Is accepting credit cards REALY necessary?!

[ruff]

Every once in about five years (no I am not exaggerating) I loose a client because I do not accept credit cards.
Had 3 checks bounce on me in over 20 years (only one she actually did not pay, the other were replaced.)
Granted I am a niche player, not necessarily representative of other places but the Bay Area.

However here is the math:
Say you make 100,000.00 a year, most clients will want to use the credit card (for points) it will cost you about $3000.00 a year.

Figured out even with losing the occasional credit card only client, I am still ahead of the game.

Do we really have to accept more cards than MACYs?
Do we really have to jump on every trend. Book via twiter/instant email, you name the trend of the week.

Most of us here are small business owners. I say do not be like everybody else- be a classic. I say differentiate yourself from the competition with your warm personality. With your quality of work and being ethical. And they will come.

Regardless if you accept credit cards or not.

So ,maybe you should drop the cards, put the extra money in your child's college fund and........
Thank me later.

 

[Mikey P]

Do you cut your own Styrofoam blocks too?

 

[Becker]

1st of all not all of your 100,000 in sales will use CCs
2nd all studies show a buyer is likely to spend more if they charge it.
3rd look for a better rate than 3%
4th Not sure how twiter/instant email got tossed into a topic about CCs

I've been accepting CCs for 15 years.

Visa Master Discover and Amex

I have some repeats that pay via CC one visit, and check another. This tells me times they use CC they are a little strapped, or CCing is not exactly in the budget.

As for losing jobs, I have no idea I happily advertise I accept.

 

[ruff]

Do you cut your own Styrofoam blocks too?

No, I leave that for your chimps.
Chimp master.

 

[Able 1]

I would say it is necessary just to keep it convenient for your custy... Not sure where you came up with $3,000 per year but for me that is way off. I only run on average 2 cards per month and with square only pay under $150.00 a year... I don't encourage using cards, but will tell custy's what ever works for them is fine.. I just think it's a nice thing to offer, there are alot of people that still live by credit. :roll:

 

[ruff]

Don,
The Twiter got dragged into the discussion about credit cards, as many here think that they have to be on each and every wagon. And I am also trying to make a larger point.
As a small O/O company I do not think that we have to offer every convenience or chase the newest media- it spreads us too thin.

I think that we are better off emphasizing our strengths. Not trying to be like the "big" guys. My ability to differentiate myself lies in what makes me unique. Or ,if you will, whatever makes what I have to offer of real value to my client. And to protect my position, that will hopefully be difficult for others to match, copy, emulate.

And to my opinion it is not accepting credit cards, or booking on twitter, or being on groupon; or......

Keith, there is not much difference between writing a check and signing a credit card transaction. If they live by credit you can offer to take a check to be cashed a month later. It will certainly serve your clients better than paying the all too common 20% interest many pay to their credit company.

As per spending more with credit Becker, I am sure the studies are correct. However, I feel that if they can't afford it, I'd rather they didn't spend it.

 

[FredC]

people still use checks?

I mean I know they do because I get them and occasionaly stand behind the slow ass relics in the grocery store but I couldn't tell you where mine are. I know i have a box but I cannot remember the last time i didn't use either my debit or credit card for purchases. i wouldn't do business with a business who wouldn't acccept them..
and its not all about buying on credit....I use my visa DEBIT for 99.9% of purchases...............

hardly a bandwagon...nor "new"

I think the last time I wrote a check (bank issued checks not included) was the mid 90s

 

[Becker]

Lol, be sure before they write that check you ask if they can afford it.

Just because they are writing a check does not mean they can afford it anymore than using a check.


I don't think accepting a form of payment is a fad. I've been accepting cc for longer than any fad you mentioned.

 

[Mikey P]

Ofer, this whole argument, if you want to call it that is absurd

Cleaning carpeting is a luxury for most and if they save for it nickle by nickle or are willing to pay 22% on a loan to enjoy that luxury, who the hell are you to pass judgment?



This BS Garrison Keillor take me to the ball game phony t'ude of yours is hard to believe.

 

[Shorty]

We have had credit card facilities for a loooooong time.


But then again, down under, we live in homes, not caves.



How do you cart your gear around, still with the horse and cart, or have you gone all upmarket and bought one of those new fangled gadgets called an automobile. ??



