ALL >> Business >> View Article
Why Do You Need To Have A Merchant Account For Your Online Business?
A question that haunts anyone who is planning to sell his/her products or services on internet is the mode of receiving payments from buyers sitting in another city, state or country. The best and the quickest option is to accept payment through credit or debit cards. There are other alternatives but none as quick and as convenient as this one. Online shopping is all about convenience and speediness, if the buyer has to wait for days before the payment arrives into seller's account so that he might be able to dispatch the products. Such a lengthy turnaround time destroys the whole advantage of online shopping. In view of that, when you are setting up an online business, you must arrange for a merchant account to be able to accept payments through credit/debit cards. Asking your customers to send checks or money orders just doesn't fits in.
Merchant Account is a type of bank account that makes it possible for account holder to accept credit card payments from his/her clients. In other words merchant account provider is a service that allows business owners to accept payment via credit/debit card. Though in most cases, ...
... you'll not be dealing directly with merchant account providers, especially if you are a small or medium-sized business. However, the idea is to be able to accept credit card payments, be it through Merchant account providers, Independent Sales Organizations, Payment Processing Companies or Payment Gateways. Let's take a look at how payment gateways or third party merchant accounts can help you in this regard.
Payment Gateway:
If you are an online business, you must sign up with a payment gateway service. Payment gateway allows you to offer an easy solution to your customers to make on the spot payments. The process starts from customers clicking on the pay now button and the whole transaction takes not more than 4 - 5 seconds (even though there's a lot of data transfer taking place at the backend that includes various parties validating the process).
Third Party Merchant Account:
Third party merchant account is the most convenient and also the most commonly used medium by small businesses. Third party merchant account services serves the same as the traditional merchant account, however the prices differ. Third party merchant account typically cost less than the original merchant account when it comes to setting up an account; however the transaction fee is significantly higher. Some examples of third party payment processors are PayPal or 2co.
William King is the director of UAE & Dubai Business Services Directory: http://www.datadubai.com/ , Australia Wholesale Suppliers, Distributors, Dropshippers & Manufacturers: http://www.dailytrader.com/australia/ , and Australian Wholesalers & Wholesale Suppliers: http://www.australiawholesalers.com/ . He has 18 years of experience in the marketing and trading industries and has been helping retailers, entrepreneurs and startups with their product sourcing, promotion, marketing and supply chain requirements.
Add Comment
Business Articles
1. How Global Trade Finance Facilitates Cross-border Transactions And Reduces RiskAuthor: Riddhi Divan
2. Innovative Uses Of Nickel In Cryogenic And Marine Environments
Author: Online fittings
3. Implementing Predictive Analytics In Your Abm Toolkit
Author: SalesMark Global
4. Comparing The Top 5 Live Commerce Platforms For 2024
Author: Amy Williams
5. Data-driven Precision Marketing For Effective Demand Generation
Author: SalesMark Global
6. Supercharge Your Sales With Optimized Pipeline Velocity
Author: SalesMark Global
7. Best Japan Tour Packages
Author: bharathi
8. Adani Group Stocks Down 20%; Gautam Adani Indicted In Us Over Bribery Charges
Author: Bizzbuzz
9. High-performance Ss Round Bars: Addressing The Energy Sector's Needs
Author: Neelkamal Alloys LLP
10. The Role Of Modern Washroom Solutions In Maintaining Cleanliness
Author: ritika krishna
11. Why Choose Premium Taxi Services In Kochi?
Author: maya
12. Black Magic Astrologer In Kasaragod
Author: Sripandith05
13. The Health Benefits Of Adding Pineapple To Your Pancakes
Author: maya
14. Top Luxury Resorts In Kerala For Your Dream Vacation
Author: maya
15. How To Start Your Shopping Website In Doha: A Simple Guide
Author: maya