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Is Your Business Afraid of the Internet?
Bill Gates, CEO of Microsoft, once said that there would soon be two types of businesses, those online, and those out of business. Those words still ring true today, and many small businesses are missing a huge boat by not getting online.
The entry by telephone and cable companies into the Internet service provider business within the last few years has given new hope to the congestion problem in that they now have a vested interest in investing in infrastructure. The Internet connection and set-up cost are not inexpensive for every business; however, the competitive cost of not having it probably outweighs the financial cost of connectivity. Even if businesses deal with customers that are domestic or local, reaching the customer is only one aspect of the Internet. It can be used to communicate with suppliers to build supply networks, order materials, sales or other information 24 hours a day, 7 days per week.
Dont give up on your business!
It will always be easier to give a present business a fresh effort than to start all over.
The Essential Christmas Web-store Makeover
When meeting potential clients, you wouldn't dream of showing up late in a mismatched outfit, hair disheveled, with food on your tie and no business card, would you? And if they asked for testimonials or explanations about your company policies you'd hardly say, "Sorry, I don't give out that information."
Ecommerce Information Article:
Do You Need A Merchant Account?
Monthly fees. Anywhere between $25-$50 for statements and minimum fees.
Per transaction and charges fees. Usually between 2%-3.5 % in fees and .30-.50 per transaction.
Gateway fees. $10-$30 per month
SSL certificate. Can be as much as $250
Shopping cart fee or software purchase. Monthly can range $20-$70 and software purchase can be as much as $1400.
In addition to the cost is the technical aspect of setting up your site to use a shopping cart and real-time processing. Not all gateways, merchant accounts and shopping carts play well together. You must make sure that each can work with each other. Plus be prepared to properly set up your web server to use all this nice technical information the accounts give you.
Now, if you are a larger business or do a lot of sales each month perhaps your own merchant account is the answer for you. It can save you money in the long run. But if you are just starting out with an online business, then a third party merchant may be the answer for you. Third party merchants handle all the background details, pay the monthly fees, assume the risks of fraud and charge backs, and handle all the secure shopping your customers will expect when shopping online. While the monthly fees may be a bit higher, there usually isn't a set up charge, gateway fees, SSL charges and shopping cart set up. Depending on the service you choose, they can give you simple HTML code to add to your site or allow you to use "buy buttons" or both. Fees range anywhere from 5% to 13.5%. Some companies charge a set up fee and a per transaction fee.
Then there is always Paypal. A useful service for new comers to the online payment arena but it has its drawbacks. With Paypal:
Your customer must set up an account with them
They can FREEZE your account
They can set limits on monthly transactions
I suggest you explore all your options and decide what is best for you financially and technically. A little research online can save you money and time in the long run.
About The Author
Jim Hoffman is the co-founder of Inet Goodies. An internet resource group, focusing on SEO, Hosting, Billing solutions and Traffic.
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