Venmo business profiles charge 1.9% + $0.10 per payment received — lower than PayPal’s standard rate — with no monthly fee. Here is how Venmo for business works in 2026.
Venmo Business Profile at a Glance
| Feature | Details |
|---|---|
| Monthly fee | $0 |
| Transaction fee (receiving) | 1.9% + $0.10 per payment |
| Weekly payment-sending limit | ~$25,000 |
| Weekly bank-transfer limit | ~$49,999.99 |
| 1099-K issued at | Over $20,000 in gross payments AND over 200 transactions/year |
| Separate from personal account | Yes (linked but separate) |
| QR code for payments | Yes |
How Venmo Business Fees Compare
| Platform | Transaction fee |
|---|---|
| Venmo Business | 1.9% + $0.10 |
| PayPal Goods & Services | 3.49% + $0.49 |
| Square | 2.6% + $0.10 (in-person) |
| Stripe | 2.9% + $0.30 |
| Cash App Business | 2.75% per transaction |
Venmo’s 1.9% + $0.10 rate is among the lowest for app-based business payments.
How to Set Up a Venmo Business Profile
- Open Venmo → tap your profile photo
- Select Create a Business Profile
- Enter your business name and category (retail, food, services, etc.)
- Upload a logo or profile photo (optional)
- Confirm identity verification if prompted
- Your business profile is live — share your business @username or QR code with customers
You can switch between your personal and business profile at any time using the toggle at the top of the app.
Receiving Payments as a Business
Customers can pay your Venmo business profile by:
- Searching your business @username
- Scanning your business QR code
- Tapping your business name in the Venmo app
- Using the Venmo payment button if you integrate it on a website
Each payment received incurs the 1.9% + $0.10 fee before the remainder is credited to your business balance.
Example: A customer pays you $100
- Venmo fee: $1.90 + $0.10 = $2.00
- You receive: $98.00
Transferring Business Funds to Your Bank
- Standard transfer: Free, 1–3 business days
- Instant transfer: 1.75% fee (minimum $0.25), arrives in minutes, up to $10,000 per instant debit-card transfer
Tax Reporting
Venmo sends a Form 1099-K to a business profile once it receives more than $20,000 in gross payments AND more than 200 transactions in a calendar year — both conditions must be met. This threshold was restored permanently by the One Big Beautiful Bill Act (OBBBA), signed into law July 4, 2025, which repealed the much lower $600 threshold that had previously been legislated (and repeatedly delayed) under the American Rescue Plan Act. This applies to freelancers and sole proprietors just as it does to larger businesses. Whether or not you cross the threshold and receive a 1099-K, the underlying income is still fully taxable and must be reported. Keep records of all business payments in Venmo — you can export your transaction history as a CSV from the app.
Is Venmo Right for Your Business?
Good fit:
- Freelancers, tutors, handymen, and other service providers
- Small retailers who serve a younger, app-savvy demographic
- Businesses that already use PayPal (Venmo is owned by PayPal)
Not ideal:
- E-commerce (limited integration options vs Stripe/Square)
- Businesses that need invoicing, inventory, or point-of-sale tools
- High-volume businesses that regularly exceed the roughly $25,000/week payment-sending limit
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