A credit card processor has become a staple in every business. If your business still doesn't accept credit or debit cards payment, your sales will decrease. The reason behind this is the majority of the consumer today opt to pay for their purchases or transactions using a card.
If you still do not accept credit cards as payment for your goods or services, you should start adding this feature to your business. But, before you can do that, you must pick the best credit card processor first. Choosing is hard. There are many options you can choose from, and trust me, all of them sound amazing.
Before you start selecting the best credit card processor, you might want to consider these factors first.
The Reputation of the Credit Card Processor
The number one factor you should look into before picking a credit card processor is the reputation of the company you’re eyeing. See what other businesses have to say about that particular credit card processor by reading through the credit card processors reviews and ratings.
You can typically find this online through their website or Google search. You can Google the name of the processor and investigate its reputation. Remember, this matter is about money, and if there is money involved, you can never be too careful.
You might also check the ownership history of the company. Check if it has been sold many times before. This right here is a clear red flag. If you want to be sure, you can check the reputation of the credit card processor through BBB's official website. It would be best if you only considered processors with an A+ rating in BBB and at least an 80% retention rate.
How Much the Processor Costs
As an entrepreneur, money always matters in your business. You must find a way to pay less for every service or good you acquire to ensure that your business will profit significantly. It is why you must choose a processor that provides you with an excellent deal.
Watch out for additional fees and costs when selecting a credit card processor for your business. Every credit card processor imposes different rates and fees, so you better compare all your options side by side. Eliminate those who are too expensive for your budget.
What you are looking for here is if they charge a monthly fee or if the processor is charging you a per-transaction fee. To know which one works best for your company, you must first determine how your consumers will pay. Will a per-transaction fee bites off more from your profits? Or do you have many customers that you can say a monthly fee is worth it?
Excellent Customer Service
A credit card processor should have excellent customer service. It can assure you that whenever an issue comes up, reliable customer service personnel can help you through it.
What you should look for in a company is that the customer service knows how to treat customers appropriately when they seek help. The representative should have a “people-first” attitude.
It is also vital in customer service to respond quickly to a message and have huge patience in dealing with customers no matter the circumstances.
You can also read about comments in the company's review and rating about their customer service. If not, you can call the credit card processor's customer service and observe how they deal with your questions and concerns. By the end of the call, you are already capable of assessing the quality of their customer service.
Payment Method Coverage
The financial world is evolving, taking the business sector with it. It is why when selecting a credit card processor, you should know first how wide their payment method coverage is. This way, you can future-proof your business and be prepared for other changes in the financial industry.
You might want to consider choosing a processor that does accept not only card payments but also e-payments or bank transfers. Additionally, having an all-in-one platform that deals with various payment methods can come in handy in the future.
Integration
Lastly, it would be best if you choose a processor that can be easily integrated with various software, especially for your POS (Point of Sale) System. It is crucial for easy reporting, ease of use, and keeping track of your business with software and technology.
You have to note that some processors provide POS software native to their system and hardware, while others build out a network of partners from which merchants can select. So, to make the most of your point of sale system and card processor, they must be compatible in terms of hardware, software, and features.
In Conclusion
It would be best if you did not rush selecting a credit card processor, as you will get the one that does not fit what you need. Therefore, you should take your time and check each factor mentioned in this article to ensure that you will get the most out of your money by choosing the best credit card processor for your business.
Aidan has been writing about personal finance for over 6 years. Prior to this, he worked as a Corporate Finance Analyst where he specialized in Due Diligence, Company Valuations and more. He is a CFA charterholder.
