European Merchants with Non-Global-e Carriers
 When an international customer visits your site, Global‑e converts the price of your product to the customer's currency. At checkout, the customer is presented with the financial details of the transaction:
After verifying the validity of the transaction, Global‑e collects the payment and the order is packed and shipped.
Global‑e then converts the amount of the sale back to your currency and refunds you the amount of the sale, deducting relevant fees and subsidies. If you are using your own carriers then the shipping fee, plus duties and taxes (if paid for by the carrier), are included in the refund. For more details, see The Reconciliation Process. |
Duties and Taxes Process
Below are two examples of the financial process that takes place between EU Merchants and both EU and non-EU customers.
EU Merchant- EU Customer
Example: Intra EU “distance selling” to Germany (VAT = 19%)
Product price in Europe = €121 (€100 + 21% VAT) - exported into the EU (Germany)
Shipping charged to customer €5
Net product sale for Merchant: €100
Net including shipping: €105
EU Merchant - Non-EU Customer
Example: “Pocket” VAT outside the EU
Product price in Europe = €121 (€100 + 21% VAT) - exported out of the EU
Shipping charged to customer €5
Net product sale for Merchant: €121
Net after shipping subsidy: €126
Billing Period and Payment Terms
The reconciliation process typically takes place on a weekly basis and results in a comprehensive report of all Merchant sales for the week.
Based on the report, Global-e pays the Merchant the sum of all products sold internationally during that week plus any relevant shipping, duties, and taxes, minus the agreed service fee.
Global-e's standard payment terms:
80% of the net proceeds are paid weekly, up to two business days after the weekly reporting day.
20% of the net proceeds are paid seven days after the end of each calendar month.
Invoicing
When the Reconciliation Report is generated, Global-e also provides Merchants with two invoices:
A self-billing invoice for sales less refunds.
An invoice for Global-e’s services, fees, and any shipping subsidies.
To view the invoice go to the Global-e Merchant Portal > Merchants > Reports > Reconciliation Reports.
Invoice for Service and Fees
Credit Note for Net Sales
Global-e Purchase Examples
The following two purchase examples offer a detailed look at the price conversion process.
There are two types of price conversions:
Dynamic pricing - Global-e converts the customer currency on the website for the Merchant.
Fixed pricing - The Merchant gives Global-e the customer's price in the customer's currency and that information is fed into the website.
Dutch Merchant- EU customer
Example of dynamic pricing
Dutch Merchant- Non-EU customer
Example of dynamic pricing
Dutch Merchant- Swedish customer
Example of Fixed Pricing
Periodic Reconciliation Report - UK Merchants
Below is a sample Reconciliation Report with a breakdown of the services and fees.
Amount Excl. VAT | VAT | Amount Incl. VAT | ||
|---|---|---|---|---|
Sales Total | €17108.55 | €3592.80 | €20701.35 | |
Refunds Total | (€625.40) | (€131.33) | (€756.73) | |
Amount to Invoice | €16483.15 | €3461.47 | €19944.62 | |
Service Fee | €1262.55 | €265.14 | €1527.69 | 7% of Total Order Value |
Shipping Subsidies (EU) | (€390.42) | (€81.99) | (€472.41) | |
Shipping Subsidies (Non-EU) | (€405.10) | €0.00 | (€405.10) | |
Taxes Subsidization | (€132.30) | £0.00 | (€132.30) | |
Handling Fee | €76.50 | €16.07 | €92.57 | |
Returns | (€4.00) | (€0.84) | €4.84 | |
Services and Fees | €931.82 | €82.83 | €1014.65 |
Attachment 1
Order Level
Sales Total on the Order Level
Product Level
Sales total on the Product Level
Attachment 2
Lists all the refunds that were issued through Global‑e during the relevant period
Attachment 3
Shipping prices are based on the actual weight that we received from the shipper or measured at our hub.
shipping costs are reconciled based on the date of the shipment
Attachment 4
Includes the details of each returned parcel