Which Is Better for Small UK Sole Traders and Startups?
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SumUp and Square are the two most popular flat-rate card readers in the UK for small sole traders and startups. The hardware prices are close, the rates are close, and neither locks you in.
The real difference is what happens when your business grows beyond simple checkout. That is where Square’s ecosystem depth starts to pull ahead of SumUp’s leaner platform.
You want the absolute cheapest entry point. SumUp Air at £14.99 is the least expensive card reader on the mainstream UK market. The PAYG rate of 1.69% is lower than Square’s 1.75%, saving £6 per £1,000 in card sales.
SumUp’s Payments Plus plan at £19/month brings the rate to 0.99%, significantly cheaper than Square’s Plus plan, which keeps the same 1.75% rate. If pure transaction cost is the metric, SumUp wins at every tier.
Visit SumUpYou need hospitality POS features, table management, or an online store connected to the same inventory.
Square’s free POS app handles all of it without a software subscription; SumUp’s leaner app is built for simple counter service, not hospitality depth.
Square also wins if you plan to grow into online selling. Square Online gives you a free e-commerce store that shares inventory with your physical reader. SumUp does not have a native e-commerce product.
Visit SquareSumUp vs Square Fees and Charges
Card Transaction Fees
At PAYG: SumUp Air charges you 1.69%, Square Reader 1.75%. On £1,000/month in card sales, SumUp saves you £0.60. On £5,000/month it saves £3. Both accept Amex at the same rate as Visa and Mastercard, no Amex surcharge on either.
Monthly, Setup and Contract Costs
If you want a lower rate on a plan, SumUp Payments Plus at £19/month drops your rate to 0.99%. Square Plus at £29/month does not reduce your transaction rate, it adds team management and inventory tools. Neither provider charges setup or exit fees.
Other Fees to Watch
Both providers charge 2.5% on invoices and keyed-in transactions. SumUp payment links via the app are 1.69% plus a small fixed fee. Square payment links are 1.4% + 25p for UK cards.
Fee Verdict: Who Costs Less
At PAYG: SumUp Air charges 1.69%, Square Reader 1.75%. On £1,000/month in card sales, SumUp saves £0.60. On £5,000/month it saves £3. The gap is real but small in absolute terms at typical sole-trader volumes.
On plan: SumUp Payments Plus at £19/month drops the rate to 0.99%. Break-even vs PAYG is at £2,714/month in card sales.
Square Plus at £29/month does not reduce the transaction rate; it adds team management, advanced inventory, and appointment tools. If your primary goal is a lower rate, SumUp’s plan wins clearly. If you want features, Square’s plan wins.
Neither provider charges a setup fee, a minimum monthly fee (on PAYG), or an exit fee.
SumUp vs Square Payment Methods and Checkout Options
Cards, Wallets and Alternative Payment Methods
Both providers accept Visa, Mastercard, and American Express at the same rate. If you want to accept contactless payments without hardware, both offer Tap to Pay on iPhone. We found no meaningful difference in card acceptance between the two.
Checkout Experience
Square provides you with a hosted online store, embeddable checkout, and virtual terminal. SumUp supports payment links and invoices. If you need an e-commerce presence alongside in-person payments, we rate Square the stronger choice.
Methods Verdict
Both providers accept Visa, Mastercard, and American Express at the same rate, SumUp at 1.69% PAYG, Square at 1.75%. Neither charges an Amex surcharge, which is unusual among PAYG providers and useful for startups and sole traders with mixed card acceptance.
Both support contactless, Apple Pay, and Google Pay. SumUp’s Tap to Pay on iPhone removes the hardware cost for contactless-only businesses. Square has a similar Tap to Pay option.
For payment links and invoices, Square charges 2.5%; SumUp charges 2.5% on invoices and 1.69% + a small fixed fee on payment links via the app.
SumUp vs Square Hardware, POS and In-Person Payments
Card Readers and Terminals
SumUp Air is £14.99 +VAT, the cheapest mainstream card reader available in the UK. It pairs to your phone via Bluetooth. SumUp Solo is a self-contained Android device at £99, with an optional SIM add-on for 4G.
SumUp POS Lite is free for basic counter service. SumUp POS Pro adds multi-user access and advanced stock management at an additional cost.
POS Software and Hardware Add-ons
Square Reader is £19 +VAT and pairs to your phone via Bluetooth. Square Terminal at £149 +VAT is a standalone Wi-Fi device with a built-in printer. Square Register at £699 +VAT is a full countertop EPOS with a customer-facing screen.
Square’s free POS app covers table management, modifiers, open tabs, appointment booking, and loyalty. For a hospitality business or a growing multi-staff retailer, Square’s free feature set is materially ahead of SumUp’s at every tier.
