Why a Merchant Account is Essential for Your Business
If you think that your business is not ready for a merchant account, think again. No business is too small to have a merchant account!
So what is a merchant account actually?
A merchant account is a type of bank account that allows you to accept cashless payments, particularly by debit or credit card. It is formed based upon an agreement between you and a payment processor for the settlement of cashless transactions.
Today virtually no business can survive without accepting cashless payments because that is what customers want. If you think that your customers are okay paying cash, you may not realize how many potential customers your cash-only policy is turning away. Customers have long since stopped drawing cash before they shop. If your business, no matter how small, does not give customers what they want you may not survive.
Opening a merchant account isn’t complicated:
You won’t have to spend hours on paperwork that keeps you away from your business if you choose the right merchant service provider. Make sure you use a reputable company with a successful track record in the card payment industry, and your merchant account can be opened in next to no time. It’s as simple as:
- Completing an online application
- Chatting with a consultant once your application is received
- Sending any additional documents that are required for approval
- Your account will typically be approved within one business day
That’s it! That is how easy it is to open a merchant account. Once your account is open, you will be equipped with equipment or software that suits the way you trade, and you will be ready to accept your first card payment.
If your business is high-risk for any reason, don’t let that hold you back from applying for a merchant account. Some merchant service providers specialize in working with high-risk merchants and can approve your application.
And what about fees?
Of course, there are costs involved when you have a merchant account, but the increase in your sales will typically greatly exceed any costs when you allow customers to make cashless payments.
The most important thing is to ask about the fee structure up front when you apply for a merchant account, and if they are unsatisfactory, consider applying with a different merchant service provider.
Some merchant service providers include application fees, setup fees, monthly account fees, discount rate, per-transaction fees, rental fees and cancellation fees, while others don’t charge for many of these things. It’s all about doing a bit of research and some price comparisons before you sign up.
Once you have found the merchant service provider that works for you, and your business is set up to accept cashless payments, you are guaranteed to see a sharp increase in sales because you are finally giving potential customers the payment options they want.
For more information about why a merchant account is essential for your business, or to sign up for a merchant account, please call (888) 924-2743 or go to Charge.com.