Mind if I ask how much you pay to take credit/debit card transactions?

Jimmy Buffit said:
We are in an upscale area and clients seem to understand.
Click to expand...



This goes a long way to making it less of an issue. It is alot easier for those with less means to justify paying for a luxury item if they can put it on a card and forget about it vs. having to pull cash out of their account.



You may only lose 2-3 jobs over a 4 year time span but I know for a fact I would lose much more, not just in details or hand washes but also gift certificates around holiday time. It would also be much less convienient for my customers that put the details or hand washes on their corporate cards.
 
Jimmy Buffit said:
dpsorg: not to start an argument, but that '$3.00' rapidly becomes $5000 over the course of a year. That money goes right in to my bottom line/pocket.



Here's the other analysis: That $5000 translates to about 23 complete sedans, or 18 complete SUVs. After 4 years, I don't think that I lose significant business, maybe 2 or 3, but not significant.



So, over 4 years it becomes $20,000!



JB
Click to expand...





A price bump of only $5 on every detail would negate all that fun analysis and make it easier on your customers.
 
MichaelM said:
A price bump of only $5 on every detail would negate all that fun analysis and make it easier on your customers.
Click to expand...





Thats exactly what I was thinking and I'm going to do. My friend owns a tint shop and whenever his customers choose to swipe he tacks on $5 to cover the cost
 
TexasTB said:
I was only asked one time if I took credit cards, which I do not. They simply wrote a check.
Click to expand...



Simlar situation here. I may get asked 2-3 times a year if I take credit cards and I tell them I take cash or check and they are fine with that. There just isn't enough demand to make it worth accepting credit cards.
 
MichaelM said:
A price bump of only $5 on every detail would negate all that fun analysis and make it easier on your customers.
Click to expand...



If it works, don't fix it. :nixweiss



To answer Dave on the bounced check issue, bounced checks have never been an issue for me either. In 13+ years full time, I have had a total of 5 returned checks, 4 of which were honored when presented again. The other? She got evicted from her house and I was unable to locate her to collect. I'd say that is a pretty good record.
 
Jimmy,

For my mobile business it makes cents:D , I have two large corporate accounts that I setup at every 2 weeks during the spring and summer and 70% of the employees' pay with plastic, (checks took up 20%, cash the other 10%), you can see that for my business it's a must. the fee's last year alone for credit card purchases was just under $2000.00.
 
I have some friends that own a resturant. That stop taking cards because fees were raised to 12% on debit cards and sometimes it took 90 days to get payment.
 
 
For you mobile and shop detailers out there, why don't you have business accounts? You can easily set up to take debit/credit cards through a bank. I am a banker, and we do this for our small business clients all the time. Yes it does charge transaction costs, but a lot of banks will set you up with some of the equipment for free (ie promotions or other specials). Obviously there is no guarantee there, but it is a nice saver if you can get it.

Accepting cards can really make a difference depending upon the clientele you are serving, so I would take that into consideration before going through with it. If nothing else you can charge an additional (nominal) fee to accept debit/credit or require a certain dollar amount purchase to make up for the percentage you lose paying the company. In addition, it can be a possible tax write off for you business.

Please don't interpret this post as me trying to sell something, go to any bank and ask them about what they provide for small businesses and most will be very happy to help you and at the very least should be able to direct you to the correct resources.
 
Scottwax said:
I do have a business (DBA) account. When I rarely even get asked if I take cards, why bother with them?
Click to expand...



I guess the main reason why I would still suggest it is because you don't know how many people are avoiding your business for that reason. I don't know how your business is set up, so that may not be the case for you, but for myself and a lot of the clients that i see, I do not like carrying cash, and will generally avoid some place that does not accept cards (or go with another option that does).

To also reitterate what I said in my last post (and what some one else said) that you can get people to purchase more then what they might have normally because they aren't restricted by how much cash they have on hand (that could be said for tips as well). That is why I suggested at least visiting local banks to see what they offer.
 
In the right market with the right services and pricing, accepting credit cards may be able to help a detail business gain customers. Note, I do not yet accept credit cards for many of the reasons mentioned. After seeing Costco's rates, I think it could definitely be worth it.
 
You must log in or register to reply here.
Back
Top