KYC in the marketplace means that sellers are identified and verified before payout. For Swiss platforms, this is important because payment providers and financial intermediaries must fulfil anti-money laundering and due diligence obligations under the Anti-Money Laundering Act (AMLA) and the GwV-FINMA. Anyone who forwards payments to sub-Comerciantes as a marketplace operator must ensure that every seller is correctly verified – or outsource this duty to a licensed Payment Service Provider (PSP).

This guide explains the legal basis, shows which data is required depending on the legal form, and describes how automated onboarding improves compliance and conversion at the same time.

1. What are KYC and KYB?

Know Your Customer (KYC) refers to the legal obligation to verify the identity of a contracting party before establishing a business relationship or conducting a transaction. In the context of a marketplace, this primarily affects the sellers (sub-Comerciantes) who receive payments via the platform.

Know Your Business (KYB) is the counterpart for legal entities. KYB refers to the verification of the corporate structure, ownership structures, and beneficial owners. On marketplaces where GmbHs, associations, or other organisations act as sellers, KYB is mandatory.

In Switzerland, these obligations arise from Art. 3 AMLA (identification of the contracting party) and Art. 4 AMLA (establishment of the beneficial owner). The specific structure is regulated by the FINMA Anti-Money Laundering Ordinance (GwV-FINMA) and the regulations of the self-regulatory organisations (SRO).

2. Legal basis in Switzerland

Anti-Money Laundering Act (AMLA)

The AMLA defines who is considered a financial intermediary and what due diligence obligations must be fulfilled. Pursuant to Art. 2 para. 3 AMLA, persons who provide payment services on a professional basis are deemed to be financial intermediaries. The core duties include identifying the contracting party (Art. 3 AMLA), establishing the beneficial owner (Art. 4 AMLA), the duty to document (Art. 7 AMLA), and the duty to report suspected money laundering to the Money Laundering Reporting Office Switzerland (MROS) pursuant to Art. 9 AMLA.

GwV-FINMA and thresholds

The GwV-FINMA conceptualises the due diligence obligations of the AMLA. Specific thresholds apply to electronic means of payment that serve exclusively cashless payment transactions: pursuant to Art. 11 GwV-FINMA, identification can be waived under certain conditions if no more than EUR 5’000 per calendar year and contracting party is paid and the funds are loaded exclusively via a bank account in Switzerland. If this threshold is exceeded, full identification is mandatory. For marketplaces, this means that as soon as a seller receives more than EUR 5’000 per year in payouts, their KYC must be completed.

Self-regulatory organisations (SRO)

Financial intermediaries that are not directly subject to FINMA must join an SRO. SROs issue their own regulations that comply at least with the standard of the GwV-FINMA. For a PSP executing KYC on behalf of a marketplace platform, SRO membership is a prerequisite for legal activity.

3. What data does a Comerciante need during onboarding?

Natural persons (sole proprietorships)

In the case of natural persons, the following information must be documented in accordance with the Agreement on the Professional Rules of Due Diligence (CDB 20, Art. 7): surname and first name, date of birth, nationality, and actual residential address. Verification is usually carried out on the basis of an official identity document with a photograph (passport or identity card). Sole proprietorships with an entry in the commercial register are additionally identified on the basis of the commercial register extract.

Legal entities (GmbH, AG, association)

In the case of legal entities such as a GmbH or AG, the following are required: company name (trade name), registered office, UID number, current commercial register extract (not older than 12 months), and the identity of the authorised signatories. In addition, the beneficial owner must be established. Associations without a commercial register entry are identified on the basis of the articles of association and an extract from the register of associations or a comparable confirmation.

Comparison: Requirements by legal form

4. Beneficial owners

A beneficial owner is the natural person who ultimately owns or controls a legal entity. Establishment is mandatory in accordance with Art. 4 AMLA. In the case of corporations such as a GmbH or AG, any person who directly or indirectly holds more than 25 per cent of the shares or voting rights is deemed to be a beneficial owner.

In practice, the KYC process requires sellers on a marketplace to submit a declaration of beneficial ownership (the so-called Form A). In the case of complex ownership structures – such as a GmbH owned by a holding company – the chain must be resolved down to the natural person. If no natural person with a shareholding of more than 25 per cent can be identified, the members of the highest executive body are deemed to be the beneficial owners.

