In a world where digital transactions are becoming the norm, it’s increasingly rare to see people carrying cash. For small businesses, sticking to cash-only transactions could mean missing out on significant opportunities.
Card payments now make up a large part of our daily lives, as shown in the following figures: in September 2023 in the UK, there were 354.8 million credit card transactions, 4.5% more than in September 2022, and the total expenditure was £19.4 billion, 4.1% more than in September 2022.
The significance of accepting credit card payments for small businesses lies in enhanced sales, customer reach, operational efficiency, and competitiveness. It aligns with modern consumer preferences and technological advancements, playing a crucial role in the growth and sustainability of small businesses in the current economic landscape.
This blog aims to highlight the benefits and importance of accepting credit card payments for small businesses and guide you through the process of seamlessly integrating this system into your business.
Reasons for small businesses to accept credit card payments
A robust and secure payment gateway is characterised by its reliability, security, and adaptability to handle various transactions.
Features such as high-level encryption, fraud detection, and seamless integration with various payment methods are essential.
Trust Payments’ online payment gateway exemplifies these attributes, offering a secure online payment gateway that enhances customer experience with faster transactions and higher conversion rates.
With the ability to accept credit, debit, mobile and a broad range of alternative payment types and currencies, our gateway is PCI DSS compliant and is paired with a smart, agile and flexible fraud management solution which will evolve and scale as your business grows.
What makes a payment gateway robust?
Increased sales
By accepting credit cards, small businesses cater to a broader customer base. People tend to spend more using credit cards than cash, leading to higher average sales per customer.
Competitive edge
Many consumers prefer businesses that offer multiple payment options. Accepting credit cards places your small business in a competitive position in the market.
Record-keeping
With credit card payments, tracking and recording transactions becomes more manageable, simplifying the accounting process for small businesses.
Enhanced brand image
Offering credit card payments adds a level of professionalism to your business. It makes your small business appear more established and trustworthy in customers’ eyes.
Better customer expeirnce
Customers highly appreciate the convenience and flexibility of paying with credit cards. This positive experience can encourage repeat business, boosting customer loyalty and satisfaction.
How to accept credit card payments: In-person
Here are the five steps your business can take to accept credit card payments in person:
Set up a merchant account
This is essential for processing payments. It securely holds funds belonging to your business operations and makes payments easy.
Get a payment terminal
A card payment terminal is an essential tool for UK businesses, facilitating seamless electronic transactions. Options include traditional credit card terminals, POS systems, or mobile card readers.
Choose a payment processor
Payment processors mediate between banks and merchants, managing credit card transactions. Look for competitive rates, ease of use, security features, and compatibility with your payment terminal.
Sign up and set up
Register with your chosen payment processor and set up your payment terminal.
Accept payments
Enter the transaction amount and swipe or insert the customer’s card into the payment terminal to start accepting payments.
How to accept credit card payments: Online
Taking credit card payments online differs from taking them in person, but if you’ve already set up in-person payments, you’ll be able to save some time. Follow these steps to accept payments online for your business:
Choose an online payment gateway
An online payment gateway helps securely process online payments. An online payment gateway, like the one Trust Payments offers, allows customers to share their credit card information with a payment processor.
Set up a merchant account
This is a type of business bank account that allows companies to accept customer payments. It holds on to funds until they are transferred to the merchant’s primary business account. It is required for accepting credit card payments online.
Integrate the payment gateway
Ensure your online store is integrated with your payment gateway. It is customary to use an API for this integration.
Configure payment settings
Set your accepted currency and payment methods to allow your customers to purchase your products or services online.
Ensure website security
SSL certificates guarantee secure data transmission between your website and payment gateway. SSL stands for Secure Sockets Layer and is an encryption method that ensures data sent between the two is unreadable to hackers.
Display accepted payment methods
Clearly show what payment methods are accepted at checkout, including credit cards.
Test the payment process
Test the transaction process with different credit cards to ensure funds are deposited into the designated bank account.
Start taking payments
Start taking card payments and regularly review transactions reports.
Conclusion
The ability to accept credit cards is essential for small businesses today. Not only will it expand your customer base, but it will also simplify the transaction and record-keeping process.
Small businesses are embracing this shift not just as a payment method but as an opportunity for growth and customer satisfaction.
Trust Payments’ suite of products, including an online payment gateway, payment processor, and merchant payment account, is designed to provide small businesses with easy integration, support and management of credit card payments.
Ready to elevate your business with seamless credit card payments? Reimagine your payment processes by contacting us today.
