What is an Independent Sales Organization?

Internet merchant services are essential additions to any business. Without this service, a business cannot accept credit card and debit card payments on their websites. Providers of these services may also provide the ability to process payments from echecks and other eCommerce methods, and providing advertising and hardware services, among many other features.

An independent sales organization may not be a term familiar to many businesses owners, so it may be helpful to learn how they work to establish the right payment systems for each business.

Define an independent sales organization

Independent sales organizations or ISOs enable businesses to process credit cards. An independent sales organization offers its internet merchant services through its partnerships with banks or other payment processors. By working with a variety of these kinds of providers, an independent sales organization can often offer better deals that are more specifically tailored to each individual business than any one processor or bank can provide alone. They can also offer additional services, such as the ability to accept eChecks, that are not offered by traditional banks and payment processors.

What is a payment processor?

Payment processors collect, store, and process credit card and debit card information for transactions made through a merchant account. The payment processor also provides underwriting services that manage the risk associated with processing these transactions. They may or may not deal directly with businesses seeking new accounts themselves. Those that do not rely exclusively upon third-party agents, such as Independent sales organizations to provide merchant services to businesses that are seeking merchant account services.

Knowing this difference can help a business understand what they are buying when dealing with either of these kinds of entities.

The Takeaway

Independent sales organizations offer internet merchant services, as well as other services, such as the ability to accept other forms of payment, as well as the software or hardware that allows businesses to conduct eCommerce transactions.

Businesses that want to be competitive are strongly advised to prioritize payment services that offer eCommerce solutions. In accomplishing this, it can be useful to know the difference between independent sales organizations and payment processors so that businesses can obtain the services they need.

Visit Charge.com or call (888) 924-2743 to find internet merchant account products and services, as well as many additional benefits.

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