Paying vendors by Stripe

Last updated July 2nd, 2020

This article will explain how to connect Stripe to your Jetti account. To learn more on the capabilities and functions of Stripe payouts, kindly get in touch with the Stripe support.

We recommend using Stripe where possible for handling vendor payments. There are two ways you can use Jetti to pay your vendors using Stripe: Stripe connect and Stripe managed accounts. With both of these options, payments can be fully automated, or manually sent periodically (e.g. send payments weekly or monthly).

Stripe fees

• Stripe will remove 2.9% + 30c from each payment to a vendor. For example, if you pay a vendor $100.00, a $ 3.20 fee will be taken by Stripe. Payments are grouped together to reduce fees. For example, if you owe the vendor for two orders, this will be sent as a single payment.
• Jetti will apply a 1% to 0.5% platform fee for each payment. These fees are settled weekly and are visible from the transactions page.
• If you use Stripe's managed account feature, Stripe will apply a 0.5% + 0.10c fee against the payment. This is not applied when sending funds directly to the vendor's Stripe account.

Setting up Stripe

Use this option where the vendor has an existing Stripe account that you can send funds to. By default, Jetti uses the payment card associated with your subscription to pay the vendor. If needed, a separate payment source can be setup. The vendor will incur Stripe's standard fees (2.9% + 30c).

The setup process for the vendor is straightforward, they just need to authorize Jetti to send funds to their Stripe account in their dropship portal:

1. First, add a user under the Add vendor emails section for the dropship provider. You can add more than one email if needed.
2. Click the invite button. Under the Payment setup status field, select Ask vendor for confirmation. Then, set the content of the email to send to the vendor. You can either use the default message or specify your own.
3. The vendor will then get an email with a login link to the dropship portal. They'll also get a red alert on the payments tab. They'll need to click into the tab, select Stripe as the payment method and authorize Jetti to connect to Stripe.
4. Once the vendor has connected their Stripe account, they should click the Confirm setup button. You're now ready to send payments to them.

Sending payments

Invoices are created in Jetti as items are shipped out by the vendor. You'll need to either set up a commission rate for the vendor OR manually manage cost prices on your variants. You can read more details on selecting a pricing model on our payment guide for multi-vendor marketplaces.

1. Go to the settings page for the dropship provider. Click on the Pay button in the header.
2. In the popup, select which invoices you want to pay the vendor. You can make any adjustments against each invoice if needed. If you want to add shipping costs, you should first setup your vendor's shipping profile.
3. Enter a reference for the payment. Most people enter the current date or week number here.
4. Click Pay. This will create a single transfer for all of the selected items to be sent from your card to the vendor's Stripe account. Batching multiple invoices into a single transfer reduces the transaction fees for the vendor.

These transfers are sent out daily at 11am UTC, so you will still have until that time to make any adjustments if required. The vendor will get an email notification whenever they are sent a payment.

In the vendor's Stripe account, the payment will then appear. They'll see the same reference you entered in Jetti. They'll also be able to view a breakdown of the transfer within the dropship portal.

Once you are up and running with vendor payments, you might want to consider enabling the pay automatically option. This will settle any open invoices with the vendor daily, without the need to do any manual transfers.

Handling bounced payments

Occasionally, you may get alerts letting you know payments have failed to send. This usually happens when your payment source has declined the transaction. If you are using fully automated payments, Jetti does space out the payments to once a minute to avoid this. However, some card issues occasionally block payments if too many go out at once.

To send the payments again, go to Setup > Billing > Vendor payments. You can then uses the filters to show the payments with a status of error. If you click into each payment to view more details, you can see the error reason (e.g. Your card was declined.). You can also click the Send to Stripe button to try the transfer again. It usually take a few seconds to go through and the status will update if successful. You can optionally leave a note if needed.

Payments can also get declined if your vendor has disconnected their Stripe account. Or, if additional verification is required.

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