Running a business is a great way to start making your own money. The problem that you will find is it can be difficult to find a merchant account that will allow you to process sales if you are selling CBD oil, which is legal, but for some processing companies it falls under the gray area of what they would want to be associated with or not. This is when you should have some advice that will make it easier for you to find the best merchant accounts to use while you are selling CBD Oil and know that you are going to be able to process sales, but not have to worry about your account getting suspended.
Find Out If The Company Allows CBD Oil Sales
When you start to look at a lot of these companies you will want to check to see if they are even allowing the sales of CBD oil. While you may think this is going to be allowed by all the processing companies, some of them will not want to have their name associated with this type of sale. So you need to find out for certain if the company allows for the sales of these products or if you are going to need to look at a different company to get the processing done.
A good example of companies not allowing certain sales is in the gun industry. This comes from the banning of some of the processing companies to process cards that were being used in the buying of guns or ammo. These are based off of the companies policies and nothing illegal that is being done, so it is important that people know more about the fact that this can happen and when it does happen you will find that it is going to be difficult for your company to process sales of these products if the company does not allow for the processing of CBD oil sales.
Determining The Processing Fees
When you are running any type of business that accepts credit cards you need to know more about how much the processing fees are going to cost you. This way you can factor this cost into your business plan, but also know more about how you are going to be able to price the products that you are selling each day.
Typically you will find that the price is going to be a little bit of each sale and typically is going to be under three percent. The downside is sometimes you will find that you are going to have a base price in addition to the percentage fee. This base price is added on as well.
A good example of this would be the sales that you are making is going to have a price of 10 dollars is what you are selling the product for. Let’s say as an example your merchant processing account charges twenty nine cents on the base price plus a three percent fee. So you would end up selling the product that you are selling at a cost of fifty-nine cents. That would leave your profit after getting the transaction fees subtracted at a total of nine dollars and forty-one cents.
Out of the amount that you would have left you would need to subtract the price of the product that you have to reorder to figure out how much money you really made. Then you will finally have a chance to get the sales done that you want to have and know that you are going to finally be able to make the money you need from the products you are selling.
How Long Until The Deposit Is Made
With most of the processing companies such as The Southern Institute, they are going to deposit the money into your account the next day. However, you will want to make sure you verify this information with the processing company. Then you will be able to get the right amount of money into your account each day and this will help you pay for your orders, but also to keep your company afloat financially for all the bills you have to pay out.
Learn About Any Holds On The Sales
Sometimes you will hear about the merchant processing accounts placing holds on different processing that is being made. Since this is the case, you will need to realize that you will be able to know what kind of holds are being made on your money. This way you will finally be able to determine when the money will be deposited, but also how much money will be deposited at the time that you need to have it made out to as well.
Discover The Cards The Company Accepts
When you are looking into a merchant processing account you will find that some of these companies are going to accept only a certain type of card. This is going to make a difference in how much you are going to be getting from the cards, but also makes a difference in which customers will be shopping at your store versus those that are going to be shopping at the other stores. So you will want to make sure you check this out or you could end up having some issues with the customers coming in with a Discover, but your processing company does not accept those cards because the processing company will not allow you.
Being in business is going to be a great feeling. However, you will find that over time you will have some challenges you are going to need to overcome. One of those main challenges you can find is trying to figure out which merchant account to use for your company. By learning more about the companies and what to look for in these companies it will be very easy for you to find the best company that will allow you to sell your CBD oil and still accept credit card payments with a merchant account.