Sharetribe does not charge marketplace administrators any transaction fees. However, PayPal charges marketplace sellers a payment processing fee for each payment transaction.
How big is PayPal's payment processing fee?
The fee is a combination of a percentage of the total transaction price and a fixed fee. The size of the fee is between 2% and 5%. It depends on three things: the country of the seller, the country of the buyer, and the seller's monthly sales volume. In general, domestic purchases have lower fees than international purchases and sellers with higher volumes get a discount in their fees.
Can merchants calculate their exact payment processing fees?
PayPal's fees for domestic purchases are publicly available for merchants in the following countries:
Merchants from other countries and merchants who want to sell internationally can see their fees by logging in to their PayPal accounts and opening this page. The final payment processing fee will be shown in the automatic receipt that is sent to the seller via email after the purchase.
Is the fee lower if the buyer pays with their PayPal account instead of their credit card?
No. The payment method does not affect the size of PayPal's processing fee.
How does PayPal charge its fee?
PayPal will automatically deduct the fee when the money is delivered from the buyer to the seller. For example, if the total size of the transaction is $100 and PayPal's fee is 3%, the seller will receive $97 in their PayPal account and PayPal keeps $3.