diff --git a/packages/app-store/paypal/api/add.ts b/packages/app-store/paypal/api/add.ts
index bab1b9390c..79a044786b 100644
--- a/packages/app-store/paypal/api/add.ts
+++ b/packages/app-store/paypal/api/add.ts
@@ -1,42 +1,40 @@
 import type { NextApiRequest, NextApiResponse } from "next";
 
+import Paypal from "@calcom/app-store/paypal/lib/Paypal";
+import { defaultHandler } from "@calcom/lib/server";
 import prisma from "@calcom/prisma";
 
 import config from "../config.json";
 
-export default async function handler(req: NextApiRequest, res: NextApiResponse) {
-  if (!req.session?.user?.id) {
+async function getHandler(req: NextApiRequest, res: NextApiResponse) {
+  const teamId = Number(req.query?.teamId);
+  const userId = req.session?.user?.id;
+  if (!userId) {
     return res.status(401).json({ message: "You must be logged in to do this" });
   }
-  const appType = config.type;
   try {
-    const alreadyInstalled = await prisma.credential.findFirst({
-      where: {
-        type: appType,
-        userId: req.session.user.id,
-      },
-    });
-    if (alreadyInstalled) {
-      throw new Error("Already installed");
-    }
-    const installation = await prisma.credential.create({
-      data: {
-        type: appType,
-        key: {},
-        userId: req.session.user.id,
-        appId: "paypal",
-      },
-    });
+    const alreadyInstalled =
+      (await prisma.credential.count({
+        where: {
+          appId: config.slug,
+          ...(Boolean(teamId) ? { AND: [{ userId: userId }, { teamId }] } : { userId: userId }),
+        },
+      })) > 0;
 
-    if (!installation) {
-      throw new Error("Unable to create user credential for Paypal");
+    if (alreadyInstalled) {
+      throw new Error("App is already installed");
     }
+    const paypalClient = new Paypal();
+    const onboardingLink = await paypalClient.getOnboardingLink(userId);
+    return res.status(200).json({ url: onboardingLink });
   } catch (error: unknown) {
     if (error instanceof Error) {
       return res.status(500).json({ message: error.message });
     }
     return res.status(500);
   }
-
-  return res.status(200).json({ url: "/apps/paypal/setup" });
 }
+
+export default defaultHandler({
+  GET: Promise.resolve({ default: getHandler }),
+});
diff --git a/packages/app-store/paypal/api/callback.ts b/packages/app-store/paypal/api/callback.ts
new file mode 100644
index 0000000000..47879f57ba
--- /dev/null
+++ b/packages/app-store/paypal/api/callback.ts
@@ -0,0 +1,65 @@
+import getInstalledAppPath from "_utils/getInstalledAppPath";
+import type { NextApiRequest, NextApiResponse } from "next";
+import { stringify } from "querystring";
+import { z } from "zod";
+
+import { defaultHandler } from "@calcom/lib/server";
+import prisma from "@calcom/prisma";
+
+import config from "../config.json";
+
+const createCredentials = async (userId: number, merchantIdInPayPal: string) => {
+  const appType = config.type;
+  const credentials = await prisma.credential.create({
+    data: {
+      type: appType,
+      key: { merchantIdInPayPal },
+      userId: userId,
+      appId: "paypal",
+    },
+  });
+
+  if (!credentials) {
+    throw new Error("Unable to create user credential for Paypal");
+  }
+};
+
+const queryParametersSchema = z.object({
+  merchantId: z.string(),
+  merchantIdInPayPal: z.string(),
+  permissionsGranted: z.coerce.boolean(),
+  accountStatus: z.string().optional(),
+  consentStatus: z.coerce.boolean(),
+  productIntentId: z.string(),
+  isEmailConfirmed: z.coerce.boolean(),
+  returnMessage: z.string().optional(),
+  riskStatus: z.string().optional(),
+});
+
+async function getHandler(req: NextApiRequest, res: NextApiResponse) {
+  if (!req.session?.user?.id) {
+    return res.status(401).json({ message: "You must be logged in to do this" });
+  }
+
+  try {
+    const { merchantIdInPayPal, permissionsGranted } = queryParametersSchema.parse(req.query);
+    if (!permissionsGranted && !merchantIdInPayPal) {
+      const query = stringify({
+        error: "Paypal Onboarding Error",
+        error_description: "Paypal Onboarding was not fully completed",
+      });
+      res.redirect(`/apps/installed?${query}`);
+    }
+    await createCredentials(req.session?.user.id, merchantIdInPayPal);
+    return res.status(200).json({ url: getInstalledAppPath({ variant: "payment", slug: "paypal" }) });
+  } catch (error: unknown) {
+    if (error instanceof Error) {
+      return res.status(500).json({ message: error.message });
+    }
+    return res.status(500);
+  }
+}
+
+export default defaultHandler({
+  GET: Promise.resolve({ default: getHandler }),
+});