Merchant Account for Magazine Subscription Sales
Services for Your Company
Merchant accounts are now a necessity of the trading world. Without one, you are virtually unable to serve a significant portion of your potential clients. There are many reasons why they have grown in popularity, but the biggest reason for their recent demand has to do with the success of ecommerce. Ecommerce (electronic commerce) makes use of a worldwide network, which makes it possible for traders and customers all over the world to come in contact with each other. This has made things very easy for traders as they can highlight a demographic in their business model, use targeted marketing to grab its attention, and take the market by storm by supplying its products.
Unfortunately, credit card processors like PayPal and First Direct can reject your application to get a merchant account. What makes matters worse is that they are not legally required to submit any justification for their actions. This can make things tough for new startups to establish a foothold in the industry. This also causes many of their clients to do business with their direct competitors just because they accept Visa or MasterCard payments. To us, this is wholly unfair, which is why we have decided to help high-risk industries such as magazine subscription sellers in their pursuit of becoming more ecommerce friendly and getting a merchant account.
What most people don't know is that the magazine subscription sales industry is a very high-risk venture. There are many reasons why this is so, but what's more important is to find a way to bypass the stigma associated with this field and maximize your profits. One of the first things that you can do to earn more is set up a recurring billing scheme on your web page. As you sell magazine subscriptions, there is a high chance that a lot of your clients pay on a monthly or weekly basis. This requires you to enter each transaction manually, even though it is similar every month or week. What subscription-based billing does is that it automatically generates a record of the transaction between you and your client after a preset period. This makes it easier for you to maintain your books as you don't have to manually list every deal you make.
The next thing that we want our potential clients to turn their attentions to is the usage of payment gateways. As mentioned above, the popularity of payment cards such as debit and credit cards only seems to be soaring with every passing day. Thus, it is of the utmost importance that you use a proper payment gateway that allows you to accept customer funds wired to your account via payment cards. For magazine subscription sellers, there are many viable options to explore. However, we forbid users from using PayPal directly. The biggest issue that we have with using PayPal is that there is no flexibility. For a newly founded organization, it doesn't take a rocket scientist to figure out that there will be fluctuations in the numbers (at least in the initial stages). PayPal has a vice-like grip on the number of your clients and does not let you upgrade or downgrade to your preferred bracket once you have selected one option, making it a rather inconvenient option.
Another advice that we offer to our potential clients is to avoid a vast majority of the payment gateways out there. There have been numerous complaints in the industry where new organizations have complained that in a failed attempt to boost awareness of their magazines, their payment gateways gave away thousands of dollars’ worth of subscriptions for free. While this may sound like a risky strategy at first, it sounds downright stupid when you factor in the fact that the majority of people they offered these subscriptions to had expired credit cards. This is simply unacceptable. You, as a starter in the magazine subscription business, cannot afford a loss of thousands of dollars in your initial stages. This is why we request our clients only to pursue those payment gateway options that have the highest reviews and a nearly spotless record.
We also advise our clients to choose our services because we offer high-quality credit services for Subscription companies. Your credit history is a summary of your previous financial transactions. A good credit history makes your organization look good in the eyes of the bank and can effectively lower your risk level from a high-risk venture to a low-risk one. On the other hand, should your credit history be bad, you can forget about getting a loan unless you improve your credit score. Our services are, thus, essential for clients who have had no luck in getting a loan from a bank as we boast a respectable record of success in this area.
Magazine subscription services must also think long and hard before choosing between domestic and offshore accounts. If all of your clients reside in your country of operation, it is wiser to opt for a domestic account as it offers lower rates and higher security. On the other hand, if you have foreign clients who order your product in bulk, you must cater to this demographic and open up an offshore account (as some transactions can only happen if you have an offshore account).
The complications that can arise when working in such a high-risk industry are limitless. There is honestly no way of knowing how the market will be in the next ten years. What separates us from our rivals is that we use analysts who keep studying the fluctuations in the market and inform us when a promising situation develops. We then advise our clients on how to capitalize on these variations in the market. Thus, by agreeing to do business with us, you are essentially making a deal to not only survive in the current market climate but also thrive in the future.