When you think of starting an online business, which payment gateways should you set up? You want to be sure that your payment gateway is secure and easily accessible to your clients. Today, a PayPal business account offers lots of benefits that online entrepreneurs can benefit from immensely. The payment is popular among millions of users. Thus, it is a must for you to set up your online store. We look at these benefits and other information about PayPal send money in details.
What Is PayPal? How Does PayPal Work?
PayPal is one of the most popular payment service providers online. It is a secure platform that allows people to shop easily while sellers receive their cash without hassles. Sellers often create PayPal account and integrate PayPal payment gateway on their websites. The payment gateway charges the buyers and the funds are deposited directly to the seller's PayPal account once the transaction is completed. PayPal charges a fee for every sale transacted via the platform. Buyers don't need to have a PayPal account before they can use the PayPal payment gateway. They may choose to pay as guests or pay via credit or debit cards accepted by PayPal.
PayPal Business Account: How to Create?
1. Visit PayPal's official website on www.PayPal.com and click Sign Up on the homepage.
2. Choose PayPal Business Account as the type of account you want to sign up for.
3. Supply your email address and press Enter to proceed with sign up.
4. Enter your preferred password and click Continue to proceed.
5. Supply information regarding your business. Enter your official first and last names. Supply your business name and address.
6. Tick the box indicating that you agree to the E-Communication Delivery Policy and PayPal's User Agreement and Privacy Policy. You can click on their links separately to read the policy details.
7. On the "Tell us about your business" section, state your business type, select the business category, the sub-category, and the estimated value of monthly sales of the business. Click Continue to proceed.
8. Supply information about yourself such as the last four digits of your social security number, home address, and birth date.
9. Click Continue to complete the sign-up process. If the information were correctly filled, you will be prompted to check your email address for a confirmation email message.
10. Go to your email. Open the confirmation email and click the link within to validate your new account. Read the email for further instructions you must follow to complete the business account set up.
PayPal Fees for Transactions
Is PayPal business account free? Yes, the creation is free. However, this is different when it comes to the transaction. PayPal charges transaction fees in different kinds of situations. PayPal fees vary and may confuse users easily. The rule is that PayPal does not charge a fee for transactions made between friends and family living within the same country. Below are situations where PayPal may charge a transaction fee.
Here below are PayPal business account fees that all sellers should know.
This is the fee you pay if you sell in the U.S and a U.S customer pays for your service. You pay 2.9% of the value of the transaction + $0.30. The transaction fees for other countries differ slightly. Search PayPal merchant fees in [country of interest] for more details.
2. International Payments to PayPal Accounts
If you have a U.S PayPal account and you receive payments from other countries, you pay a 2.9% standard user fee and 1.5% international transfer fee. That makes 4.4% in total. There is also a slight difference in this fee depending on the countries within which the transaction occurs.
3. Currency Change Fees
If you are paying in a currency different from the default currency on your PayPal account, you pay 2.5% of the value of the transaction. The fee is added to the PayPal conversion rate between the currencies.
4. Payment Reversal Fees
PayPal holds a small portion of the transaction amount when you refund a customer. For U.S merchants refunding U.S customers, the fee is $0.30. Fees are slightly higher for international transactions.
How to Use PayPal to Send Money?
- Visit www.PayPal.com to sign in to your PayPal account. Check above to learn how to open a PayPal account;
- After signing in, locate and click the Send & Request menu on top of the page;
- Select the type of payment;
- Pay for the purchase of goods and services;
- Send funds to family and friends in the US;
- Send to family and friends outside the US.
The option you select determines your transaction charges:
- Enter the email address or phone number of your recipient correctly and click "Next";
- Enter the amount you want to send. You may change the currency with which you want to pay by clicking and selecting from the dropdown menu. You can also add a note to inform your recipient on issues about the funds.
- Review or confirm your payment details. Be sure all fields are entered correctly and your recipient's details are accurate.
- Click Send payment now to complete the transaction.
How to Use PayPal.Me to Get Paid?
PayPal.me is a relatively new method of receiving payment regardless of whether the payer or client has a PayPal account. If you have a PayPal personal or business account, you can use PayPal.me link. Creating PayPal.me link is free. PayPal Business account holders can only receive money through PayPal.me link.
Go to PayPal.me and generate your PayPal.me link https://PayPal.me/YourName. That is the link you send to your clients to receive payments. To use PayPal.me to receive payments successfully, both you and the clients must be in countries that are supported by the service. There are two ways to use PayPal.me to receive money.
1. Request a specific amount
You simply add the amount you want your clients to pay to the link. For instance, https://PayPal.Me/YourName/50 is the typical link requesting a $50 payment. The request is made in the default currency. You can specify a different currency by indicating it on the PayPal me link. e.g https://PayPal.Me/YourName/50EUR
2. Let clients determine how much to pay
This option only provides your payment link and a field where your clients can enter the amount they decide.
Note that your payer can still edit the amount payable whether you set the amount to pay or not.
PayPal Invoice: How to Issue?
To issue a PayPal invoice, you need a PayPal account and your client's email address.
- Log in to your PayPal account and click on Send & Request
- Select Create Invoice
- Opt to Create New Invoice
- Proceed by supplying your client's email address in the Bill to field
- Click Customize to adapt the invoice to your specific type of service. Add as many line items as you need.
- Click Preview to check how the invoice you created will look to your client. You can save the bill as a template for future use. You can also edit the invoice if you notice any error.
- Once you are done with the invoice, click Send and your client will receive it in his or her email inbox.
Conclusion
To sell online, you need a payment gateway like PayPal. Using a secure payment system for your online business is one of the most important decisions you make as an online entrepreneur. A PayPal Business Account gives your business all the necessary payment tools you need to stay profitable. Now, go and create a PayPal business account after reading the PayPal business account overview!
What else do you need to set up your online store? Find more free guides and tips on saleyee.com! Sign up free now to enjoy free membership, big discounts, fast and free delivery, as well as free business tips and product recommendations fased on big data research!
