April 30, 2025
Every declined transaction can cost you more than revenue. It also damages the customer’s trust, a vital element in the restaurant industry.
With digital payments accounting for over 70% of all restaurant transactions, a reliable payment processor isn't just a back-office decision—it's a lifeline for your business's survival in the competitive restaurant industry.
Recent data from Payments Canada reveals that restaurants with reliable payment systems see 24% higher customer retention rates than those experiencing frequent payment failures.
In today's competitive market, 67% of diners will abandon their online food order if they encounter payment issues. Seamless transactions aren't optional—they're essential.
As we explore the top payment processing companies serving Canadian restaurants in 2025, remember that your payment system isn't just about moving money—it's about creating frictionless experiences that keep customers coming back.
Let’s explore top payment processing companies and how they can help you with customer retention.
Finding the right payment processor for your restaurant requires careful consideration of several factors that directly impact your bottom line and customer satisfaction.
The flexibility of payment options can make or break your customer experience. Modern diners expect variety when paying for their meals. Today's Canadian consumers use an average of 7 different payment methods in their monthly transactions.
Restaurants that limit payment options risk losing potential orders from customers who abandon carts when their preferred payment method isn't available.
Leading payment processors now support digital wallets like Apple Pay and Google Pay, which saw increased usage in Canada last year.
Additionally, offering options like Interac e-Transfer and cryptocurrency can appeal to specific customer segments prioritizing these payment methods.
This payment flexibility aligns perfectly with iOrders's commission-free online ordering system, which integrates seamlessly with multiple payment gateways to ensure your restaurant never misses a sale due to payment limitations.
Understanding payment processing fees can be challenging, but it is essential for protecting profit margins in an industry known for thin margins.
Most Canadian payment processors employ one of three pricing models:
Interchange-plus pricing offers transparency with a clear breakdown of card network fees plus processor markup.
For restaurants processing over $25,000 monthly, this typically results in savings of 0.3-0.5% per transaction compared to flat-rate pricing.
Flat-rate pricing simplifies budgeting by offering consistent fees regardless of card type. However, this convenience often comes at a premium.
Studies show that restaurants on flat-rate plans pay an average of $1,200 more annually than those on interchange-plus models.
Tiered pricing categorizes transactions into qualified, mid-qualified, and non-qualified rates based on various factors. This model often appears attractive initially but can result in unpredictable costs when premium cards trigger higher tiers.
Restaurants using iOrders's Delivery-as-a-Service feature benefit from transparent pricing structures that complement rather than compound your payment processing fees, creating a more predictable cost framework.
Payment issues require immediate resolution - especially during peak business hours when your staff has little time for troubleshooting.
Restaurant managers ranked support response time as their top concern when selecting payment processors.
Technical issues can cost hundreds or thousands in lost revenue during busy periods, so knowing support is available instantly provides significant peace of mind.
The most restaurant-friendly processors offer 24/7 Canadian-based phone support with average wait times under 3 minutes. Look for providers offering comprehensive onboarding assistance and dedicated account representatives familiar with restaurant-specific challenges.
Payment processing isn't one-size-fits-all – your restaurant's specific characteristics should guide your selection.
For example, small restaurants processing under $10,000 monthly benefit from processors with no monthly minimums or fees, even if transaction costs are slightly higher.
By contrast, high-volume restaurants can negotiate significant rate reductions, sometimes saving 0.4-0.7% per transaction when processing exceeds $50,000 monthly.
Seasonal restaurants face unique challenges, with some processors requiring year-round minimum processing volumes.
The most restaurant-friendly companies offer dormant account options, suspending monthly fees during slow periods and not requiring reapplication when business picks up.
The ideal payment processor adapts their services and fee structures to match your business profile.
As we examine the top payment processors serving Canadian restaurants in 2025, consider these criteria to find the partner that best aligns with your business model and growth objectives.
Since 2023, the Canadian payment processing market has transformed dramatically. Transaction volumes have increased, and mobile payments have become the norm rather than the exception.
Restaurant-specific payment processors have emerged, with features that address unique challenges like split bills, tip management, and high-volume transaction periods.
