Learn how to open a Razorpay payment gateway in 2025 with our step-by-step guide. From account creation and KYC to integration, get your business ready to accept online payments seamlessly.

Step 1: Create Your Razorpay Account

  1. Visit the Razorpay Website: Go to the official Razorpay website (razorpay.com).
  2. Click “Sign Up”: Locate and click on the “Sign Up” or “Create Account” button, usually found in the top right corner.
  3. Enter Basic Details: Provide your mobile number or email ID. You’ll receive an OTP (One-Time Password) for verification.
  4. Verify OTP: Enter the OTP received on your mobile or email to proceed.
  5. Enter Personal & Business Name: Provide your full name and the name of your business (this will be the name recognized by your customers).
  6. Set Password: Create a strong password for your Razorpay account.

Upon successful signup, you’ll be redirected to your Razorpay Dashboard, initially in “Test Mode.”

Step 2: Complete Your KYC (Know Your Customer)

This is a crucial step for activating your live payment gateway and enabling settlements to your bank account. Razorpay’s KYC process is designed to be quick if all documents are readily available.

  1. Access KYC Section: From your Razorpay Dashboard, navigate to the “My Account” or “Settings” section and look for “KYC” or “Account Activation.”
  2. Provide Business Details:
    • Business Type: Select your business type (e.g., Sole Proprietorship, Partnership, Private Limited Company, LLP, Individual/Unregistered Business, etc.). This will determine the specific documents required.
    • Business Category & Subcategory: Choose the relevant category and subcategory that best describe your business (e.g., E-commerce, Education, Financial Services).
    • Business Description: Provide a brief description of your business, including the products/services you offer, your target customers, and your primary sales channels (website, app, offline).
    • Business Address: Enter your official business address.
  3. Enter Bank Details:
    • Provide your bank account number and IFSC code. This is the account where Razorpay will settle your collected payments. Ensure these details are accurate.
  4. Upload Required Documents: The documents needed will vary based on your business type. Here’s a general overview (always refer to Razorpay’s specific requirements, as they may update):
    • For Individuals/Unregistered Businesses:
      • PAN Card (of the individual)
      • Address Proof (Aadhar Card, Passport, Voter ID, Driving License, etc.)
      • Bank Account Proof (Cancelled Cheque, Bank Statement front page)
      • Proof of Business Working (e.g., a sample invoice, agreement, or a brief description of your services)
    • For Sole Proprietorship:
      • PAN Card (of the proprietor)
      • Address Proof (of the proprietor)
      • Bank Account Proof (Cancelled Cheque/Bank Statement of the business current account)
      • Business Identity & Existence Proof (e.g., MSME Certificate, GST Certificate, Shop & Establishment Certificate, Udyam Registration)
    • For Registered Businesses (Pvt. Ltd., LLP, Partnership, etc.):
      • Company PAN Card
      • Certificate of Incorporation / Partnership Deed / LLP Agreement
      • Memorandum of Association (MoA) & Articles of Association (AoA) (for Pvt. Ltd./Public Ltd.)
      • Board Resolution (for Pvt. Ltd./Public Ltd.)
      • Bank Account Proof (Cancelled Cheque/Bank Statement of the company’s current account)
      • Identity & Address Proof of Authorized Signatories/Directors/Partners (PAN, Aadhar, Passport, etc.)
      • GSTIN (if applicable)
    • Important Notes on Documents:
      • Ensure all uploaded documents are clear, legible, and not password-protected.
      • File size should generally be less than 5MB.
      • Documents must be in PDF, JPG, or PNG format.
      • The name on your PAN card and address proof for the authorized signatory must match.
  1. Review Business Policy: Razorpay will prompt you to review and publish basic business policy pages (e.g., Refund Policy, Privacy Policy, Terms & Conditions). You can use Razorpay’s templates or link your existing policies.
  2. Submit KYC: Once all details are filled and documents uploaded, click “Submit KYC.”

Razorpay typically reviews and verifies KYC details within 2-4 business days. You will receive email notifications regarding the status of your KYC verification.

