You can use YITH PayPal Payouts for WooCommerce to pay your vendors’ commissions automatically.
To start using it, make sure that both plugins are installed and activated.
Then, go to the plugin settings under YITH > Multi Vendor > Commissions > Gateways, where you can find all the available gateways for your vendors’ payouts, and enable YITH PayPal Payouts after configuring it on your shop as explained on this page.

Now, if you want to pay vendors commissions automatically, go to the Commissions Settings section, and select PayPal Payouts as default payment gateway.

This is the gateway that will be used by default for automatic payments of vendors commissions. Yet, you can also pay the commissions manually through PayPal Payouts as explained here.
Exclude vendors’ products from Payouts commissions
If you want to avoid that vendors’ products are included in the total calculation of your store’s receivers commissions, we suggest you enable the following option from YITH > PayPal Payouts > General settings > Multi Vendor Settings.

Suppose you get an order with 2 products. Product A belongs to vendor A and costs €60, product B does not belong to any vendor and costs €40, so the total order is worth €100. In addition to this, you have set one receiver with a 50% commission.
If the option is disabled, your receiver will get €50.
If the option is enabled, product A is excluded, so the receiver will get €20, which is 50% of product B price only.
If you want to read more about PayPal Payouts configuration settings, please, refer to the official plugin documentation.
Notifications
When a payout is made, PayPal sends a notification to both the sender and the receiver. You can customize the email subject and content from YITH PayPal Payouts > Notifications. To show the vendor commission and order IDs in the content of the email, you can use the placeholder ´{commission_ids} and {order_id}.
