3 Things Business Owners Must Know Before Applying for A Merchant Account
Are you a business owner that wants to sign up for a merchant account? If the answer is yes, there are some things to be aware of, particularly if your business intends to use a high-volume merchant account.
There are so many things that can go right with a merchant account. Likewise, some things can go wrong. But what specifically must a business owner need to know about before applying for a merchant account?
1. A bank account is needed
Every business must have a bank account in order to deposit the money coming in from the merchant account. Before business owners even apply for a merchant account, they have to open up a bank account through a bank of their choice.
Sole proprietors are typically permitted to use a personal bank account while other forms of businesses such as corporations are required to have a business bank account.
2. Websites or marketing materials are typically required
When business owners apply for a merchant account, they are typically required to have a website or other forms of marketing materials, such as a brochure or even just a price list. Applicants who have no website and no marketing materials may take longer to receive approval, especially if they intend to utilize a high-volume merchant account. Credit card processing banks can be more reluctant to do business with merchants who have zero materials showing what they sell.
If a business is just starting out, then creating a website or other marketing materials should be one of the first things that you do. After all, this is good advice for any business, not just businesses that are applying to accept credit cards!
3. Start Gathering the right supporting documents
What documents may be required depends upon the service provider you go through when you apply for a merchant account. Charge.com prides itself on having among the lowest document requirement in the industry. In fact, most merchants who have been approved with Charge.com have not had to provide a single document. Most approved applicants have been verified based solely on the information provided on the application.
In some cases, there are other documents that might be needed. Of course, it’s up to the business whether to wait and see what will be required or to save time by starting to gather documents as soon as the application has been submitted. The documents that may be required can include a voided check (which is just a regular check upon which you’ve simply written the word “VOID”). If the business has accepted credit cards before, then even some high-volume merchant account providers want to see statements of sales dating back from the last 90 days or beyond.
Business owners who are planning to apply for a merchant account can benefit from being aware of the items listed above. The more bases that are covered, the better the chance they can be approved more quickly for a merchant account.
Charge.com knows a thing or two about merchant accounts and how they work for businesses. To apply for a merchant account, compare prices, or if you have any questions or concerns before applying for a merchant account, check out Charge.com or call 1-888-924-2743 to find out more information.