diff --git a/tap_stripe/__init__.py b/tap_stripe/__init__.py
index 72aeb8ca..a83740fa 100755
--- a/tap_stripe/__init__.py
+++ b/tap_stripe/__init__.py
@@ -911,6 +911,10 @@ def sync():
 def main():
     # Parse command line arguments
     args = utils.parse_args(REQUIRED_CONFIG_KEYS)
+    # set the config and state in prior to check the authentication in the discovery mode itself.
+    Context.config = args.config
+    Context.state = args.state
+    configure_stripe_client()
 
     # If discover flag was passed, run discovery mode and dump output to stdout
     if args.discover:
@@ -924,9 +928,6 @@ def main():
         else:
             Context.catalog = discover()
 
-        Context.config = args.config
-        Context.state = args.state
-        configure_stripe_client()
         validate_dependencies()
         try:
             sync()
diff --git a/tests/test_pagination.py b/tests/test_pagination.py
index e80f07d5..f07c619c 100644
--- a/tests/test_pagination.py
+++ b/tests/test_pagination.py
@@ -30,6 +30,10 @@ def test_run(self):
 
         incremental_streams = {key for key, value in self.expected_replication_method().items()
                                if value == self.INCREMENTAL}
+        # We cannot determine if the child stream is
+        # returning a page of data due to the duplicacy in the data due to normal parent records
+        # as well as event updates of the parents. And hence the ticket: https://jira.talendforge.org/browse/TDL-10005
+        # is a blocker. Hence skipping the child streams from this test.
         direct_streams = self.child_streams().union({
             # Data is generated automatically for 'balance_transactions' when 'charges' is created
             'balance_transactions',
diff --git a/tests/unittests/test_auth_in_discovery.py b/tests/unittests/test_auth_in_discovery.py
new file mode 100644
index 00000000..b99e5452
--- /dev/null
+++ b/tests/unittests/test_auth_in_discovery.py
@@ -0,0 +1,56 @@
+from unittest import mock
+from tap_stripe import stripe, Context
+import tap_stripe
+import unittest
+import requests
+import json
+
+# Mock args
+class Args():
+    def __init__(self):
+        self.discover = True
+        self.catalog = False
+        self.config = {"client_secret": "test_secret", "account_id": "test_account", "start_date": "test_start_date"}
+        self.state = False
+
+# Mock response
+def get_mock_http_response(status_code, content={}):
+    contents = json.dumps(content)
+    response = requests.Response()
+    response.status_code = status_code
+    response.headers = {}
+    response._content = contents.encode()
+    return response
+
+@mock.patch('tap_stripe.utils.parse_args')
+class TestBasicAuthInDiscoverMode(unittest.TestCase):
+    @mock.patch('tap_stripe.discover')
+    @mock.patch('stripe.http_client.requests.Session.request')
+    def test_basic_auth_no_access_401(self, mock_request, mocked_discover, mocked_args):
+        '''
+            Verify exception is raised for no access(401) error code for authentication through sdk
+            and discover is called zero times for setup Context.
+        '''
+        mock_request.return_value = get_mock_http_response(401, {'error': {'message': 'Invalid API Key provided: test_secret', 'type': 'invalid_request_error'}})
+        mocked_args.return_value = Args()
+        try:
+            tap_stripe.main()
+        except stripe.error.AuthenticationError as e:
+            expected_error_message = 'Invalid API Key provided: test_secret'
+            # Verifying the message formed for the custom exception
+            self.assertEquals(str(e), expected_error_message)
+        # Verify that the discover is not called  when incorrect credentials are passed
+        self.assertEqual(mocked_discover.call_count, 0)
+
+    @mock.patch('tap_stripe.discover', return_value = {})
+    @mock.patch('stripe.http_client.requests.Session.request')
+    def test_basic_auth_access_200(self, mock_retrieve, mocked_discover, mocked_args):
+        '''
+            Verify discover mode is called if credentials are valid by setting up the client and calling the sdk function
+            and discover function is called once for setup Context and discover mode.
+        '''
+        mock_retrieve.return_value = get_mock_http_response(200, {"settings":{"dashboard": {"display_name": "Stitch"}}})
+        mocked_args.return_value = Args()
+        tap_stripe.main()
+        # Verify that the discover is called once when correct credentials are passed
+        self.assertEqual(mocked_discover.call_count, 1)
\ No newline at end of file