Payment online issue

Discussion in 'Growing and Managing a Business' started by elids1979, Sep 24, 2010.

  1. elids1979

    elids1979
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    Hi all
    I am currently working on a business that will give consulting services (relating to what to learn and where) online on a certain topic , what it means is i am selling the service online (a meeting with a consultant for 10$ an hour)
    lets put aside the success of such a business model, I am interested in another subject.
    I dont want those consultants to be my employees, all i want to do is the mediate between clients and consultants.
    Lets say the clients pay 10$ , i dont want them to be my revenues, i want to receive 2$ and transfer 8$ directly to the consultant in the moment of purchase.
    Yet, the problem is that i want to control the refund option and the timing the 8$ enters the teachers account (I want to trasfer them only when the client received the service and was satisfied)
    What are my options, and what is the best company to help me achieve those goals(paypal etc.) if its possible
    thanks in advnace
     
  2. Fergal

    Fergal
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    Why do you want to control the refund, wouldn't it be much easier if you took the $2 as a deposit and as your payment for your role in the introduction and let the client pay the consultant $8 directly?

    An extremely successful global youth hostel booking company from Ireland did something very similar. They accepted their fee as a deposit from the person booking the accommodation, then when the traveller visited the hostel they paid the outstanding amount owed.

    If you do want to accept all the payment you could have the client pay $10 to your PayPal and then pay the consultant $8 via PayPal, once he / she has delivered the service. However, if you do go down this route you will need to be conscious of the impact of PayPal transaction fees.
     
  3. elids1979

    elids1979
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    hello, thanks for the answer fergal
    bascially, our problem with transfering the 8$ directly to the consultant is that we are scared that the consultant will not show up for the meeting once the money is transfered or will give lousy service, and then, we, as the platform operator will get yells from the clients, and our reputation will be damaged, or worse
    in the example mentioned, you got established youth hostals that cant run with the money, in ours, its freelancers, some of which only starting to work with us.
    so, basically, i want to control the transfer of the 8$, or atleast give my client a way to cancel it if he is not satisfied (if his case his valid). any chance since the transfer is on my site, that i can delay the actual payment (both to me and the consultant) until the client received the service and didnt complain about it?
     
  4. Fergal

    Fergal
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    elids1979 what I'm suggesting is that the client pay you $2 up front. This $2 acts as a non-refundable deposit. Once the client has paid it, they have shown their commitment to attend a meeting with the consultant. A client who has made this commitment is much less likely to miss an appointment.

    Could you ask the client to pay the remaining $8 directly to the consultant at the end of their consultation? This would ensure that the consultant only gets paid if they turn up and deliver, to the client's required standard.

    This approach has the following advantages;
    • There is no risk to you, because the client has paid you a non-refundable deposit in advance. This deposit is your fee, for making the introduction
    • The consultants will only get paid after the consultation
    • You will only be referring committed clients to the consultants - they have demonstrated their commitment by paying the deposit.

    Could that work for you?
     

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