Whether you are a small business or a large corporation, chances are pretty good you need to process the payments given to you by your customers. Credit card processing is a great for handling this particular need. Credit and debit cards are highly prevalent in society. People have gotten used to paying for goods and services with them. Therefore, if your business doesn’t offer a way to pay using these methods, then you may be missing out on a lot of sales. On the other hand, credit card processing isn’t for every business.
Credit card processing is convenient for both you and your customers. You don’t have to worry about carrying around a lot of cash back and forth to the bank, and neither do your customers. This can reduce the instance of robbery in your business, particularly if you are located in a high crime area. If your business does get robbed, your losses will be much less because most of your transactions will involve credit or debit cards that automatically transfer the money to your business checking account. On the other hand, credit and debit cards hold fraud risks as well. If you do not adhere to the fraud prevention methods setup by your merchant account, you could end up paying for fraud out of your own pocket.
Technology today makes credit card processing very portable. As long as you have access to the Internet, you can process credit cards using a mobile telephone or laptop. This is particularly beneficial for businesses that are mobile. For example, you could take payments at your client’s house after a plumbing job. Additionally, you can integrate your merchant account with your website and take payments over the Internet. This allows you to sell goods and services online. You will also be able to take payments for invoices online.
Credit card processing requires you to stay on top of your bookkeeping, which will increase the amount of paperwork you will have to do. Additionally, you will have to save those transactions for a period of seven years for IRS purposes. Therefore, you may need to pay for a place to store those records. Many times, though, being able to accept credit cards can increase the amount of money you make in your business. Therefore, the costs associated with credit card processing may be worth the trouble of setting up a merchant account. Look at your particular business to make that determination.