16 July 2009

Advantage of a Merchant Account to a Small Ecommerce Business

It is a great advantage to open a merchant account when having a small e-commerce business because the business owner will enjoy lots of benefits like increase in business sales and customers, allows business to open 24/7, processes transactions instantly, invites international customers, provides a hassle-free currency conversion, and makes the business more appealing and credible.

More and more businesses are opening their doors to the world of online retailing. Engaging in ecommerce or electronic marketing provides a great opportunity for any business to grow especially when the usage of Internet covers almost all parts of the world.

Opening a merchant account for an ecommerce business is a great advantage. All e-commerce merchants must be aware of the benefits that a merchant account will bring to their businesses. Below are the benefits:

Increases sales

An e-commerce business with a merchant account that can process credit card payments can increase revenue and business sales for up to 250%. Increase in online business sales is the number one reason why most e-commerce merchants acquire this type of account. This is due to the fact that online buyers prefer an easy and convenient mode of payment using their credit cards.

Increases customers

Making payments convenient and easy with the use of this type of account will invite more customers and lots of impulse buyers. A merchant account also allows the users to accept different types of credit or debit cards or any other modes of payment.

Allows business to open 24/7

With a merchant account, your online business is open 24/7. Without your supervision, you can accept orders and process payment transaction anytime with a merchant account.

Processes transactions instantly

Orders and payment processing is as quick as a few seconds. You also wouldn’t have to wait for weeks to get paid like in checks. With a merchant account, when customers pay with their credit cards, you will receive your funds 2-3 days into your bank account.

Invites international customers

The Internet is used worldwide so expect that your business will attract international customers when you have an account such as this.

Provides a hassle-free currency conversion

Since you’ll be accepting customers from around the world, currency conversion may be an issue. But with a merchant account, currencies are converted automatically. Neither you nor your clients will have to perform any calculations.

Makes the online business more appealing and credible

Accepting credit card payments from your customers builds up trust and assures your clients that their purchases are well-protected and secure. With a merchant account, your customers will have an impression that your business is credible.

Opening a merchant account for a small ecommerce business is indeed advantageous. If business owners would really like to see their businesses to succeed, opening a merchant account may be a good start to attain that goal.

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