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PayPal is a standalone company owned by Ebay and offers an online, email-based payment method that is an alternative to credit card transactions, although you can also use PayPal services to process credit cards. Basically, PayPal lets buyers and sellers create a PayPal account to hold funds for transfers between parties, in effect turning PayPal into a “middleman.” A PayPal account is not a bank account, but it is generally connected to a traditional bank account or credit card so that funds can move back and forth.
Due to PayPal’s low fees, flexible payment options, and strong user base, your business can benefit by offering PayPal as another buying option. To get started, you’ll have to:
- Sign up for a PayPal Business account
- Confirm your email address
- Provide and confirm your bank account information
- Add your Social Security Number
- Set up PayPal as an additional payment option in your store
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