valeur prépayée : personne qui paie avec une carte cadeau prépayée dans une boutique
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The importance of KYC when opening merchant account

The attractiveness of a marketplace depends on the number and quality of its merchants. Every new salesperson is a vector of growth: new business opportunities, new sources of revenue and added value. So many advantages!

In the marketplace-merchant relationship, integration is a crucial stage, requiring fast, straightforward onboarding. However, there is a shadow in the picture: KYC / KYB. A real headache for platforms, yet essential from a compliance point of view, find out why this procedure is so important for opening merchant accounts?

What is KYC / KYB?

KYC / KYB, which stands for “Know Your Customer / Know Your Business”, is the mandatory procedure for verifying the identity of merchants before using your marketplace. Your Payment Service Provider must therefore collect legal documents from your new sellers, in order to validate their compliance, before opening merchant accounts.

This identity verification process, required by law, is designed to prevent fraudulent activity, money laundering and the financing of terrorism. This KYC / KYB procedure is compulsory for all marketplaces, in order to be able to manage the collection, blocking and remittance of funds.

The importance of successful onboarding

For a marketplace administrator, the administrative onboarding of new sellers and the KYC / KYB procedure are often a real obstacle course. Between the multiple requests for legal documents from merchants, the potential reminders to be made and the back-and-forth between the PSP compliance department and the seller in the event of problems (incorrect documents, scanning problems…), a lot of time and money is spent on this task.

So, when it comes to signing up new merchants, you can call on your PSP to handle the KYC / KYB procedure. By delegating this step to an agent recognized and authorized by the Banque de France, such as CentralPay, you free yourself from all the legal and regulatory constraints that usually generate friction.

👉 To find out more about the impact of merchant onboarding on marketplace performance, click here!

Simplifying the collection of KYC / KYB documents

To guarantee the growth of your marketplace, the contracting phase for new merchants must be as clear and simple as possible for everyone, allowing merchants and platform administrators to exchange information 100% digitally before finalizing the creation of their merchant accounts.

With Fast Platform, a solution dedicated to marketplaces, we simplify contracting for your sellers with streamlined interfaces and automated processing:

✔️ Initiate merchant account creation requests, via API or CentralPay backoffice.

✔️ Remote subscription process for the marketplace and its payment terms, using the dedicated contracting portal.

✔️ KYC / KYB check by our compliance department, which collects and checks legal documents (ID, KBIS, etc.).

👉 To find out more about onboarding and merchant account creation, click here!

And to go further? Instant Onboarding

Using your salespeople’s SIREN numbers, we automate a large number of actions, enabling you to onboard new recruits in just a few minutes:

✔️ Automatic retrieval and authentication of company data (company name, type of structure, address, date of registration, legal representatives, beneficial owners)

✔️ Automatic retrieval of updated KBIS from commercial court registries

✔️ KYC / KYB process limited to the merchant’s forecasted volume of collections

Eventually, simplified onboarding and KYC / KYB procedures will enable you to concentrate solely on your commercial activities, benefit from more extensive product catalogs and thus ensure your growth!