While operating on a cash-only basis may cut costs on merchant services equipment, it also means limiting how much revenue your enterprise can ultimately bring in.
A recent survey from CreditCards.com found that while a majority of people use cash for purchases less than $5, most people use credit or debit cards for everything else. Additionally, a slight majority of younger consumers prefer to use plastic even for small purchases, and with this demographic poised to be the future of consumers, it’s more important than ever for small-business owners to invest in the right merchant account services.
What do merchant account services offer?
In short, a merchant account is an agreement between a business and a card provider that allows the business to accept different forms of payment. This can include credit card processing, check processing, PIN debit cards and more.
However, merchant services can offer more than just the ability to accept common forms of payment. They can also give small businesses the tools to expand and fine-tune their operations.
One example is the use of gift cards. Popular with major retailers, your small business can also capitalize on gift cards by creating a merchant account.
Another example is being able to offer loyalty card programs to consumers. In this way, small businesses can inspire greater loyalty among shoppers and improve their chances of repeat business.
Making the right selection
Chances are your business already utilizes merchant account services. However, you may be able to obtain these services at a lower price. As with any business service, not all merchant accounts are created equal, so it pays to consult with different providers to find a merchant account that fits your needs.
At the very least, it’s important to remember that not having merchant account services is practically the same as leaving money on the table.