If eBay and PayPal are the parents in their corporate “divorce,” then sellers are the children suffering the effects.
PayPal tried to find a way for eBay sellers with working capital loans to continue to be able to make automated payments, but as we reported last month, once sellers are migrated to eBay Managed Payments, they must make manual payments. (PayPal politely refrained from stating with whom the blame lay.)
But PayPal isn’t giving up on its services for eBay sellers, and in an open letter today, it said it was developing the next generation of PayPal Working Capital.
It made a point of noting the product won’t be limited to eBay: “These new features will address the rapidly evolving commerce ecosystem and provide support for merchants who choose to sell goods across a variety of platforms and marketplaces.”
PayPal will roll out new features in the coming months.
PayPal also offered to work with sellers who have difficulties due to the pandemic, writing, “If your business is still facing significant hardship and you need more flexibility in paying your loan, we want to help. Please contact us.”
You can find the full letter on the PayPal corporate newsroom.
When the split was announced and the paperwork done, eBay was not allowed to drop Paypal or have the majority of its customers in its payment system for 5 years. We are seeing that now. Paypal was barred from creating its own selling platform for 5 years, when will we see that? That will be the true exodus from eBay.