If you have a business, you need a merchant account. It’s that simple. What isn’t so simple is finding a merchant account if you are considered a “high risk” merchant. This label is slapped on various industries that have a higher rate of fraudulent charges and business closures. While some industries are expected to be on this list (i.e., adult dating websites and gambling websites), sometimes the business itself isn’t the “industry”, but rather the financial status of the merchant. A growing “industry” is the bad credit merchant industry. While everyone deserves a chance to operate their own business, many times those with bad credit have the toughest time.
These issues don’t involve actually opening a business, but rather obtaining a merchant account. A merchant account allows a merchant to process credit and debit card payments, and it is imperative that every business has this option. However, if you have bad credit, no credit, a bankruptcy, or a tax lien, you can have just as much trouble finding a merchant account as someone with a adult dating merchant account. Even if you have a good business standing, your personal credit can tank your chances of obtaining a good merchant account. This leaves some opting to use PayPal to process payments, or even go as far as morphing into a “Cash Only” business. PayPal is a terrible option, because they will drop a company for taking in too many transactions in a short time period, and they can freeze an account at any time. This leaves you without funds, and leaves you without the ability to give refunds. A “Cash Only” business is also risky, because the advertising involved leaves vulnerable to thieves. It also leaves you without a large chunk of your customer base, because the majority of consumers pay with plastic payment cards.
Those with bad credit need to obtain a bad credit merchant account, like the one offered by EMB. This is one of the most important things you can obtain for your business, whether you are in a small, single employee business or in a large, multi-location business. Your business runs on its customers, and you need a way to accept their payments safely and securely.