Venmo is one of the most popular money transfer apps in the United States. Its popularity has grown thanks in part to its convenient features for quickly sending money between friends and family.
Although sending small transfers between friends is the app’s primary use, many are starting to use Venmo for business as well! If you would like to do this, where do you start? This article has all the answers you’ll need, so keep reading!
How Can I Set up Venmo for Business in 2023?
You can create a business profile on Venmo either after you sign up and get a personal account, or right when you sign up for Venmo for the first time in 2023. To create a business profile, go into the Venmo app, tap the “Me” tab that has your profile picture, and on that page tap “Create a business profile.”
There are a few steps you must take to create and start using your Venmo business profile, as well as some things to keep in mind, so keep reading to learn more!
How Do I Create a Venmo Business Account?
Before you can create a business profile on Venmo, you will first need to sign up for Venmo if you haven’t already.
Signing up will automatically give you a personal profile, but you can also create a business profile at the same time.
Once you have a Venmo account, you can begin the process of starting a business profile.
First, go to the Venmo app and tap the “Me” tab on the main screen. Under the “Me” tab, you will see the option to “Create a business profile.”
This will lead you to a series of prompts that will allow you to create a business profile.
So, if you haven’t verified your identity yet, you will be asked to do so by entering your social security number as well as some other identity-related information within the Venmo app.
Verifying your identity allows you to send more payments and use your Venmo balance to send money.
Once you have a business profile, you can manage it within the Venmo app. To sign in, just use your normal Venmo login information rather than your business username.
Is Venmo Free for Business?
There is no cost to sign up for a business profile on Venmo, nor is there a monthly fee. However, a fee is charged for every payment you receive on your business profile.
The fee is about 2% of each payment. Other than this, though, using Venmo for business is free of charge.
Can I Use Venmo for My Small Business?
Venmo is great for small businesses because many people in the US commonly use Venmo on their phones to send small payments.
You can use your Venmo business profile to receive payments using an online link or QR code, or you can receive payments in person using your QR code or username.
However, keep in mind that businesses that make $600 or more on Venmo in a year will have their earnings reported to the IRS and will receive a K-1099 form according to federal law.
Is There a Monthly Fee for Business Venmo?
There is no monthly fee charged for any of Venmo’s profile types. However, there are some fees to be aware of when using Venmo for Business.
First, you will be charged a fee of roughly 2% for each payment you receive. In addition, if you make an instant transfer to your bank account, this will cost 1.75% of the transfer amount.
What’s the Difference Between Business and Personal Venmo Accounts?
Personal Venmo accounts are meant to be used between friends and family to do things like split bills, send in your share of the rent, or send a thank-you gift.
Note that personal accounts aren’t meant to be used for receiving payments for goods or services of any kind.
Instead, Venmo allows users to create a business account in order to receive payments for goods and services, such as handmade items, a cleaning service, artwork, clothing, etc.
Can I Use Venmo to Receive Payments at a Shop?
If you have a verified business profile on Venmo, you can use it to receive payments at any shop! You can ask people to pay you using your username or QR code.
In fact, you could even print your QR code on a sign or photo at your checkout counter.
Your Venmo business profile will work well for all kinds of transactions, provided they are in accord with Venmo’s user agreement.
Setting up a business profile on Venmo is an easy and simple process. If you already have an account, just tap “Create a business profile” under the “Me” tab in the Venmo app.
Once you have an authorized business profile, you can receive payments for goods and services without getting flagged by Venmo. Many business owners use Venmo nowadays, and you can, too.