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Hub You - Getting a Real Merchant Account or Using 3rd Party Processors Like PayPal(R) - Which is Better?
I just want to say thank you to everybody who is taking the time to read this series. I love reading the responses and I am glad that everyone is enjoying it. I would like to remind everyone to get their friends and family to have a look. Remember I use these for affiliate marketing but I also use a lot of them in real life. I plan on making these into an e-book eventually so use them while they are free.71. Don’t Stop Taking StepsThe possibilities out there are endless. You have to keep pushing yourself and taking the next step. I write lots of articles. Now if I tell myself I am going to write four today and I still have time at the end of the day then I keep wri
g. If you're especially accomplished at marketing, and if you render an ample amount of sales during a launch - you should not be startled if your account ends up being "red-flagged", frozen and audited. And this will take place, once again, without warning.
In comparison, this is what you can anticipate from a merchant account:
1. If you are processing sales online, you will have the ability to enter your merchant details into an easy to use, uncomplicated menu-driven (shopping-cart) interface/gateway - and there are several that are readily obtainable, even free ones such as OSCommerce. These are is simple to use by potential clients, and all-inclusive in terms of assembling crucial data
2. You can allow you to modify the shopping cart to fit your precise purpose including the shipping costs and taxes
3. It will show yo
Customer Relationship management, CRM in short, is an essential software tool for any small business. CRM provides a streamlined approach when dealing with the basic operational functions, namely sales, marketing and customer services. CRM facilitates small businesses to stay ahead, by providing them with customer-centric applications to suit their specific requirements. Why Is CRM Essential For A Small Business: Secure collection and analysis of vital customer information. Integration and availability of mission critical data, without the time of space constraint. Sales when automated synchronizes with the changing trends, facilitat
Why don't we discuss the real differences between going with a third-party company (such as PayPal) and setting up a merchant account of your own...
1. A regular merchant account will charge between $100 - $250 initially to set up, a minimum monthly fee (minimum charges incurred) of $25 and $5+ to send out statements. These companies will bill you somewhere around 1% to 4% or even more per transaction (discount rate) - this varies with your business type - and a majority also use some kind of flat-fee for transactions. These fees range from $0.05 to $0.25
In contrast, PayPal does not charge a set up fee. They do have a 2.9% discount rate and charge 30 cents for each transaction. CC Now lacks fees except a 9% per transaction charge. ClickBank's set-up fee is $49.95. They charge no monthly fee, but a transaction fee of $1 in addition to 7%. DigiBuy has a set-up fee of $29.95 and no monthly fee. They do charge 13.9% or $3 per transaction (you pay the larger fee).
To better explain the fees involved, essentially, as soon as you build up a noteworthy sales volume ($1000/month or more), the costs involved with utilizing companies such as ClickBank, CCNow and DigiBuy far exceed what you would pay for a true merchant account that really works with your business. The advertised discount rate is normally where most of the money is used anyway, and this is how third-parties usually take in all their money.
PayPal, however, has a quite affordable discount rate, and the sole extra charge incurred for a regular account is the 30 cents transaction fee. In fact, if the average charges of a traditional merchant account are compared with PayPal's strictly from a "numbers" standpoint, the only time it is less expensive to use a merchant account is if your transactions are upwards of $50,000 monthly.
This perspective is only taking considering the actual numbers involved - and not any other variables that crop up when conducting business online, or offline...
2. Initially, it seems like PayPal is by far the better choice. Their low discount rate and transaction fees are without equal, and there is almost no entry impediment. You can start a PayPal account at no cost in a few minutes, and you are able to begin taking payments the moment your details are verified. For some small-time sellers and internet entrepreneurs, PayPal is just the ticket.
However, there are huge shortcomings that are not disclosed in the black and white contrast table that deals with cash - the value of the service could be different after you understand the following:
a. Many times these alternatives don't deal with support requests quickly; there have been times that delays persisted for several weeks.
b. Paypal does not give you access to your customer's credit card number, neither do any of the other third party service bureaus
c. A great majority of the alternatives cannot calculate shipping charges and taxes in their shopping carts
d. Some other companies are only serviceable for large profit-margin sales because of the expensive charges per sale (eg. DigiBuy charges 14% per sale which is huge)
e. Many alternatives to the merchant account lack a shopping cart altogether (eg. ClickBank), while like Paypal's is crude to say the least
f. PayPal has been known to shut down accounts and freeze funds - without warning - based solely on the hunches of employees that feel that vendors have violated their terms of service.
g. If you're especially accomplished at marketing, and if you render an ample amount of sales during a launch - you should not be startled if your account ends up being "red-flagged", frozen and audited. And this will take place, once again, without warning.
