Hi Tracy, while others answered the 'do you use it, let me convey some thoughts about why people are shying away from merchant accounts when they operate a small business:
Merchant accounts are:
-overpriced for the service for smaller accounts -grossly complicated statements require hours of verification -there is no transparency with multiple added fees, etc -all communications fail to speak in plain language- it's all couched in the lingo or written by lawyers.
Square is simple, flat rate, simple statements. I do not sell any processing, I might add. And the complaints about Square customer service isn't any different than with any merchant processor.
I am an attorney. I use PayPal as my credit card processor. I used to use Square but I could NEVER talk to a person. PayPal was easy to put on my website. The money is on my PayPal debit card instantly. PayPal's customer service is excellent! In the beginning (2015) they primarily dealt with online retailer merchants so there were some growing pains as they expanded to service-based merchants like myself. EVERY time I had an issue they resolved it to my satisfaction immediately. I direct clients to my website and they pay through the website so I never see their credit card information and that reduces my liability in having client's credit card information floating around my office. Plus, they also have a program called working capital. I have found that to be extremely helpful with cashflow issues. I give PayPal my highest recommendation / endorsement.
We have used Paypal as a payment processor for over 10 years. Customers feel more secure making purchases online using Paypal rather than entering their credit card information. We get transactions through Paypal from customers all over the World. Customers can make a transaction through Paypal using their credit card without having a Paypal account.
The good: Super fast to set up. Fees are about the same as a merchant account. A volume account in good standing gets you access to capital at a relatively reasonable rate.
The bad: If they, for any reason, decide your account is in a questionable industry (subject to change without notice), they can shut you down and hold your funds for 6-months. Very scary when you're running $50,000+ a month with them.
The Alternatives: It's not a bad idea to distribute your merchant risk across multiple different providers. Smart businesses always do this, especially as you scale.
So PayPal is great, but not for extended high volume unless your industry and product/service is rarely ever consider marginal. And customer complaints are -2%.
Stripe is awesome as well. And easy to integrate with anything, including phones and iPads.
Square rocks for retail and specific online sales.
I would rock all three of these, as well as a standard merchant account. That covers you in every way. And keeps you protected from a single source.
Yes - I've been using PayPal for a number of years. When first start out in business I found it easier to deal with them - then dealing with the major credit card companies and major banks.
I used to accept pay pal but now insist on etransfer. It is easy, secure, and immediate. Burnt a few times on payments and this method, so far, works best.
I have Paypal and I have Square. I mostly use Paypal for my clients who are out of the area. If I meet with a client, I use Square. Since most of my clients are further away, it is the more secure way to get paid fast. I don't really mind the fees, as they are providing a valuable service for me.
Answers (1-10)
Hi Tracy, while others answered the 'do you use it, let me convey some thoughts about why people are shying away from merchant accounts when they operate a small business:
Merchant accounts are:
-overpriced for the service for smaller accounts
-grossly complicated statements require hours of verification
-there is no transparency with multiple added fees, etc
-all communications fail to speak in plain language- it's all couched in the lingo or written by lawyers.
Square is simple, flat rate, simple statements. I do not sell any processing, I might add. And the complaints about Square customer service isn't any different than with any merchant processor.
Hope that gives you some perspective about 'why'.
Good luck!
I am an attorney. I use PayPal as my credit card processor. I used to use Square but I could NEVER talk to a person. PayPal was easy to put on my website. The money is on my PayPal debit card instantly. PayPal's customer service is excellent! In the beginning (2015) they primarily dealt with online retailer merchants so there were some growing pains as they expanded to service-based merchants like myself. EVERY time I had an issue they resolved it to my satisfaction immediately. I direct clients to my website and they pay through the website so I never see their credit card information and that reduces my liability in having client's credit card information floating around my office. Plus, they also have a program called working capital. I have found that to be extremely helpful with cashflow issues. I give PayPal my highest recommendation / endorsement.
We have used Paypal as a payment processor for over 10 years. Customers feel more secure making purchases online using Paypal rather than entering their credit card information. We get transactions through Paypal from customers all over the World. Customers can make a transaction through Paypal using their credit card without having a Paypal account.
The good: Super fast to set up. Fees are about the same as a merchant account. A volume account in good standing gets you access to capital at a relatively reasonable rate.
The bad: If they, for any reason, decide your account is in a questionable industry (subject to change without notice), they can shut you down and hold your funds for 6-months. Very scary when you're running $50,000+ a month with them.
The Alternatives: It's not a bad idea to distribute your merchant risk across multiple different providers. Smart businesses always do this, especially as you scale.
So PayPal is great, but not for extended high volume unless your industry and product/service is rarely ever consider marginal. And customer complaints are -2%.
Stripe is awesome as well. And easy to integrate with anything, including phones and iPads.
Square rocks for retail and specific online sales.
I would rock all three of these, as well as a standard merchant account.
That covers you in every way. And keeps you protected from a single source.
Rock-on!
ME
I use Paypal because it's easy and safe.
Yes - I've been using PayPal for a number of years. When first start out in business I found it easier to deal with them - then dealing with the major credit card companies and major banks.
I used to accept pay pal but now insist on etransfer. It is easy, secure, and immediate. Burnt a few times on payments and this method, so far, works best.
I have Paypal and I have Square. I mostly use Paypal for my clients who are out of the area. If I meet with a client, I use Square. Since most of my clients are further away, it is the more secure way to get paid fast. I don't really mind the fees, as they are providing a valuable service for me.
Yes, not many use it, but its always good to have an option.
Yes, I accept it. Most people operate with their credit cards rather than cash.