White label payment facilitator model is an intermediate try-it-before-buy-it solution for a company that wants to become a PayFac, but is not ready to face all the requirements and assume the responsibilities, specific to payment facilitation. Under white-label PayFac model the company gains control over merchant onboarding, funding, reconciliation, settlement, chargeback handling, and other merchant lifecycle-related operations. These operations are performed under the company’s brand under the umbrella of a payment service provider or a larger PayFac that assumes most of the responsibility. Another advantage is that it is much easier to become a full-fledged payment facilitator if you already are a white label PayFac.
More information on white label payment facilitation is available in our article on the subject on Paylosophy blog.