Stripe Connect was originally introduced in 2015 and is part of the company’s bigger aim to provide financial services beyond simple payments. In this case, it covers not only paying in and out in different currencies, but also things like identity verifications and handling localized regulatory compliance, currently covering 25 countries and based on a commission per transaction. For standalone accounts, accepting payments costs 1.4% + 20p for European cards and 2.9% + 20p for non-European cards. Managed accounts that gives you access to more customization and transfer timing is charged at 0.5% more.
Aimed at marketplaces, Amazon-style platforms where both buyers and vendors of goods or services come together to transact, that want to expand both inside and outside of their home markets, Stripe Connect follows the basic form of other Stripe services in that it’s based around APIs. This means businesses can add a line of code to begin using it.
Originally, Stripe Connect was only available to companies in the US and Canada. Their customers include companies like Lyft and Kickstarter. Now it’s also working with a range of marketplace startups in the European neck of the woods, including Deliveroo, LoveHomeSwap and fashion site Lyst.
In addition, Stripe Connect’s expansion comes at an interesting time in the European tech world. Most in the UK and those who do business in it are waiting to see just how the Brexit referendum will play out, some with more than a little apprehension and dread.
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