It is almost inconceivable for a business to operate in today’s non-cash society without offering its customers the opportunity to make credit card purchases. Every company needs credit card payment solution, which means that every company must enter into some arrangement with one or more credit card processors. In his Finance Monthly article, Jeff Pomerance, Head of SulmeyerKupetz’s Transactional Practice, shares five tips on how to secure the best credit card processor for your business.
There are a myriad of choices and issues involving securing revenues through credit card sales, and many factors to consider beyond just entering into business with a credit card processor that offers the best rate. Given the importance of credit card activity and the difficulty in sorting through which credit card processor to use, Pomerance suggests that the way to secure the credit card processing relationship that works best for your company requires that each company: 1) read and understand the processing agreement; 2) establish internal coordination to maximize recoveries on credit card transactions; 3) be proactive and plan ahead; 4) properly evaluate payment history with various processors; and 5) shop for the best deal.
Pomerance writes, “credit card sales represent a vital source of working capital for today’s merchants. The ultimate choice of a credit card arrangement depends on finding a processor that both provides for reasonable terms and conditions and demonstrates a consistent willingness to work with its merchants.”
Read the full article here.