Why are there fees for business profiles?
The seller transaction fees charged to business profile owners help allow Venmo to continue to provide this service and develop the service further. Business profiles also have features designed to benefit your business, like enhanced payments, tax reporting, and disputes services. Business profiles fees are in line with industry standards.
How do the fees work?
The owner of a business profile is charged a low fee for every payment they receive that’s $1 or more. The seller transaction fee is a standard rate of 1.9%+$0.10 of the payment. That means that if the business profile is sent a $100 payment, $2 of the payment would be charged as a seller transaction fee and the owner of the profile would receive $98.
Venmo is not able to refund this fee. The fees help Venmo to continue to provide this service and develop the service further
What are the advantages to using a business profile?
Business profiles are designed with your business needs in mind. By creating a business profile, you’ll gain access to specialized features like enhanced payments and more.
Some benefits of creating a business profile include, but are not limited to:
- Increased visibility for your business in the Venmo app
- Ability to generate referrals among socially engaged Venmo users
- Options to provide potential customers with more information about your business in the app, including links to a website and social media accounts
- Formal tax documentation for business profiles that meet or exceed federal and state reporting thresholds
Why doesn’t the buyer have to pay the fee?
The fees for using a business profile are charged to the merchant rather than the customer, which is in line with industry standards.
It’s worth noting that Venmo users who make a payment to a business profile using a credit card will be exempt from the standard 3% Venmo fee on payments funded by credit cards.
Make sure you’re familiar with the standard Venmo fees that will apply to you and your customers here: https://venmo.com/resources/our-fees/
Can I get a refund for the fee?
The fees assessed to payments received by business profiles allow Venmo to continue providing and improving the service. We are not able to refund these fees.
When will I start being charged fees?
You will begin to see this fee once you receive a payment that’s is $1 or more.
In the past, Venmo offered new business profiles a trial period without seller transaction fees. If you were a part of one of these trials, you will begin to see these fees 30 days after you signed up.
As of 7/01/21, all new business profiles have the same fee structure at sign-up.
I want a trial period without fees
Business profiles have grown and changed since they launched and there have been different fee structures during this time. Currently, all new business profiles fall under the same fee structure. We are unable to opt users out of these fees.