A new way to DropShip - business idea

Hi Guys, So as you know paypal is going against dropshipping.

About a year ago, in January of 2008, eBay and PayPal issued some new policies. One of which is to put a HOLD on funds. Here is the quote from eBay's policy:

"In a small percentage of cases where it has been determined the risk of dissatisfied buyers is higher, PayPal may delay release of the payment funds to the seller until the buyer has left a positive feedback or 21 days have passed without a dispute, claim, chargeback or reversal filed on that transaction."

Any new eBay seller who tries using drop shipping as a method for sourcing their products will find that they cannot access their funds until after the product has arrived at their customer's door. This eliminates one of the most appealing aspects of drop shipping - the ability to sell a product and THEN use the buyer's payment to fund the purchase. With PayPal holding your money for 21 days this will not be possible.


So i thought to myself....

there has to be a way to protect your paypal account while still be in dropshipping...

OK
some problems with dropship.

1) Risk of losing your money when you pay dropshipper.
2) Hassle to update the order, Pay the dropshipper and track...
3) Your Paypal Account is at risk. Paypal sees you as vendor and can freeze your account at anytime.

So, I decided to solve this problem one at a time.

here are the solutions.
We have developed something similar to or a marketplace system

Issues fixed.

1) Risk Of loosing money...
I use paypal split payments system or adaptive payments. this requires a paypal account from the dropshipper. the dropshipper gets paid instantly when a sales occurs.

2) Hasle to update the order
The order gets passed to the dropshipper now known as the vendor instantly when a sales occurs.

3)Your paypal Account at risk.

Well no more. You can charge a marketplace % fee. Which paypal cant stop you from. however, you control the percentage in other words. Your difference for the product..


Let me know what other issues you guys have with dropshipping, and i will try to solve it.

I have released my ecommerce script and trying to make it into an amazing dropship script.
Your help and feedback will appreciate.

Steve
PHP Marketplace Script