Methodology
What is real
- Published list prices for Stripe Tax (0.50% per transaction, capped at $0.50) and Radar ($0.07 per screened transaction), as of 2026-09-21.
- The arithmetic. Every formula on screen is declared once and tested against the calculation engine, and the engine is tested against worked examples.
What is illustrative
- The customer profile: $500M of annual volume, a $20 average ticket, a 92% settle rate.
- The bundle prices, which are a proposal and not a Stripe offer.
- Account counts, take-up rates, win rates, and cost to serve. Each is labeled as an estimate where it appears.
What is left out
- Payments processing and network costs are held constant. The model shows add-on revenue, so it cannot show a bundle discount being traded against the processing rate. It does restate the discount as a processing-rate equivalent in basis points.
- Tiered volume commitments and ramp schedules inside a deal. The quarterly view phases adoption across accounts.
- Usage or credit-based pricing, and repricing of existing customers.
- Lifetime value is contribution margin divided by churn. It uses one constant churn rate, leaves out expansion revenue, and does not discount future dollars.
- Each segment is given one customer profile. Real segments have a distribution of volumes and tickets.
Portfolio project by Chris Mongeon. Not affiliated with Stripe.