1 in 10 online orders faces a chargeback risk
Here's what actually happens at $1M, $5M, and $10M GMV — and why most founders find out too late: ↓
At $1M GMV, chargebacks feel manageable.
Maybe 3–5 disputes a month. You handle them.
What you don't see: your dispute rate is already at 0.4%.
At $5M GMV, it stops being manageable.
You're now seeing 15–25 disputes a month.
You've missed 2 response windows this quarter. That's $4,200 in uncontested losses.
At $10M GMV, it's a crisis.
40–60 disputes a month. You're one bad month from the 1% threshold where processors terminate accounts.
Your ops team spends 6 hours a week on this. You've hired someone part-time just to manage it.
The cost isn't just the chargebacks. It's the salary, the fees, and the lost margin.
The problem isn't that chargebacks happen.
THE PROBLEM is you find out 30 days after and by the time you know, you've already LOST the money, the fee, and a point on your dispute ratio.
Don't let this happen to your business.