5 Best Credit Card Processing Companies For Businesses
Updated: Nov 13
When you look into the payment and transaction process, modern technology has come a long way. Consumers can use different methods to pay for goods and services. However, payment with credit cards remains the most valid and most viable option to this day. Credit cards are safe, secured, and used by almost every company in the world. Nevertheless, credit cards indeed come with a list of cons if we look at it closely. Businesses need a credit payment processing service to execute a transaction from customers. With time, the competition for credit cards has expanded and become much more complicated than before. According to Zed Founder and entrepreneur Alan Safahi, hidden fees and credit limitations are most prominent than ever before and can ruin your experience both as a business person or a customer. Small business owners are very likely to be targeted by such practices, and their business can get deeply affected if they aren’t aware of it.
Credit card processing is a service that involves emerging technologies, various payment networks, financial institutions, etc. In a nutshell, the steps needed to move money from a sale into a merchant or business bank account using a quick and cost practical approach is what credit card processing is. Like any service, credit card processors vary in quality, as we have discussed earlier. There are two ways how it works:
i. A credit card processor – A credit card processor option features fees paid per transaction.
ii. Merchant account solution – It features a monthly fee, offering cheaper processing on items.
Today, we will be discussing some of the best credit card processing services that you will enjoy using.
Paypal is a well-reputed company that people enjoy using. It has made the payment process simple by its easy usage policy. Just a few clicks, and companies can effortlessly sort the payment procedure. There are no monthly fees required for small business products except a small transaction fee of 1.9 to 3.4% depending on the sales volume. Paypal also offers additional features like in-store payments using a card reader. It also charges no hidden costs or monthly charges.
Sage is another credit card processing service that lets a business integrate into its accounting software and be easily integrated with e-commerce platforms. Sage Pay offers direct card processing and phone-based processing for in-store usage. It also features and provides merchant account integration. The company consists of several services that can help both small or larger business or corporations. They charge a fee according to the sales volume per month. Working with Sage, you will be able to integrate directly into their accounts and keep tabs on bookkeeping and other financial recordings to save up some cost.
Stripe is relatively new to this business, but they are doing a pretty good job. Alongside credit card processing, Stripe also provides a company startup package, which they call Atlas. This service requires you to set up a Stripe account, after which they’ll register an LLC for you in Delaware, as well as set you up with a bank account and all payment processing, on top of which they include an EIN with the IRS. There’s also a support community to help provide advice about running your new business. Stripe also provides a startup company package, namely Atlas. Atlas will help you set up a Stripe account and register an LLC for you. Then it will proceed on setting you up with a bank account payment processing including EIN and IRS.
Helcim is another credit card processing company that provides merchant services to small businesses. It is also new compared to Paypal but has a rapid increase in currency value growth over the years. According to Alan, Helcim boasts around $2.5 billion in annual processing and handles 15 million transactions per year. It also has 6000 merchants, which is a whopping number! Helcim also states that they charge absolutely no hidden fee, and their pricing standard is very transparent. Upon signing up for an account, you can easily start a new merchant account application.
Clover isn’t as famous as the other companies but is sorted with various options for you. It is quite flexible in offering point of sale (POS) products directly or indirectly. They provide solutions for settling a payment over the phone; that’s a handy feature. They also offer a variety of credit card terminal services in every size and configuration. To avail of Clover’s benefits, all you need to do is open up a merchant account and a Register Lite plan. The plan allows you to start processing the payments without purchasing a terminal device from them. Although they didn’t mention much about charges, you can get a lot of functional tools for your business as well as rewards and promos. Also, due to COVID-19 ruining businesses, they are waiving software plan fees for 30 days after you sign up for an account; this is applicable for U.S based businesses at this moment.
These are the five best credit card payment processing services for you! However, before opening up a merchant account, you need to know that there is a drawback. This is because some banks can be a little apprehensive of new companies, so you need to gain their trust before they finally make the option available for you. While you wait for a couple of years for a merchant account, you can work on a general processing platform.