Charity Merchant Account

Within just the past few years, non-profits have started to look towards the Internet as a means to gather donations and other payments.  The more ways you offer your constituents to give, the more money you'll receive.  The typical costs of a regular merchant account can overwhelm many small organizations, but there are several companies (some of which who only work with non-profits) that provide really great rates.  And then you have some who take large cuts from each transaction.  One such company takes a whooping 6.5% of each transaction.  That's simply outrageous!

Low volume processing?

If you only plan on processing a few hundred dollars a month, I'd suggest looking into a 3rd party processor like PayPal.  Such low volume processing is not worth the time to complete applications and go through the process of obtaining a real merchant account.  As your volume increases into the thousands of dollars per month, then you can graduate to a real merchant account.

Medium to high volume processing?

If your organization will process thousands of dollars per month or more, then you really need to get your own merchant account.  The more volume you process the more processing fees you'll pay.  3rd party processors almost always charge more per transaction then having your own merchant account.  So, as you can see a 3rd party route would just cost you more money, money that could easily go to benefit what your organization supports.

Build it and they will come - or not

Unfortunately, you can't just slap up a "donate now" button on your website and expect mounds of donations to come pouring in.  Once you're setup and running to take payments on-line, you need to promote the service to all of your current donors and mention it in all your marketing materials to capture new donors.  Take every opportunity you have to get the service in front of people.  Believe me - the more you promote the on-line donation service, the more money you'll get.  Guaranteed.  Here are some suggestions:

• Setup a donation "kiosk" at events, galas, auctions, etc.

• Call up current donors or mail them appeal letters

• Mention on-line giving in your brochures, newsletters, business cards, flyers, etc.

• Offer a special gift for those that give on-line

If you have other ideas, please share them with us and I'll post them here.

Company Suggestions

Top 3 Merchant Account Pitfalls REVEALED! Avoid the mistakes many people make when choosing a merchant account provider for their business.  Learning this information ahead of time will save you time and money both in the short and long term. Avoiding merchant account pitfalls