Easy Cost Cutting Tip For Small Business Owners

One of the easiest and effective cost cutting tips for small business owners is to review their merchant service account. Now is the time for businesses to go over their expenses with a fine-tooth comb and eliminate as many expenses as possible. For many small businesses, the difference between closing the doors and being profitable boils down to a couple dollars per month.

So why is the merchant service account often overlooked? The main reason is because the business owner has switched credit card processors several times chasing the empty promise of cost savings. This left a very bad taste in their mouth to say the least. And to top it all off, they are constantly assaulted with cold calls promising the “lowest rates in the industry.”

What can a business owner do avoid this headache? Pay close attention to the Do’s and Don’ts

The Do list

* Do look for a credit card processor that offers interchange-plus pricing (ask for it by name)
* Do shop at least three providers
* Do buy your own equipment (most terminals are $100-200)
* Do take time to audit your monthly statements

The Don’t list

* Don’t sign a contract that has an early termination fee
* Don’t use a provider just because you already have an established relationship, ie your bank, Costco
* Don’t lease equipment or software under any circumstance
* Don’t pay an annual fee, application fee, or monthly minimum fee

This is a great time for business owners to switch their credit card processing because many processors are feeling the economic crunch. Processors are more likely to lower their rates, and their profits, to get the account rather than not get the account. As a result there are some real cost savings to be had. For example, we are saving our clients an average of over 50% per month on the new merchant accounts that we sign up.

The bottom line is your bottom line. Keep it Black!

Reid Wilson, ChFC

BlackLine Capital Partners

http://www.blacklinecp.com/

By: Reid Wilson

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Blackline combines award-winning service and ingenuity to give merchants the best processing experience in the industry. From our 1Pay pricing model to our merchant specific strategies we have one goal in mind: positively effecting our clients bottom line. Our consultants take pride in making credit card processing the most efficient and worry-free part of your business.