In comparison, this is what you can anticipate from a merchant account:
1. If you are processing sales online, you will have the ability to enter your merchant details into an easy to use, uncomplicated menu-driven (shopping-cart) interface/gateway - and there are several that are readily obtainable, even free ones such as OSCommerce. These are is simple to use by potential clients, and all-inclusive in terms of assembling crucial data
2. You can allow you to modify the shopping cart to fit your precise purpose including the shipping costs and taxes
3. It will show you
Running a home business can be one of the most rewarding experiences of ones life. In my case, doing so has allowed me to be my own boss, spend more time with my family, and gain real financial independence. When I look at how much my business has grown over the past few years, I am filled with an immense sense of achievement and satisfaction, which are things I never felt while working 9-5 for someone else.Nevertheless, having my own business is not without its challenges. I quite often have to deal with problems that hardly ever crop up in larger companies. Even something seemingly as basic as making sure my customer service phone line gets answered used to be a logistical ni
In contrast, PayPal does not charge a set up fee. They do have a 2.9% discount rate and charge 30 cents for each transaction. CC Now lacks fees except a 9% per transaction charge. ClickBank's set-up fee is $49.95. They charge no monthly fee, but a transaction fee of $1 in addition to 7%. DigiBuy has a set-up fee of $29.95 and no monthly fee. They do charge 13.9% or $3 per transaction (you pay the larger fee).
To better explain the fees involved, essentially, as soon as you build up a noteworthy sales volume ($1000/month or more), the costs involved with utilizing companies such as ClickBank, CCNow and DigiBuy far exceed what you would pay for a true merchant account that really works with your business. The advertised discount rate is normally where most of the money is used anyway, and this is how third-parties usually take in all their money.
PayPal, however, has a quite affordable discount rate, and the sole extra charge incurred for a regular account is the 30 cents transaction fee. In fact, if the average charges of a traditional merchant account are compared with PayPal's strictly from a "numbers" standpoint, the only time it is less expensive to use a merchant account is if your transactions are upwards of $50,000 monthly.
This perspective is only taking considering the actual numbers involved - and not any other variables that crop up when conducting business online, or offline...
2. Initially, it seems like PayPal is by far the better choice. Their low discount rate and transaction fees are without equal, and there is almost no entry impediment. You can start a PayPal account at no cost in a few minutes, and you are able to begin taking payments the moment your details are verified. For some small-time sellers and internet entrepreneurs, PayPal is just the ticket.
However, there are huge shortcomings that are not disclosed in the black and white contrast table that deals with cash - the value of the service could be different after you understand the following:
a. Many times these alternatives don't deal with support requests quickly; there have been times that delays persisted for several weeks.
b. Paypal does not give you access to your customer's credit card number, neither do any of the other third party service bureaus
c. A great majority of the alternatives cannot calculate shipping charges and taxes in their shopping carts
d. Some other companies are only serviceable for large profit-margin sales because of the expensive charges per sale (eg. DigiBuy charges 14% per sale which is huge)
e. Many alternatives to the merchant account lack a shopping cart altogether (eg. ClickBank), while like Paypal's is crude to say the least
f. PayPal has been known to shut down accounts and freeze funds - without warning - based solely on the hunches of employees that feel that vendors have violated their terms of service.
g. If you're especially accomplished at marketing, and if you render an ample amount of sales during a launch - you should not be startled if your account ends up being "red-flagged", frozen and audited. And this will take place, once again, without warning.
In comparison, this is what you can anticipate from a merchant account:
1. If you are processing sales online, you will have the ability to enter your merchant details into an easy to use, uncomplicated menu-driven (shopping-cart) interface/gateway - and there are several that are readily obtainable, even free ones such as OSCommerce. These are is simple to use by potential clients, and all-inclusive in terms of assembling crucial data
2. You can allow you to modify the shopping cart to fit your precise purpose including the shipping costs and taxes
3. It will show yo
I well remember as a young bank clerk many years ago, sitting at my desk one morning. Around me were the sounds of hustle and bustle of a busy office – people were sipping their coffee (in those days it was instant!) opening the mail (ah, for the days before email!) and telling of the events of last evening or their trip to work that morning. As a morning person, it was my best time of the day when I was at my most positive, creative and effective best, so I had my head down and bum up. Time later for relaxing. Suddenly, the air was split with an earth shattering yell. My usually very quiet, reserved manager, had come out of his office, red in the face and yelling "Who did this?"
This perspective is only taking considering the actual numbers involved - and not any other variables that crop up when conducting business online, or offline...
2. Initially, it seems like PayPal is by far the better choice. Their low discount rate and transaction fees are without equal, and there is almost no entry impediment. You can start a PayPal account at no cost in a few minutes, and you are able to begin taking payments the moment your details are verified. For some small-time sellers and internet entrepreneurs, PayPal is just the ticket.
