Online merchant services
If you want to run an online business, you'd need a merchant account to accept payments from your customers' credit or debit cards. Merchant accounts serve as an intermediary between your and your customer's banks. Whenever a customer pays for your product or service, the money is first deposited into your merchant account. It may take a few days before you can transfer it to your account, depending on many factors. Often, the most crucial influencer of the speed and efficiency of payments is your online merchant services provider. This is why you have to carefully choose a reliable partner for your online payment processing.
How to apply for a merchant account
Once you have decided the merchant account provider you wish to work with; the following are the steps you need to take to apply for a merchant account:
Gather your financial statements
Before your account can be approved, you have to show that you're running a financially stable business. The provider will review your financial statement over some time, depending on the company you're working with. New businesses with low sales volume are assumed to be low-risk, and they may even obtain approval quicker.
Create your processing history
Merchant banks typically request up to six months of processing history as part of the application. The history will include the number and volume of transactions, refunds, and chargebacks.
Complete your application
The online merchant services provider gives you a form to fill. Therein, you'll enter your personal details as well as business information.
What are the factors affecting merchant account approval?
The online merchant services space is highly competitive. Still, getting a merchant account is not always a smooth and straightforward process. Vendors are wary of the risks involved in the payment processing business, and they do all they can to minimize them. Before your application for a merchant account can be approved, the vendor will consider numerous factors:
Nature of business: Businesses with a high propensity for credit card frauds are typically regarded as high risk. If you operate in such an industry, you may have to find an online merchant services provider that knows the terrain. Needless to say, the charges will be higher.
Length of time in business: Merchant account issuers tend to prefer working with businesses that have been around for a bit.
Relevant business history: If your business has a history of declaring bankruptcy or defaulting payment agreements, you may struggle to find a willing online merchant services provider.
Merchant account history: Have you had a previous merchant account? If yes, why are you looking for a new one?
Personal credit history: If your business is considered credit-worthy, it'll be easier to find willing merchant services providers.
Contact the leading merchant services provider
If you've been searching for the best merchant services provider for your ecommerce business, you need not look beyond Merchant Focus. We are a preferred Authorize.Net reseller, and alongside our partners, we guarantee safe and secure online payment processing. Contact us on 800-895-4085 or visit our website to learn more.