Please sign this petition to bring the retainer percentage amount down so small businesses can still operate on Etsy.

What has changed?
In May 2023, Etsy have started to impose a temporary reserve on sales under their new “purchase protection programme” as a mitigation measure to protect buyers and make it easier for customers to claim refunds on any purchases that are not received. This process is something that previously was only used with new sellers whilst they were establishing their shops. Etsy have always reserved the right to move a shop in the “payment reserve” programme, however advise they would only do this with specific communication and reasoning why these changes had been made. It is not uncommon for other platforms to use reserves too, for example Amazon reserve 3% of a sale to cover the cost of settling a dispute. On average, platforms reserve 3-10% for sellers with good track records and reviews, however Etsy are withholding 75% of the sale for 45 days, or until tracking details have been added. The 25% sellers are receiving is struggling to even cover the basics such as packaging and postage, that's before you consider stock, utility bills, wages and so much more.
 
This ongoing issue is starting to receive media attention, to learn more please watch this Sky News video.

 
What does this mean in practice?
Previously when a seller receives an order via Etsy, they would receive the money the following day. Now when an account is placed into reserve, 75% of the money from the order is unavailable for 45 days or until tracking details have been added. In many cases, buyers are unwilling to upgrade to tracked postage (particularly with letters) due to the increased cost of the product, and for sellers they are concerned that making it mandatory will drive their customers away. In this instance, tracking details are not able to be added to release the funds and in addition to the 45 days hold, orders with a longer fulfilment time will increase the time sellers wait to receive their money.
 
How is this affecting Etsy small business owners?
Etsy has been one of the most popular outlets for small businesses to sell their products, and is one of the most popular search methods for our customers. Since these changes have been made, with no communication to the sellers, it is putting small businesses under immense pressure to pay their staff, replenish stock and generally hindering the growth of their businesses. At a time where costs are continually rising with both suppliers and domestically, the changes are causing continued uncertainty to small business owners using the platform, and in many cases making it impossible to continue sale.
 
We would love your help to raise awareness of this issue, and to bring it to the attention of those who are able to support small business owners and address these challenges with Etsy.