5 Ways to get paid electronically

Since COVID-19 came around, more and more businesses are seeking ways to do more business online. If that’s the case for you, it’s important to be aware of your choices when it comes to electronic payments.

In this episode of 5 Business Rules, Monika and I cover 5 ways you can get paid online. Spend 4 minutes watching the video, or read on for the tips!

#1 Credit Card

When people think about electronic payments, the first thing they think of is credit cards. Simple and straight forward, it’s a method everyone is familiar with.

What you may not be so familiar with is how to charge credit cards on your website. Most ecommerce systems make it fairly simple to accept credit card payments on your site. The main thing you’ll need is a credit card processor – the company that will actually run the charges and put the money in your account.

There are a number of different services out there, but I’ve found Stripe to be the best one for small businesses.

#2 ACH & Wire Transfers

These are bank-to-bank transfer services.

If you’ve ever had a paycheck direct deposited into your account, than you’ve been the recipient of an ACH transfer.

ACH or wire transfers are probably the quickest way to exchange money as it goes directly from one account to another. The downside is you have to access bank account numbers, something not everyone is willing to provide, and a security concern you may not even want to deal with.

#3 Cryptocurrency

If you want to be on the cutting edge, than think about taking Bitcoin or other cryptocurrencies. {Need a bitcoin primer? Read this.}

While the jury is still out on whether or not cryptocurrency will become mainstream, having the options to pay with cryptocurrency can win you some fans. People who use bitcoin are avid supporters, and appreciate the ability to use it wherever possible. Certain industries, like cannabis, rely on cryptocurrencies to manage their cash flow.

Because these are unregulated currencies, they can be volatile. At one point bitcoin was so wild, that if someone transferred $500 worth of bitcoin, but the time it reached me it could have gone down to $400 or up to $600.

#4 Mobile Wallets

Think about when you go to Starbucks and use the app on your phone to pay for your order. That’s how mobile wallets work.

Mobile wallet accounts are generally attached to a credit card or bank account as the source of the money, but the actual transactions are quick and easy apps.

Making Apple Pay, Android Pay, Visa Checkout, or even your own app is going to be especially useful for brick and mortar businesses, as well as websites who see the majority of visitors through mobile devices.

#5 Third Party Checkouts

Third party checkouts are a form of digital wallets, which can process credit cards directly, or have money stored in the account.

If you’ve ever clicked on “buy now” button on a website, and been taken to a PayPal screen to complete your purpose, than you’ve gone through a third party checkout system.

This can be advantage to many people because PayPal’s site processes the transaction. That means you don’t have to worry about the security required to process payments.

In addition to PayPal, options include Google Pay, Amazon Pay, and Alipay, which is especially popular in Asia.

 

Have specific questions about why you should select one of the electronic payment options? Give us a shout, we’re happy to help.