What to Look For In A Payment Management System
Quick and efficient payment options benefit both small business owners and their customers.
Consumers are used to flexibility – cash, cheque or charge? – when buying from large retailers. If you’re a cash-or-cheque only operation, consider how many sales you may be losing – and how your business would grow if your customers could pay with debit or credit cards.
If one of your goals is to start selling online, an easy-to-use payment processing system is a must.
Read on to learn the most important features when searching for the right payment management system for your small business.
1. Cost considerations
Cash flow is typically one of the biggest concerns reported by small business owners – so ROI is key when investing in any new system. Some companies like FreshBooks are tailored for small businesses in the service industries and offer a flat rate fee of 2.9%. Paypal offers flexible payment options at low rates and was designed with small businesses and start ups in mind.
If you use online accounting software, start by looking into whether an affordable payment add-on is available. This option may make the most sense as you’ll greatly increase efficiency when payment processing, invoicing, customer data and financial reporting are part of an integrated all-in-one system.
2. Mobile compatibility
Forget card reader machines. A payment processing system that syncs up with your tablet or smartphone is a great fit for small business owners – especially when selling on the go. Just think how mobile payment processing will make your life easier when you’re making sales at trade shows or when travelling for business.
3. Security concerns
When you’re accessing your customer’s credit card data, you want to know with 100% certainty their financial information is kept safe and secure. Inquire into how any payment solution option you’re considering protects sensitive client data. Some payment processing solutions like CyberSource use tokenization to let you accept credit card payments without storing data in your system.
4. Try it for free
Many companies who market payment processing systems to small business owners offer a free 30-day trial. Why not research a handful of the best solutions available and give them a test drive before deciding on the right option for you?
Now that you’ve looked into the benefits of a payment processing system – and what to look for before you make the leap– it’s time to take action.
Start by shortlisting a few of the best contenders. Ask your colleagues for input on the payment processing system they use. Read online reviews to get some unbiased opinions. And take the time to investigate whether an add-on is available for your online accounting software – or which third-party payment processing apps integrate with your current accounting system.