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A Payment Processor Built For Startup Businesses

Choose Process Payments Now For Your Startup Merchant Account

Starting a business is an exciting milestone in life. There are a lot of things that go into starting a business. With Process Payments Now, there is one less thing you need to worry about – how to accept payments.

We understand the process of accepting payments and getting your account setup in a timely manner. When you work with Process Payments Now, you are working with a partner that cares about your business and wants to help you grow, every step of the way.

Our team of payment experts will help you find the best startup merchant account for your business, leaving you with one less thing to worry about.

Are you thinking about starting a business or recently started up? First off, congrats from the entire Process Payments Now team. Starting a business is one of the most exciting milestones in an entrepreneurs life.

According to the US Census Bureau, about 4.7 million businesses are started every year. When it comes to starting a business, the most important aspect is how you plan to accept payments. However, accepting payments should not be a headache.

If you are ready to work with a payment processor that cares about your business, reach out to Process Payments Now today!

What is a merchant account and why do I need one for my startup?

A merchant account is a type of bank account that allows businesses to accept and process credit and debit card payments. It is important to have a merchant service account to properly move money between your customers bank and your business bank account. 

For startup businesses it is important to open a startup merchant account early. The longer time you have established your merchant account, the easier it is to grow your business and scale your ability to accept payments. This is particularly important for business that accept high ticket payments. When you first setup a merchant account, there will be certain limits per transaction and per month. As your business builds a regular cash flow, the merchant service provider will be able to provide increases to those limits as you grow.

Here’s why your startup needs one:

  • Accept Multiple Payment Methods: A merchant account enables your business to accept various forms of payment, including credit cards, debit cards, and electronic checks. This flexibility is crucial in today’s market, where customers expect multiple payment options.
  • Expand Customer Base: By accepting card and ACH payments, you make it easier for customers to purchase your products or services, potentially increasing your customer base and sales.
  • Enhance Cash Flow: Merchant accounts facilitate quicker access to funds compared to traditional invoicing and check payments, improving your business’s cash flow.
  • Build Credibility: Having the ability to process card payments can enhance your startup’s credibility and professionalism in the eyes of consumers.
  • Streamline Transactions: With a merchant account, transactions are processed more efficiently, reducing the time spent on manual payment handling and minimizing errors.
  • Access to Additional Features: Many merchant account providers offer additional services such as fraud protection, chargeback management, and detailed reporting, which can help you manage and grow your business more effectively.

Overall, a merchant account is essential for startups looking to provide a seamless and professional payment experience for their customers, ultimately supporting business growth and success.

How to setup a startup merchant account

When it comes to setting up your merchant account, there a few steps it takes to complete the process. In order to setup a merchant account, you need an EIN, a business bank account and some additional supporting documents depending on what type of business you are starting.

Generally, you will need to complete the following steps to setup your startup merchant account:

  • Register your business: The first and most important step is to register your business with your state corporation commission. There is generally a fee required for registering your business with your state.
  • Get an EIN: Visit the IRS website to register for your free EIN number. You can only register for an EIN Monday thru Friday between the hours of 7am to 10pm EST.
  • Open a business bank account: Visit your preferred bank to setup your business account. We suggest setting up your business bank account with a local credit union.
  • Research merchant account providers: We suggest calling a few different merchant service provider and getting an official quote on paper. If the merchant service provider cannot provide you with an estimate on fees, it is likely you will be charged hidden fees.
  • Complete an application: Once you have picked the right payment processor for your business, apply for an account. Generally the application will be online or a paper application depending on the processor. 
  • Provide supporting documentation: If you are starting a low-risk business, you will need to provide a copy of your drivers license, a voided check or bank letter, and 3 months of bank statements. For high-risk businesses, more documentation will be required including personal bank statements, two years of tax returns and more. 
  • Wait for approval: Approval should be quick. If your approval is not quick, at the very least your provider should be updating you with required documents that their underwriting department is requesting.
  • Set up payment processing: Once you are approved, you are almost ready to go! Your merchant service provider should connect you with their onboarding team to deploy your point-of-sale or setup your payment gateway.

What is the difference between a high-risk merchant account and a low-risk merchant account?

The difference between a high-risk and low-risk merchant account primarily lies in the perceived risk associated with the business by the merchant account provider, influencing the terms and conditions of the account, including fees, reserve requirements, and approval processes.

Low-risk merchant accounts are typically associated with businesses that have stable, predictable transaction volumes and low chargeback rates, and their owners usually have a solid credit history. These businesses often operate in-person businesses and sell tangible goods or services not subject to significant legal regulations. Examples include retail stores, grocery stores, restaurants, and professional services like legal and accounting firms.

Low-risk accounts benefit from lower transaction and processing fees, minimal reserve requirements, and a faster approval process due to the lower perceived risk.

In contrast, high-risk merchant accounts are linked to businesses operating in industries with high chargeback rates, higher fraud rates, or significant regulatory scrutiny.

These businesses, or their owners, may have a less favorable credit history, higher rates of chargebacks, or instances of past fraud. High-risk businesses often have higher monthly sales volumes and larger average transaction amounts.

They typically sell products or services subject to significant regulation or controversy, such as adult entertainment, CBD manufacturers, travel agencies, telemarketing, and debt collection agencies.

High-risk accounts come with higher fees and reserve requirements and undergo a more stringent approval process, often requiring detailed documentation and underwriting to mitigate the increased risk of chargebacks and fraud.

What is the best startup merchant account?

At Process Payments Now, we believe the choice for the best startup merchant account is clear. We have extensive experience in getting low-risk merchants and high-risk merchants approved with ease. Our team of payment experts offer you the tools, resources and knowledge you need to accept payments with ease with your startup business.

If you are thinking about starting your own business or have recently started a business, reach out to Process Payments Now to setup your startup merchant account today!

A photo of a startup merchant account.

Process Payments Now LOVES Startup Businesses

At Process Payments Now, we love working with startups to set up their merchant accounts. We understand the unique challenges and opportunities that come with starting a new business, and we are dedicated to providing the support and services you need to succeed. Whether you’re just starting to explore payment processing options or you’re ready to get your business up and running, we’re here to help every step of the way.

Reach out to one of our payment experts today to start the process!

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