Step 3: Understand and Generate API Keys

While your KYC is under review, you can explore the dashboard and prepare for integration.

  1. Access API Keys: Once logged in, go to Settings > API Keys.
  2. Generate Keys:
    • You’ll find options to generate Test Mode keys and Live Mode
    • Test Mode Keys: Use these for development and testing your integration without processing real money.
    • Live Mode Keys: Once your KYC is approved, you’ll generate Live Mode keys. Keep your Live Key Secret confidential and secure. It is shown only once.
    • Each key set consists of a Key ID and a Key Secret. These are crucial for integrating Razorpay with your website or application.

Step 4: Integrate Razorpay with Your Website/Application

This is where you connect your online platform to Razorpay’s payment gateway. Razorpay offers various integration methods:

  1. E-commerce Plugins (Easiest for most websites):
    • If you use popular e-commerce platforms like WooCommerce (WordPress), Shopify, Magento, OpenCart, etc., Razorpay provides ready-to-use plugins.
    • Process:
      1. Install the Razorpay plugin from your platform’s plugin/app store.
      2. Activate the plugin.
      3. Go to the plugin’s settings and enter your Razorpay Key ID and Key Secret (from Step 3).
      4. Configure payment method options (cards, UPI, net banking, wallets, etc.).
      5. Test transactions in “Test Mode” first.
  1. Payment Links & Payment Pages (No coding required, for simple use cases):
    • Payment Links: Ideal for collecting payments via email, SMS, or social media. You create a link from your dashboard with a specific amount and purpose, and share it.
    • Payment Pages: Create a custom, branded payment page hosted by Razorpay. Useful for collecting donations, selling a single product, or event registrations.
    • Process:
      1. From your Razorpay Dashboard, navigate to “Payment Links” or “Payment Pages.”
      2. Click “Create New” and follow the prompts to set up your link or page.
      3. Customize details, amounts, and branding.
      4. Share the generated link with your customers.
  1. API Integration (For custom websites/apps, requires developer expertise):
    • If you have a custom-built website or mobile application, you’ll integrate using Razorpay’s comprehensive APIs and SDKs.
    • Key steps:
      1. Backend Integration: Create an “Order” on your server using Razorpay’s Orders API. This generates a unique order_id that links the payment to your system. You’ll use your Key ID and Key Secret for authentication.
      2. Frontend Integration:
        • Include the Razorpay Checkout script in your frontend.
        • Use the order ID from your backend to open the Razorpay payment popup (checkout form) on your website.
        • Handle the payment response (success/failure) after the user completes the payment.
      3. Payment Verification (Backend): After the payment is processed, Razorpay sends back crucial details (e.g., razorpay_payment_id, razorpay_order_id, razorpay_signature). It’s critical to verify the razorpay_signature on your backend to ensure payment authenticity and prevent tampering.
      4. Webhooks (Optional but Recommended): Set up webhooks to receive real-time notifications from Razorpay about payment events (success, failure, refund, etc.), allowing for automated updates in your system.

Step 5: Test and Go Live

  1. Extensive Testing: Before going live, thoroughly test your payment gateway setup in “Test Mode.”
    • Perform successful transactions.
    • Test failed transactions.
    • Check refund processes.
    • Ensure all payment methods you intend to offer are working correctly.
    • Verify that your system correctly captures payment details and updates order statuses.
  2. Switch to Live Mode:
    • Once your KYC is approved and testing is complete, switch your API keys from “Test” to “Live” in your integration.
    • Ensure your website/application code is pointing to the live Razorpay environment.
    • Conduct a few small live transactions to confirm everything is working as expected.
  3. Monitor Transactions: Use your Razorpay Dashboard to monitor live transactions, settlements, and analytical data.

By following these steps, your business will be well-equipped to accept online payments securely and efficiently through Razorpay in 2025. Remember to regularly check Razorpay’s official documentation for the most up-to-date information and any new features.

Leave a message for further queries and questions.

More Smart Biz Ideas