It's no big secret that becoming a profitable company requires not only generating a steady stream of income but also reducing overall costs. Because of this, it's important to pay attention to payment processing. Credit card processing lets you accept the widest possible range of payment types, driving up your potential income.
However, it's important to pay attention to payment processing fees and costs as well. It's possible to cut costs and reduce the overall amount of expenses Here are a few of the best ways to do just that.
Don't Lease - Instead of leasing that terminal, buy it outright. Even the more expensive top of the line models will end up being cheaper when you purchase them, saving you time over the long run. And you can get more affordable credit card processing units for a couple of hundred bucks, saving even more over time.
Focus on Debit - While most modern debit cards can be run as a credit card, the fees are often higher. That's because credit card processing fees are often based on a percentage of a transaction, whereas debit cards have a flat fee. Debit could be a much more affordable way to go.
Fight For A Good Rate - Or if not 'fight', at least negotiate. Try to focus on shopping around a bit and locking in rates. You can often negotiate a good agreement with a processor to ensure that you get a more affordable service. Rates can be based on everything from the size of your business to the number of terminals, and taking the time to shop around and negotiate for the best possible rates can help make it much easier for you to afford your processing costs.
Know The Terms - Along with negotiating flat rates is something that a surprising number of businesses don't always do - knowing their terms. Knowing what kind of fees are associated with a particular type of transaction and knowing any additional fees or costs will help you adjust your business strategy and renegotiate a better contract when the time comes.
If you'll keep these tips in mind you should be able to reduce your overall payment processing fees and save money in the process. Credit card processing is vital for any company, but that doesn't mean you have to pay an arm and a leg for it.