Exploring Stripe Alternatives for Self-Storage Tenant Billing
This is a blog post about my exploration of payment processing alternatives for self-storage tenant billing software, comparing different Stripe features and other processors like Helcim.
In the world of self-storage software, seamless payment processing is a cornerstone of tenant satisfaction and operational efficiency. My software, Unitly, currently integrates with Stripe to handle tenant billing. However, recent challenges with Stripe's invoicing features and associated fees have prompted me to explore alternatives, including Stripe's "Checkout" sessions, Stripe's Payment Intents for autopay, and other payment processors like Helcim.
This post shares insights from my exploration, comparing Stripe's invoicing and checkout solutions, the potential of Payment Intents for autopay tenants, and an evaluation of Helcim as a possible alternative.
❓Why Move Away From Stripe Invoices?
Stripe Invoicing offers several benefits, including due date management, email reminders, and clear billing. However, it also presents limitations:
- Due Dates: Invoicing allows for due date settings, but these can become obscured if a tenant is late. Stripe doesn't permit creation of past-due invoices, leading to the creation of new invoices that may confuse tenants.
- Email Reminders: While Stripe sends reminders for upcoming and late payments, these emails lack customization in their wording.
- Invoicing Fees: Stripe charges a fee for using its invoicing feature, which can add up for self-storage businesses with a large number of tenants.
🔄 Stripe Checkout for Non-Autopay Tenants
Stripe Checkout is another approach: tenants are directed to a hosted payment page via an emailed link. Here’s how it compares to Stripe Invoicing:
| Feature | Stripe Invoicing | Stripe Checkout |
|---|---|---|
| Due Dates | Clear due dates but issues with past-due invoices | Custom messaging on the payment page and email link |
| Customer Portal | Built-in portal for invoices and account details | Would require building a custom portal |
| Email Reminders | Automated by Stripe | Handled by Unitly, allowing custom wording |
| Failed Payment Retries | Automatic retries by Stripe | Not applicable, retries managed manually |
| Clear Tenant Billing | Unique invoices per tenant | Similar clarity in tenant-specific payment links |
| Cash Payments | Markable as paid | Not directly supported; requires custom tracking |
Checkout offers a more customizable experience but shifts responsibilities like email reminders and portal management to the software provider.
💳 Stripe Payment Intents for Autopay Tenants
For autopay tenants, we can bypass invoicing altogether by using Stripe Payment Intents. This approach would allow Unitly to directly charge tenants on their due date. Here’s how it would work:
- Charge on Due Date: Unitly initiates the payment automatically on the tenant's due date without generating an invoice.
- Failed Payment Handling: In cases of failed payments, we could fall back to emailing tenants a checkout link or another form of notification to complete their payment.
- Receipts: Tenants would still receive an emailed receipt, though it might lack detailed line items or PDF formatting. For most tenants, this simplification shouldn't be a significant issue.
- Autopay Visibility: A new system would be needed to display autopay transactions on tenant profiles and ensure accurate reporting.
This approach eliminates the invoicing fee for autopay tenants while maintaining automation for recurring payments.
🌍Considering Helcim as a Payment Processor
Beyond Stripe, I've been evaluating Helcim, a Canadian payment processor gaining traction in the U.S. Here’s why it might be worth considering:
- Fee Structure: Unlike Stripe, Helcim doesn't charge extra for invoicing. Their fees vary depending on the type of credit card used, potentially offering savings for some transactions.
- Feature Parity: Helcim’s invoicing provides features similar to Stripe’s, such as tenant-specific billing and email reminders, without the additional fees.
- Simplicity: Helcim’s dashboard is less feature-packed than Stripe’s but easier to navigate, which could be a benefit or drawback depending on your needs.
- Developer Support: While Helcim lacks some of Stripe's developer tools (like Discord channels for technical queries), their documentation is robust and user-friendly.
📅 Next Steps
I’m continuing to evaluate these options, including Stripe Checkout, Payment Intents, and Helcim, to find the most efficient and cost-effective solution for self-storage tenant billing. The goal is to optimize both tenant experience and operational costs while maintaining robust functionality.
🗣️ What’s Your Experience?
If you're a self-storage owner or operator dealing with similar challenges, I’d love to hear about your payment processing setup. Are you using Stripe, Helcim, or another provider? Let’s share insights and learn from each other to build better systems for our industry.