Small Business How to Take Credit Card Payments with Just Your Smartphone
How to Take Credit Card Payments with Just Your Smartphone
If you are a small business owner in the UK, you might be wondering how to accept credit card payments from your customers without investing in expensive equipment or signing up for a merchant account. You might think that taking card payments is only possible for large businesses or online shops, but that is not the case. In fact, you can take credit card payments with just your smartphone, using some simple apps, tools, and services that are designed for small businesses.
In this article, I will show you how to take credit card payments with just your smartphone, and what are the key factors that impact your decision making. I will also discuss the tradeoffs involved in balancing different factors, and explore the challenges associated with different approaches. By the end of this article, you will have a better understanding of how to take credit card payments with just your smartphone, and what are the best options for your small business.
Why Take Credit Card Payments with Your Smartphone?
Taking credit card payments with your smartphone has many benefits for small businesses, such as:
- Convenience: You can accept card payments anywhere, anytime, as long as you have your smartphone and an internet connection. You don’t need to carry around bulky equipment or deal with cash and change.
- Customer satisfaction: You can offer your customers more payment options and convenience, which can increase their satisfaction and loyalty. You can also send them receipts via email or text message, which can reduce paper waste and clutter.
- Security: You can avoid the risk of fraud, theft, or loss of cash by using secure apps and services that encrypt and protect your customers’ card information. You don’t need to store or handle any sensitive data on your smartphone or device.
- Cost-effectiveness: You can save money on card processing fees and equipment costs by using apps and services that charge low or no monthly fees, and only charge a small percentage per transaction. You don’t need to pay for a merchant account or a contract.
How to Take Credit Card Payments with Your Smartphone?
There are many apps, tools, and services that allow you to take credit card payments with just your smartphone. However, not all of them are suitable for every small business. You need to consider several factors when choosing the best option for your small business, such as:
- The type of business you have: Depending on the nature of your business, you might need different features and functionalities from your app or service. For example, if you sell products or services online, you might need an app or service that integrates with your website or e-commerce platform. If you sell products or services in person, you might need an app or service that works offline or supports contactless payments.
- The volume and frequency of transactions you have: Depending on how often and how much you sell, you might need different pricing plans and fee structures from your app or service. For example, if you have a high volume of transactions, you might prefer an app or service that charges a flat fee per transaction rather than a percentage fee. If you have a low volume of transactions, you might prefer an app or service that charges no monthly fees or minimums.
- The type of cards you want to accept: Depending on the preferences and expectations of your customers, you might need to accept different types of cards from your app or service. For example, if you want to accept American Express cards, you might need an app or service that supports them. If you want to accept contactless payments or mobile wallets, you might need an app or service that supports them.
- The type of device you have: Depending on the model and operating system of your smartphone, you might need different compatibility and requirements from your app or service. For example, if you have an iPhone, you might need an app or service that works with iOS. If you have an Android phone, you might need an app or service that works with Android.
To help you compare and choose the best option for your small business, here are some of the most popular and reliable apps and services that allow you to take credit card payments with just your smartphone:
SumUp (you need a card reader)
SumUp is one of the leading mobile payment providers in Europe, offering a simple and affordable way to accept card payments with your smartphone. SumUp works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. SumUp charges a flat fee of 2.69% per transaction, with heavy monthly fees, minimums, or contracts. SumUp also provides a free card reader that connects to your smartphone via Bluetooth, allowing you to swipe, chip, or tap cards easily.
To use SumUp, you need to download the SumUp app on your smartphone, create a free account, and order your free card reader. Once you receive your card reader, you need to pair it with your smartphone via Bluetooth, and then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to insert, swipe, or tap their card on the card reader. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the SumUp dashboard online.
SumUp is a great option for small businesses that want a simple and low-cost way to accept card payments with their smartphone. SumUp is especially suitable for businesses that sell products or services in person, such as cafes, restaurants, shops, salons, or markets. SumUp is also ideal for businesses that have a low to medium volume of transactions, as the flat fee per transaction is more economical than a percentage fee.
Square (you need a card reader)
Square is one of the most popular and innovative mobile payment providers in the world, offering a comprehensive and versatile way to accept card payments with your smartphone. Square works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. Square charges a percentage fee of 2.75% per transaction for in-person payments, and 2.5% per transaction for online or phone payments, with no monthly fees, minimums, or contracts. Square also provides a free card reader that connects to your smartphone via the headphone jack or Bluetooth, allowing you to swipe, chip, or tap cards easily.
To use Square, you need to download the Square app on your smartphone, create a free account, and order your free card reader. Once you receive your card reader, you need to connect it to your smartphone via the headphone jack or Bluetooth, and then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to insert, swipe, or tap their card on the card reader. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the Square dashboard online.
Square is a great option for small businesses that want a comprehensive and versatile way to accept card payments with their smartphone. Square is especially suitable for businesses that sell products or services online or over the phone, as well as in person, such as e-commerce shops, delivery services, consultants, or freelancers. Square is also ideal for businesses that have a medium to high volume of transactions, as the percentage fee per transaction is more competitive than a flat fee.
PayPal Here (you need a card reader)
PayPal Here is one of the most trusted and convenient mobile payment providers in the world, offering a seamless and secure way to accept card payments with your smartphone. PayPal Here works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. PayPal Here charges a percentage fee of 2.75% per transaction for in-person payments, and 3.4% + 20p per transaction for online or phone payments, with no monthly fees, minimums, or contracts. PayPal Here also provides a card reader that connects to your smartphone via Bluetooth, allowing you to swipe, chip, or tap cards easily.
