Sometimes accepting a credit card payment is the only option. The only problem is that different credit cards come with different fees, and business owners wind up losing out when opting to accept cards. This is precisely why many business owners skip card payments altogether. Unfortunately, skipping a card payment also means losing out on potential customers.
Up until this point, there was no way for business owners to accept card payments without losing money. Now, a new card payment app called “Square” is making a huge splash within the business world. This app allows business owners to accept credit card payments with the help of a smartphone.
What Square Does
Square is a smartphone app, but it’s also a tangible square card reader. When attached to a smartphone, this card reader can read credit cards. By entering a payment amount, handing your smartphone to a customer, and running the customer’s card through the plastic card reader, credit card payments can be accepted in a few minutes. As soon as a payment has transpired, funds are automatically sent to your bank account.
Within one day, the funds that have been withdrawn from a credit card will be deposited into your bank account. The whole thing is painless, signatures are gained by asking clients to use their fingers to sign a statement, and Square charges the same fees for all credit card types (2.75%).
Who Can Use Square
The Square card reader and app can be used by anyone who needs to accept credit card payments. Say, for example, that you are a private yoga instructor who travels to people’s homes giving yoga lessons. After you have completed a lesson, your payment can be gained by handing your client your smartphone that has been equipped with a Square card reader.
In minutes, your funds will be sent to your personal bank account. There’s no need for bulky machinery, and no need to reject certain clients based upon preferred payment methods. The whole Square process is simple, secure, and quickly gaining in popularity.
According to the company’s quarterly profits, Square is now processing more than $4 million in mobile payments per day. Needless to say, the concept of accepting card payments through a smartphone app is becoming the new way to do business. It also helps that Square devices are now sold in Apple stores worldwide.
Currently, Square is only available for use within the United States. However, the company has gained additional funding and hopes to open up shop in other countries beginning in 2012. This innovative new technology has companies around the globe paying attention.
As banks continue to charge outrageous fees for credit card transactions, Square is cashing in on those entrepreneurs who don’t want to pay high card fees. If you have a business, and you live in the United States, consider purchasing a Square device (at the time of this writing, Square will send new clients a card reader free of charge. Just visit the Square website).
With Square around, there’s no need to miss out on clients who want to pay with a card instead of with cash.