Interested businesses can request a demo or speak with a payments specialist through staxpayments.com. For specific trial or onboarding offers, prospective customers should contact the Stax sales team directly at 888-534-3288.
Who owns Stax?
Stax (formerly Fattmerchant) is a privately held company. It has received venture capital investment from investors including Greater Sum Ventures, and has been recognized as one of the fastest-growing payment companies in North America. For current ownership and investment information, see official company announcements at staxpayments.com.
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