Special rules apply to associations and foundations: here, the founders, board members, and, if applicable, the beneficiaries must be identified as beneficial owners.

5. Why KYC must precede the first payout

A common mistake in marketplaces: sellers are allowed onto the platform, orders are processed, but the identity verification is postponed. This is not only a compliance risk, but can also have criminal consequences.

Pursuant to Art. 3 para. 1 AMLO, the identification of the contracting party must take place when the business relationship is established. For marketplaces operating via a PSP, this means concretely: before the first payout is made to a sub-Comerciante, their KYC must be completed. Funds must not flow to an unverified account.

Example: An online marketplace for handicrafts accepts a new seller. The seller can list products immediately. Only when an order is received and a payout is pending must the KYC be completed. If the seller is a GmbH, this includes the commercial register extract and the determination of the beneficial owner. As long as the KYC is outstanding, payouts are blocked. The customer has already paid – the funds are held in trust by the PSP.

6. What happens to inactive or high-risk Comerciantes

The GwV-FINMA requires ongoing monitoring of business relationships. For a PSP managing sub-Comerciantes on a marketplace, this results in concrete action duties:

Inactive Comerciantes: Sellers who do not carry out any transactions over a longer period of time (e.g. 12 months) are usually deactivated. Before reactivation, it must be verified whether the KYC data is still up to date. In the event of significant changes (new owner, new registered office), a new identification is required.

High-risk Comerciantes: If a Comerciante display unusual patterns – such as rapidly increasing sales, many chargebacks, or transactions with high-risk countries – enhanced due diligence obligations apply in accordance with Art. 6 AMLA. This can mean additional document requirements, a personal meeting, or even blocking and reporting to MROS.

A professional PSP takes over this monitoring automatically and thus relieves the marketplace operator. Nevertheless, the platform also shares responsibility: anyone who knowingly allows high-risk sellers without appropriate controls cannot hide behind the PSP.

7. How automated onboarding increases conversion

Manual KYC onboarding – i.e. collecting documents via email, manual verification by a compliance team, and feedback to the seller – takes an average of several days. For a marketplace that relies on fast seller growth, this is a conversion killer.

Automated solutions combine several advantages: the seller uploads their ID document directly, verification is carried out via OCR and database comparison (e.g. against the Swiss Official Gazette of Commerce SOGC or sanction lists), and approval is given in minutes instead of days. For legal entities, the commercial register extract is automatically retrieved and the ownership structure is checked.

Concrete effect: Platforms that switch from manual to automated KYC onboarding report a reduction in the abandonment rate of 30 to 50 per cent. The reason is simple: the fewer steps and the shorter the waiting time, the higher the probability that a seller will complete the process.

Checklist: What you should check before starting

• Clarify whether your payment model triggers its own AMLA subordination or whether you process via a licensed PSP.

• Define which legal forms (sole proprietorship, GmbH, AG, association) are permitted as sellers on your marketplace.

• Ensure that the KYC process is completed before the first payout – not after.

• Check whether your PSP supports automated identification for Swiss identity documents and commercial register extracts.

• Clarify how to deal with beneficial owners: from which shareholding threshold is verification carried out (standard: 25%)?

• Define rules for inactive Comerciantes: after how many months without a transaction is deactivation triggered?

• Define monitoring criteria for high-risk Comerciantes (e.g. chargeback rate, sales spikes, country risk).

• Ensure that all KYC documents are kept for at least 10 years in accordance with Art. 7 AMLA.

• Check whether your PSP supports Swiss payment methods (TWINT, PostFinance, QR-bill) for sub-Comerciantes.

• Document the entire onboarding process in writing as part of your internal compliance documentation.

How Payrexx supports you with Comerciante onboarding

As a Swiss PSP, Payrexx offers a marketplace payment solution that completely takes over the KYC and onboarding of sub-Comerciantes. Sellers go through an automated verification process directly on the platform, including ID check, commercial register comparison, and establishment of beneficial owners.

The payout to verified Comerciantes is made via split payment: the platform commission goes to the marketplace operator, the remaining balance goes directly to the seller. Consequently, the platform does not touch customer funds at any time. Payrexx supports all common Swiss payment methods – TWINT, PostFinance, credit cards, and QR-bill – and can be integrated into existing systems via API.

Payrexx is your distribution partner for Swiss marketplaces.