When setting up your business website, you reach a point where you need to determine if a merchant credit card processing service or a PayPal account is more suitable for you.  There are definitely pros and cons to both.

Read the Fine Print

PayPal seems to be growing in popularity, but with gained popularity, there appears to be much angst.  For PayPal does not fully disclose fees associated with small business accounts.  For instance, if a hacker accesses your PayPal account, then you will be shortly and legally responsible.  Furthermore, PayPal is capable of closing your account for any, or no reason, and you must wait 180 days to receive your money.  This is in the fine print, and you must read your contract carefully.  For if it occurs, it may cause conflict with your small business practices.  You may lose money by not converting sales.

On the other hand, most merchant credit card processing services do not have these complications.  A merchant credit card processing service is an unsecured business loan on the amount you charge each month.  It carries the same stipulations as an unsecured business loan.  Additionally, it has lower rates than PayPal users.  It is important to note, if your small business does not have good credit then it is not the right option for you.

Choose the Best Option for You

There are many payment options online and you need to decide what option is best for your business.  Find out what fees are included, how are payments accepted, whether it is online or in-person via a credit card machine, and what seller protection features are available.

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