Confidence is Key: Using High Risk Merchant Account

In the competitive marketplace, payments shouldn't be an obstacle to your business success. The challenge of finding reliable payment options for "high risk" businesses can seem overwhelming, but it is imperative that you approach high risk merchant account with confidence to foster long-term growth and excellence in operations.

Identifying Your High Risk Status

First, remember that being labeled "high risk" is not a reflection on the legitimacy or reputation of your business. Naturally, multiple industries might be characterized as high-risk, including online gaming, entertainment, products, travel, and subscription-based services. Industry-specific variables, like a higher number of chargebacks, regulatory oversight, and market volatility, can classify some businesses as high-risk. Understanding and recognizing your classification as high-risk can aid you in preparing and forming a strategy when approaching merchant account providers.

The Importance of Preparation

Preparation means confidence. Before contacting high risk merchant account providers, make sure you collect and prepare all of the relevant documentation to present your company's activities. You should compile financials, processing history, business licenses, and a detailed explanation of your product or service. The better you prepare your application, the more it projects professionalism. The more you prepare, the more likely you will be accepted.

Make sure to tell a compelling story about your business. Include the experience you have in your industry, how you mitigate risks, and how you comply with regulations. Merchant account providers want to know that you understand the risks unique to your industry and have a process in place to manage them.

Selecting the Right Provider

Not every merchant account provider is created equally - and particularly not in the high risk space. Find providers that specialize in your industry, such as Trinity Consultings that successfully support similar businesses. Ideal candidates will have transparent fees, extensive fraud protection, customer service, and be responsive to your needs.

Do not accept the first merchant account provider that will accept your application. Compare terms, processing rates, contracts, and everything else. The more prepared you are, the more confidence you will have in your worth as a business. You will then be negotiating terms that will serve your company rather than restrict it.

Establishing Strong Payment Relationships

Keep the lines of communication open with your merchant account provider. By regularly updating them on how your business is doing, notifying them in advance of any unusual transaction patterns, and raising issues as they happen, you will establish a rapport and more trustworthy relationship. Building a rapport with your merchant account provider will help them to trust you, which will reduce the chance that they'll put a hold on your account or terminate your account.

Have fraud prevention and low chargeback ratios in place. This not only protects your business, but it also shows your merchant account provider that you are responsible with your business and they're placing their trust in your business's future with you!

Making Use of Your Account

Once you've been approved, it will be time to utilize your high risk merchant account wisely. Many merchant account providers offer services that can help your business expand into new markets, or make life a little easier - including multi-currency processing, recurring billing solutions, advanced reporting tools, etc.

Treat your merchant account as more than just a transaction processing service - it is a business partnership that can assist in business growth, given that it is handled competently and professionally.

To summarize

Doing business with the requires confidence, planning, and thinking through your strategy. You can convert what seems like a downside into a positive competitive advantage by knowing where you stand, who to partner with, and working professionally with your partner organizations. Don't overlook the fact that many successful businesses are classified as high risk—you are defined in your classification, but how you approach your high risk status can define you.