These specialized solutions can reduce payment processing time during peak hours compared to general-purpose processors.
The post-pandemic shift toward digital ordering has accelerated. Restaurants process 3 times more online payments than in 2022, pushing processors to develop more restaurant-friendly features and pricing structures.
Your payment processor impacts more than just your bottom line—it directly influences your operational efficiency and customer experience.
According to recent industry studies, payment issues contribute to approximately 22% of negative online restaurant reviews.
Restaurants using reliable processors with high uptime see significantly lower complaints and stronger customer loyalty metrics.
Beyond reliability, the right processor can reduce your administrative workload by 4-7 hours weekly through automated reconciliation and reporting features.
With this time savings, your staff can focus on core marketing efforts using iOrders's Managed Marketing Services, freeing your team to focus on restaurant operations rather than payment reconciliation.
The most successful restaurant payment implementations involve partnerships rather than vendor relationships.
Leading processors now offer dedicated restaurant success teams that provide industry-specific insights and optimization recommendations. These partnerships result in lower overall processing costs through tailored advice.
Integration capabilities have become essential, with the best processors offering direct connections to popular POS systems and ordering platforms.
These seamless integrations complement iOrders's Website and QR Ordering systems, creating frictionless experiences from menu browsing through payment completion.
Now, let's examine the five standout payment processors serving Canadian restaurants in 2025, looking at their strengths and potential limitations.
Canada's restaurant payment processing landscape has evolved significantly, with specialized providers offering tailored solutions for food service businesses.
This Vancouver-based payment processor has gained significant traction among Canadian restaurants for its transparent pricing and restaurant-specific features.
“Clearly Payments” has built its reputation on straightforward, affordable pricing that works particularly well for food service businesses.
Their interchange-plus model starts at just interchange + 0.25% + $0.10, significantly undercutting industry averages by up to 40%.
For a restaurant processing $30,000 monthly, this typically translates to annual savings of $3,600-$4,800 compared to traditional processors.
Their transparent pricing calculator lets you see exact costs before signing up, eliminating unpleasant surprises that plague many restaurant owners.
What's particularly appealing for seasonal establishments is their no-minimum policy and lack of early termination fees.
Clearly's customer service approach stands out in an industry often criticized for poor support experiences.
Their Canada-based support team is available 24/7, with average wait times under 2 minutes. It is crucial during Saturday night rushes when payment issues can quickly spiral into lost revenue.
New restaurant clients receive dedicated onboarding specialists for 90 days, ensuring smooth integration with existing systems.
Clearly's multi-currency capabilities offer significant advantages for restaurants in border cities or those serving international tourists.
Their system automatically converts 130+ currencies with competitive exchange rates. This capability has proven especially valuable for restaurants near tourist destinations, where foreign card acceptance can increase average transaction values.
Settlement occurs within 24 hours regardless of currency type, providing predictable cash flow even when processing international payments.
Let's now examine Square Payments, another major player in the Canadian restaurant payment processing space.
Square has evolved from a simple card reader solution to become a comprehensive payment ecosystem for food service businesses across Canada.
Square's plug-and-play approach has made it a favorite among new and small-scale restaurant operations.
The onboarding process takes as little as 10 minutes, with most restaurants fully operational within hours rather than the industry-standard days or weeks.
This quick setup has proven valuable for popup restaurants and food trucks, where most report choosing Square for its rapid deployment capabilities.
Their restaurant-specific POS interface requires minimal training. New staff are typically comfortable processing payments after just 20-30 minutes of instruction.
Square's transparent pricing structure removes the complexity that frustrates many restaurant owners.
Their flat-rate model, 2.65% for in-person transactions and 2.9% + $0.30 for online payments simplifies budgeting and financial planning.
While not the lowest rates available, restaurants processing under $20,000 monthly often find the predictability worth the premium.
The absence of hidden fees, statement charges, or PCI compliance costs provides peace of mind for operators focused on food quality rather than financial minutiae.
Square's free hardware program for new accounts, which includes a $49 card reader, reduces startup costs.
