4 ms·
Can you explain a bit about the Paddle thing and not needing to incorporate?
by fire 4y ago
Can you explain a bit about the Paddle thing and not needing to incorporate?
- fastball 4y agoMerchant of Record services mean that when someone "buys" something from you (e.g. subscription or other product) they're actually legally interacting in all ways that matter with the MoR. Effectively you can think of it as a mostly transparent re-seller. The MoR (e.g. Paddle) is buying the subscription from me and selling it to you. Because I'm never actually interacting with the customers for payments I don't need to deal with regional taxes, refunds, etc – that's all handled by Paddle. In exchange they take a heftier cut than what you'd get if you used a service like Stripe.
- blowski 4y agoIs this like Gumroad as well?
- that_guy_iain 4y agoYea
- Kiro 4y agoDon't you still need a company to sell it to Paddle?
- remyp 4y agoYes, and Paddle will ask you to prove it.
- vruiz 4y agoIn many countries you can issue invoices without having a company or being a freelancer up to a certain amount. That should be everything Paddle needs. Also, once upon a time, I checked with FastSpring (another alternative) if they could just withhold payouts until incorporation and they told me they can do that.
- steve_taylor 4y agoNot according to Paddle's signup form: https://vendors.paddle.com/signup https://vendors.paddle.com/signup "Business type" options include Individual, Company, Partnership, and Non-Profit.