Crikey, the lights are on but nobody's home.


Get with the 21st century old timer.


shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin

 

[Steve in Omaha]

Checks are "old school"....and I love it! Will never except cc's until the banking industry makes me. Just one more way the customer is connected to me vs a "click" of the computer. The more the world goes "high tech", the more you can command from being "old school-low tech".

 

[Jimmy L]

I'm old school too and only except CASH or check.

There is something positive in the customer's mind when they write you a check.

Everything written about CC suggests to anyone using them that it's "BAD" and will leave a NEGATIVE feeling when using them.



Ofer............LOSE

 

[Ken Snow]

Credit cards have been around since 1951 (Diners Club and American Express). Not exactly a new fad lol.

 

[mirf]

We accept CC without any hassel. Some realtors that call us and the owner is out of state. It is worth it not to have to wait for a check or have the realtor pay us.

 

[Royal Man]

Same as the above post. Out of state clients use a credit card. So, do many contractors, businesses and government accounts. Also, useful for jobs where the client is at work while I'm cleaning.

To not have credit card payment available would inconvenience many clients and I like to have the $ before I do the work and not have to wait for a check from people I haven't even seen.

Preventing one loss payment would pay for many credit card fees.

 

[Ken Snow]

Personally I think a business is rinky dink if they don't accept them. I use cash for small purchases and credit cards for everything else in my life and in our business I have 4 credit cards wth high limits for mmy accounting department to use for a huge portion of our payables- they are rewards points machines.

 

[Brian R]

Do you want to grow as a company? Take credit cards and grow larger and more quickly.


If you don't....Then don't.


I offer credit cards as a convenience and marketing strategy.

When it comes time to pay....I say Cash, Check or Credit Card...."In that order"

But I always use the "I accept all major credit cards" at the front because it sets their mind at ease.


I'm in this business to make money....I'm funny like that....And sometimes you have to spend a "little" to make a bunch more.

 

[Brian R]

By the way, I'm surprised at how many customers understand that it costs me money for them to use credit cards.

 

[ruff]

people still use checks?

Yes Fred people do. I get a few thousands of them every year. It's a magical technology.
Don't be close minded.
You ought to try it one day.

I don't think accepting a form of payment is a fad. I've been accepting cc for longer than any fad you mentioned.

Agreed Don, it isn't. And your other arguments are valid as well. As explained above, I was tying it with small O/O carpet cleaners feeling that they have to offer everything. If you offer a unique service you do not have to offer everything and people will still use your services and you will keep a little more in your pocket instead of Visa or Master card.

Ofer, this whole argument, if you want to call it that is absurd

Cleaning carpeting is a luxury for most and if they save for it nickle by nickle or are willing to pay 22% on a loan to enjoy that luxury, who the hell are you to pass judgment?

This BS Garrison Keillor take me to the ball game phony t'ude of yours is hard to believe.

You better believe it buddy. I've been running a successful business here for quite a while.
If people were listening to you, and evidently quite a few do, they'd be offering: all credit cards, using Monster Service, Full circle, being 24/7 on twitter so they can book, and own every gudget flavor of the month.
If one chooses to do so for whatever reason (convenience, more business etc) god bless.
However, you do not have to to be successful!
What's wrong with Garrison?

We have had credit card facilities for a loooooong time.

But then again, down under, we live in homes, not caves.

How do you cart your gear around, still with the horse and cart, or have you gone all upmarket and bought one of those new fangled gadgets called an automobile. ??

Crikey, the lights are on but nobody's home.

Get with the 21st century old timer.

Oh, somebody is home old fart. You just don't realize it.
Besides what happened to: "Now that you are older you thought it was great that you seem to have more patience. Turns out you just don't give a damn!!!

Checks are "old school"....and I love it! Will never except cc's until the banking industry makes me. Just one more way the customer is connected to me vs a "click" of the computer. The more the world goes "high tech", the more you can command from being "old school-low tech".

Right on Steve, they just don't get it.
It may be that there are too many messages on their twitter.

I'm old school too and only except CASH or check.
There is something positive in the customer's mind when they write you a check.
Everything written about CC suggests to anyone using them that it's "BAD" and will leave a NEGATIVE feeling when using them.

