Need High-Risk Processing? Look No Further

Jun 14, 2022

If you are a high-risk business that sells vape products, CBD, cigar, or tobacco products, know that your options to acquire a merchant account to process your credit card payments will be limited

Why? These industries fall under the “high-risk category”. The items you sell may be perfectly legal, however, there are reputational risks, financial risks, and higher incidences of fraud than traditional processors simply refuse to deal with. 

So where does a high-risk business look for their credit card processing needs? After all, credit and debit card processing is the lifeblood of any online business. Read on to find out more.

How Do I Know If My Business Is High-Risk?

The two biggest reasons why businesses would be categorized as high-risk businesses are that they have a significantly higher risk for chargebacks and fraud. With a traditional provider that does not specialize in high-risk businesses, they could easily shut your merchant account down if your chargebacks surpass a certain threshold. This would certainly mean a complete halt to your business. Potentially hurting your reputation and your revenue. 

What do Businesses fall Under The High-Risk Category?

What makes being a high-risk merchant particularly tricky is that every provider has their own subjective guideline of what makes a business high-risk.  That’s why it is vitally important to check with the provider you choose to ensure that you are not considered a high-risk merchant, based on their own criteria. 

Although this list is not comprehensive, these are the categories that are generally considered high-risk:

  • Accounting and tax preparation.
  • Adult products or services.
  • Age-restricted items.
  • Cigarettes and tobacco
  • Bail bonds
  • Automotive parts and accessories
  • Debt consolidation
  • Computer software
  • Credit repair
  • Firearms and firearms accessories
  • Dating services
  • Digital downloads.
  • Document preparation
  • Dropshipping
  • Electronics
  • Fantasy sports
  • Financial services
  • Furniture
  • Cannabis
  • Hunting and outdoor equipment
  • Legal services

What Are The Implications Of Being High-Risk?

As you may have already discovered, running a high-risk business is not without complications. Securing a reputable high-risk merchant account in itself will be a challenge. 

Then you will have to be prepared to pay a higher-than-average rate for your processing fees. Some contracts will be longer. Early termination fees will be astronomical. Some require cash reserves. There may even be volume caps. 

Some high-risk merchants are ready to claim expertise in the high-risk industry but perhaps not in your specific vertical. Even more disconcerting is that laws and regulations are constantly changing. Your high-risk merchant account provider must be well-versed and up-to-date on the latest legislation regarding your industry. 

How Do You Open A High-Risk Account?

Don’t be intimidated by all that is required to operate as a high-risk merchant. The key to winning is to develop a solid partnership with a provider that knows the ins and outs of your industry and is not afraid to be open and honest about what is required to succeed. 

EMB ( has been in the high-risk industry long enough to guide you every step of your business journey. 

They offer a host of financial and payment solutions to suit your particular needs. Some of their offerings include Chargeback Dispute Resolution, Secure Online Payment Gateways, High-Volume Payment Solutions, and so much more. 

Applying for a high-risk merchant account could not be easier. Simply go to and fill out an online application. You will need some important legal documents for your business to submit with your online application. 

Once everything has been completed, the process could take up to 24 hours. 

Final Words

Although having a high-risk business can have its share of hardships, there is no doubt that many verticals within the high-risk industry could be highly profitable. 

The key is to partner up with a trustworthy, high-risk merchant account provider like EMB to help you navigate the sometimes difficult path to success. 

Let us help you get a high risk merchant account today!

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Having a merchant account allows an account holder to take advantage of merchant cash advances. When a merchant is approved for an advance, the business agrees to receive a lump sum of cash in exchange for an agreed-upon percentage of future credit card sales.

Pricing varies depending on the merchant’s industry, past credit card processing history, the type of business seeking the account, average ticket sales, and average transaction volumes.

Yes, EMB works with merchants who are building their credit, as well as those who have poor credit. EMB also approves merchants that have no credit card processing history and businesses that have lost their merchant accounts due to high chargebacks.

Several factors influence a merchant’s risk level. Though only one factor likely will not get a merchant classified as high risk, a combination of these may: business size, location, and industry, credit score, credit card processing history, a industry’s reputation for excessive chargebacks, a prior history of high chargeback ratios, and whether a merchant exclusively sells online.

Virtual terminals are stationed on a merchant’s website, making it easy for customers to make a payment or purchase online. Merchants or a payment processor can easily set up virtual terminals, so online businesses can accept credit and debit card and e-check transactions.

A merchant account is a business account with an acquiring bank. Without this business account, which actually works more like a line of credit, a merchant cannot accept and process credit and debit card transactions. Businesses need a merchant account to accept major credit cards via a static point-of-sale terminal, mobile card reader, or through a virtual payment gateway.

After filling out EMB’s simple online application and submitting any necessary, requested documents, many merchants get approved within 24 and 48 hours.

EMB specializes in working with high-risk merchants. EMB works with many merchants, including but not limited to businesses in these industries: gambling and gaming, adult entertainment, nutraceuticals, vaping and e-cigarettes, electronics, tech support, travel, high-end furniture, weight loss programs, calling cards, e-books and software, and telecommunications.

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