How Does Credit Card Processing Benefit Your Small Business
Aside from accepting cash as a method of payment, being able to process debit and credit cards can bring about numerous benefits for your business whether you choose a fixed, portable or mobile credit card processing machine. These benefits can range from the more obvious to some that you may not have thought about before.
Boost your Sales
You are able to increase the amount of sales that you conduct by being able to accept credit and debit cards. This is because there are many potential customers that only carry cards on them instead of cash. When you start accepting cards you are then able to attract more customers.
Cash in on Impulse Buys
It has been said that those who are paying with a credit card will generally be more prone to impulse buying. Card-swiping customers have a tendency to spend more money when they use a credit card as they may find it easier to part with a credit card than to pay with cash.
Improve Cash Flow
Credit and debit card transactions can improve the cash flow in your business, because these transactions are processed electronically and are therefore often settled quickly. The amounts are generally deposited into the business’ bank account by your processor in a couple of days. With no more waiting for cheques to clear or dealing with large amounts of cash, your business will enjoy an improved cash flow.
Paying with Ease Wherever
Mobile credit and debit card processing brings about convenience for your customers and also for the business. Mobile processing units can be used at large events where there are many people that need to pay for items. In addition, mobile devices such as tablets or smartphones can be converted into credit and debit card processors and used anywhere. In this way, the customer can pay immediately and the business will receive the amount due a lot quicker.
As a small business, your aim is to encourage people to shop with you. By having a merchant account for credit and debit card processing and displaying these additional payment options on your website or at your place of business, your potential customers are automatically assured of the legitimacy of your business. This is especially true for online businesses.
There are two types of security benefits gained by accepting credit and debit cards. Firstly, by dealing with less cash, your business reduces its chances of being a target of theft. Secondly, your business will avoid the possibility of accepting invalid cheques. A cheque that bounces can cost the business a large chuck of profit; not to mention, it is also time consuming for the business to track down the customer to recover the costs. Credit card transactions are screened during the process so that the risk for fraud is reduced.
There are many reasons why a small business should consider switching from accepting only cash to having credit and debit card processing terminals as an additional method of processing payments. Overall, a business can benefit by attracting more customers and increasing their sales.