Ofer............LOSE

Jimmy, I am not sure if I should be complemented or insulted.
Please clarify so that I can apply the right feelings

Personally I think a business is rinky dink if they don't accept them.

Exactly Ken. As a small O/O I do not want to be a Hagopian (with all due respect to the excellent company you run. I want to be different. And you know that this post is not only about credit cards.

Do you want to grow as a company? Take credit cards and grow larger and more quickly.

If you don't....Then don't.

I offer credit cards as a convenience and marketing strategy.

When it comes time to pay....I say Cash, Check or Credit Card...."In that order"

I'm in this business to make money....I'm funny like that....And sometimes you have to spend a "little" to make a bunch more.

Agreed. No argument there. Only, not accepting them has never hurt my business.

 

[Steve in Omaha]

Rinky Dink here and love it! As the middle class shrinks, their credit lines get lowered, the banks switch them to debit cards... the credit card market pie may just get smaller. My customers are always smiling when writing out the check. Yeah, have not had a business card in 20 years either, better when they write your # in their book.

 

[Mikey P]

I get a few thousands of them every year.

You complete 3000 jobs a year?

and here I thought you were a one truck show.

 

[curt johnson]

Go to squareup.com and end the discussion. Its a convienence thing, and nothing more........accept them and get more jobs and make more money.

 

[Shorty]

I get a few thousands of them every year.

You complete 3000 jobs a year?

and here I thought you were a one truck show.

Tsk, tsk, tsk.

Don't be so unkind Mikey.

So what if he does eleven and a half jobs in a five day week and EVERY SINGLE ONE pays him by check.

It's possible.

My great uncle drowned when he fell into a vat of Guinness.

But he got out twice for a pee.

shiteatinggrin

 

[floorguy]

I have some businesses that love to use them (i am sure for frequent flyer stuff) and it makes it TONS easier for them...rather then submit the bill, then acct dept dicks with it, and some 30-45 days i get a check :roll: :roll: :roll: :roll: :roll:

swipe it and within 5 days the money is there...cha ching...ill pay my 2.75% to get the money 30 days faster, thank you very much....

And with certain custys, its just easier..."ohhh i forgot my check book, do you take cards??" why yes mam we do shiteatinggrin shiteatinggrin shiteatinggrin shiteatinggrin

simplicity is all, i run maybe 5 a mth..maybe....but its nice to have it there....


NOW, if i had to pay a monthly fee etc. on it...then no way.......but pay a decent fee WHEN I USE IT....you bet

 

[Desk Jockey]

I don't think it's as much "Rinky dink" as inconvenient and maybe odd for your customers. Nearly everyone accepts plastic, it's just how people handle purchases now days.

It is your business, you have every right to handle run it as you like (try not to fook it up ). However if you're trying to build a good case you haven't accomplished it yet.

Ofer why wouldn't you want to make it as convenient as possible for the people that owe you to pay you?

Man you're stubborn, you don't have any Chavez's in your family do you?

:mrgreen:

 

[Becker]

Easy, sign up for square or gopayments.

It will not cost you a dime unless you use it.

Don't advertise you accept, till you get that request.

Your volume will be so small, yet you wont lose a job.

IMO I agree with Ken, even owner operators.

However I know we have a huge range of owner operators. Some still buy their supplies at walmart.
And maybe clean 2-3 jobs a week.

Then you have the top notch professional O/O

 

[Royal Man]

If they cling to being credit card haters because they say they are "old school".

I wonder what else is too modern for them?

Cellphones? Websites? Flat screen TVs, Indoor toilets?

 

[Art Kelley]

I don't accept credit cards. A lady gave me crap about it maybe 20 years ago and rudely hung up but c'est la vie. Most people understand to pay with cash or checks. People appreciate my low prices and unbeatable work and this is part of my low overhead super efficient operation. If you shop at Aldi, they don't accept CCs and people put up with it and their other quirks for the same low price/high quality mix.

 

[Royal Man]

How do you handle out of town clients or rentals that leave the door open?

I get one or two a week and I don't like or trust to bill people I haven't even met.

I like to hit the card before I do the work.

Money in the bank in two days.

 

[Art Kelley]

Good point Dave. At some point I might start because it's getting easy and cheap. Might get a website too. Some day. I get alone quite fine without them though.