Merchant Account | IBS Payment Solutions

Using a Mobile Merchant Account for your Business

Small businesses are the highest number of businesses that operate in any given market economy. Merchants are not left out since they make up a majority of small business owners.

Efficiency is the key when it comes to operating any business to ensure that the business makes the optimum amount of profits it can. Payments for goods and services are made in a number of ways depending on the particular merchant’s discretion. But with the increasing competitive business environment, customers’ preferences and comfort have now taken priority over merchant choices.

With the advent of credit cards and its following popularity, it is now the most preferred mode of payment among both consumers and merchants.

Why do I need a Mobile Merchant Account?

Mobile devices have become an unprecedented part of the modern economy, driving it forward.

According to Forrester’s 2018 Retail Best Practices: Mobile Web study, smart phones will be used in over one-third—or more than $1 trillion—of total U.S. retail sales at some point in the process of buying something, including research, price comparisons and purchases.

Recent data indicates that consumers are becoming more comfortable finalizing transactions on their smart phones. In fact, in-store mobile payments are expected to top $500 billion by 2020.

Customer awareness, the many options and benefits that mobile wallets offer coupled with growing acceptance for the same; merchants have naturally started acknowledging mobile payments as a legitimate form of payment.

The meteoric rise of online business giants like Amazon that offers instant purchasing power and somewhat immediate gratification, is a testament to the customers’ increasing demand for faster fulfillment.

Now, have you thought about what your business does to fulfill this criterion? How will your business adapt to customer expectations to accept payments on the go?

Mobile Merchant Account Solutions:

Mobile merchants are merchants who are always on the go and largely conduct their services in a door-to-door kind of setting.

Businesses that fall under the mobile merchants include; businesses like food delivery, food trucks, taxi cab drivers, repair, plumbing, door-to-door sales, trade shows, lawn mowing services among a number of other retail businesses find the need to accept payments at any location.

Are you a merchant that does on-field business and requires take payments anywhere, anytime? A Mobile Merchant Account solution is what you should instantly look for!

A mobile merchant account works similarly to a regular merchant account but structured to suit a mobile merchant. Some of the available methods of accepting and processing credit cards available for the mobile merchant account include the wireless swipe terminal, which may be quite costly. It typically works on the spot where the merchant swipes the client’s credit card on the wireless terminal for immediate transfer of funds. For mobile merchants with internet access, a virtual terminal would be ideal where the transaction is processed in a secure website. There are also PDAs attached to swipe devices, which can be used to process transactions by mobile merchants.

Last but not least, a merchant could simply use their cell phones or tabs, which is the cheapest option.

In summary, a mobile merchant account exists to help small business owners’ to transact credit card processing with ease. Dissolve barriers and simply accept payments beyond the walls of your business!

Merchant Account Solutions: Head Shops & Smoke Shops

Head Shops have carved out a niche of customers interested in buying smoking accessories.

The popularity of marijuana coincided with the popularity of pipes and heads used as a preferred method of smoking; steadily blossoming into an industry of its own in the late 70s.

Make no mistake; these outlets sell tobacco paraphernalia used for consumption of tobacco and legal cannabis only and not the drug itself.

If you are a merchant operating in this industry, you must know the difficult legal loops you need to jump through to get approved for licensing. For some owners the trouble does not end there, their next worry being able to find a suitable bank or merchant account provider.

This is the type of business which everyone knows exists but does not talk about. It is heavily scrutinized by the government, financial institutions as well as the public.

While it is comparatively easy for retail outlets to find willing processors, it is an uphill task for card not present merchants operating online business to set up a merchant account.

The lack of banks and payment processors unwilling to accept these businesses prevents retail shops from expanding their business into the online market. It also discourages new entrepreneurs to explore the industry and open up their shops leaving space for limited growth only.

Why are head shop merchant accounts considered high risk?

The nature and type of business itself makes it a risky industry. Its association with the drug paraphernalia industry does not bode well with regulators.

Head shops primarily sell items closely related to the cannabis and smoking industry like hookahs, glass pipes, bongs as well as clothing and music vinyls. While the products are not prohibited but there are increasing regulations being places on how the items are sold and marketed.