In-Person Verdict
We rate Square the stronger choice for any business needing a POS app beyond basic counter checkout. SumUp is the right choice for cost-focused sole traders who need card acceptance only.
SumUp vs Square Online Payments and Integrations
Hosted Checkout, Payment Links and APIs
Square Online gives you a free e-commerce store that shares inventory with your in-person reader at 1.4% + 25p for UK-issued cards. SumUp has no native e-commerce product; it integrates with Shopify and WooCommerce.
Platform Integrations
Both providers integrate natively with Xero and QuickBooks. SumUp also supports Sage natively. Square adds FreeAgent and connects to WooCommerce and Wix.
Online Verdict
Square Online gives you a free e-commerce store that shares inventory with your in-person reader. Online transaction fee is 1.4% + 25p for UK-issued cards. For a startup or sole trader who wants to sell in-person and online through one account, this is a genuine advantage over SumUp’s proposition.
SumUp does not have a native e-commerce product. SumUp integrates with Shopify and WooCommerce for businesses that already have an online store.
If you are starting from scratch and need both in-person and online payments, Square is the simpler path. Both providers integrate natively with Xero for accounting.
SumUp vs Square Payouts, Contract Terms and Account Risk
Settlement Speed and Payout Schedule
SumUp settles next day at 7am. Square settles in 1–2 working days. SumUp’s earlier next-day settlement is a genuine advantage for startups and sole traders running tight cashflow cycles.
Contract Length and Exit Terms
Neither provider has a lock-in contract on PAYG or plan tiers. Neither charges exit fees. Both are FCA-regulated payment service providers.
Reserves, Holds and Account Stability
SumUp settles next day at 7am. Square settles in 1–2 working days. SumUp’s earlier next-day settlement is a genuine advantage for startups and sole traders that run tight cashflow cycles. Square’s instant payout option exists but costs 1.5% of the payout amount.
Neither provider has a lock-in contract on PAYG or plan tiers. Neither charges exit fees. Both are FCA-regulated.
Square is an aggregated payment provider, which means fund holds can occur if transaction patterns change unexpectedly. This is a risk worth knowing for startups with variable or seasonal revenue.
SumUp vs Square Customer Reviews and Reputation
Trustpilot and Independent Review Themes
Square has a Trustpilot score of 4.1/5 from 3,619 reviews. SumUp has a Trustpilot score of 4.4/5 from 13,000+ reviews. SumUp’s higher review score likely reflects its simpler value proposition.
Support Channels and Response Times
Square provides email and in-app support on the free plan with phone support on Plus only. SumUp offers chat and phone support; UK support response times are a recurring complaint in negative reviews.
Reputation Verdict
Square has a Trustpilot score of 4.1/5 from 3,619 reviews (checked May 2026). Positives: easy setup, the free POS app, and no contract. Negatives: fund holds and email-first support on the free plan.
SumUp has a Trustpilot score of 4.4/5 from 13,000+ reviews (checked May 2026). Positives: the low hardware cost, simple setup, and competitive plan rate. Negatives: limited POS depth compared to Square and no native online store.
SumUp’s higher review score likely reflects its simpler value proposition; fewer feature expectations means fewer disappointed users.
SumUp vs Square for Hospitality and POS Features
The hospitality and POS features question is where Square and SumUp diverge most clearly, and it is the decision that matters most for small UK sole traders and startups planning to grow into food service, retail management, or multi-staff operations.
Square’s free POS is a full operational tool: open tabs, table layout, item modifiers, split bills, customer records, appointment scheduling, and loyalty programmes, all at no additional cost. For a café owner setting up a till from scratch, it replaces a dedicated EPOS system.
SumUp POS Lite covers the basics of counter-service checkout: products, discounts, and cash tracking. For a mobile coffee cart or a craft stall, the difference is invisible. For a 30-cover restaurant or a multi-staff retailer, it is the decision itself.
SumUp POS Pro adds more features but at an additional monthly cost that narrows the rate advantage. If you need POS Pro to make SumUp work for your business, run the full cost comparison, including POS Pro, before assuming SumUp is cheaper than Square.
Downsides of SumUp and Square
Downsides of SumUp
SumUp’s POS depth is limited for hospitality and multi-staff retail. No native online store or invoicing product. No table management, no modifiers, no open tabs without SumUp POS Pro at additional cost.
Hardware upgrade path is thinner than Square’s. SumUp Solo’s SIM add-on for 4G costs extra, whereas Zettle Terminal includes 4G for £149.
Downsides of Square
Square’s 1.75% PAYG rate is higher than SumUp’s 1.69%, and Square’s paid plan (Plus at £29/month) does not reduce the transaction rate. Fund holds can occur without warning if transaction patterns change.
Customer support is email-first on the free plan. For businesses that only need a card reader with no POS ambitions, Square carries a rate premium without a pricing benefit.
