During COVID-19 + beyond, all expenses are on the table and subject to revision. Here’s an actionable way to improve your margins 10-30% by cutting out the first expense skimmed off of each sale.
With sales almost exclusively plastic, these incurred credit card costs have grown more burdensome than ever before. Credit card costs are skimmed right off the top and often go under the radar for many businesses.
3.5% of your total revenue back to your bottom line can be a major income builder.
During tough times, we can all benefit from support. Communities understand the current need to support small businesses more than ever. Pass along a marginal 4.0% fee to customers at checkout for the convenience of using credit cards.
Appropriate disclosure and alignment with state code so Amex, Mastercard, and Visa can’t complain.
“(2) LIMITATION ON RESTRICTIONS ON OFFERING DISCOUNTS FOR USE OF A FORM OF PAYMENT.-
“(A) IN GENERAL- A payment card network shall not, directly or through any agent, processor, or licensed member of the network, by contract, requirement, condition, penalty, or otherwise, inhibit the ability of any person to provide a discount or in-kind incentive for payment by the use of cash, checks, debit cards, or credit cards to the extent that-
“(i) in the case of a discount or in kind incentive for payment by the use of debit cards, the discount or in-kind incentive does not differentiate on the basis of the issuer or the payment card network;
“(ii) in the case of a discount or in-kind incentive for payment by the use of credit cards, the discount or in-kind incentive does not differentiate on the basis of the issuer or the payment card network; and
“(iii} to the extent required by Federal law and applicable State law, such discount or in-kind incentive is offered to all prospective buyers and disclosed clearly and conspicuously.
“(B) LAWFUL DISCOUNTS.-For purposes of this paragraph, the network may not penalize any person for the providing of a discount that is in compliance with Federal law and applicable State law.