However, there are huge shortcomings that are not disclosed in the black and white contrast table that deals with cash - the value of the service could be different after you understand the following:
a. Many times these alternatives don't deal with support requests quickly; there have been times that delays persisted for several weeks.
b. Paypal does not give you access to your customer's credit card number, neither do any of the other third party service bureaus
c. A great majority of the alternatives cannot calculate shipping charges and taxes in their shopping carts
d. Some other companies are only serviceable for large profit-margin sales because of the expensive charges per sale (eg. DigiBuy charges 14% per sale which is huge)
e. Many alternatives to the merchant account lack a shopping cart altogether (eg. ClickBank), while like Paypal's is crude to say the least
f. PayPal has been known to shut down accounts and freeze funds - without warning - based solely on the hunches of employees that feel that vendors have violated their terms of service.
g. If you're especially accomplished at marketing, and if you render an ample amount of sales during a launch - you should not be startled if your account ends up being "red-flagged", frozen and audited. And this will take place, once again, without warning.
In comparison, this is what you can anticipate from a merchant account:
1. If you are processing sales online, you will have the ability to enter your merchant details into an easy to use, uncomplicated menu-driven (shopping-cart) interface/gateway - and there are several that are readily obtainable, even free ones such as OSCommerce. These are is simple to use by potential clients, and all-inclusive in terms of assembling crucial data
2. You can allow you to modify the shopping cart to fit your precise purpose including the shipping costs and taxes
3. It will show yo
IntroductionA marketing plan might sound something awfully hard to do for a game developer, but to briefly put it: the marketing plan is your flightplan on how to get your game to your players. The contents of a marketing plan can be divided into several sections. A strategic plan or the company's business plan will describe the company's strategic objectives. The marketing plan will focus on those major objectives, and how to reach those goals.You don't have to have tens of pages long marketing plan that you will never use. It's much better to have a short plan that you use. Use your computer's desktop wallpaper or a one page printed plan where you put the marketi
a. Many times these alternatives don't deal with support requests quickly; there have been times that delays persisted for several weeks.
b. Paypal does not give you access to your customer's credit card number, neither do any of the other third party service bureaus
c. A great majority of the alternatives cannot calculate shipping charges and taxes in their shopping carts
d. Some other companies are only serviceable for large profit-margin sales because of the expensive charges per sale (eg. DigiBuy charges 14% per sale which is huge)
e. Many alternatives to the merchant account lack a shopping cart altogether (eg. ClickBank), while like Paypal's is crude to say the least
f. PayPal has been known to shut down accounts and freeze funds - without warning - based solely on the hunches of employees that feel that vendors have violated their terms of service.
g. If you're especially accomplished at marketing, and if you render an ample amount of sales during a launch - you should not be startled if your account ends up being "red-flagged", frozen and audited. And this will take place, once again, without warning.
In comparison, this is what you can anticipate from a merchant account:
1. If you are processing sales online, you will have the ability to enter your merchant details into an easy to use, uncomplicated menu-driven (shopping-cart) interface/gateway - and there are several that are readily obtainable, even free ones such as OSCommerce. These are is simple to use by potential clients, and all-inclusive in terms of assembling crucial data
2. You can allow you to modify the shopping cart to fit your precise purpose including the shipping costs and taxes
3. It will show yo
Are you lost in the wilderness when it comes to choosing a career? Once, we knew the way. As children, we played at different roles, but some became our favorites. Those favorites hinted at our gifts. They pointed the way to our exciting futures as entrepreneurs, dancers or astronauts. We did what was fun, and, in the process, we began to find and follow our paths.As young adults, however, our paths began to fade under thickets of obstacles: other people's expectations, poor self-esteem and /or lack of faith. But, the good news is that, for each of us, the path is still out there. A cover of tangled weeds may hide its course, but it's still there.A few tracking lessons ca
g. If you're especially accomplished at marketing, and if you render an ample amount of sales during a launch - you should not be startled if your account ends up being "red-flagged", frozen and audited. And this will take place, once again, without warning.
In comparison, this is what you can anticipate from a merchant account:
1. If you are processing sales online, you will have the ability to enter your merchant details into an easy to use, uncomplicated menu-driven (shopping-cart) interface/gateway - and there are several that are readily obtainable, even free ones such as OSCommerce. These are is simple to use by potential clients, and all-inclusive in terms of assembling crucial data
2. You can allow you to modify the shopping cart to fit your precise purpose including the shipping costs and taxes
3. It will show you your clients' credit card numbers to make tracking, refunds, etc. easier.
4. It will assist you in fully automating your business's payment processing
In other words, when you are starting out and your sales volume is low, a more cost-effective approach could be to use services like PayPal. However, when your sales increase - or if you desire more control over your ordering process, at the same time saving cash on higher sales volumes, a merchant account is a better choice.
In conclusion, if you're sincere about making your small business succeed, you will sooner or later need to obtain a merchant account. It's more cost effective, and you have much greater control over the money being processed.
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