Platform-Governed Merchant Partnerships
Offer your merchants partnership templates with guaranteed settlements. You validate metrics, manage balances, and turn B2B transfers into productized network features.
Who Participates in a Merchant Transfer PayNote?
Payer merchant, payee merchant, and platform/processor collaborate inside one PayNote—turning complex partner terms into automated, guaranteed settlements.
Payer
Merchant A
Source merchant in the network who owes referral fees, revenue shares, or wholesale payments.
Payee
Merchant B
Partner merchant receiving settlement based on platform-validated metrics.
Guarantor
Platform / payment processor
Hosts partnership templates, validates triggers, and guarantees settlement timing.
Currency
Fiat (USD, EUR, GBP, etc.)
Uses platform-managed balances or connected bank accounts in familiar currencies.
Automated B2B Settlements Inside Your Network
Replace ad-hoc merchant agreements with platform-governed PayNotes that enforce revenue shares, referrals, and supply chain terms automatically.
Productized Partnerships
Activate pre-built templates (“10% referral commission”, “50/50 revenue share”) instead of negotiating from scratch.
Guaranteed Settlements
Platform controls merchant balances and enforces payment terms automatically—no more IOUs between merchants.
Shared Data Automation
Partnership metrics—referrals, sales, milestones—flow from the platform to trigger settlements without manual intervention.
How the Three Parties Interact
Platforms provide partnership templates, validate triggering metrics, and guarantee settlement. Merchants focus on growing revenue together.
Why this matters:
- Merchants no longer need to trust each other directly—the platform enforces terms.
- Complex metrics (referrals, GMV splits, milestones) are validated automatically.
- Disputes shrink because every decision is recorded in the shared PayNote timeline.
Payer Merchant
- Activates partnership templates and sets budgets or limits.
- Generates referrals or sales that trigger settlements automatically.
- Maintains sufficient balance or payment method for scheduled payouts.
Payee Merchant
- Joins partnerships, receives guaranteed payments, and reviews shared metrics.
- Uploads evidence when required (e.g., service delivery, milestone completion).
- Relies on platform enforcement instead of chasing partner merchants.
Platform / Processor
- Hosts partnership templates and validates triggering events.
- Manages merchant balances and schedules settlements.
- Arbitrates disputes with PayNote evidence, building trust across the network.
For the platform, this evolves you from a passive marketplace to an active B2B hub—charging for partnership enablement and building durable network effects.
See How It Works
Walk through a merchant-to-merchant settlement with platform-guaranteed terms.
Automated affiliate commissions driven by tracked referrals—the flagship scenario.
Structured, milestone-based B2B transfers to support complex partnerships.
Example Use Cases
Affiliate / Referral Programs
Merchant A refers customers to Merchant B; 10% commission PayNote settles automatically every month.
Revenue Share Partnerships
Two merchants split revenue 50/50 based on platform-reported sales—settlements trigger after each sale.
Franchise / Licensing Fees
Franchisees pay headquarters based on monthly sales metrics validated by the platform.
Supply Chain Settlements
Retailers pay suppliers automatically when goods move through logistics milestones.
Joint Service Delivery
Multiple merchants co-deliver a project; platform milestones release staged settlements.
Marketplace Revenue Sharing
Platform orchestrates seller-to-seller collaborations with guaranteed payouts and shared audit trails.
Value Proposition
For Platforms / Marketplaces
New B2B Revenue Stream
- Charge transaction fees on merchant-to-merchant settlements.
- Offer partnership facilitation or template setup fees.
- Monetize premium analytics and automation features.
Stronger Network Effects
- Merchants stay because partnerships drive revenue.
- More partnerships attract more merchants, compounding growth.
- Create a moat by becoming the platform where merchants do business together.
Operational Efficiency
- Standardize partnership templates to reduce manual work.
- Resolve disputes quickly with PayNote evidence.
- Lower support volume around partnership payments.
For Payer Merchants
Partnership Automation
- Eliminate manual tracking of referrals and revenue shares.
- Scale to dozens or hundreds of partners without new back-office burden.
- Audit-ready trail for every settlement.
Predictable Cash Flow
- Know exactly when partnership debits occur.
- Budget for commissions with clear schedules.
- Rely on platform guarantees instead of partner promises.
Dispute Protection
- Platform validates triggering metrics before releasing funds.
- Evidence-based settlements prevent unfair claims.
- Platform mediation keeps relationships on track.
For Payee Merchants
Guaranteed Payment
- Platform, not partner, ensures settlement occurs.
- Avoid chasing invoices or waiting on manual transfers.
- Enjoy predictable cash flow from partnerships.
Transparent Metrics
- See referrals, shared sales, and triggers in real time.
- Trust the platform’s attribution and validation.
- Avoid disputes over “who sent which customer”.
Partnership Discovery
- Find compatible merchants through platform directories.
- Onboard quickly with ready-to-use templates.
- Scale new partnerships without bespoke negotiation.
Platform Operations & Risk Controls
What You See:
Partnership activations, triggering events, and settlement requests:
- Merchants accept partnership PayNotes with predefined terms.
- Platform records referral, sales, or milestone events that trigger payments.
- Settlement requests debit payer balances or payment methods at scheduled intervals.
- Evidence and attribution logs update automatically for dispute-free auditing.
Your Role as Guarantor:
- Validate metrics (referrals, revenue, milestones) before approving settlements.
- Hold payer balances or charge on demand to guarantee payee payouts.
- Enforce schedules—weekly, monthly, or event-driven—with automated debits.
- Arbitrate disputes using PayNote evidence and your existing merchant policies.
Risk Controls:
- Vet merchants before partnership activation; ensure they remain in good standing.
- Maintain balance requirements or credit limits for payer merchants.
- Apply velocity and amount caps to partnership settlements.
- Monitor chargebacks or disputes to suspend abusive partnerships quickly.
Revenue Models:
- Charge setup fees for activating partnership templates.
- Take 1–3% transaction fee on each merchant-to-merchant settlement.
- Upsell analytics, partner discovery, and premium automation features.
- Introduce partnership marketplaces with placement fees.
What Changes Operationally:
You manage merchant balances, track partnership performance, and respond to disputes as part of your core operations. In return, you create stickier merchants, new revenue streams, and a defensible network.
FAQ for Platform Decision Makers
Do we need to hold merchant funds?
Not immediately. You can charge merchants on demand via cards or bank accounts. As partnerships scale, most platforms migrate to holding balances for better control.
What if payer merchant lacks funds?
Decide per policy: advance funds and collect later, delay settlement until balance refills, or suspend the partnership. PayNote keeps the payee informed throughout.
How do we validate partnership metrics?
You already capture referrals, sales, and usage data. PayNotes reference your existing telemetry as conditions for automated settlement.
What liability do we take on?
Only what you control. If you advance payments, you have recourse against payer merchants. By owning balances and platform access, you manage exposure.
Are we locked into a vendor?
No. PayNotes are open protocol documents. Start managed, migrate to self-hosted anytime—the documents remain portable.
What is the onboarding flow?
Merchant A selects a partnership template and invites Merchant B. B accepts, terms activate, and you monitor events. Clean activation without custom contracting.