Electronic Payment Services for Small Businesses
Businesses that specialize in electronic payment services are beginning to realize that inexpensive alternatives to the typical credit card processing terminal are now possible. There have been market studies done by the promoters of some of these electronic payment services; and they find that almost all of America is completely happy with the idea of going completely with the smartphone for money transactions.
Let’s start with a particularly versatile system called OboPay. What makes OboPay as powerful as it has turned out to be is the fact that it can be used not just on smartphones but on every mobile phone, no matter how basic it may be. As far as a basic cell phone goes, practically everyone in the world has one – be they in Africa, Mongolia or anywhere else. If it can be managed, a mobile phone then would be a wonderful tool for electronic payment services. For small to average level payments, to businesses or to individuals, OboPay is able to execute transfers from bank accounts, cards or anything else. While it does come with a small fee that a merchant is asked to absorb, a merchant can typically refuse to pay. Customers then will be asked to pay a small convenience fee instead. It all works out to be very inexpensive for the typical small business owner. Far more so than any credit card.
Unfortunately, all the other electronic payment services available for the mobile phone today work exclusively on smart phones. Take PAYware Mobile; this safe and secure payment method aimed at small and medium-sized businesses works only on the iPhone (past version 3) and on Android smartphones. This payment method may actually make quite a bit of headway in the market, seeing as how it is promoted by the payment solutions giant Verizon. They have a version for large businesses called PAYware Mobile Enterprise and one for all other businesses, called PAYware Mobile. This is how it works. When you buy the PAYware kit for your busimness, you get what is known as a sleeve – a kind of credit card swiper that you connect to your smart phone. The swiper has built-in encryption. So customer credit card information is encrypted even before it ever enters your phone. That’s what makes this payment method particularly secure. And then, the PAYware app on your smartphone sends the information to Verifone for processing.
If you are looking for simplicity, there is a new player on the market that really makes it happen. It’s by the founder of Twitter, Jack Dorsey, and it’s called Square. The merchant gets a little card reader to attach to his iPhone. And he can start processing payments for a 2.75% fee. It’s simple and painfree.