When the time comes for your business to shop around for a payment processor, you’ll be surprised at the sheer amount of options out there. An early decision you should make to help you find your best solution is between a dedicated merchant account and an aggregator, or what is sometimes termed third-party payment processor. There is no one solution for every type of business; still, there are a few points that make aggregators fall short for a majority of businesses. Here’s what you need to know.
There is certainly an alluring degree of convenience associated with the third-party approach. Often, you’re able to sign up quickly, without complicated application processes, setup fees and the like. That being said, there is often a risk of paying more in the long run if your business stays with an aggregator for prolonged periods of time. The best credit card processing for small business is more likely to be a dedicated merchant account like Moolah, which offers all the security benefits of a merchant account with the added benefits of easy month-to-month payments with no contracts to tie you down.
Third-party processors tend to like you to use their software. If your business already has software solutions in place, such as to help with accounting or other back-office tasks, choosing a third-party processor may not be the best option. That’s because not all aggregators are able to integrate well with other third-party systems. It’s worth checking out before taking the plunge. Moolah, for the record, has made a habit of trying to integrate with as many third-party solutions as possible, enabling you to never be held back from using software that works for you.
When you depend on an aggregator, the way that your payments are processed differs, too. As the name implies, aggregators compile the transaction info into batches for processing, adding an additional layer to the payment processing, which can potentially result in comparative delays in getting the money into your account.
On a practical level, then, the main drawback for merchant accounts, that the application process takes a little longer, seems like a commitment that’s well worth the potentially lower fees, increased security, and increased processing speed. Moolah isn’t here to tell you how to best run your business, but we are here to make a dependable, cost-effective merchant account option to give practically anyone the best credit card processing for small business. Get the goods, grow your business. Enough said.