Take Credit for Offering Consumers Better Payment Options

If you want to offer your customers good customer service and potentially increase your sales, make sure your small business is wired for credit card transactions.

Data by Intuit shows that businesses who accept cards often see an upswing in sales - yet 55% of businesses still don't accept credit cards. 

What are some of the reasons your business needs to accept credit cards? And how do you get ready for credit card payments?

Why You Need to Accept Credit Cards

Nowadays, accepting credit cards is becoming a must for the majority of businesses.

Here are four reasons your small business needs to start accepting credit cards:

1. Convenience - Your customers expect good customer service that makes paying for your goods or services easy for them. Paying by credit card is expected for online purchases, but if you have a brick and mortar store your customers will expect to be able to pay by card there too. If you can't offer a card payment option, you might find yourself losing a sale.

2. Cash flow - As well as making things easier for your customers, accepting credit cards can help you keep track of the cash flow in your business. Checks and cash are harder to keep track of. You have to wait for a check to clear, and a bill sent out to be paid cash or check can mean a long wait for payment. Credit card payments provide you with clear and straightforward reporting, and instant money transfer.

3. Increased sales - Customers who use credit cards tend to spend more. The convenience of handing over plastic can lead to bigger orders and an increase in impulse buying, which is good news for your business. Intuit found that 83% of small businesses who accept card payments see an increase in their sales.

4. Wider customer base - Credit cards make global sales as quick and easy as local ones. If you are likely to sell through any kind of third party online market place, you'll find that credit card payments are taken care of for you as part of the guidelines for marketplaces and money transmitter licenses. Whether you are selling direct or going through a marketplace, credit is a surefire way to turn your local market into your global market.

Getting Your Business Ready for Credit Cards

Once you realize accepting credit card payments are a must for your business, you need to start putting your credit card plan into action.

It's easy to get overwhelmed by the amount of information and worrying about the high fees you think you will need to pay, but getting ready for credit cards doesn't have to be painful. 

To accept credit cards, your business will need a merchant account.

This is simply an account which allows you to accept credit card payments. The most common way of getting a merchant account is to go through a bank - you can apply to your usual bank, but you don't have to.

There are also independent credit card processing companies, who offer options to businesses who can't or don't want to get a merchant account through their bank. If your business is based online, you will find several online credit card processing services, such as PayPal. 

You'll also need a credit card terminal of some sort.

You'll find different merchants offer a range of options, from traditional point of sale terminals, to mobile credit card processors that turn your smartphone or tablet into a mobile payment terminal. Some merchant services will loan you equipment, which can reduce fees.

Whatever you decide, it's best to shop around - merchant services can attract high fees, so take your time to shop around for the best deal.

In a fast-paced and convenient world, accepting credit card payments is a must.

Your small business will look professional, and your customers will appreciate the convenience - and may spend more with you too.