Are you wondering if your business should start accepting debit and credit card payments? There’s no time like now to make the jump.
Recentstudies reveal that fewer than one in five purchases are made with cash and nearly a third of shoppers use no cash at all in a typical week. Whether you’re in e-commerce, bricks-and-mortar retail, or B2B services, if you’re not giving your customers the option to pay with plastic, you’re leaving money on the table.
Still not convinced? Here are seven ways that accepting card payments can boost your customer experience as well as your business operations:
1. Improve Your Customer Service. Shoppers appreciate the speed, convenience, and security of paying by card – and front-facing employees appreciate not having to make change. Smoother, safer transactions can help to build customer loyalty.
2. Enhance Your Credibility. Establishing a merchant account and partnering with credit card companies can help you cement your status as a serious enterprise and make customers feel confident about doing business with you.
3. Increase Your Average Transaction Size. Because credit cards offer consumers greater financial freedom – and because shoppers generally carry under $75 in cash – accepting cards empowers your customers to spend more with each visit.
4. Shorten Your Payment Cycle. If you’re in B2B, letting clients pay by card can accelerate cash flow. They’re less likely to wait until the invoice is due, and there’s no holdup as checks clear.
5. Lower Your Processing Costs. Many merchants snub credit cards because of per-transaction fees, but automated payment processing can cut down on your accounts receivable and accounting overhead. Checks often cost more to process.
6. Reduce Your Risks. With card payments, funds are pulled directly from customers’ accounts – and if the money isn’t there, the transaction is declined. No need to worry about rubber checks or counterfeit bills.
7. Streamline Your Recordkeeping. Oftentimes, small business owners are so busy helping customers that they neglect to properly track the products and services they sell. With electronic payment processing, you get a complete record.
Explore Your Options
There are three basic types of card processing systems. When making your selection, you should consider your sales volume and growth goals as well as the specific features and costs:
- Traditional POS (Point of Sale) Systems: If you’re selling goods in a physical location, you may benefit from this durable technology, which allows you to manage frequent customer transactions and multiple payment forms.
- Mobile POS Systems: These plugin devices can turn any smartphone or tablet into a register. They’re great if you make house calls, have multiple employees on the floor, or make sales at off-site venues.
- Online Payment Aggregators: These app- and browser-based tools allow you to accept card and ACH payments with or without a dedicated merchant account. They’re easy to set up and don’t involve long-term contracts.
Grow With Us
Upgrading to an electronic payment processing system can help you to move your business forward. And when you’re ready to go even further, consider the Nu Direction Lending experience. We’re owned and funded by federally insured, not-for-profit credit unions. Eligible businesses can receive instant preliminary offers and secure funding in as little as one week. Learn more about us and apply online today.
The information contained herein is for general informational purposes only and does not constitute tax, legal, or business advice.
Brought to you by Nu Direction Lending, a digital-first business lender that was formed and is funded by credit unions. To learn more about term loans for your business, visit nudirectionlending.com or contact us by email at firstname.lastname@example.org or by phone at 866-354-7151.
Nu Direction Lending is a digital-first business lender that was formed and is funded by credit unions. We combine the speed and convenience of online lenders with the personalized touch of the local credit unions who help fuel our local economies.