If you run a business, you likely want to be able to accept payment cards (credit and debit cards). However, you may be unsure about the fees that come with them. Some of the fees can be scary, especially the monthly subscription. Many small business owners search for ways to accept credit cards with no monthly fee.
Why No Monthly Fee?
The reason for avoiding a monthly fee may seem obvious, but it is worth exploring to fully understand why it is worth pursuing. When you get a merchant account, you are paying a few different fees. These include the monthly fees, transaction fees, setup costs and equipment fees. In some cases, you may even pay more than that!
Setup and equipment costs are typically paid only once (although equipment fees may occur again if you upgrade). In some cases, the equipment expense is rolled into the monthly fee. Transaction fees are unavoidable. If you are processing payment cards, you are going to pay for each transaction.
Monthly fees are the only recurring expense that is buying very little. You are just spending money for the opportunity to process cards. Therefore, many small businesses want to avoid them.
Accounts with monthly fees usually have slightly lower transaction fees. However, you need a very high sales volume to make up the difference.
How Do You Choose the Right Provider?
When you are exploring your merchant services options, consider which providers will offer your business the support you need. For example, you likely want to find one that can provide great, industry-specific equipment. You wouldn’t want a POS for veterinarians when you run a restaurant, for example.
You will also want to find one that has a good team to work with. Providers off each new team member a career in credit card processing just to bring in new sales. Others are focused on developing long-term relationships with their clients. The latter are much better for your business. When you have a point of contact that you can always rely on, you will enjoy a better card processing experience.
How Do You Get Started?
To get started, you simply need to sign up for an account. Some processors will provide free equipment when you sign up. In other words, there is very little you need to do other than start selling.
Look for a provider with high-quality point of sales systems such as Clover 2. These modern solutions are more intuitive and will help you get up and running sooner. Plus, they give your business a more professional and up-to-date look.
All you need to do is decide that you want to start processing cards. The rest is taken care of for you when you make some sales!
Processing credit cards without a monthly account fee can help you to run a more successful business. Learn more about this so that you can make a better-informed decision for your brand. Although there are sometimes reasons to accept a monthly fee, most businesses are better off saving the money, especially new operations.