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Most of these sites will go down due to one big hurdle. Payments. Underwriting merchants and get verified by Visa/MasterCard as a payment service provider is a
by devan 14y ago
Most of these sites will go down due to one big hurdle. Payments.
Underwriting merchants and get verified by Visa/MasterCard as a payment service provider is a bitch. Aggregating credit cards is a heavily regulated area - but most of these sites are unaware of this issue.
We initially started on Stripe, and got told what we were doing was unregulated/not allowed on stripe, so we then grabbed a coffee with them and learnt about this process.
In fact I was grabbing coffee with Sahil (Gumroad) a few months ago and they've just run into this issue themselves - which they are starting to solve. so you'll probably notice them asking you for more information to underwrite you, unless they find a way around this.
That's also why we ask users to go through an activate process.
- fatbat 14y agoInteresting. Does using Stripe Connect bypass this restriction since you are not actually handling any money? Or am I misunderstanding things? Questionable site name, but well done! :) Cheers
- devan 14y agoyup they do, thats why sites like spacebox.io & shoplocket are fine, but others are (probably) just illegally aggregating.