The Observation Deck

Bryan

I believe a good start is at least start communicating between businesses regarding their processor and fees associated. I have pushed some of my friends to switch to the company My wife and I use for 2 reasons:
1) The more business they get the better chance they have to meet the quotas placed upon by the financial institutions providing the finances so that they can start drawing upon the residuals on a monthly basis. The banks etc make sure that they get theirs off the top and only top performing sales companies will ever see any commissions on a regular basis. That is the underlying reason that most people get gouged on the equipment, instant gratification.

2) The company I use has no additional fees, is honest and fair regarding equipment purchases or leases, has no contract and gives a fair rate.

So far so good for all that have switched.

When I had my little business I knew I would be killed if I didn't accept credit cards. Somehow I got processing through Discover and they charged no monthly fees! It was the monthly fees that would have hurt me with the volume I did! The percentage may have been a bit higher than other credit card companies, but it was minimal. I bought a used credit card machine off of ebay for a very good price! I don't know if Discover still does this, but they did it to encourage more Discover card usage and let you use your own machine!

The problem small merchants can get into is getting locked into some overpriced machine they certainly don't need and a three year lease!!! Mine was $50 on ebay and worked for the two years I was there!

This would be a good topic for MAMA and DADA to discuss. I wonder if enough shop owners know what the options are. It's also easier to process information from someone that isn't trying to sell you something.

Funny, Bryan mentioned how a group should get together to look into this and DL suggested that MAMA and DADA should do it. Well great news, it's already been done. I know that it's not popular to say and I'm sure that a diatribe of misinformation will follow to put it down but the Lakewood Chamber of Commerce already has an agreement with Heartland Payment Systems that offers a membership discount to any vendor that needs either card processing or payroll services.
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That's fine Shawn but that is still one vendor and businesses should still compare those discounts with others. Are you part of the Chamber? While off subject, how does Madison get included on the Halloween window painting and do you know why they have never been included? Mary Anne and the group she has been working with has graciously included Madison Avenue this year for the Light Up Lakewood and certific checks, but traditionally, Madison has been left out of everything in this city, and they are an avenue that has a lot to offer.

Shawn Juris wrote:Funny, Bryan mentioned how a group should get together to look into this and DL suggested that MAMA and DADA should do it. Well great news, it's already been done. I know that it's not popular to say and I'm sure that a diatribe of misinformation will follow to put it down but the Lakewood Chamber of Commerce already has an agreement with Heartland Payment Systems that offers a membership discount to any vendor that needs either card processing or payroll services.
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Shawn

The have been the leaders in this, at this point.

However, MAMA/DADA seek a better way, with much less cost. One item that came out of the Visonary Alignment for Lakewood, besides MAMA/DADA is community currency, and the lowest cost charge system tied into ecommerce sites. I think are swipe cost are the same but are non-swipe costs are less. At least what I understand from what I have learned.

Just to keep the spin down.


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Shawn is it possible to get a quote from the processing company without producing a statement ? Seems that the best deal available should be presented so we all save money. The M.O. of these companies is to "save you money" based on your previous performance not give you the best deal possible. I understand the need to make a profit, however saving me 10% because that's all you had to give to get my business based on my current statement is a far cry away from saving me 20% because that gave you a comfortable and reasonable profit and you wanted to earn my business. I spoke with my processor and he is willing to present all the businesses interested a group presentation and answer questions without providing statements.

Justine,
While I don't disagree that a business owner should shop around, the point was that what has been suggested is already available.
I'd be happy to ask about having Madison shops included in the Halloween window painting contest. Not real sure what the history is that led to this being focused in one part of Detroit. With 57 chamber members located on Madison, I doubt that it's as insiduous as it is often portrayed.

I agree. I am a debit card only person. But one of the problems I have with shopping in Lakewood is the hours the stores are open. A lot close by 5. Sure some have a late night but I can never remember which one has what evening open. You can't compete with a big box or mall if you aren't open until at least 9pm.

I agree that is hard to be a shopper in Lakewood, but as a retailer/storefront in Lakewood I know that there are people (obviously, including us) that try to make it it a little better. We fight the fight with the city as much as the next guy, not in our favor but in the customers'--which then helps our business...and so the cycle begins. Now if there is a thread on how to make being a business owner in Lakewood easier--I'm in.

Corey

This was on The Consumerist today:

http://tinyurl.com/3aungr

[quote="Glenn Palmer"]I'll give you my perspective on this. I would rather take a smaller profit rather than chase away business.quote]

Yep, I agree. At bela dubby(13321 Madison Ave). I sell alot of cups of coffee at $1.50 each on credit,and each $1.50 swipe costs me approx. .28,but we gotta take them and can't have the minimum.
Would rather that than lose a customer.

john crino wrote: Yep, I agree. At bela dubby(13321 Madison Ave). I sell alot of cups of coffee at $1.50 each on credit,and each $1.50 swipe costs me approx. .28,but we gotta take them and can't have the minimum.
Would rather that than lose a customer.

A lot of younger people, myself included, only carry a debit/credit card. It's a lot safer than carrying cash, because if I'm ever robbed (happened once in Chicago), I can just make one quick phone call. The card is cancelled and I keep my money.

Once business owners start to figure out that they're turning away a lot of potential business by imposing a minimum purchase, they'll change their tune.

David Lay wrote:
A lot of younger people, myself included, only carry a debit/credit card.

Older people, myself included, agree.

I always feel a little sheepish when I use my debit card for small amounts, for the reason Mr. Crino noted. Ive never used my card for a $1.50 cup of coffee although I have used it for $7-$8 lunches.
By the same token, I just paid a $3.50 service charge to get $20 from an ATM machine.
So, cash or plastic, the pain is spread out pretty evenly.