Now that most consumers are pacing the shift to the use of credit cards, it’s mandatory that you enable your business to accept these cards. These days, most clients expect to easily make payments anywhere they go—your online shop is not an exception.
Remember, minus up-to-date payment alternatives, you won’t be able to compete favorably in the ever-changing marketplace, especially for startups. But regardless of how small or big your business is, you risk losing a large number of customers to your competitors. Nevertheless, you are sure to face problems like fraudulent transactions and chargebacks which should be dealt with later on. Here are useful tips for SMBs that accept credit cards (or those looking to do so soon).
- Shop around to get the ideal processor
You can only begin accepting payments once you have opened a merchant account. The application and approval process for a new merchant account may take time depending on the provider—EMB is relatively faster. Moreover, you don’t want to assume that all processors provide the same service in terms of quality, offers and costs.
As with credit card companies, each processor has its own fees, rates, strengths and weaknesses. Shopping around will allow you compare the rates and terms, and eventually find what works for you.
- Go for options that allow more freedom
Since you business is a startup, you’re better off with a payment service that allows you to make adjustments when you need to. Though accepting credit cards is a great way to attract and retain clients, say no to providers with lengthy contracts and huge cancellation fees. If you run a high risk business, consider going for a high risk merchant account payment gateway.
- After Approval, strictly abide by the rules
Rules governing payment should be clearly understood and followed to the letter. However, they may differ from one processor to another. Following these rules will not only help you stay accountable but also safeguard your business from fraud.
- Make clear your refund policy
Ensure your business has a clear and precise policy on returns and make all your customers are aware of the specifics. Prominently display it on all receipts and at your point of sale. This way, you can easily win an invalid dispute.
- Augment your customer service
Fast and effective customer service can help you avoid potential chargebacks that could cost you lots of money. Inquire if your payment processor notifies merchants of pending chargebacks and immediately activate the option. This way, you’ll be the first to know every time a customer begins disputing a charge. As a result, you can contact the client and discuss things or prepare to handle the dispute.
- Add signage that show you accept credit cards
Show you customers that your shop or website accepts credit cards and be sure to feature only logos of the card brands you accept. This way, you’ll most likely boost revenue through impulse purchases.