Accepting credit cards among other payment options is a competitive advantage for small to midsize businesses. Factors like service fees may hold businesses back from accepting credit cards, but the benefits exceed those hinderances, especially when easy credit card processing is implemented.
Easy credit card processing keeps customers satisfied
Card payments are on the rise, especially as online sales become more prevalent and as was seen with situations like the COVID-19 pandemic where cash use decreased, while online purchases increased. In a study conducted seven months into the pandemic by the Federal Reserve, cash use accounted for 19% of all payments, down 7% from 2019; and credit (27%) and debit cards (28%) were the preferred payment methods.1
Source: Federal Reserve Bank of San Francisco1
With shoppers cutting down on cash usage and turning more to credit and debit cards, businesses can establish rapport with consumers by aligning their business model to this upward trend. There are many benefits for consumers to use cards, including convenience, security, building creditworthiness and rewards (i.e., airline miles). In turn businesses can boost sales with easy credit card processing by accommodating customer preferences (reducing the risk of lost sales) and opening doors for consumers to spend more. According to a Forbes article, “shoppers spend up to 100% more when using their credit card to pay instead of cash.”2
Easy credit card processing helps businesses get paid faster
With a solution for easy credit card processing in place, businesses can optimize cash flow in several ways, including:
- Next business day or instant deposits into bank accounts, i.e., with Intuit QuickBooks® Payments.
- Accommodating ACH bank payments and eChecks, which diminishes the possible cash flow nightmare that paper checks can create.
- Accepting online payments versus waiting on paper invoices in the mail.
- Knowing instantly if a card payment is authorized, instead of finding out later in the case of bounced checks or counterfeit cash.
Easy credit card processing establishes accurate books
As a distributor, manufacturer, or online retailer it is essential to have all business operations connected, including customer service, purchasing, inventory management, production, sales (offline and online channels), and order fulfillment. Having all that data and functionality in one solution where easy credit card processing can also be done, ensures accounting records are accurate and the overall financial health of the business is in excellent shape.
Acctivate Inventory Software integrates with QuickBooks for financial management and QuickBooks Payments for easy credit card processing. Through this relationship all the boxes are checked for small to midsize businesses to manage all business operations and accept multiple payment methods, including all major credit cards at affordable rates with no monthly service fee or minimum.
All in all, accepting credit cards can empower businesses with gains that are a catalyst to growth and with the right tool in place the process is simple and rewarding.