Alternatives to SumUp and Square
If neither SumUp nor Square is the right fit, three alternatives are worth considering for small UK sole traders and startups:
- Lopay: £24 reader, 0.99% next-day (Standard). Cheapest per-transaction rate among phone-paired readers. No POS depth beyond basic checkout. Good for mobile traders who need card acceptance only.
- myPOS Go 2: £29, 1.10% + 7p on Visa/MC, built-in 4G SIM. Standalone device, no phone needed. Funds settle to e-money account. Strong for outdoor sole traders who can’t guarantee a charged phone.
- Tide: 0.79% + 3p in-person on Sell In-Person plan. Requires a Tide business account. Cheapest per-transaction rate on the market for UK sole traders already banking with Tide.
Final Verdict: SumUp or Square?
SumUp is the right choice for sole traders and startups who need card acceptance and nothing more: cheapest hardware at £14.99, lowest PAYG rate at 1.69%, and a competitive 0.99% plan at £19/month.
If the POS ceiling doesn’t matter to your business model, SumUp saves money at every tier compared to Square.
Square is the right choice when POS depth matters now or in the near future: hospitality features, table management, appointment booking, inventory, and an online store, all at no additional cost.
You pay a slightly higher rate (1.75%) for a significantly broader operating platform. For a startup planning to grow, that platform pays back faster than the headline rate difference suggests.
Fees verified against provider websites, May 2026. This is editorial content, not regulated financial advice.
Frequently Asked Questions
Is SumUp cheaper than Square?
PAYG: yes, by 0.06% per transaction (1.69% vs 1.75%). On plan: SumUp’s 0.99% Payments Plus at £19/month is significantly cheaper than Square’s 1.75% Plus plan at £29/month. If transaction cost is the only metric, SumUp wins at both tiers.
Square’s instant transfer option costs 1.5% of the payout amount if you need funds immediately. SumUp does not have an equivalent paid instant option, but its standard next-day 7am settlement covers most cashflow needs.
Neither provider has a lock-in contract. Both are pay-as-you-go with no minimum term, no early exit fee, and no PCI compliance charge.
Which has better POS software for hospitality?
Square wins decisively. Square’s free POS app includes table management, modifiers, open tabs, split bills, course timing and kitchen ticket printing, features sold separately or unavailable in the SumUp POS app.
For a single-site cafe, restaurant or pub, Square’s free tier covers most operational needs out of the box.
SumUp’s POS app is designed for simple retail and counter service. Table management and hospitality workflows are not its target use case.
If you need restaurant features and want to stay on SumUp, you would pair the Air reader with a third-party hospitality POS, which adds cost and integration complexity.
Do either provider accept Amex without a surcharge?
Both providers accept American Express at the same flat rate as Visa and Mastercard with no Amex surcharge. SumUp Air: 1.69% PAYG including Amex. Square Reader: 1.75% PAYG including Amex.
For UK businesses with a meaningful Amex customer base, this is one of the strongest reasons to choose either over a traditional acquirer that charges 2.5%+ for Amex separately.
Which provider settles funds into your bank faster?
SumUp settles next working day at 7am on every plan, free of charge, or instantly to a SumUp business account at no extra cost.
Square settles in 1–2 working days standard; instant transfer to a linked card costs 1.5% of the payout amount. For day-to-day cashflow, SumUp’s next-day-by-7am routine is the more predictable option.
Are SumUp and Square both FCA-authorised?
Yes. SumUp Payments Limited is FCA-authorised as an Electronic Money Institution (FRN 900700). Squareup Europe Limited is FCA-authorised as an Electronic Money Institution (FRN 900846).
Neither balance is FSCS-protected, that protection applies to bank deposits, not e-money. Both providers safeguard merchant funds in accordance with FCA safeguarding rules.
Which has the better hardware range if your business grows?
Square has the deeper hardware roadmap. From the £19 Square Reader, the range extends to the Square Terminal (£149), Square Stand (£99) for iPad-based countertops, and the Square Register (£599) all-in-one POS hardware.
SumUp’s range stops at the Air reader, the 3G/SIM-included Solo reader, and a basic POS printer kit. If you anticipate growing into a fixed-counter or multi-till operation, Square scales further without changing acquirers.
How we reviewed Sumup vs Square
Ranking criteria. We compared Sumup and Square on pricing, fees, feature set, eligibility, and contract terms. We also verified regulatory status and deposit protection where applicable.
Data sources. Every provider’s pricing page, terms, and product docs were checked directly in May 2026. No comparison sites, no press releases, no affiliate material. FCA register cross-checked for regulatory status.
Update cadence. We re-verify every provider on this page at least monthly, and whenever a provider changes pricing, eligibility, or terms. The verification date on the page reflects the most recent full review. Some links on this page are affiliate links, see our editorial policy.