Canada Merchant Accounts
The following article contains the most frequently asked questions related to this topic.
Canada Merchant Services are a incredible way for Canadian small businesses to facilitate customer sales. With a merchant service account, a Canadian business person can set up a participating bank or credit union or merchant account broker that will allow clients to buy goods and services via credit and/or debit cards. You don’t have to wait for that elusive money-order that’s “in the mail” or trying to cash a cheque that ends up bouncing, forcing you to wait for your hard earned money. You can simply open your merchant account and you’re ready for business!
Another point to consider is that Canada merchant accounts typically require little documentation. A entrepreneur must show that he or she has a upstanding credit history, POE (proof-of-existence – typically done through a photo-copy of your business registration),operates an acceptable business rather than porn, drugs, or spam, and is able to pay set-up and monthly fees in conjunction with the services that accompany merchant status.
Many Canada merchant accounts cost little to establish or maintain. You will have to find the card processors that best fit your business requirements, of course, and then compare fees to get the best rates for your account. Typically you can expect to pay (in 2008) a transaction fee of perhaps 35 cents or less, and a percentage of all your sales (2%-5%) know as a “Discount Rate“. These rates are for normal type businesses that would not fall under the “high risk” umbrella. Usually there is also a monthly admin fee ($10-$40/month) and perhaps a set-up fee ($100-$250). Every provider structures their costs differently and you may want to use a merchant services calculator to compare fees.
Your customers will appreciate your forward-looking approach to doing business by providing them the ease and speed of shopping at your business with a credit card. You can watch profits grow and costs diminish when you provide the convenience of shopping with credit and/or debit over paper. Depending on the type of company you operate, you may even decide to get a cellular credit card POS Terminal for merchants on the go who can’t be held up by wiring.
Check out the benefits and profit probably associated with Canadian merchant accounts.
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