Whether you run a mail order business, online business, or a brick-and-mortar operation, it is important that you implement a secure credit card processing service. Having a secure processing system in place will protect your business from theft and fraud, as well as give your customers peace of mind when paying for their purchases. You can establish a credit card processing system by setting up a merchant account through a reliable provider.

The first step you should take when getting a merchant account is to figure out the types that would best suit your business. This will give you an idea of the services you’ll need plus help you to decide what providers to apply to. A couple factors to consider are the types of products your business sells, the prices quoted by the account provider, and the services as the services they offer.

Independent service organizations, or ISO’s, are the providers that help businesses set up merchant accounts. Merchant accounts, are established in association with a financial institution- usually a bank that is partnered with the ISO. Typically, an ISO will charge a per-transaction fixed fee as well as take a percentage of each transaction made. ISO’s also typically charge various fees like setup fees, monthly fees, and minimum order fees.

If your small business conducts business solely over the internet and doesn’t have a physical location- e.g., “cardholder not present transactions,” a provider will probably charge you slightly higher rates. For example, mostly all of the major merchant account providers charge more for “holder not present transactions” especially if your business accepts certain credit cards.

While there are a lot of reliable lenders out there with some very good deals, there are also a lot looking to take advantage of naïve entrepreneurs so be sure to shop around in order to find the best deal.