Thousands of Owners, Controllers and CFO’s go in search of the perfect payment processing account year after year only to find themselves going through the process again at some point, a process that usually takes more time than they want to spend and one that also angers them depending on who they let in their office.
After investing much of their time and mental brain power they throw the dart, often at the one that appeared to give them to best deal on paper. A year later they find themselves back in the office with another set of darts trying to find a better deal, again. Have you ever wondered why this happens?
The majority of the reasons why this happens is because the company that was chosen was based on who had the shiniest proposal instead of the best fit for their needs, goals, and objectives. The payment processing industry is one of the most complicated when it comes to understanding business models and rates, so don’t be disappointed in yourself if the dart landed on the wrong company again. The industry is structured in a way that allows companies to build proposals to look better than the one you’re currently using and then they can change the deal after you become a customer. This is why you can sign up for what seems to be a great deal and then at some point fees get added to your statement that you didn’t initially agree to. I wish there was a way to throw these folks in jail for doing business in this way as its bad for American businesses, but we don’t have that as an option currently. There is a solution to the madness though, here is a strategy you can implement in the future when searching for a payment processing company:
Implement An Interview Process
I would suggest treating this like you’re interviewing a new employee at your company. Have 20-30 questions that you have all the answers to that fit what your expectations and wants are from your payment processor. You don’t want it to come down to what appears to be the best deal. Consider all the things that would be important to you as a business owner, your staff, and your customers. Here are a few examples that you may want to ask:
How long are my rates guaranteed to stay the same? Obviously, we all know that the card brands typically increase or decrease their rates in April & October. Does your company also increase their margin without notifying you?
What will the process look like for me to address chargebacks with your company? Many companies provide excellent resources in this area and could save you a considerable amount of time and money if done properly.
What will it cost me to acquire equipment? Many companies still promote leasing $200 terminals for $100 per month for 3-4 years on contracts that are non-cancellable. Will this equipment work with any processor? Why is the agreement non-cancellable?
These are all questions that you can ask to make sure if you do move you can do it with the confidence that you’ve selected a great partner for processing your payments.
If you’re looking to learn all of the insights you need to get the best payment processing account, download a copy of “The Truth About Accepting Credit Cards”, a mini-book that discloses the different types of providers, 15 of the most common myths, and an interview process you can use when selecting a payment processor!
You can also reach out to schedule a conversation, Let’s Talk!
