Drop Ship Merchant Account
Building and running your own drop shipping site is a way for you to generate income. Especially when you do not have the area to store stock. While getting in the drop shipping business is appealing, it is important for you to know how you can succeed and how you start. Looking for credit card processing for your drop shipping website is among the biggest hurdles you can have.
When you run a drop shipping website there are lots of advantages than a conventional company.
Inventory: With a drop shipping service you are not needed to stock and handle your own inventory. Instead you choose from a range of items to stock in your eCommerce store. Your drop shipping service earns a percentage of each total sale and you are not required to handle or replenish your stock.
Shipping: Most drop shipping services are not required to deliver the items they sell to customers. As a drop shipping business owner you make the most of having access to direct producers or warehouses that stock your existing items. Warehouses and producers are responsible for shipping and tracking each product you sell on your site.
Automation: Once you have established your company and brand you use automation to keep creating sales as you pivot your focus. Focus on growing your current drop shipping business with automation tools and solutions.
Why Drop Shipping Is High Risk
Some of the most notable reasons drop shipping merchant accounts are not permitted or are later terminated by standard payment processors such as Paypal, Stripe and Square include:
Fraudulent Charges: Drop Shipping receives overwhelming variety of fraudulent charges. For this reason you will be considered high risk by most payment processors. You need to track deceptive charges you get on your drop shipping site. You need to do this prior to taking an application for your merchant account. The more information you have readily available to share the easier it will be to get you approved.
Chargebacks: If your site has a chargeback rate of more than 3% you will be categorized as “high risk” from a payment processing perspective. This is a recurring problem in the drop shipping industry. Nevertheless, there are methods for you to reduce this so that your percentage is within your bank’s supportable companies.
FinTechMerchantAccounts Can Secure You with Drop Shipping Payment Processing
We have the relationships in place to support credit card processing in the drop ship market. It is a 2 way street in between our banks and our merchants that garners trust and versatility. FinTechMerchantAccounts is adept at high risk merchant accounts because of our attention to security, compliance, and underwriting. We have what your drops hipping business requires to be able to grow and scale your business.
Contact us today. Let us show you how easy it is to start.
More Post Like This One: