A credit card processing company can be a third-party processor or a seller account provider.
Third-party processors are suitable for small businesses with low transaction volume because you just need to pay the processor when you make a sale. However, since the transaction takes place outside of your network, you cannot completely manage the account, the processor can even hold the payment or terminate the accounts if the business violates some terms of service.
Seller/merchant account providers are more suitable for larger businesses. They provide more support, customization options, and solutions for businesses. Besides, the entire transaction occurs within the seller’s network, so it is easier to manage.
There are also some more important factors to choose the credit card processing company including price, customer service, etc.
For small businesses, choosing credit card processing companies is more complicated because the seller has to consider many different factors:
- Where the majority of your transactions occur?
- Do customers use an eCommerce site to shop?
- Do you have a physical shop?
- Or do customers purchase both online and offline?
You’ll want a credit card processing provider that’s adaptable and can expand with your business.