!!!Next Workshop 2:30pm: To be or not to be, The Merchant of Record? George Kartakis, @gkartakis

To be or not to be… the Merchant Of Record?

Dublin Web Summit 2015

@2015 Paypal Inc. All rights reserved. Confidential and proprietary. �

To be or not to be… the Merchant of Record? George Kartakis – Manager of Startup Advisors

@gkartakis

@braintree_dev

@braintree

Dublin Web Summit 2015

@2015 Paypal Inc. All rights reserved. Confidential and proprietary. �

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Gather the whole !amount of money or just

a commission?!

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1. Be the Merchant of Record

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1. Be the Merchant of Record (1st recipient of money!)

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Client!Our Startup!

(Merchant of Record)!!

Client!Our Startup!

(Merchant of Record)!!

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Vendors!

Client!Our Startup!

(Merchant of Record)!!

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•  Recognize the full sale price as revenue

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PROS

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•  Recognize the full sale price as revenue

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•  Greater Control of the Customer Experience

PROS

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•  Recognize the full sale price as revenue

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•  Has the full responsibility for Customer Support/Refunds/Returns/Complaints

•  Greater Control of the Customer Experience

CONS PROS

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•  Recognize the full sale price as revenue

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•  Has the full responsibility for Customer Support/Refunds/Returns/Complaints

•  Greater Control of the Customer Experience

•  Collects the sales taxes and files the paperwork

PROS CONS

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2. Not a Merchant of Record

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2. Not a Merchant of Record (Just receiving a sales fee/

commission)

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Our Startup!Client!

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Vendor!(Merchant of

Record)!Our Startup!Client!

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Our Startup!(Sales fee/Commission)!

Client!Vendor!

(Merchant of Record)!

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Vendor!(Merchant of

Record)!Client!

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•  Does not have any responsibility for Customer Support, etc.

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PROS

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•  Does not have any responsibility for Customer Support, etc.

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•  Easier to on-board multiple vendors

PROS

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•  Does not have any responsibility for Customer Support, etc.

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•  Only the commission fee can be recognized as revenue

•  Easier to on-board multiple vendors

PROS CONS

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•  Does not have any responsibility for Customer Support, etc.

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•  Only the commission fee can be recognized as revenue

•  Easier to on-board multiple vendors

•  Has to review the problematic merchants to avoid losing credibility

PROS CONS

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So, should you be the Merchant of Record?

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Go away man

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It depends on your business model

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Merchant of Record

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Not a Merchant of Record

•  Can manage admin cost

•  Own or purchase the product

•  Present high revenue quicker

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Merchant of Record

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Not a Merchant of Record

•  Do not want to have the liabilities

•  Do not own or purchase the product

The $50K boost for your business When you sign up with Braintree, your first $50,000 in sales volume is fee-free. No catch. It’s our way of helping launch the next wave of innovative companies.

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Legendary customer support.

No robots. Real humans who can actually help.

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ON

ON

OFF FUTURE Payment Method

ON

ON

Let us worry about integrating new

payment methods. Adding them to your

checkout flow in the future will be

as easy as flipping a switch.

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Client-side libraries for iOS, Android,

and Web. Server-side libraries in the

language of your choice.

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We’re on Money Stage supporting our own John Lunn

for his 3pm keynote: Disrupting money

Join us there or on our stand at 4pm for whiskey and beer

during Happy Hour!

braintreepayments.com �

Thank You

George Kartakis – Manager of Startup Advisors

@gkartakis

@braintree_dev

@braintree