What Is An Online Marketplace? (and How To Set Up Marketplace Payouts)
Business owners hear the word “marketplace” a lot today, but what is a marketplace, truly? And if you’re setting up an online marketplace, how do you handle the financial side of things, like payouts?
Don’t worry - you don’t have to figure these things out alone. Paynote is here to help. Designed to facilitate simple, secure marketplace payouts, Paynote is an excellent way to help your merchants send and receive verified ACH payments.
In this blog, we’ll discuss what an online marketplace is and how to set up marketplace payouts as efficiently as possible.
What is an Online Marketplace?
An online marketplace is a platform that provides a place for merchants to advertise and sell their goods.
Here’s a quick breakdown of how marketplaces work:
The marketplace onboards sellers and then provides a place for clients to buy the products from the sellers. When transactions occur, they occur through the marketplace, which then issues payouts to merchants.
In other words, marketplaces are the platform that facilitates all of the business, which also means marketplaces are responsible for providing regular payouts to merchants.
That is where a robust platform like Paynote enters the picture.
How Paynote Can Help You Provide Marketplace Payouts
When it comes to providing marketplace payouts, simplicity, security, and verification are all paramount.
Fortunately, Paynote supports each of those objectives.
Paynote’s REST API makes it possible to create a marketplace where you onboard clients and businesses, accept funds, and make payouts to third parties, who (thanks to Paynote) can receive verified ACH payments seamlessly and reliably.
Getting started is easy. Here’s how the process works:
- Merchants who onboard with your marketplace connect their bank accounts via Plaid.
- Plaid instantly verifies financial information and creates a secure bridge for financial transactions to take place.
- The integration of Plaid allows for a digital wallet functionality, which means you can store funds in a digital wallet and send payments as needed while tracking payment history simply and accurately.
The onboarding process is also easy for merchants: all users have to do is enter their emails.
From there, the platform will email them a prompt to verify their bank account and routing information. Plaid verifies this information and creates an easy bridge for financial transactions.
This solution is ideal for merchants in various industries, including accounting, financial services, crowdfunding, online gaming, property management, and more.
Secure Your Marketplace Payouts With Paynote
If you’re looking for a better way to make marketplace payouts, you need an advanced solution that works for and with you.
After all, you want to keep the financial information of the merchants you work with secure and private, and not all financial apps can do that.
Fortunately, Paynote’s REST API is here for you.
Designed to streamline merchant payouts and keep financial information secure, Paynote is the perfect way to make and track merchant payouts on your online marketplace.