Online business merchant account
Almost every online business nowadays needs to accept payments by credit and debit cards, and in order to process such payments one needs a merchant account. Online business merchant account is a bit different from offline business models, due to higher levels of security as well as processing is made a bit quicker and simpler for user. In offline business you just need a payment terminal, but online you sometimes need to connect payments with your CRM to track all of the orders, as well as very convenient payment gateway which could easily integrated into your website. Technically from business owner point of view such merchant accounts are a bit more complicated, but overall it works exactly the same. You have a merchant account to accept payments of your customers who wish to pay by bank cards.
Online business merchant account works in three steps: client makes payment, merchant service accepts and processes the payment, money is transferred directly onto your merchant account. Setup of such merchant account is pretty simple, but you need to make sure you have the right account. Accounts vary depending on the sector you are working in. For example, if it’s gambling, then you will need a high risk merchant account, if your business mainly deals with digital content, then low risk account will be ideal for you. Different accounts mean different security levels and different fees per transaction. If you are ever in doubt which account you need, then just contact one of our managers to clarify this point or if you want to receive any other answers to your questions regarding merchant accounts or online payment solutions.
What is very important when choosing online business merchant account?
There are several mistakes which novice business owners of online projects always make. First of all, they always go for the cheapest option. Usually cheap means bad, so if you go for the cheapest option then you have to take risks of higher possibility of frauds or transaction cancellations. All those problems will result in your business profit, so better go for a solid third-party merchant account from the mid-range. Secondly, some directors tend to make decisions pretty quickly without realizing that whole setup and merchant account opening is time and money consuming. Some third-party companies offer trial periods which is good, but if you don’t like the service then you will be in trouble and your head will be very exhausted after switching from one provider to another. Third point which we would like to make, is that choose merchant account which is most suitable for your area geographically. There is no point of using PayPal as merchant account providers when your main customers are from Russia (PayPal is not popular there), or choose merchant account in USD, when you operate in the UK. There are a lot of small things which you need to take into account to perfectly match the merchant account with your online business. Never rush, always double check and if in doubt do not hesitate to ask. It is your business and your money, so be careful who you are giving them to. Even though not directly, but just to process it.
