Venmo Business Account Review 2026: Pricing, Pros, Cons
Venmo is a low-cost option for businesses looking to accept contactless payments.
The bottom line:
Venmo, a peer-to-peer money transfer app, is a low-cost option for businesses looking to accept contactless payments. Venmo business accounts charge a fee of 1.9% plus 10 cents per transaction. Unlike competitors like Zelle, Venmo doesn’t offer free instant transfers. However, it does facilitate returns and offer free one-to-three-day transfers.
Software details
Payment processing fees
1.9% + $0.10
Between Venmo accounts.
Monthly fee
$0
Pros & Cons
Pros
Low per-transaction fees.
No monthly costs or setup fees.
Ability to accept payments via QR code.
Sends tax forms.
Cons
Instant transfers cost extra.
Not available outside of the U.S.
Full review
Venmo is a peer-to-peer payments app that lets customers transfer funds to businesses’ accounts. However, Venmo for business is not a point-of-sale system or payment service provider. It also doesn’t sell POS hardware or software.
Instead, Venmo business accounts are linked to your personal Venmo account, which is free to sign up for and use. You can switch back and forth between the accounts and track business and personal transactions separately. Both accounts can be accessed through the same login. The only costs associated with a Venmo business account are a per-transaction fee and the optional cost of instant transfers.
To register a Venmo business account:
- Once you’re in the Venmo app with a personal account, go to your profile then tap “Create a business profile.” This option may be in your profile settings (look for a gear icon) or right above your profile picture.
- Add your business name, a profile picture and a background image. You can also add product photos to a gallery.
- Tap “Publish” to make your business profile public.
Once set up, businesses can receive payments with their username, integrated Shopify and PayPal Checkout, or a unique QR code. Useful features of Venmo for business include:
- Tips: Turn on tipping in your account settings to prompt customers to add a tip to their purchase.
- Returns: Customers who made a QR code purchase receive a returns barcode with their email receipt. Refund policies are up to the merchant, but Venmo can transfer both full and partial refunds to the customer’s original payment method.
- Disputes: Process in-app disputes and chargebacks by a customer’s credit card issuer through Venmo support. Chargebacks can take up to 30 days to dispute and 75 days to resolve.
Venmo business accounts are best for businesses that:
- Mostly sell on the go: Venmo business accounts make it easy to accept contactless payments at pop-ups, farmers markets and other temporary events. Customers can easily transfer funds to you from anywhere via their Venmo app.
- Accept QR code payments: Sometimes contactless payments are simpler to facilitate than card payments. Plus, they don’t require a card reader. Venmo’s free QR code kit makes it easy to share and display your business account’s code, too.
- Use Shopify, PayPal or Braintree: If you already use Shopify or PayPal to sell items and accept payments, adding Venmo gives your customers more online payment options.
Deciding factors
| Payment processing model | Flat rate. |
| Payment processing fees |
|
| Monthly fee | None. |
| Hardware cost | Venmo does not sell card readers, but it does offer a QR kit for displaying your business’s QR code. Your first kit is free; otherwise, it costs $14.99. |
| Contract length | No contract. |
| Customer support | Available by email, mobile app chat (8 a.m. to 10 p.m. CT daily) and phone (8 a.m. to 8 p.m. CT daily). |
Where Venmo business account stands out
Low cost
There are no monthly fees or setup up costs associated with a Venmo business account. And, the platform charges merchants a per-transaction fee of 1.9% plus 10 cents per transaction, which is lower than many other payment processors, including Square at 2.6% plus 15 cents per in-person transaction and Stripe at 2.7% plus 5 cents per in-person transaction. The service does charge consumers an additional 3% fee to send money using a credit card, so it’s preferable for most users to use a linked bank account or their Venmo balance.
QR code payment options
Venmo, along with parent company PayPal and other peer-to-peer payment apps, uses QR codes to help customers find and pay merchants touch-free. When customers have an existing account, they can quickly scan a business QR code through the Venmo app.
Venmo generates a unique QR code for each business, and new business users can request a free physical QR kit with five coded stickers, a wallet card with lanyard, and a tabletop display code with a stand.
Tax forms
Venmo sends business users a 1099-K tax form if they made more than $20,000 and completed more than 200 transactions on the platform. All taxable income should be reported to the IRS regardless of the platform or volume, but Venmo makes this process easier by sending business users the proper tax form. Zelle, on the other hand, isn’t required by law to send the form, even though money transferred on the platform can still be taxable.
Where Venmo business account falls short
No free instant transfers
Payments received through Venmo don’t go directly to your bank account; they need to be transferred out of the app. Standard transfers take one to three business days and are free. Instant transfers cost 1.75% of the amount transferred, with a minimum fee of 25 cents and maximum fee of $25. Other payment processors like Zelle transfer instantly with no fees.
Only available in the U.S.
Venmo is currently only available for U.S. merchants. The app is only compatible with U.S.-based bank accounts and phone numbers, which are verified through SMS codes. Businesses looking to expand internationally will need a payment processor like Stripe or PayPal, which work in multiple currencies and countries.
Alternatives to Venmo business account
PayPal
Best for accepting international payments
Cost:
- 2.29% plus 9 cents for in-person card payments and QR code transactions.
- 2.89% plus 29 cents for online card payments through PayPal Expanded Checkout.
- 2.99% plus 49 cents for online card payments through PayPal Checkout.
- 3.49% plus 9 cents for manual-entry card transactions.
- 3.49% plus 49 cents for PayPal and Venmo payments.
PayPal, which owns Venmo, is a large payment services provider with several options for small business use. The platform charges flat-rate transaction fees, and offers a variety of checkout integrations plus features like subscription payments and seller protection.
While Venmo can only be used for domestic transactions, PayPal allows users to send and receive payments in 25 currencies, making it a great option for international transactions.
Cash App
Best for point-of-sale integration
Cost:
- 2.6% plus 15 cents per transaction between Cash App accounts.
- 3% per Tap to Pay transaction.
Cash App is a peer-to-peer payment app that integrates with Square, a popular POS system for many small businesses (both services are owned by Block). The platforms can share data, and Square checkout devices can display Cash App QR codes for direct payment.
Zelle
Best no-fee option
Cost: No fees.
Zelle doesn’t offer specific features for businesses, but it facilitates free instant transfers and can be used to pay small business enrolled with participating banks. The platform does not send 1099-K tax forms that compile transaction details, but it does allow fee-free payments from any customer in the Zelle network.
Unlike with Venmo, there’s no purchase protection with Zelle.