|
Back to the Mentor's Index |
| |
|
 |
In this
section we post questions
from members and responses
from The
Mentor. |
|
 |
 |
|
|
|
 “I have a client that wants to pay for my services
(data analysis and custom software development) using a credit card, preferably
over the telephone or by FAX. The only options my local bank gave me was to
either rent or buy a credit card machine and printer ($660 to purchase, or $936
total for a 36 month rental contract), along with an application fee, annual
fee, extra fee for electronic transaction, and a cut of each transaction. I
expected the annual fee and transaction fees, but having a credit card reader
and printer in my home office like the local Wal-Mart seems a bit excessive.
Does anyone in SPC have any experience, suggestions, or advice in setting up
their home-based consulting business to accept contract payment from a customer
using a credit card? Thank you for your help. ” |
 Historically getting set up for
receiving payment has been too expensive for individuals and even small
businesses (SPC has not taken this step due to the associated cost). I would
ask your client or prospect what problem they are trying to solve. If they need
to finance the cost of your fee, and have no means other than a credit card,
you need to make sure that they can afford your services. I assume that you
would not want to begin only to be told that they could not afford to continue.
If they want to make payments over time, and you are confident that they can
afford your services, then you could offer them payment terms. Any financial
organization can run a "D&B" on all public and many private companies if
you need to check credit. In short, setting yourself up for credit card
processing is not something you want to do in this case. Please do not hesitate
to reply if you have any additional questions.
|
|
|
