What You Should Do To Get a Merchant Account For Your New High-Risk Business

Mar 03, 2017

Traders in high-risk industries usually have it rough when trying to acquire merchant accounts. Despite the increasing popularity in credit card payments, not many card processors are willing to lend their services to high-risk enterprises.

As the owner of a new business, you’re probably already in the high-risk category. Why? Because from a payment processor’s point of view, it isn’t a guarantee that your start-up will be successful in the long run. Things can get even more complicated if you’re entering a well-known high-risk industry, such as credit repair, pharmaceuticals, electronics, adult services, etc.

However hard it can get, it is still possible to get a merchant account. High-risk specialists are few, but they exist. All you have to do is be appealing enough for them to approve your application.

What to do to improve your chances of approval

Obtaining a processing account can be tough for a new high-risk merchant. Regardless, below are some steps you can take improve your chances.

  1. Prior due diligence

Accepting credit card payments is a necessity to any modern-day merchant, which means you should start making arrangements for a processing account even before your business sets off.

Don’t waste time chasing firms that show little accommodation for high-risk traders. Instead, start with companies that specialize in your type of operation, and filter through them based on relevant factors, such as rates and fees, T&Cs of service and customer support. eMerchantBroker, for example, offers favorable terms and their rate of approval for high-risk applicants is pleasantly high.

  1. Compliance with all application requirements

Although the stipulations laid out by the processing company will depend on your business’s level of risk, it is essential to have all your paperwork in order before filling out any application forms. In addition to documents such as updated licenses, financial statements, and tax returns, you also need a business plan that will be convincing enough to get the processor on board.

Even after submitting your application, the account provider may call you to request for additional information or clarification. Ensure you respond quickly and do everything they ask.

  1. A reliable business funding solution

The main reason processors shy away from high-risk merchants is because they’re often not willing to take a chance on a potential failure. However, if you have plenty of business capital or a sizable backing from an investor, the processor will have renewed hope for the survival of your start-up.

Before applying for a merchant account, therefore, make sure you have a practical plan to fund your business. A good plan will show the processor that you’re devoted to the cause and are ready to see it through.


Getting a merchant account for your high-risk establishment is no easy task, but it isn’t impossible either. Let the above tips guide you to achieving your payment processing goals.

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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