Square is one of my favorite companies in the Merchant Services market. Why? Because it gives a new entrepreneur the ability to start taking credit card payments almost instantly. When I first started out in business, and customers wanted to pay with plastic, SQUARE was the ONLY option available to me at the time.
Back then, merchant services were almost the exclusive domain of long-established businesses. A brand new business would need to jump through quite a few hoops to finally get approved and get those credit card terminals installed at their brick-and-mortar location.
Square gives the mobile entrepreneur the ability to take payments using their mobile phone or tablet. The kiosks, stores, and restaurants have a larger, yet equally sleek terminal which not only looks great but can be a powerhouse with the optional integrated apps.
So, why isn’t EVERY business using SQUARE?
Well, convenience has a price. Recently, SQUARE lowered their card processing fees, so they are a lot more competitive, but if you’re swiping more than $5,000 per month, you’ll probably be paying more fees than if you had a traditional merchant account.
Wait, so I need to pay credit card processing fees?
Yes! Those processing fees usually range between 2-5% of the credit card transaction. Here is a great video explaining the process.
Currently, SQUARE’S rates for Card Present Transactions are 2.6% + $0.10 per transaction. The rates for a Card NOT Present Transactions are 3.5% + $0.15 per transaction.
Honestly, these fees aren’t going to break the bank! Many retailers are happy to pay these rates because of the ease of use, and the many apps available which make running their business a breeze.
If you’re interested in giving SQUARE a try, please consider using this link to receive free processing on up to $1,000 in credit card transactions for the first 180 days. Afterward, you pay the standard 2.6% + $0.10 per swipe for all major credit cards. (Restrictions may apply).
If you plan to sell more than $5,000 monthly, it might be smarter to get started from the beginning with a traditional merchant account, because you will save more money in transaction fees over the long run.
If you’re interested in learning more about Clover, Quantic, or our other Merchant Solutions, please contact me below.
I look forward to connecting with you soon…
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