6 payment solutions for SMEs
Choosing the right payment solutions for your small business is crucial to customer satisfaction. Today, customers like to have a wide range of payment options available to them whenever they shop, making it as convenient as possible for them. Cash-only businesses do not always tend to do well simply because fewer people are carrying cash on them these days, and getting to an ATM to withdraw money isn’t always the most convenient option. But the good news is that there are plenty of payment options that are fairly easy to set up for your business. Here are some to consider.
Cash payments
While cash is definitely going out of fashion, you will still find that there are many people who do prefer to pay with cash – particularly those from the older generation who are more used to it. That’s why even though you might not get very many cash payments when you have other options available, you should still leave this option open for any customers who wish to use it. Some customers prefer cash because it is untraceable and easier for them to keep track of how much they are spending, so be sure to keep these people in mind.
Card payments
As a minimum, every small to medium business should be accepting card payments, whether you are selling products or services. And, getting set up with taking card payments is faster than ever thanks to UTP Group who provide merchant services and are partnered with a reputable Barclaycard bank. With this company, you will be provided with a modern card reader that you can use to take PIN number and contactless payments from your customers using their debit or credit cards. They are one of only two card payment providers that work with Barclaycard. They offer the Faster Processing product, with allows payments to be available to you in cash within an hour in the majority of cases and no more than 24 hours at the most. This way, you no longer have to wait 3-5 days for money to become available to you.
Direct debit
If you provide your customers with regular ongoing services, you may want to consider accepting payments via direct debit. This is convenient for both you and the customer since once you have set the direct debit payment up for your customers’ chosen date, payments will be taken automatically – all the customer needs to do is make sure that they have the funds available in their account. Direct debit payments are convenient for customers since they know how much is coming out and when.
E-commerce payment service
If you are selling online, then it is worth considering taking payments via an e-commerce payment service. Most of these secure payment systems has been around for years and are a firm favourite with shoppers because of the extra security that they provide. Customers can save their card details in these systems and then when it comes to making an online payment, all they need to do is log in to their account eliminating the need for them to enter sensitive card details online.
Buy now pay later
If you sell big-ticket, expensive items to your customers, then offering an option for them to buy now and pay later, or spread the cost over a certain period of time compared to paying all in one go might help you attract more customers. Many customers simply don’t have the available funds to make a big purchase outright and would appreciate a more manageable option that allows them to spread the cost. The good news is that you can easily do this by using services such as Klarna, that set up monthly, two-weekly, or weekly payments from your customers to you depending on what they prefer.
Invoicing
If you tend to sell your products or services to business clients, they might prefer to pay by means of an invoice that is sent to them on a certain date. Businesses tend to prefer this method of payment because it allows them to better manage their cash flow and tailor payment dates to suit their own company as well as yours. There are several invoicing tools that you can use to charge business clients for your products and services. To improve the chance of invoices being paid faster, you might want to include a way of easily paying you online, setting a firm date for when the invoice should be paid by or even offering a money-off incentive to business clients who get their invoice paid off early.
Choosing the right payment methods to accept from your customers will depend on a range of factors such as the type of business you run, who your customers or clients are, and how you sell your products and services. In general, the more options you provide your customers with, the better.
