Stripe App
The Revenew Stripe App has been designed especially for businesses using Stripe Connect. It provides a comprehensive breakdown of your payments: fees, currency conversions, seller payments and perhaps most importantly, your net revenue and margin.
We crunch the numbers, so that you don't have to. You can install the app for free, with no sign-up required, following the link below:
Compatibility
There are a number of ways in which payments can be initiated and platform fees applied when using Stripe Connect. The table below indicates the payment types and specific features currently supported.
| Payment Type | Feature | Supported |
|---|---|---|
| Destination Charges Express & Custom Accounts | Transfer Amount | ✅ |
| Application Fees | ✅ | |
on_behalf_of | Coming Soon | |
| Direct Charges Standard Accounts | Transfer Amount | Coming Soon |
| Application Fees | Coming Soon | |
on_behalf_of | Coming Soon | |
| Revenew Orchestrated Transfers | Coming Soon |
How we model Stripe Connect Payments
The actual flow of funds for a Stripe Connect payment will depend greatly on the combination of features used above.
When applying your fees using transfer_data[amount], the value specified determines the absolute amount in the presentment currency that should be transferred to the connected account, before any currency conversion takes place (where applicable).
One issue with this approach is that any fees you apply (such as commission) are not visible to the seller (connected account).
Application Fees improve on this by providing a structure to represent your fees. The flow of funds is more consistent with the ledger flow found other platform and marketplace systems. In this flow, the full allocated amount is transferred to the seller who then pays your fees.
In our Stripe App, we always model payments in this way, so whether you use transfer_data[amount] or application fees, the seller payment breakdown will always show the full allocated amount (typically the presentment amount) in your settlement currency followed by any fees that you charge.
Though Application Fees do improve the transparency of platform fees, they do introduce the additional complexity when your sellers have different settlement currencies to your platform:
- Since the fees are charged in the seller's currency, when transferred back to you they will be reduced by any FX markup Stripe have applied
- Application fees are not converted back to your regular balance. Instead a balance in the seller's settlement currency is accumulated
Definitions
The table below provides a definition of each field and how it is calculated.
| Field | Displayed | Description |
|---|---|---|
| Currency Flow | Always | Displays the presentment (payment) and balance (settlement) currencies |
| Payment Amount | Always | The amount in the currency paid by the end user |
| Converted Amount | FX conversion required | The balance amount without Stripe's FX markup* |
| Balance Amount | FX conversion required | The gross amount transferred to your balance |
| Stripe Processing Fee | Always | Stripe's processing fee as per the fees for your region |
| Stripe FX Fee | FX conversion required | Stripe's FX markup for the conversion |
| Seller Payments | Stripe Connect Payments with transfer destination | The total amount paid to your sellers and the accompanying fee revenue, in your balance currency |
| Net Revenue | Always | Your balance amount minus any fees |
| Net Margin | Always | Your net revenue against the converted amount |
| Seller Payments | Stripe Connect Payments with transfer destination | A breakdown of each seller payment |
| Currency Flow | FX conversion required | Displays the flow from presentment to seller balance currencies |
| Allocated Amount | Always | The gross amount allocated to the seller in your balance currency |
| Converted Amount | FX conversion required | The allocated amount converted to your balance currency including Stripe's FX markup |
| Your Fees | Stripe Connect Payments with transfer destination | Application Fees or for payments made using transfer_data[amount] a "Commission" fee will be calculated based on the difference between the transfer amount payment amount |
| Sub-total | Always | The allocated amount minus any fees you apply to the sellers |
| Converted Amount | FX conversion required | If the seller's balance currency differs from yours, the converted amount without Stripe's FX markup |
| Stripe FX Fee | FX conversion required | Stripe's FX markup for the conversion |
| Balance Amount | FX conversion required | The net amount settled to the seller in their balance currency, including Stripe's FX markup |
| Seller Net Revenue | Always | The net amount settled to the seller in their balance currency |
| Net Margin | Always | Seller's net revenue against the allocated amount |
A currency conversion occurs if the presentment currency differs from the settlement currency. Stripe will use the current exchange rate plus a markup which ranges from 1-2% depending on the region of your account. This fee is not included in the Processing Fees displayed in the Stripe Dashboard so we calculate the fee based on the markup percentage and the converted amount.
More information on how Stripe handles currency conversion can be found here.