Different Ways Your Business Can Accept Payments
If you’ve recently started up a small business, whether it be online, a market stall or a shop, one of the first things you want to think about is how you are going to accept payments. At an initial glance, you might not realize how many different options there actually are, and you want to make sure you choose the right ones.
Below, we are going to look at some of the different ways you can accept money (besides cash) so that you can do just that. Want to learn more? Then keep on reading.
ACH Processing
ACH (Automated Clearing House) transfers are a way to move money between accounts electronically. They don’t require any type of card or physical check as everything is handled by the ACH network. The reason they are popular is that they have better processing fees, and the money is generally transferred within a few days.
Credit/Debit Cards
Credit and debit cards are one of the most popular payment methods used both in-store and online. So even if you are running a pop-up shop, it can be worthwhile to speak to your bank about getting an EFTPOS machine.
Another alternative is to look at using a card reader company like izettle, which allows you to use your smartphone or tablet to receive payments as long as you have an internet connection. All you need to do is pair the reader with your chosen device, and you can get started.
Online Payment Systems
Online payment systems like PayPal and Square are popular choices for online businesses as they allow you to transfer and receive funds via credit card or checking account. You can easily add them to any website, and when clicked, the page will be redirected. Once approved, the payment is processed and sent to your merchant account. Having these different options can make invoicing clients and customers much more manageable.
Recurring Billing
If you have customers that don’t like ACH because of giving out bank details, recurring billing may be the right choice for you. This allows customers to sign up for their subscription services using their credit or debit card. You still get paid on time, and they get their peace of mind.
Click-to-Pay Emails
Click-to-pay invoicing allows customers to pay their bills through an online form sent straight to their email. Since everything is managed on one system, you can see who has paid and when rather than having to dig through your accounts. You will also use less paper, and payments are processed much more quickly. It’s a win-win for both customers and businesses.
Final Thoughts
When choosing what payment method works well for you, you really need to think about three different things.
- What products/services you are offering.
- Your client/customer base.
- What fees you want to pay.
By answering those questions, you can determine what will be most beneficial. However, you also may consider using more than one option so that your customers can pick and choose what suits them.
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