This hardware integrates seamlessly with leading POS systems, allowing restaurants to track customer spending patterns across in-person and online orders.
Despite Square's many strengths, support accessibility remains an area where improvement is needed.
Their email-first support model can frustrate restaurant owners facing urgent payment issues during service hours.
With average response times of 4-6 hours, restaurants experiencing technical difficulties during peak periods may lose significant revenue while awaiting assistance.
Phone support is available but limited to business hours, creating potential challenges for establishments with evening service.
Next, let's examine Stripe Payments, which has carved out a significant niche in Canadian restaurant payment processing.
Stripe has established itself as the go-to payment processor for businesses with strong online presence, particularly those needing flexible integration options.
Its platform is designed with developers in mind while remaining accessible to non-technical users.
Stripe excels at serving online-focused businesses with its comprehensive API. The platform processes payments in over 135 currencies and offers local payment methods across more than 40 countries, giving Canadian businesses significant global reach.
Unlike traditional processors adapted for online use, Stripe was built specifically for internet transactions.
Stripe automatically handles currency conversion, tax calculations, and compliance with local payment regulations for businesses expanding internationally, removing significant barriers to global commerce.
Stripe's developer-friendly approach is evident in its extensive documentation and customization capabilities. Their API libraries support over 12 programming languages, allowing businesses to implement what they need without unnecessary bloat.
The platform offers pre-built components that reduce integration time compared to building payment systems from scratch.
Stripe is the payment partner for iOrders, and their technical flexibility pairs well with iOrders's commission-free online ordering system, allowing restaurants to maintain brand consistency while offering secure payment options.
Businesses using Stripe report spending 59% less time on payment maintenance and troubleshooting than other processors, freeing resources for core operations.
Stripe Radar, the company's AI-powered fraud detection system, analyzes over 400 signals in real-time to prevent fraudulent transactions.
This system adapts to each business's patterns, reducing false positives by nearly 40% compared to static rule systems.
The machine learning models powering Radar are continuously refined, analyzing billions of transactions.
Canadian restaurants using Stripe report chargeback rates that are lower than industry standards. This reduction in losses and fewer disputes directly improves profitability.
Stripe operates on a straightforward pay-as-you-go model with 2.9% + $0.30 for each successful card charge. While not the cheapest option for high-volume businesses, its transparent pricing includes features that would cost extra elsewhere.
For international transactions, Stripe charges an additional 1% for currency conversion. However, businesses processing over $1 million turnover annually can negotiate custom rates, potentially saving thousands in processing fees.
Let’s look at another payment processing company, Moneris, and discuss its strengths.
Moneris is Canada's largest payment processor, handling over 3 billion transactions annually worth over $200 billion.
This homegrown solution understands the unique needs of Canadian businesses, from small cafés to large restaurant chains.
Moneris processes payments for nearly one-third of all Canadian businesses, giving it unmatched insights into local payment behaviors and trends.
Their systems are fully integrated with Canadian banking networks, resulting in faster settlement times—typically 1-2 business days compared to 2-4 days with international processors.
Their payment infrastructure is designed to handle Canadian debit cards, including Interac Flash, representing over 60% of in-person transactions for many food service businesses.
This optimization reduces transaction failures compared to international providers less familiar with Canadian payment methods.
Moneris offers over 20 POS terminal options, from basic countertop models to advanced wireless solutions that perfectly complement iOrders' website and QR Ordering service.
Their hardware is purpose-built for Canadian environments, including weather-resistant models for patio service that operate reliably in temperatures from -20°C to 50°C.
Their unified commerce platform connects in-store, online, and mobile payments through a single backend system, reducing reconciliation time by up to 75%.
This integration capability works seamlessly with iOrders's White-label Mobile App solution, ensuring consistent payment experiences across all customer touchpoints.
For restaurants using multiple service models, Moneris provides specialized solutions for table service, counter service, and delivery.
It manages transactions from all these sources through a centralized reporting system that tracks performance metrics across locations.
Moneris maintains Canadian-based support centers in Toronto and Montreal, providing 24/7 technical assistance in English and French.
