Simply put, a Merchant of Record is the party that processes and distributes the payment for a product or service and is responsible for the related outcomes. This is distinguished from Payment Processors, such as Stripe, which may process transactions, but is not directly responsible for outcomes between the customer and Seller of Record.
For example, Airbnb is the MoR for all Host and ProHost transactions: they charge the guest booking fees and taxes and then deduct platform fees and pass the remaining funds onto the Hosts. If there’s a dispute, Airbnb mediates the outcome between the Seller of Record and the customer. On the other hand, most major hotel brands typically act as both the Merchant and Seller of Record for transactions and related outcomes.
Dtravel’s platform is designed to empower hosts and managers with ownership, which means that Hosts and Managers are the MoR in all instances on Dtravel. This places each host as the central decision-maker for their business, but also carries important responsibilities that may include:
- Tax collection & remittance
- Licensing & Fees
- Local short-term rental regulations
As a service provider to lodging merchants, Dtravel will continuously work to provide tools and integrations that empower and enable you to run your business.
⚠️ IMPORTANT
The information found in this section is intended as a starting point to understand certain types of regulations and is subject to change. If you have questions about which laws apply to you, or questions specific to your business, consult with a qualified expert who is familiar with the relevant laws and taxes that might apply to your business. |