1. Commercial Model & Roles
Payoup is structured as a technology and commercial platform that offers services supplied by independent service providers to customers as principal seller (Merchant of Record). The service provider (freelancer, digital service producer or independent professional) acts as a supplier to Payoup. The customer-facing sale is concluded through Payoup.
Payoup does not provide payment services on behalf of third parties. Its commercial model is based on purchasing services from suppliers and reselling those services to customers.
| Party | Role |
|---|---|
| Customer | Customer purchasing a service through Payoup. |
| Payoup (ENEXFI LTD) | Acts as the principal seller / Merchant of Record and is the counterparty to the customer for the commercial sale. |
| Service Provider | Supplier to Payoup. As a freelancer, digital service producer or independent service provider, produces and delivers the service and performs its contractual obligations to Payoup. |
| Licensed Payment Processor | Processes customer payments for Payoup and settles to Payoup's merchant account according to its applicable settlement rules. |
| Licensed Payment Service Provider | Executes Payoup's commercial payment obligation to its supplier. |
2. Core Funds Flow
The customer payment is processed by the licensed payment processor in connection with the sale made by Payoup to the customer. After the processor completes its settlement process, the net settlement amount is transferred to Payoup's merchant account.
Following settlement, Payoup pays the Supplier Price to its supplier through a licensed payment service provider pursuant to its commercial purchase relationship with that supplier.
3. Service Provider (Freelancer) Onboarding Flow
| 1 | 📝 |
Registration
The service provider creates an account on the Payoup platform. |
| 2 | 🪪 |
KYC / Identity Verification
Identity information and required verification documents are reviewed under Payoup's applicable KYC process. |
| 3 | 🏦 |
Bank Account Verification
The supplier's verified bank account is added and account-holder information is checked against the applicable KYC information. |
| 4 | ✅ |
Account Approval
Payoup approves the service provider account after completing the applicable checks. |
| 5 | 🚀 |
Service Listed for Sale
The service provider sets and lists the service together with the selling price. As a rule, Payoup adopts and approves this price as the Retail Price applicable to the customer; it may modify it or set a different Retail Price in accordance with its own commercial policies. Sales may be made through Payoup Global, Payoup Store, payment links, an online store, or API/embed integration. |
4. Order & Back-to-Back Commercial Relationship
| 1 | 👤 |
Customer Purchases from Payoup
The customer purchases through Payoup checkout; the sale is made through Payoup at the retail price applicable at the time of the order. Regardless of the channel through which the customer reaches Payoup (Payoup Platform, Payoup Store, a payment link, an online store, or an external website/API/embed → Payoup Checkout), the subsequent flow is identical. No payment is processed on the external website; card data is processed only within the Payoup Checkout environment. |
| 2 | 🔁 |
Back-to-Back Supply Transaction
In connection with the same order, Payoup purchases the Service from the service provider at the Supplier Price; the commercial purchase obligation arises at this point. The customer invoice is generated at the time of the order/payment and the service provider sees, in its panel, the Supplier Price calculated under the applicable commercial terms; the actual payment, however, is made after settlement (Step 7). |
| 3 | 🏦 |
Licensed Payment Processor Processes Payment
The payment is processed by the licensed payment processor, which applies its own fees and any applicable reserve or risk measures under its own contractual and settlement terms. |
| 4 | 🔒 |
Processor Settlement
The payment is subject to the processor's settlement schedule and risk controls; Payoup does not impose any additional customer-fund holding period. |
| 5 | 💳 |
Settlement Reaches Payoup Merchant Account
Once settlement completes, the net settlement amount is transferred to Payoup's merchant account and is recorded as Payoup's own commercial collection arising from the sale it made to the customer. Prior to this stage, Payoup does not have access to or control over the customer payment funds held under the payment processor's control. |
| 6 | 💜 |
Payoup Accounts for Its Revenue and Commercial Margin
Payoup accounts for the full Retail Price invoiced to the customer as its own sales revenue, and for the Supplier Price payable to the service provider as the commercial cost of that sale. The difference between the two constitutes Payoup's commercial margin. |
| 7 | 👨💻 |
Supplier Payment
After settlement, Payoup discharges its own commercial debt that arose in Step 2 by paying the supplier's verified bank account through a licensed payment service provider. |
The Supplier Price is calculated by Payoup on the basis of the price listed by the service provider on the Platform, taking into account Payoup's applicable commercial margin and the relevant commercial terms, and constitutes Payoup's commercial purchase obligation owed to the service provider. Each customer order automatically creates, in connection with the customer sale, Payoup's purchase of the relevant Service from the service provider. This purchase transaction and the customer sale are economically linked but are legally separate commercial transactions. The calculation of the Supplier Price and the timing of its payment are subject to the applicable commercial, settlement, risk and verification conditions.
