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How to Accept Card Payments as a Small Business

Doing business on a small level has advantages. It overlaps with large businesses in the aspect of payment options.

Current studies have revealed that 75% of customers find it convenient to perform card payments for products and services. For small businesses, there’s a window of opportunity when credit cards are accepted. Aside from boosting traffic, your sales can go up, and brand loyalty can be built.

Read on to find out more!

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In what ways can credit card payments be offered for small businesses?

Should you be thinking of adopting a credit or debit card payment method for your business, it’s important to make findings first. But not to worry, what you need to know has been put together in this article.

If you’d like to receive card payments from customers, basically there are 3 options: in-store, mobile, and online card payment solutions.

When your shop is physically located in a geographic area, countertop terminals or portable card machines are your go-to. On-site workers like landscapers or building contractors can find mobile card terminals of value. For online and eCommerce stores, an online payment gateway option may be ideal.

 It depends on business type; sometimes, all the above may be offered.

Choosing a merchant service provider

So, let’s say you have decided on what kind of payment solution your business needs. The next step is to pick a merchant service provider (MSP). Being a payment technology company, their job is to provide debit and credit card payment processing by making available the payment program, product, and devices.

However, you should consider the following certain things before selecting an MSP:

  • The anti-fraud service they offer
  • Any extra services like an online merchant portal on offer
  • The kind of payment method they can process
  • Their service fee

You should consider the need of your business and choose an MSP that meets these requirements. Also, let their service help maximize profit and be one that you can afford.

Merchant account opening

You’re done with selecting an MSP. Now, you need to open a merchant account. This will be handled by your payment partner, so no need to worry. The essence of a merchant account is to facilitate your receipt of funds from credit card purchases made by your customers.

Online credit card acceptance gateway

There’s a need to form a partnership with an online payment gateway to enable customers to pay online with credit or debit cards.

How can small businesses operate in-person credit card payments?

You need a POS aka point of sale system to accept credit card payments in person. The POS is a device designed to have a card terminal and software to process the payment.

Having the correct POS system will enable customers to make payments by inserting their debit or credit card. Again, customers can also make contactless payments by using mobile apps or contactless cards. All that’s needed is to hold the card or smartphone close to your POS.

Payment processing is fast on POS, and errors are minimal. For successfully completed transactions, the money enters your merchant account and gets transferred the next business day to your bank account.

How can small businesses accept on-the-go credit card payments?

By on-the-go, we mean mobile payments. To do this, a handheld card reader is required.

Mobile card machines are designed with a built-in roaming SIM to easily establish strong connections to mobile networks. With this, you can accept all types of credit and debit card transactions as well as mobile payments wherever you are.

What are the perks of integrating credit card payment into your business?

The payment methods these days have changed. Consumers have a lot of options now, and for a viable business, they should have easy-to-pay options. And it should be seamless and quick.

With credit cards, debit cards, and mobile payments comes a plethora of advantages:

  • Increase in sales: Your business setup changes dramatically when you offer payment options other than cash and checks. Again, when your customers can use their credit cards for online purchases or it’s enabled on a mobile payment device, more customers outside your local area will get interested in your business.
  • Competitive advantage: It’s not uncommon to discover that your competition is already adopting mobile, NFC, Card Not Present over the phone payments, or contactless debit and credit card payments. If you haven’t switched to this latest payment mode, it means customers may go somewhere else.
  • Business validation: Customers like to know they’re purchasing from a legit business. By putting up the logos of valid credit and debit cards companies, you come off as reliable and trustworthy.
  •  Buyer motivation: Knowing that they can pay with their cards, buyers are encouraged to make large or impulsive purchases because they don’t have to carry so much cash around. Nothing seems to be as convenient, fast, and fuss-free as a credit card payment. Most importantly, repeated sales are triggered by the convenience it provides.

In summary

Even if you run a small business, nothing stops you from upgrading (if you haven’t already) to accepting more modern and secure payment methods. There are lots of benefits and the process of switching is simple. Give it a try.

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