Stripe-Atlas doesn't accept dropshiping!

Discussion in 'Business & Tax Advice' started by sanj108, Feb 12, 2018.

  1. sanj108

    sanj108 Regular Member

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    Recently I've approached stripe support to form an LLC in Delaware with a Bank account. I explained the business model will be a dropshipping business. The person on that other side said that they do not support dropshipping business in the term of forming a LLC.

    Have anyone got any other solution? I have problem with paypal recently and thus cannot consider this as a reliable payment processor. I need to form a LLC with stripe+bank account to do business legally in the US and also to have a solid foundation that my customer can trust.
     
  2. Fenix19

    Fenix19 Regular Member

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    Bluesnap
     
  3. sanj108

    sanj108 Regular Member

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    New to me, do they help accepting paypal payments (vise-versa) from customers?
     
  4. kurosaki4d

    kurosaki4d Regular Member

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    Any other alternatives to offer to handle the LLC for you like Stripe Atlas does !
     
  5. Akieasendo

    Akieasendo Junior Member

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    Every dropshipper is using Stripe lol just don't tell them that you're doing dropshipping and they can't prove you're doing dropshipping
     
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  6. Kratos168

    Kratos168 Jr. VIP Jr. VIP

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    Use your local payment processor that can handle credit card payment. Omit PayPal as payment mode since most local payment processor do not accept PayPal.
     
  7. qAlex26

    qAlex26 Junior Member

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    true, many uses stripe , they say they don't accept it so in case of something it's not their fault something like that. but you can use it.
     
  8. Kratos168

    Kratos168 Jr. VIP Jr. VIP

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    Well you will have to take the risk as funds can be withheld and account get shut down after a few charge back. If you do dropship just be prepared for charge back.
     
  9. kurosaki4d

    kurosaki4d Regular Member

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    I don't think a person can go that far with Stripe, because before or right after the validation/creation of Stripe Atlas they study your project very closely and they see what your site is all about ! How long can you hide the sun xD
     
  10. qAlex26

    qAlex26 Junior Member

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    there it's always a risk in any bussiness, google it see for how much time droppshippers uses stripe and still uses without any problem.
    not really..
     
  11. Sakil Mahmud

    Sakil Mahmud Newbie

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    How about square and 2checkout?
     
  12. Kratos168

    Kratos168 Jr. VIP Jr. VIP

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    You can use as long as you keep charge back low maybe less than 3% of your turnover. Anything above is simply too risky. For dropship products charge back happens so frequent. As customers might find out cheaper alternative or direct source and regret on their impulse purchase.
     
  13. qAlex26

    qAlex26 Junior Member

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    exactly.
     
  14. kurosaki4d

    kurosaki4d Regular Member

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    I've t
    I've talked to their support team and they told me you must not go above 1% it's not 3% which makes things even more complicated and impossible !

    So you can imagine, you can make your first sale and if your unlucky and get a chargeback request, that's equal to a 100% of revenue which is way above that 1% :D
     
  15. Kratos168

    Kratos168 Jr. VIP Jr. VIP

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    1% is madness. Even legit business has a charge back higher than 1%.
     
  16. kurosaki4d

    kurosaki4d Regular Member

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    Tell me about it, they are very strict. Specialy scammers tend now to look for websites who are using specificly Stripe gateway to target them ! This has became very known to the public !
     
  17. Kratos168

    Kratos168 Jr. VIP Jr. VIP

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    This just make dropshipping even more difficult to operate. Which is going to be an unfortunate event for many legit business.
     
  18. kurosaki4d

    kurosaki4d Regular Member

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    Well in a way they are right, they must protect themselves, because those who are in the dropshipping business have the highest rate of returns so that's not safe to them !

    I think what you can do apply for the Atlas program, but as a normal ecommerce site don't say anything about dropshipping, act like you own a physical shop that way you'll be considered as a normal and safe seller !
     
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  19. Endee

    Endee Newbie

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    Then I guess it will be best to also manually import the products because once they see oberlo or anything like that, they will know for sure it's a dropshipping store. Right?
     
  20. kurosaki4d

    kurosaki4d Regular Member

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    But if you are using a shopify store, the oberlo app of your store can only be seen from the backend not the front end, how will Stripe know that info about you ?
    I'm not using shopify that's why i'm asking, from the way i see it your store from the outside will look normal just like any other ecommerce websites, because if the dropshipping activity was visibile for the eye no buyer would want to sell from websites that do dropshipping !

    Just in case, check with F12 and then CTRL + F and see if your source code contains any keywords, like oberlo or drop shipping
     
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