Selling on WPBay means reaching customers globally, including buyers in the European Union.
Because WPBay is an EU-operated marketplace, certain marketplace transparency laws require us to distinguish between sellers acting as professional traders (business sellers) and private individuals (non-traders).
This page explains what that means and how to choose the correct option in your seller profile.
What is a “Trader”?
A trader is generally a person or business selling products as part of a commercial, business, professional, or trade activity.
This usually includes sellers who:
- Sell plugins, themes, SaaS products, templates, or digital tools as part of their business
- Operate through a registered company
- Issue invoices
- Collect VAT or sales tax where applicable
- Market themselves professionally
- Sell products regularly with the intention of making profit
- Offer customer support as part of a business activity
- Promote products through websites, social media, paid advertising, affiliates, or email marketing
If selling digital products is part of your business activity, you are almost certainly a trader.
Most WPBay sellers will fall into this category.
What is a Non-Trader?
A non-trader is generally a private individual who is not selling as part of a business or professional activity.
Examples might include:
- Someone making an occasional one-off sale
- A hobbyist not operating commercially
- A person not acting through a business structure
- Someone not regularly selling for profit
If you actively develop and sell WordPress products commercially, this usually does not apply.
Why does WPBay ask this?
EU consumer protection rules require marketplaces like WPBay to inform EU customers whether they are purchasing from:
- a professional trader, or
- a private individual
This helps customers understand which legal consumer rights may apply.
WPBay collects this declaration to meet marketplace transparency obligations.
What happens if I declare myself as a Trader?
If you declare yourself as a trader:
- your products may be marked as being sold by a professional seller for EU visitors
- limited seller identity/business information may be shown where legally required
- your sales may be treated under applicable business-to-consumer marketplace compliance rules
WPBay only discloses the minimum information required by law.
We do not publicly expose sensitive tax or private identity data beyond what is legally necessary.
What information may be disclosed?
Where required for compliance, EU visitors may be shown limited seller information such as:
- seller/business name
- country
- city or business location
- business registration details (if applicable)
- VAT number (where legally required)
- trader status
Sensitive information such as:
- tax IDs
- personal identification numbers
- banking details
- full private documents
are never publicly disclosed.
Is this related to DAC7 tax reporting?
Partly.
DAC7 is a separate EU tax transparency framework that requires marketplaces to collect and report certain seller tax information in specific circumstances.
The trader declaration is primarily about marketplace transparency and consumer protection, while DAC7 concerns tax reporting.
Both may require overlapping seller information.
Does this affect payouts or fees?
No.
Your trader declaration does not change:
- WPBay commission rates
- payout eligibility
- withdrawal rules
- licensing systems
- support access
It is a compliance classification only.
What if I choose the wrong option?
You are responsible for selecting the correct classification.
Incorrect declarations may create legal compliance issues for marketplace operations.
If your business status changes, you should revoke and re-submit your marketplace profile with updated information.
I am a freelancer / sole proprietor. Am I a trader?
Usually yes.
You do not need to be a corporation to be considered a trader.
If you regularly sell digital products professionally, even as an individual freelancer, you are typically considered a trader.
I sell through a company. Am I a trader?
Yes.
If you operate through a company, registered business, LLC, sole proprietorship, or similar business structure, you should select trader.
I only sell occasionally. Am I a trader?
Possibly not.
If your activity is genuinely occasional and not part of a professional business activity, non-trader status may be appropriate.
If unsure, consult your legal or tax advisor.
Important disclaimer
WPBay cannot provide legal or tax advice.
This guidance is provided for general informational purposes only.
You remain responsible for ensuring your declaration is accurate under the laws applicable to your business.
Need help? Contact the WPBay team if you have questions about marketplace compliance requirements: [email protected]