Setting Up Your Own Merchant Account:

Setting up your own merchant account doesn't have to be an arduous task. It's really a three-step process: get the merchant account approved, evaluate your software, and setup your software. If you follow these steps correctly, you'll be well on your way to making those all too important credit card transactions.

To get a merchant account approved, you must put your best foot forward. You want to make a good impression. Here's a checklist of what you may need:

• Application, agreement, questionnaire sheet
• Copy of voided check
• Copy of driver's license
• Product or service information
• Current processing statements
• Articles of incorporation
• Business/personal tax returns
• Business financials

Banks and independent credit card processor's have one main concern when they decide whether or not to give you a merchant account: Will your company go out of business before merchandise is shipped? They worry about this risk because they would have to soak up the losses.

Because of this concern, they thoroughly evaluate your business. They want to know the potential for charge backs. They might reject you or ask you for a security deposit if your business is deemed too risky.

One you are approved and have the merchant account, you must evaluate software and decide which one to use. Not all software is compatible with all merchant accounts. So, you have to check. One suggestion is that you first find a shopping cart system that meets your needs, and then find a merchant account that is compatible with that shopping cart software. Many merchant account providers offer integrated systems that include all components necessary to complete transactions.

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