How should I name and structure merchant accounts for franchisees?

Merchant accounts for franchisees

Merchant accounts can be set up in 2 ways:

  • One merchant account per store.
  • One merchant account for all stores.

Note: Only one payout account can be attached to a merchant account. This means that the revenues of multiple stores under a single merchant account will have to be paid out to the same account.

For example:

  • An individual owns 7 stores but wants to be paid out to a single payout account: Only one merchant account needs to be created.
  • An individual owns 7 stores but wishes to be paid out to an individual payout account: They need to create a merchant account for all stores.

Tip: Having multiple stores under the same merchant account is possible only when the same legal entity owns all stores.

Name the franchisee merchant account

When onboarding a new franchisee, discuss reporting and integration to see which format fits your needs.

Consider adding letters indicating:

  • brand
  • country/region
  • store number
  • name of the franchisee operating the account.




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