One of the biggest differentiators between the many payment gateway options on the market are the credit card processing fees and rates charged to the business. Read on to find out how these can vary and why it is important.
Credit Card Processing Fees Can Eat Away At Your Margins
As a business owner, you’re always concerned with your expenses, and you are probably trying to keep them down as much as you can.
- In a tough year or quarter you can do many things to reduce your expenses – you can downsize, you can change to a cheaper office location, you can down on the level of service from your vendors.
- One thing you won’t be immediately able to do, though, is change how much you’re paying in credit card processing fees.
- These fees will follow every single transaction between your business and its customers, and so it by default takes a cut of your profit margin.
While this is obvious and necessary, what is less obvious is that different payment gateways and merchant accounts will have very different fees.
Big Tech Like PayPal Will Charge You More
For many entrepreneurs, PayPal is the first payment gateway of choice when they start out.
- It’s easy to understand – anyone can get an account at any time, there is no approval process, and it works almost all over the world.
- Same goes for similar payment apps like Venmo (which is owned by PayPal), Stripe or CashApp.
- However, these services are operated by giant tech corporations that can’t differentiate in their service level or the fees they charge.
That means that the freelancer who generates a revenue of $10,000 in a whole year is subject to the same fees that a business that generates $10,000 every week.
And while the credit card processing fees charged by these services may not bother a consumer or a freelancer because of the fairly low total cost to them, when you apply these fees to a scaling business, the additional cost begins to hurt.
5 Star Processing Guarantees Lower Fees & Rates
Our company was started to help the small and medium sized businesses that need a payment gateway and a merchant account with a reliable level of service and a cost level that can help the business grown and expand.
Because of this, we can guarantee that our credit card processing fees are lower than anywhere else on the market.
Connect With Us Today To Get Started
As our fees vary depending on the business, we can’t put up a list of fixed prices. What we can guarantee is that our fees will be lower than you going to another payment gateway.
To find out what our credit card processing fees are for your business, call or email us today. We’re ready to help you answer any questions you may have about credit card processing fees, and can help you get started with a better payment gateway for your business.
Call us toll-free now at +(888) 253 9692, or send us an email to [email protected].