The upsides to a cash-only business is that whatever money you make, you make it on the spot. This is versus using credit card systems or other types of payment systems in which you usually have to wait for it to be processed and paid out to you. However PayPal is hoping to do away with that stigma with a new feature called Funds Now.
With Funds Now, PayPal will basically instantly pay businesses for whatever sales they make on the spot. According to PayPal, one of the biggest complaints that they’ve received, especially from smaller businesses, is the delay involved in accessing funds, which can take as long as 21 days. This can be particularly rough for small businesses who might need the funds early or quickly.
With Funds Now, PayPal hopes to eliminates those delays with instant payouts. However there is a catch and that is not all businesses will be eligible for it. For starters they will need to have at least 6 months worth of PayPal business account sales history, a strong selling history with successful PayPal transactions, and confirmed account information, just for a start.
Even then PayPal notes that it won’t always be instant either as it could be delayed when there is suspicion that there might be an account takeover, fraudulent activity, or if PayPal needs to comply with anti-money laundering or sanction regulations.
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