Their dedicated merchant portal provides real-time transaction monitoring and analytics, allowing restaurant managers to track sales patterns and identify opportunities.
With iOrders's Smart Campaigns, you can use these insights to drive additional revenue during typically slower periods.
Moneris offers dedicated account managers for multi-location operations who provide quarterly business reviews and customized recommendations based on transaction data analysis and industry benchmarks.
Moneris pricing starts higher than some competitors, with rates beginning around 2.65% + $0.10 per transaction.
However, businesses often recover this premium through reduced chargeback rates and faster funds availability.
Their volume-based pricing model becomes increasingly competitive for businesses processing over $25,000 monthly, with incremental rate reductions at multiple volume tiers.
While not the least expensive option for small operations, Moneris offers value through reliability and support that can significantly reduce hidden costs from payment disruptions.
Looking beyond Canada's borders, First Data brings global payment capabilities that help restaurants serve international customers without friction.
First Data (now part of Fiserv) combines international reach with localized service. It processes over 2,800 transactions per second across more than 100 countries while maintaining specialized Canadian support teams.
First Data's global network handles payments in 175 currencies, making it ideal for restaurants in tourist areas or those serving an international clientele.
Their cross-border processing reduces currency conversion fees compared to using separate domestic and international processors.
Their system automatically detects card origin and optimizes routing paths, reducing international transaction failures compared to domestic-only processors.
For Canadian restaurants with locations in the US or those planning expansion, First Data offers unified reporting across borders while maintaining compliance with each country's regulations.
First Data supports over 30 different terminal types, from basic countertop models to sophisticated self-service kiosks that integrate seamlessly with models such as iOrders's QR ordering functionality.
Their hardware compatibility extends to legacy systems, allowing businesses to modernize incrementally rather than requiring complete technology overhauls.
Their Clover POS line specifically targets restaurants, offering features like table management, kitchen display integration, and customer-facing displays.
These systems process payments faster than traditional terminals, reducing customer wait times during peak hours.
The company's equipment leasing options require minimal upfront investment, allowing restaurants to preserve capital while accessing state-of-the-art payment technology.
First Data's InsighticsSM platform is designed to analyze transaction patterns across millions of businesses around the globe.
It offers valuable benchmarking data, enabling restaurants to discover exciting growth opportunities and fine-tune their strategies for maximum success impact.
First Data’s analytics tracks over 200 metrics, including average ticket size, return frequency, and peak transaction times. You can view these metrics through customizable dashboards.
First Data's comparative analytics identify performance variations between sites in multi-location operations. They help management standardize best practices and address location-specific challenges through targeted marketing initiatives.
First Data offers tiered pricing models that start competitively but can include various add-on fees.
Standard rates begin at around 2.7% + $0.10, with additional charges for specific card types and transaction scenarios that are not always clearly presented upfront.
While their overall processing costs average 2.9% after considering all fees, restaurants processing monthly payments over $50,000 can negotiate significantly better rates.
Restaurants should request comprehensive fee schedules and negotiate to remove unnecessary charges like statement fees and minimum processing requirements.
Now that we have completed our comprehensive review of major payment processors, let's summarize what we've learned and explore how to select the right payment partner for your specific restaurant business.
Selecting the right payment processor impacts everything from customer satisfaction to your bottom line. The Canadian payment landscape offers options for different restaurant needs and growth stages.
When evaluating payment processors:
This difference can represent 15-20 hours of monthly administrative work.
iOrders's commission-free online ordering system works with any payment processor you choose, eliminating the 15-30% commissions charged by third-party platforms. This integration preserves your margins while maintaining payment flexibility.
iOrders’s Delivery-as-a-Service option pairs perfectly with your payment processor, handling the logistics while you maintain direct payment relationships with customers.
Ready to optimize your restaurant's payment processing?
iOrders can help you select and implement the right payment solution while integrating our suite of restaurant management tools to maximize efficiency and profitability.
Contact iOrders today to schedule a demonstration of how our services complement these payment processors to create a seamless experience for you and your customers.
