| With years of experience behind you, your business | | | | a vendor directly licensed by Visa and MasterCard to |
| should be running like a well-oiled machine, right? | | | | process credit cards. |
| Actually, that's not always the case. | | | | 2)Does the business name on the contract you are |
| As a business continues to grow, we sometimes get | | | | signing, match the business card of the representative |
| so tied up in the day-to-day activities that we forget to | | | | that is signing you? (They should match) |
| step back and conduct a high-level review of how our | | | | 3)What does the merchant processing company stand |
| business receives the money we work so hard to | | | | for? |
| bring in. You should be reviewing your merchant | | | | What is the credit card processor's focus? If the |
| account program and credit card processing to | | | | processor focuses on corporate accounts, and you |
| assess where changes and improvements can be | | | | are a small business, it may not be the best company |
| made. After all, it affects the most important aspect of | | | | to handle your merchant account. |
| your business, your cash flow. | | | | 4)What is the merchant processor's customer service |
| I speak with business owners everyday who spend | | | | hours? |
| thousands of dollars monthly on different marketing | | | | 5)Do they charge for customer service? |
| campaigns. Whether it's the yellow pages, online | | | | 6)What level of service are you going to experience? |
| advertising, magazine advertising, or any other | | | | It may not seem that important in the beginning when |
| advertising medium, merchants display diligence | | | | you are signing up, but later on when you need |
| attempting to reach out to their potential customer. | | | | assistance you do not want to be frustrated, put on |
| Many merchants expend large amounts of capital | | | | hold for 20 minutes, hung up on, or have to repeat your |
| beautifying their business location, creating comfortable | | | | story to four different people just to get assistance. |
| or specific environments for their customers, and | | | | I don't pay anything to accept credit cards |
| creating a positive, professional, and valuable image for | | | | To my astonishment I have come across many |
| their business. Merchants are meticulous with most | | | | merchants who tell me they are not paying anything to |
| every aspect of their business, except for when it | | | | accept credit cards. That's like saying they are not |
| comes to their merchant account and what they are | | | | paying for phone service, or electricity at their business. |
| paying for credit card processing. | | | | Credit card processing is a service for your business. |
| I ask some of these business owners, who their | | | | Visa, MasterCard, American Express and Discover |
| processor is, and approximately 59% do not know. I | | | | charge every business that accepts their card a |
| ask what they are paying to accept credit cards, and | | | | percentage of the transaction. |
| they do not know. | | | | Merchant account providers who are registered by |
| In many instances, when obtaining a merchant | | | | Visa and MasterCard are authorized to open |
| statement from a prospective merchant, during the | | | | merchant accounts for businesses to facilitate credit |
| analysis process, the first step is to open the envelope | | | | card processing. |
| containing the merchant's statement. Honestly, most | | | | What should I be paying? |
| merchants have not even looked at their bill in months. | | | | Credit card processing rates commonly referred to as |
| This is not the standard process businesses use to | | | | the discount rate depends on your business type and |
| evaluate invoices but credit card processing for some | | | | the method in which you run your transactions. Visa |
| reason, is the exception. | | | | and MasterCard maintain the base rate. This rate |
| It is unacceptable to not know what you are paying to | | | | depends on business type, and type of credit card you |
| accept credit cards. Often times merchants don't | | | | are processing. (I.e. debit card, rewards credit card, |
| know and don't want to know. | | | | corporate credit card). |
| It is important. It is very important. If you are in business | | | | When it comes to electronic payment processing, the |
| today and want to be successful, it is imperative that | | | | main objective should be to get the best available rate |
| you offer credit and debit card acceptance to your | | | | and fees for your business type, while balancing that |
| customer base. Whether you are a retail/storefront | | | | with service, the product line and processing options |
| merchant, restaurant, online/internet merchant, | | | | offered by the company you choose. |
| business-to-business merchant or even a home based | | | | It cost too much for a merchant account. |
| business, electronic payment capability is imperative. | | | | A merchant account does not have to cost a lot of |
| However, it is not enough to just accept credit cards. | | | | money. If you feel it is costing you too much, it's time |
| Merchants must be sure the company they choose | | | | for a merchant account review. |
| and the merchant account structure implemented for | | | | The best way to maintain and control merchant |
| their business is suitable for their business type and | | | | account costs is to sign up with a company that does |
| transaction volume. Merchants must also be aware | | | | not have Contract Length Terms, Annual Fees, |
| that their electronic processing vendor offers | | | | Membership Fees or Monthly Minimums. You also need |
| operational, and pricing programs specific to their | | | | to make sure your transactions are qualifying at the |
| business type. | | | | lowest possible cost for your business type. This may |
| If you choose the right merchant account provider, you | | | | mean swiping all the transactions you can, and settling |
| will be able to utilize their products, resulting in business | | | | your terminal nightly. |
| growth, greater efficiency, increased operational and | | | | Merchant accounts are supposed to bring money into |
| back office coordination, and increased profitability. | | | | your business. It should not cost you more money to |
| Choosing the wrong merchant account provider will | | | | have electronic processing capability, than the income |
| cost you thousands of dollars, wasted man-hours, | | | | the service provides. |
| frustration, and waste your time. After all, time is | | | | Pay attention |
| money. | | | | Credit card processing is one of the most important |
| How to Choose a Credit Card Processor | | | | aspects of your business. Credit card processing |
| The most important factor when selecting a credit | | | | accounts for approximately 58% or more of all |
| card processor is the company you choose. In | | | | revenue that the average business brings in. Make |
| appearance two companies may seem similar. | | | | sure your business is processing with the right |
| However credit card processing companies, and | | | | company and has the right merchant account |
| contracts, can be as diverse as any industry operating | | | | parameters set up for your business type. Electronic |
| today. | | | | processing can either help to grow your business or |
| Here are a few pointers: | | | | contribute to excessive overhead, often without your |
| 1)Is the company a Registered ISO of Visa and | | | | knowledge. |
| MasterCard? This means you are getting service from | | | | |