Small Business Blog

In a previous post, I talked about the importance of clarifying your payment processing needs before setting up a merchant account. Doing so helps you select the right provider and the right type of account, which ultimately minimizes unnecessary fees and, possibly, cancellation charges.

The merchant services industry is a competitive one, and account reps. are very good at getting themselves endorsed by local chambers of commerce and other business groups. Speaking from experience, I can tell you that an endorsement is not the best way to select a payment processing solution. This is because these accounts have relatively complex terms and conditions, and no one setup is the universal answer for all businesses. Therefore, the best way to proceed is to interview as many service providers as you can.

North American Bancard (NAB) is a relatively well established payment service provider based in Troy, Mich. The company services more than 100,000 businesses with a full slate of payment services, including the traditional credit and debit card solutions and other offerings like business cash advances, gift card/loyalty card programs, electronic processing and check verification services.

NAB processes more than $8 billion in transactions annually, and so has the scale to offer 24/7 customer service, among other things. Round-the-clock customer service is super important if your business is open during nontraditional hours or if you only have free time during nontraditional hours. Most small business owners fall into one or both of those categories.

NAB’s scale also makes the company relatively easy to research. You can view a few different online resources to learn more, including:

1. North American Bancard Wikipedia Page
2. North American Bancard Company Profile
3. North American Bancard Blog

When you review a service provider’s blog or profile page, you are basically looking to understand the business’s position in the industry. Is the company big enough to handle your needs? Or is the company too big, such that you won’t be an important customer? You also want to know that the company offers the services you need now, and those you may need in the future. (continue reading…)

The rationale behind setting up a merchant services account is pretty straight forward: accepting credit card payments generally helps you capture more customers and get paid faster. In theory, every business owner could stand to have a few more customers on the books and a few less dollars tied up in accounts receivable (AR).

But that’s theory. In practice, the decision to set up a merchant credit card processing service isn’t always a no-brainer. It’s important, first, to understand how you would use a merchant account. Do that analysis upfront and, if you decide to proceed, you will be better prepared to select the right service provider.

Questions to ask

What are your sales channels?

Analyze the accepted forms of payment in your current and prospective sales channels. For example:

1. Online retailing to any customer type generally requires some form of credit card processing service, either through a direct provider like North American Bancard or through a third-party provider like PayPal.
2. Door-to-door selling usually involves cash or check.
3. Direct mail sellers tend to accept check and credit card.
4. Storefront, consumer businesses vary in accepted forms of payment. The decision to accept credit cards should depend on the average sale and the composition of the store’s walk-in traffic.

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Intuit QuickBooks Billing Solution promises convenience and faster-paying customers. But does this service really measure up to that promise? In my experience, no. Read on for the gritty details.

One of the challenges of running your own business is finding the time to manage the details and still do the work that makes you money. If you are a graphic designer, for example, you must market, sell, bill and collect — while still finding the time to design. When your scarcest asset is time, you are attracted to services of convenience, services like the Intuit QuickBooks Billing Solution. (continue reading…)

All marketing activities, including free tactics, come at a cost.

This cost may be measured in terms of money, time or even missed opportunities. That’s why it’s so important that you understand who your most profitable customers are, and focus your energy on finding and keeping them.

To do this, you’ll first need to define your ideal customer profile. This will help you focus your efforts like a laser, enabling you to get the best ROI for your lead generation efforts. (continue reading…)

In May of 2009, small business credit card provider Advanta Corporation announced that it would shut down roughly one million small business credit card accounts. The news is a sign of the times: economic conditions are taking a toll on small businesses and their lenders. If the profitability of small business lending continues to decline, small business owners will be increasingly challenged to locate the credit they need to fund expansions and special projects.

One option that’s becoming more popular for entrepreneurs and small business owners is the merchant cash advance. Merchant cash advance providers offer cash upfront in exchange for a piece of the business’ future sales. While this arrangement technically isn’t an extension of credit, it does generally function like an unsecured small business loan: the business obtains a lump sum of cash and repays it, along with a fee, over time. (continue reading…)

Small businesses have been among the hardest hit by this economic recession, as indicated by recently published data from the Small Business Administration. How’s your small business holding up? Chances are, you could benefit from trimming the fat from your expense structure. Try these six strategies for cutting expenses and improving your small business’ bottom line.

Advertise more efficiently

Cancelling all of your ad contracts isn’t an option if you plan to stay in business. If you are wondering why, read Recession Market Strategies. What you can do is… (continue reading…)