Payment Processing for Beauty: SumUp vs Zettle vs Square

Cash is declining. Your clients expect to pay by card, contactless, or Apple Pay. If you do not accept card payments, you are losing business.

The good news: getting set up costs less than £30 and there are no monthly fees. This guide compares the three main options for self-employed beauty workers and helps you choose.

Quick Rule of Thumb

For most sole traders in beauty: SumUp has the lowest transaction fees (1.69%), Square gives you the most free extras (booking system, invoicing), and Zettle integrates with PayPal. All three work. Pick the one that fits your existing setup.

Tip for new starters: Order a card reader before your first client. They cost under £20 and there are no monthly fees. More than 60% of UK payments are now by card or contactless. Saying "cash only" loses you bookings.

Do You Need a Card Reader?

Yes. Here is why:

• Cash usage is falling. UK Finance data shows over 60% of all UK payments are now made by debit card or contactless. Many people do not carry cash.
• Clients expect it. "Do you take card?" should not be a question you dread.
• It looks professional. A card reader signals you are a proper business.
• It is cheap. Under £30 for a reader, no monthly fees, you only pay a percentage when you take a payment.
• Digital tipping. Many clients want to tip but do not carry cash. Card readers with tipping enabled solve this.

The only argument against: every transaction is recorded, so your income is fully visible to HMRC. But your income should be declared anyway - hiding cash income is tax evasion, which is a criminal offence.

The Three Main Options

SumUp

Best for: Sole traders who want the lowest transaction fees and a simple setup.

Strengths:

• Lowest in-person transaction fee at 1.69%
• No monthly fees at all
• Clean, simple app
• Free booking and invoicing features
• Digital tipping built in
• Multiple reader options (Air, Solo, Solo Lite with printer)

Weaknesses:

• Booking system is basic compared to dedicated platforms
• Customer support can be slow
• Fewer integrations than Square

Zettle by PayPal

Best for: Beauty workers who already use PayPal or want PayPal integration.

Strengths:

• Backed by PayPal - trusted brand
• Instant payouts to your PayPal balance
• Good reporting and analytics
• Integrates with accounting software (Xero, QuickBooks)
• Accept PayPal payments in person via QR code

Weaknesses:

• Higher transaction fee than SumUp (1.75% vs 1.69%)
• Reader costs more (£29 vs £19)
• No built-in booking system
• If you do not use PayPal, the integration advantage is irrelevant

Square

Best for: Sole traders who want a complete free ecosystem (payments + booking + invoicing in one).

Strengths:

• Free booking system included (Square Appointments - genuinely free for one person)
• Free invoicing
• Free online store (if you sell products)
• Strong reporting
• Good integrations
• Digital tipping
• Well-established with good support

Weaknesses:

• Transaction fee is 1.75% (higher than SumUp's 1.69%)
• Booking system is less beauty-specific than Fresha or Booksy
• Square has been known to hold funds on new accounts (rare, but it happens)

Quick Comparison Table

What the Fees Actually Cost You

Let us put the percentages into real numbers. Here is what you pay on common beauty transaction amounts:

The difference between SumUp and the others is pennies per transaction. Over a year, it adds up - but probably not enough to be the deciding factor. On £30,000 of card transactions per year:

• SumUp: £507 in fees
• Zettle/Square: £525 in fees
• Difference: £18 per year

Choose based on features, not a £18 annual difference.

Online Payment Options

If you take payments online (deposits, gift vouchers, product sales), you have additional options:

Stripe

• Fee: 1.4% + 20p (UK cards), 2.9% + 20p (non-UK cards)
• Best for: Website payments, integrated with most booking systems
• Note: Stripe is a back-end processor - you do not use it directly. It powers payments in systems like Timely, Wix, Squarespace, and many others.

PayPal

• Fee: 2.9% + 30p (standard), lower rates for micropayments
• Best for: Sending payment links, invoicing, taking deposits via link
• Note: Many clients have PayPal and are comfortable using it. Higher fees than alternatives, but the convenience factor is real.

