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by throwaway991199 3602 days ago
Sorry, but all of this is simply not true.

I run a business where I regularly do between 50-100k a month. There are many other marketers that I know who are also doing the same.

I was not a good candidate and neither were they. Why? Because we act as middle-men between a product creator and the end user.

To someone like stripe, we are scammers. We supposedly put up sites which lie about products, we mark-up pricing and we take the money and not ship out the products. Yes, that is the brush that is tarred amongst all of us.

This could not be further from the truth, as it if was, then we'd be getting charge-backs up the wazzoo and our current merchant providers wouldnt be working with us.

I have yet to recieve a single charge back and I have many many repeat sales. So much so, that I an creating a brand by selling other manufacturers products under my own white-label brand. Which incidentally is against stripes terms and conditions.

What is laughable, is that stripe had no idea about my business model. In fact what they offered was stripe connect and having the manufacturer owning the stripe account. Which would actually confuse my clients even more.

Here is the deal. A lot of manufacturers don't know how to market. They don't know how to setup a sales funnel, market for clients, generate sales, make products go viral and generate 100k of sales. They have tried themselves spending $10k in marketing stacks and spending $1000s on facebook ads and getting nowhere.

But no, Stripe does not want to work with me or others like me. So guess what. We tell everyone one can, DO NOT DO BUSINESS WITH STRIPE.

I don't be doing business with them and I will be telling all my clients and be sure to tell everyone they know as well not to do business with Stripe either. I hope this has a knock on effect that 1000+ individuals who thought about using stripe, use someone else as well.

If only stripe had actual controls where they did reputation testing against IP, actually sided with the seller on charge backs instead of bending over and making the seller the bad guy, or do more fraud analysis.

I choose other vendors who do exactly this and I have had no problems so far.

Here's something. I'm not a scammer. I would rather lose a sale rather than trying to get that money and have someone have buyers remorse and do a charge back or demand refund.

Not all of us want to make a quick buck at all costs. There are other ways of doing this, believe me and STRIPE wouldn't be a way of doing it. That;s just laughable.

TL;DR. SCREW STRIPE.

2 comments

If a merchant type has 90% good merchants and 10% bad merchants, then that's too many bad merchants - this means that you either have to treat all of them as very risky; or adopt pain-in-the-ass filtering to make it more like 99+% good / <1% bad if it can be done; or charge a totally uncompetitive 10% extra fee from each payment to cover your risks.

It's not enough for you to be good. If an unreasonably large proportion of merchants in your segment are bad, then you can't be trusted to be good unless there are easily distinguishable factors that differentiate you, or the volumes are high enough to warrant the expense of doing a proper audit of your business, as the some examples Stripe describes.

or learn to do proper due diligence and stop blanket blocking what could be very profitable clients.
Proper due diligence is expensive, it may easily be a smart business decision to choose a blanket ban on a minority of segments and leave the due diligence to businesses who can specialize on doing that cheaply and accurately.

The article explicitly gives multiple examples where they have accepted businesses from those risky categories after proper due diligence. However, it's quite likely that for Stripe it makes sense to do so only for businesses above a certain size or influence, not for everyone in the category who applies.

If proper due diligence is expensive, let the merchant pay the fee for it.
How does one sale white label products? How to get access to inventory? Let's say I want to sale shavers under my own brand and marketing rules? How to start, do I need to have 100k to start? Please sane basic advice or tips.. What is your product?
Go read https://m.reddit.com/r/FulfillmentByAmazon/

You can start for $100.

Thank you, my friend.