An aggregate merchant account combines multiple businesses under a shared account. This allows them to spread out risk associated with any single company. As a result, aggregate accounts try to balance the types of businesses they put together on the bankings side.
1. Immediate Approval – By far, one of the biggest benefits is instant approval. But be careful about this. A startup can get instantly approved for a new account, however, the provider will audit your file later on.
It may seem like an easy way to create a high risk merchant account, but be sure you read the terms and conditions. Most aggregates don’t allow certain business types that are found on the high risk industry list. And they will drop your account later on if you try to fly under the radar at first.
2. Straightforward Pricing – All of the major aggregates compete with one another and therefore price their processing fees similarly. These companies are very transparent with their payment structure which can easily be found on their websites.
The standard price for processing is around 3% of the total sale plus an additional $0.25 per transaction. These prices vary slightly depending on the service you’re receiving, so be sure to select the one that saves you the most money. Look for lower transaction rates if your business has multiple transactions or lower overall percentage fees if you have large ticket sales.
3. Startup Friendly – New businesses want to save as much as possible in order to lower their bottom line. Moreover, they sometimes struggle with finding credit card processing solutions because they don’t have a long history of successful transactions. Large payment processing companies understand a business owner’s need to accept payments. As such, they take on new unestablished companies to give them the chance to grow their business with the resources they need.
4. Multiple Integrations – Working with some of the largest payment processors has it’s benefits when it comes to your merchant tool pouch. There are numerous additional services that can make it easier to run your business. Chargeback protection, gateway integrations, and accounting software just to name a few.
Square, Stripe, and PayPal are the most well-known aggregate merchant account providers. These companies make up a majority of the low risk space and can help you set up a new account fast if you operate a business in a standard vertical.
Importantly, high risk merchants must seek alternative sources for their payment processing needs. Each of the major aggregate companies has their own regulations, and many don’t allow certain business types. If you operate in an industry that sells adult products, regulated ingestibles like cbd and nutraceuticals, or firearms, then you’ll have to look for alternative payment processing.
The good news is that there are many providers that can help you get the high risk credit card processing you require to operate. Zen Payments has a dedicated customer service team to help you through the application process. Learn more about how your company qualifies for custom pricing and payment solutions.