A merchant service provider is a third-party entity responsible for securing the finances of a business. Mostly they cover the area of customer payments. However, not all merchant services prove to be a perfect fit for a business. For this reason, you need to compare various providers and understand the differences between them. This article lists down some of the things that you need to look for in choosing a merchant service provider.
One of the primary things that you need to look for in choosing a merchant service provider is their potential. You should also consider whether they will be able to gain your trust. In this case, take the time to explore online sources that feature different merchant service providers. This allows you to learn more about the specific services they can provide and whether this will prove to be sufficient for your business. For instance, if your business sells products online, you need to find a provider who will be able to aid you when it comes to credit card storage, payment gateways, virtual terminals, as well as risk and fraud management.
As much as possible, research potential providers because not all are equal. Some only focus on providing services for specific business types. Others are often generalists. It also follows that some offer tailor-fit solutions while others have standard services. When you have a good idea of the different types of providers that exist in the market, you will be in a better position to make a decision.
Features To Consider
In choosing a merchant service provider, you should also look for the features they offer. In this case, some of the features that you need to consider are below.
When you explore various merchant service providers, it may surprise you to find that many offer only a single plan. This can prove to be challenging for seasonal businesses because of all the fees that they need to shoulder even when it is a down season. Thus, if you are running a seasonal business, then make sure that you opt for a merchant service provider that offers a variety of plans. Ensure they list all the services you will get as well as the fees that you have to pay alongside it.
Another feature that you need to consider when it comes to choosing a merchant service provider is the fees for their services. In this case, your business can pay for these fees either on a monthly, quarterly, or annual basis. They may also charge interchange fees which may vary depending on the card type. Just keep in mind that you should not base your decision solely on the fees that you have to pay.
You should also take the time to look into the customer service features of a merchant service provider. Ideally, you should go for a provider that offers 24/7 customer support. However, if the provider you want doesn’t offer this feature, ensure their services are dependable.
Questions To Ask
Finally, you should also look for sensible answers when you make certain inquiries to the merchant service provider. In this case, some of the questions that you can ask include the length of time that the company has been in business. Also, consider the length of time it takes credit card funds to process. It is also a good thing if the merchant service provider will be able to provide you with references to their other clients when you ask them to.
You should also take the time to ask a potential merchant service provider about the payment services that they support. Ask about the level of customer service that they offer as well. In terms of the former, there may be merchant service providers that may support magstripe but not NFC payments. When it comes to the latter, it is ideal to enjoy 24/7 phone support but not all companies can provide this.
To be able to choose the most suitable merchant service provider for your business, you have to take the time to research various prospective providers. In this way, you will be able to carefully scrutinize the features you need to consider. This includes their pricing plans, fees, and customer service among others. You should also try to ask the provider certain questions. Their answers will be able to help you make a better decision later on. All these are geared towards ensuring that you end up with the most suitable merchant service provider for your business.
- Mike Gingerich
- United States