The number of merchants currently conducting their operations in the comfort of their homes has rapidly risen in recent times. Unlike more established enterprises, home-based businesses are less regulated, cheaper to run, and offer more flexible working hours. However, merchants that choose to work from home face the problem of limited payment options.
A home-based retailer entirely depends on credit cards to accept payment. Besides making the business more appealing to customers, card payments also give the trader an easy time managing finances. Contrary to popular belief, setting up a credit card payment system is easy. Moreover, the benefits that come with it always outweigh the costs incurred to gain the capability.
Acquiring a merchant account
To start accepting credit cards, you’ll need to open a merchant account with either a bank, an independent broker, or a third-party provider like PayPal. While companies like PayPal can be a good idea if you’re just starting your enterprise, they result in the longest waiting times for payment to reflect on your business account.
On the other hand, getting your application approved by a bank can be hard. Because you lack established premises, the bank will likely regard your home-based business as high-risk. As a sole-proprietor, therefore, your best bet lies with an independent provider.
Below are some ways in which your business will benefit from opening a merchant account with an independent sales organization:
- Better rates.
An ill-advised merchant will probably choose PayPal over eMerchantBroker because of the absence of monthly fees. But if you envision your sales to increase over time, you’re better off with an independent provider. These companies charge remarkably lower percentages per transaction to businesses with higher sales and can be more economical than third-party processors
- Personalized service
Your account provider needs to have a good understanding of your business to offer the best service. A bank probably has lots of clients just like you, and PayPal doesn’t know you exist. But an independent provider can get to know your operation and tailor your merchant account to precisely meet your needs. Customer support will also be better-equipped to answer your questions and solve problems.
- A larger package
Although the sole purpose of a merchant account is accepting and processing card payments, extra services that may come with your package are significantly essential. An independent provider can bundle your account with features like fraud prevention tools and chargeback shield, which will make your online transactions safer.