Wednesday, April 19 2017
Whether you’re at a point in your life where you’re ready to take your work in a completely new direction or you simply want to make extra money, becoming a merchant services agent might be your calling. It’s a great way to make both upfront and residual income. Merchant services companies are always hungry for new clients, since their business model is one of scale, and as a sales agent it would be your job to bring these prospects to the company and set them up with equipment or services. In return, you can be paid handsomely.
The best part is that, unlike being a typical employee, you have a lot more choice. There are many merchant service companies out there that you can choose from. If you do your research, you can focus on the ones that are perfect for you and serve your market best. You have a lot of control over what you can do to tweak your business to make more money. You can also choose how you want to be compensated, whether with upfront bonuses, residuals, or even buyouts of your long-term residuals if you need a lump sum.
As you might imagine, though, deciding on the right merchant service company for you takes more than a few hours of work. If you pick the wrong company, you could end up with a less-than-ideal compensation situation—or, worse, you could just be ripped off altogether. Just as with any other industry, a few card processing businesses out there aren’t very ethical and you can end up never getting paid for your hard work, or having your earnings shaved.
Chances are, though, that the problems you might encounter will be less extreme than these. For example, a lot of people sign up with an ISO only to find that the company rejects their clients’ applications because they are in a certain industry. Some credit card processors refuse to work with, for instance, alcohol and tobacco retailers or online businesses, since these are considered “risky” when it comes to chargebacks.
Yet another issue you might run into is a merchant services company that is still stuck in the past and isn’t offering any of the latest technology. In a world where clients often expect free terminals nowadays, sales agents need to keep up and offer the latest touch screen tablet-based POSes.
Ending up with a credit card processor like this can be a complete waste of time and money. To ensure that you won’t be throwing your investment down a hole, make sure to find a company with a good reputation. Join local business associations and get a feel for what credit card processors merchants in your area are using. If other sales agents are willing to reveal their secrets, ask them as well. Word of mouth can be very powerful.
Do some research online as well, and make sure that you pay attention to what the prospective merchant service company has to offer. In general, look for these traits:
Just do your research, and you will find that this relatively small time investment can pay dividends in the long run.