5. Key Funds Flow Points
| Aspect | Explanation |
|---|---|
| Who processes the customer payment? | Licensed payment processor. |
| Who does the customer purchase from? | Payoup. |
| Merchant / Billing Entity | PAYOUP / ENEXFI LTD |
| Where is card data processed? | Payoup checkout and the licensed payment processor's secure payment infrastructure. |
| Where are funds during settlement? | Under the control of the payment processor and subject to its settlement/risk procedures. |
| Where do funds go after settlement? | To Payoup's merchant account. |
| Who makes the supplier payment? | Payoup pays through a licensed payment service provider to discharge its own commercial purchase obligation. |
| On whose behalf is the supplier payment made? | For Payoup, in discharge of Payoup's own commercial obligation to its supplier. |
| Does Payoup hold third-party funds? | Under the model, customer funds do not reach Payoup before processor settlement. The amount received into Payoup's merchant account following settlement is the commercial proceeds of Payoup's sale to the customer. The payment to the supplier is the discharge of Payoup's own commercial obligation arising from its supply relationship. |
| Does Payoup impose an additional hold? | No. Settlement timing is determined by the payment processor's applicable rules. |
6. Transaction Example
The following example is illustrative only and is intended to explain the commercial relationship and funds flow. Actual processor fees and settlement amounts may vary according to the processor agreement.
| Step | Action | Amount |
|---|---|---|
| 0 | The service provider sets the selling price at €100.00. Payoup adopts and approves this as the Retail Price, and may modify it where necessary. | €100.00 |
| 1 | Payoup presents the service to the customer at a €100.00 retail price and the customer places the order. | €100.00 |
| 2 | Customer pays €100.00 to Payoup. | €100.00 |
| 3 | The payment processor applies, for example, a €2.50 processing fee. | - €2.50 |
| 4 | After processor settlement, €97.50 net is settled to Payoup's merchant account. | €97.50 |
| 5 | As principal seller, Payoup calculates the Supplier Price taking into account its applicable commercial margin. The margin is the difference between the Retail Price and the Supplier Price. | — |
| 6 | Payoup pays the resulting Supplier Price to the supplier's verified bank account through a licensed payment service provider. | — |
* This flow is an illustrative example intended only to show the sequence of the process. Payoup's commercial margin and the Supplier Price are calculated under the applicable commercial terms, and the exact amount is shown transparently to the supplier in the dashboard. Actual commercial pricing and payment processor costs are determined by the applicable agreements.
7. Regulatory Structure & Payment Services Boundaries
| Function | Party | Role |
|---|---|---|
| Customer Payment Processing | Licensed Payment Processor | Processes the payment and performs settlement. |
| Supplier Payment | Licensed Payment Service Provider | Executes Payoup's own commercial payment obligation to its supplier. |
| Commercial Sale | Payoup | Offers the service to the customer in its own name and manages the commercial sale. |
| Service Supply | Service Provider | Supplies the service to Payoup. |
Under Payoup's model, the commercial sale to the customer is made through Payoup. Payment processing and settlement are performed by the licensed payment processor. The supplier payment is made through a licensed payment service provider in discharge of Payoup's own purchase obligation.
This document is intended to describe that Payoup does not operate payment accounts for third parties, hold customer funds on behalf of third parties, or manage a funds flow for the purpose of transmitting funds on behalf of third parties. The final legal and regulatory assessment remains subject to the applicable jurisdiction, legislation, legal advisers and relevant regulatory authorities.
8. Boundaries of Payoup's Role
- Process customer payments under its own payment-services licence.
- Operate payment accounts for third parties.
- Hold customer funds in custody on behalf of third parties.
- Provide a funds-transfer service between third parties.
- Process card payments on service-provider external websites.
- Operate as an intermediary collecting customer funds on behalf of the supplier.
Payoup Does
- Offers services to customers under its own commercial model.
- Onboards service providers as suppliers.
- Manages the purchase relationship with service providers.
- Manages customer-facing sales and commercial terms.
- Uses licensed payment processors for customer payment processing.
- Discharges its commercial payment obligations to suppliers through licensed payment service providers.
- Provides platform, checkout, storefront, invoicing and operational infrastructure.
9. Operational & Risk Controls
| Control | Implementation |
|---|---|
| KYC | Identity verification during supplier onboarding. |
| Bank Account Verification | Verification of the supplier payment account. |
| Transaction Limits | Transaction limits subject to platform risk policies and processor requirements. |
| Service / Content Controls | Automated and manual controls for prohibited content and higher-risk service categories. |
| Dispute / Chargeback | Customer disputes and chargebacks are managed in accordance with the applicable processor procedures. |
10. Compliance Note
This document describes Payoup's commercial model, the roles of the parties and the funds flow to support payment-provider onboarding and compliance assessment. The descriptions in this document are not intended to constitute legal advice or a representation of regulatory approval.
The settlement, reserve, risk, supplier payment and compliance requirements of the payment processor and payment service provider are determined by their respective agreements and applicable regulatory requirements.