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What am I not allowed to sell on Paddle?

Paddle is built to serve software companies (including B2B SaaS, Consumer Software, and Games). If your company’s primary offering is human services (such as consultation, support, or design services) or the sale of physical goods, Paddle is not a good fit for your needs.

While we have stipulated a series of forbidden business categories in this document, some overall restrictions on the use of Paddle include any business offering that:

  • Violates any rules or regulations of Card Brand Networks;

  • Violates any law or government regulation;

  • Involves the conduct of fraudulent, deceptive, unfair, or predatory practices;

  • Threatens reputational damage to Paddle or any Card Brand Network;

  • Results in or causes a significant risk of chargebacks, fines, damages, or harm and liability;

  • Engages in, encourages, promotes, or celebrates violence or physical harm to persons or property, or toward any group based on race, religion, disability, gender, sexual orientation, national origin, or any other immutable characteristic

  • Contravenes the requirements for the provision of consent under the EU General Data Protection Regulation (GDPR)

Some of the above may not be obvious or evident at the time of application, but Paddle reserves the right to exercise judgment in ascertaining whether any of these factors are likely to be present.

A list of all business categories and practices which are forbidden from using the Paddle service can be found below. Many of these categories are imposed by Card Network rules, or by our payment processors. 

By creating an account and selling through Paddle, you are confirming that you will not be accepting payments with any connection to the following business categories and practices.

Prohibited Categories

  1. Physical products or products that require physical delivery

  2. Human services which are not related to a software offering (e.g. pure consulting or advisory services, including but not limited to legal advice, coaching, and access to a community of experts)

  3. Payment processing where there is no bona fide software or service sold including but not limited to donations, crowdfunding, community access, advertising, and sponsorship

  4. Any product or service that infringes upon, or enables the infringement upon copyrights, trademarks, terms and conditions, or trade secrets of another party including but not limited to:

    • resale of any product without a valid reseller certificate

    • Illicit streaming services

    • streaming downloaders

    • software used to burn media and

    • IPTV

  5. Any product or service that enables unauthorized access to data belonging to another party, including but not limited to:

    • spyware

    • phone/device unlocking services

    • keyloggers

  6. Any product or service that enables non-Paddle Sellers to sell products and services to customers, such as digital marketplaces

  7. Advertising and marketing:

    • Advertising Services, including but not limited to job boards, and open houses

    • Marketing Services and Schemes, including but not limited to pyramid schemes, network marketing, referral marketing programs, multi-level marketing, get-rich-quick schemes

    • Automated Social Media Marketing including but not limited to those that purport to increase/ optimize engagement (posts, clicks, likes, views, reviews)

    • Mass Marketing Products including but not limited to SMS marketing and Message App marketing

    • Phone services, telemarketing

    • Political or Social campaigning

  8. Adult and other age-restricted content and services including sexually-oriented or pornographic products or services, any material of a lewd and lascivious nature, dating services/applications, or any other products/services intended for this industry

  9. Gambling:

    • Betting-related products, competition/event tickets, or entries

    • lotteries, auctions, contests, sweepstakes, or games of chance

    • Sports forecasting / odds making where monetary or material prizes are involved

    • fantasy sports leagues

  10. Trading and financial services / advice

    • Exchanges, dealers, or trading platforms that enable transactions in financial instruments, currencies, or crypto-currencies / virtual currencies

    • Money transfer services

    • Virtual currency or stored value, including but not limited to store credit, gift cards, vouchers

    • Business or investment opportunities

    • Investment or financial advice, including trading signals and strategies

    • Credit advice or consulting including credit / mortgage counseling, repair or protection

    • Credit card and identity theft protection including but not limited to age verification

  11. Government Services including but not limited to embassies, and foreign consulates

  12. Certifications and exam preparation services, including but not limited to: 

    • essay and paper mills, ghostwriting services

    • any certifications or courses for which the business is not the owner or creator of the underlying product, or does not have the authority to resell

  13. Travel Services including but not limited to reservation services, travel clubs, timeshares

  14. Digital services associated with pseudo-science including but not limited to clairvoyance, horoscopes, fortune-telling

  15. Medical advice including but not limited to any product or service that provides advice (e.g. weight loss, muscle building) 

If you have any questions as to whether your business is included in one or more of these categories please email us.

Restricted Categories

Due to the increased risk on certain offerings, Paddle must do enhanced due diligence on certain product offerings. Should your offering be considered restricted, Paddle’s team will reach out to you for additional information if it is needed.

The above lists are reflective of our risk appetite and historical experience with onboarding software sellers and our knowledge of the market environment in which we operate. This is not an exhaustive list as the software landscape is continuously changing, presenting new business models that we must consider and evaluate.

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