Bank Transfer

• Fee: Free
• Best for: Deposits, large bookings
• Note: No fees at all, but no consumer protection for the client (unlike card payments), and you need to manually check your bank for payment confirmation.

Deposits and Cancellation Fees

All three card reader providers support taking deposits, but the method varies:

Square's advantage: Square Appointments lets you store a client's card on file and automatically charge a cancellation fee if they no-show or cancel late. This is a significant feature for reducing no-shows.

Tax Implications of Digital Payments

Every card payment is recorded. Every single one. This means:

• Your income is fully traceable by HMRC
• You cannot understate your income (not that you should)
• If HMRC investigates your Self Assessment, your card payment records will match your declared income - or they will not, and that is a problem
• Making Tax Digital means digital records are increasingly expected

This is actually a good thing. Accurate records make your tax return easier, reduce the risk of errors, and protect you in an HMRC investigation. If you are already declaring all your income (which you should be), digital payments just make your admin easier.

Cash payments: If you still take cash alongside card payments, you must still record and declare that cash income. The card reader does not replace your obligation to declare cash.

Setting Up: What You Need

To get started with any card reader:

1. Buy the reader - online from the provider's website (SumUp, Zettle, or Square)
2. Download the app - free on iOS and Android
3. Create an account - you will need your name, business details, bank account, and sometimes ID
4. Verification - the provider will verify your identity (usually takes 1-3 days, sometimes instant)
5. Start taking payments - pair the reader with your phone via Bluetooth, enter the amount, and the client taps or inserts their card

Setup takes under 30 minutes. You could be taking card payments today.

Which One Should You Choose?

Choose SumUp if:

• You want the lowest transaction fees
• You want a simple, no-fuss setup
• You do not need an advanced booking system (or you already use one)
• You want a cheap reader (£19)

Choose Zettle if:

• You already use PayPal
• You want instant payouts to your PayPal balance
• You use Xero or QuickBooks for accounting
• PayPal integration matters to you

Choose Square if:

• You want payments + booking + invoicing in one free system
• You want to store cards on file for cancellation fees
• You want the most complete free ecosystem
• You are starting from scratch and want one app for everything

The honest answer:

All three are good. The differences are marginal. Pick one and start taking card payments. You can always switch later - there are no contracts or lock-in periods.

What To Do Next

1. Pick a provider. If in doubt, start with SumUp (lowest fees) or Square (best free extras).
2. Order a reader. It will arrive in a few days.
3. Download the app and create your account while you wait for the reader.
4. Enable tipping. Your clients will thank you (and so will your income).
5. Update your social media and booking confirmations to say "Card payments accepted."
6. Keep your receipts organised for your Self Assessment - the app generates them automatically.

Tip for new starters: Every card transaction is recorded, which makes your Self Assessment much easier. Keep your card reader reports as part of your records from day one. When January comes around, you will thank yourself.

Who To Contact

• SumUp - sumup.com (Free to use, transaction fees only)
• Zettle by PayPal - zettle.com (Free to use, transaction fees only)
• Square - squareup.com (Free to use, transaction fees only)
• Stripe - stripe.com (Free to use, transaction fees only) - for online payment integration
• HMRC Self Assessment - 0300 200 3310 (Free) - gov.uk - Making Tax Digital guidance
• MoneyHelper - 0800 138 7777 (Free) - budgeting and business finance guidance

Sources

• SumUp, Zettle, and Square websites (pricing as of April 2026)
• UK Finance Payments Report 2025
• HMRC Making Tax Digital guidance
• FCA guidance on payment services

Related Guides

• Booking Software Compared: What Self-Employed Workers Need
• Making Tax Digital for Beauty Workers
• Self-Assessment for Hairdressers
• Cancellation and No-Show Policies That Work
• Client Record-Keeping: What You Must Store

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