article thumbnail

Integrated Payments vs. Payfac-as-a-Service: What Developers Need to Know

USIO

Two prominent solutions that have emerged in recent years are integrated payments and Payfac-as-a-Service. Payfac-as-a-Service: Payfac-as-a-Service, short for Payment Facilitator as a Service, is a model where a third-party service provider facilitates payment processing on behalf of multiple sub-merchants.

article thumbnail

Understanding Risk Management Strategies as a PayFac

Stax

For SaaS companies, becoming a payment facilitator (or PayFac) offers a ton of advantages—including but not limited to—boosting retention and profitability while exercising greater control over the customer experience. Even the organizational shake-up that comes with the decision to become a PayFac may disrupt your core business.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

How to Maintain Anti-Money Laundering Compliance as a PayFac

Stax

In this article, we’ll discuss everything you need to know about ensuring AML compliance as a payment facilitator (or PayFac). Key AML Requirements for PayFacs Now that we’ve covered the basics of AML compliance and its role in the financial system, let’s dive deeper into how PayFacs can help. Let’s get started.

article thumbnail

PayFac as a Business Model

Agile Payments

PayFac or Payment Facilitation enables software platforms to both brand and monetize payment processing offerings while at the same time offering instant, hassle-free customer payments onboarding.

Payfac 88
article thumbnail

PayFac vs. ISO: What Is the Optimal Integrated Payment Strategy in SaaS?

Our comprehensive article delves into the merits and challenges of Payment Facilitators (PayFac) versus Independent Sales Organization (ISO) registration. Understand the nuances of speedy onboarding with PayFacs and the enterprise value advantages of ISOs. Delve deeper into issues of scalability, compliance, and setup.

article thumbnail

How to Choose Between a Payment Facilitator (PayFac) and a Merchant of Record (MoR) for Your Business

Subscription Flow

To simplify the intricacies of payment processing, two well-known solutions have surfaced: Payment Facilitators (PayFacs) and Merchants of Record (MoRs). Understanding Payfac vs Merchant of Record Payment Facilitators (Payfacs) and Merchants of Record (MoRs) are two different ways to process payments.

article thumbnail

Payment facilitation and risk management: What do vertical software companies need to know?

Payrix

What is a PayFac® developer? As a PayFac developer , software companies become their own payment facilitator , and therefore, can offer payment processing services directly to their merchants. We will explore the risk s in more detail in the next section. What is PayFac-as-a-Service?

article thumbnail

The Economics of Payment Facilitator Registration

As the popularity of becoming a PayFac (payment facilitator) grows, it's crucial to understand the intricate economics involved. Our article delves deep into the costs, complexities, and risks associated with PayFac registration. Explore upfront investment expenses and the long-term financial implications.

article thumbnail

The SaaS Payments Journey: Important Steps to Consider

For many SaaS companies, becoming a Payfac is an opportunity to benefit from a new revenue stream and gain more control over the customer experience. What does it really take to become a Payfac? We’ve got an overview of the journey from software company to full-blown Payfac.

article thumbnail

Compliance 101: What You Need to Know as a Payfac

Payment facilitators are obligated to follow rules and regulations from the multiple entities that govern the payments ecosystem. Compliance is achieved by implementing the appropriate processes needed to adhere to these rules and remaining aware of changing conditions.

article thumbnail

Your Guide to Embedded Payments

Part of the reason for this owes to the sheer volume of terms used to describe some of the approaches within the space, like payfac, payment facilitator, merchant of record (MOR), embedded payments, software-led payments––and that's just to name a few. Right now, the embedded payments conversation can be downright confusing.

article thumbnail

The Payfac eBook

There’s plenty of talk out there regarding payment facilitators and how they fit in to the landscape of software-led payments. But the information can be a lot to sort through: What is a payment facilitator, exactly? What do they do? What’s involved in becoming one? And who should make that move? This guide answers those questions and more.

article thumbnail

SaaS Payments 101: Roadmap for Monetizing Payments

The payment facilitation (payfac) model and partnership offerings create a near- and long-term roadmap for SaaS growth and transformation. Explore this whitepaper to learn more about the payfac opportunity and why it has never been more important to your software business.