Hi Guys,
General question about the approach one would take when setting up a website that is focused on connecting individuals/companies for business transactional purposes.
How much exposure would you give yourself as the middle man? For example Uber and Ebay expose themselves to the entire transactional process (to the best of my knowledge - obviously outsourcing to companies like PayPal too). Whilst Gumtree limits their exposure by simply focusing on the initial contact and messaging process and leaving it to the seller and buyer to connect privately at the transaction level.
What kind of difference would it make if the transactions may be dealing with up to 6 figures per transaction? How much liability would the middle man take in case of fraud and illegal dealings?
Also what kind of benefits do we see with each approach.
Obviously having complete control of the beginning to end process is a clear advantage as it eases the process for consumers and also makes it easier to charge a small fee for the service, whilst leaving the transaction to the seller and buyer means there will be less risk involved for the middle man as he is simply connecting people, however it makes it harder to make a profit.
I know this is clunky so I apologise in advance, just trying to pick some brains here.
Cheers
General question about the approach one would take when setting up a website that is focused on connecting individuals/companies for business transactional purposes.
How much exposure would you give yourself as the middle man? For example Uber and Ebay expose themselves to the entire transactional process (to the best of my knowledge - obviously outsourcing to companies like PayPal too). Whilst Gumtree limits their exposure by simply focusing on the initial contact and messaging process and leaving it to the seller and buyer to connect privately at the transaction level.
What kind of difference would it make if the transactions may be dealing with up to 6 figures per transaction? How much liability would the middle man take in case of fraud and illegal dealings?
Also what kind of benefits do we see with each approach.
Obviously having complete control of the beginning to end process is a clear advantage as it eases the process for consumers and also makes it easier to charge a small fee for the service, whilst leaving the transaction to the seller and buyer means there will be less risk involved for the middle man as he is simply connecting people, however it makes it harder to make a profit.
I know this is clunky so I apologise in advance, just trying to pick some brains here.
Cheers
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