Shopify Payments asking for “physical presence” proof – stuck as a dropshipper, what should I do?
Hey everyone,
I’m currently stuck trying to get Shopify Payments approved and could really use some advice.
I run an ecom store and operate through a Canadian corporation. My business is fully online and I handle everything from Canada (marketing, customer support, etc.), but I use third-party suppliers for fulfillment (basically dropshipping).
Shopify is now asking me to provide “physical presence” in Canada — like a warehouse, 3PL, or some kind of operational proof beyond just my residential address.
The issue is:
- I don’t hold inventory right now
- I’m using suppliers to ship orders
- I was planning to move to a warehouse/3PL only after scaling
So now I’m stuck between:
Trying to prove physical presence somehow (not sure what actually works)
Switching to holding inventory / 3PL earlier than planned
Just using PayPal or another provider and dealing with higher fees for now
Has anyone here dealt with this before?
- What did you show Shopify to get approved?
- Is a fulfillment agreement enough?
- Do I actually need a warehouse/3PL at this stage?
Would really appreciate any real experiences or advice 🙏