The industry falls in a grey area. These products are not illegal but the substances used or associated with the products are sometimes, putting the industry in a tight spot.

There is a high probability the accessories being sold are used to smoke illegal substances, creating challenges for businesses looking for merchant services.

The increasing regulations and tight restrictions imposed by lawmakers put an uncertainty over the industry.

Banks and processors fear that businesses might sell illegal drug products and result in significant fines for both

For processors, the risk outweighs any benefits that are the business brings to the table.

Is it possible to get head shop merchant account solutions?

Absolutely! There are merchant account providers that specialize in this industry and have positioned themselves strongly to provide seamless services to these businesses.

Whether you operate an e-commerce shop or run a storefront business, merchant account and online credit card processing solutions customized to meet the requirements of the tobacco paraphernalia industry.

But obviously, if you happen to approach a regular bank chances are they will shoo you away at first glance or demand heavy account set-up and transaction fees. Many established merchants have trouble with their existing merchant account provider when they look to expand into the online head shop industry.

Therefore, a customized head shop merchant account solution offered by experienced merchant account providers is the right choice for your business. As these processors regularly work and have long-term relationship with high-risk acquiring banks, they assist merchants to ensure smooth and uninterrupted credit card processing transactions.

High Risk Business Solutions: Kratom Merchant Account

The nutraceutical & supplement industry is massive and has many niche businesses operating under it. CBD Oil, Medical Marijuana, Kava, Kratom and such are a few businesses that are related to this industry.

We are well-aware how difficult it is to obtain merchant services for any businesses related to the nutraceuticals industry. Merchants selling Kratom, a South-East Asian tropical tree related to the coffee family, are no different.

Kratom has been found to have many medicinal uses & benefits, although people still view it as an addiction. The herbal product can be used to cure anxiety and insomnia. It can also help relax chronic pains. Admittedly, there are side-effects too. If taken in low dosage, kratom acts as a stimulant whereas, at high dosage, it acts as a sedative.

With the growing awareness about the herbal products and its medicinal properties, there are a number of businesses popping up. While majority of such businesses operate online, considerable brick-and-mortar stores have opened up too.

A Risky Business

As with any business in this day and age, banking services are essential for smooth functioning. Especially for online businesses, credit card processing to able to accept regular payments forms a critical business function.

But just like many high risk merchants that have a tough time getting approved for merchant services with banks and merchant account providers, Kratom merchants are no different.

Kratom maybe a tricky business but make no mistake, the business is as legal as your regular book-store.

With banks denying services, merchants face operational challenges. No doubt such business earns high revenue which causes security risk to keep cash at hand and make them highly vulnerable to break-ins, theft & assaults.

In order to acquire banking services, some merchants open a personal account by hiding the nature of their business and then eventually get shut once found out. Similarly, businesses have also used a fake website to get approved with online payment processors like PayPal which has a strict policy against accepting these types of businesses. When caught, PayPal will freeze such accounts for well over 3 months.

Why is Kratom business termed as high-risk?

Kratom contains chemicals that have psychoactive substances which itself causes processors to have reservations regarding its sale in the market
Strict rules & regulations concerning the sale of kratom,
Controversial nature of business,
Little known knowledge about industry operation and
Customer dissatisfaction leads to refunds which increases chargebacks
Subscription-based business model wherein customers end up signing up for a product they do not want later and cancel the order causing high chargebacks.
Fraud & illegal business websites are a huge cause of concern for banks and credit card processors.

Kratom Merchant Account Solutions

Processing options for Kratom merchants might be limited but they are several first-rated merchant account providers that willingly take on Kratom merchants with reasonable processing rates and customized services. Start looking for processors offering High-Risk Merchant Account Solutions!

Find a reliable merchant account provider that has considerable knowledge and experience with the herbal products industry. Such providers will understand your business hurdles, expectations and cater as per your requirements. Make sure to enquire for an integrated secure payment gateway to take online payments for your e-commerce store.

Legal business operations, positive credit history, low chargeback and large monthly volume are a few pre-requisites required to stand the best chance at getting approved for a merchant account.