We all know that this is the age of card and contactless payments. But do you know what the first step towards accepting these new forms of payment is? Let us break it to you. If you want to accept cashless payments, the first thing you have to do is to open a merchant account for your business.
Now you may be wondering what a merchant account is. A merchant account connects your business to an acquiring bank. A merchant account is a specialized bank account where money paid by your customers is placed for some time before being transferred to your main business bank account. It is basically a parking space for accepting and processing cashless payments before being ultimately sent to your business bank account. The purpose of a merchant account is to keep your funds safe and secure.
Now you might be thinking how long it can take before the money is transferred to your business bank account. Well, it depends on the settlement period offered by the acquiring bank. Some acquiring banks offer a settlement period of 5 days while others offer a settlement period of as early as the same day.
A bricks-and-mortar entity is not the only business that needs a merchant account for accepting card and contactless payments. Online businesses need a merchant account more than any other type of business. A bricks and mortar merchant can even accept cash or cheque payments. But most online businesses can only accept card payments. Cash on delivery is very risky for such businesses.
A merchant account is also needed for accepting telephone and fax payments. This information is relevant for both online and physical businesses.
CutPay can help you get a merchant account for your business. We work with top acquiring banks like Elavon and Lloyds Cardnet. Opening a merchant account with us will bring you a host of benefits:
- Same day settlement: With CutPay, your funds can be credited to your business bank account as early as the same or next working day. This will not only improve your cashflow but also streamline your business operations and improve productivity – all of which will contribute to the growth of your business!
- Data insights and reporting: With our reports, you will be able to access powerful data insights which will help you understand payment trends and ultimately take steps to help your business grow.
- Team of experts: Our experts are available to help you resolve any issues you may encounter relating to the payment process.
- Payment Security: Our systems are designed to comply with PCI standards to ensure your customers’ data is safe and your business reputation remains intact.
Do you want to open a merchant account for your business so you can start taking card and contactless payments? Contact us now and one of CutPay’s experts will get in touch with you soon!