To use PayPal Here, you need to download the PayPal Here app on your smartphone, create a free PayPal business account, and order your card reader. Once you receive your card reader, you need to pair it with your smartphone via Bluetooth, and then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to insert, swipe, or tap their card on the card reader. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the PayPal dashboard online.
PayPal Here is a great option for small businesses that want a seamless and secure way to accept card payments with their smartphone. PayPal Here is especially suitable for businesses that already use PayPal for their online payments, as they can easily integrate their accounts and access their funds instantly. PayPal Here is also ideal for businesses that have a loyal customer base that prefers to pay with PayPal, as they can offer them more convenience and security.
GB Pay (no card reader needed)
GB Pay is one of the most innovative and convenient mobile payment providers in the UK, offering a unique way to accept card payments with your smartphone without having a card machine. GB Pay works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. GB Pay charges a flat fee of 1.5% per transaction for in-person payments, and 2% per transaction for online or phone payments, with no monthly fees, minimums, or contracts. GB Pay also provides a QR code that you can display on your smartphone or print out, allowing your customers to scan it with their own smartphone and pay securely.
To use GB Pay, you need to download the GB Pay app on your smartphone, create a free account, and generate your QR code. You can customize your QR code with your business name, logo, and colour scheme. Once you have your QR code ready, you can display it on your smartphone screen or print it out and stick it anywhere you want. Then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to scan your QR code with their own smartphone camera or QR code scanner app. They will be redirected to a secure payment page where they can enter their card details and confirm the payment. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the GB Pay dashboard online.
GB Pay is a great option for small businesses that want a unique and convenient way to accept card payments with their smartphone without having a card machine. GB Pay is especially suitable for businesses that sell products or services in person or remotely, such as street vendors, delivery drivers, tutors, or therapists. GB Pay is also ideal for businesses that have a low to medium volume of transactions, as the flat fee per transaction is more economical than a percentage fee.
What are the Tradeoffs Involved in Taking Credit Card Payments with Your Smartphone?
Taking credit card payments with your smartphone has many advantages for small businesses, such as convenience, customer satisfaction, security, and cost-effectiveness. However, there are also some tradeoffs involved in taking card payments with your smartphone, such as:
- Reliability: You need to have a reliable smartphone and internet connection to take card payments with your smartphone. If your smartphone runs out of battery, breaks down, or loses signal, you might not be able to accept card payments. You also need to have a backup plan in case of any technical issues or errors.
- Compliance: You need to comply with the rules and regulations of the app or service you use to take card payments with your smartphone. You need to follow their terms and conditions, privacy policies, and security standards. You also need to comply with the laws and taxes of the country you operate in, and report your income and expenses accordingly.
- Customer trust: You need to build trust and credibility with your customers when taking card payments with your smartphone. Some customers might be hesitant or suspicious of paying with their card on a smartphone, especially if they are not familiar with the app or service you use. You need to reassure them that their card information is safe and secure, and provide them with clear and professional receipts.
What are the Challenges Associated with Taking Credit Card Payments with Your Smartphone?
Taking credit card payments with your smartphone can be a great way to grow your small business and reach more customers. However, there are also some challenges associated with taking card payments with your smartphone, such as:
- Competition: You might face more competition from other small businesses that also take card payments with their smartphone. You need to differentiate yourself from your competitors by offering unique products or services, excellent customer service, and competitive prices.
- Customer service: You might encounter more customer service issues when taking card payments with your smartphone. You need to handle customer complaints, disputes, refunds, chargebacks, and frauds promptly and professionally. You also need to provide customer support and assistance for any questions or problems they might have with their payments
- Marketing: You might need to invest more in marketing and promotion when taking card payments with your smartphone. You need to attract more customers to your business by creating a strong online presence, building a loyal customer base, and generating positive reviews and referrals.
Conclusion
Taking credit card payments with your smartphone is a smart and convenient way to accept payments from your customers without investing in expensive equipment or signing up for a merchant account. However, you need to consider several factors when choosing the best app or service for your small business, such as the type of business you have, the volume and frequency of transactions you have, the type of cards you want to accept, and the type of device you have. You also need to be aware of the tradeoffs involved in taking card payments with your smartphone, such as reliability, compliance, and customer trust. Finally, you need to overcome the challenges associated with taking card payments with your smartphone, such as competition, customer service, and marketing.
I hope this article has helped you understand how to take credit card payments with just your smartphone, and what are the key factors that impact your decision making. If you have any questions or feedback, please leave a comment below. Thank you for reading! 😊
How to Take Credit Card Payments with Your Smartphone?
There are many apps, tools, and services that allow you to take credit card payments with just your smartphone. However, not all of them are suitable for every small business. You need to consider several factors when choosing the best option for your small business, such as:
- The type of business you have: Depending on the nature of your business, you might need different features and functionalities from your app or service. For example, if you sell products or services online, you might need an app or service that integrates with your website or e-commerce platform. If you sell products or services in person, you might need an app or service that works offline or supports contactless payments.
- The volume and frequency of transactions you have: Depending on how often and how much you sell, you might need different pricing plans and fee structures from your app or service. For example, if you have a high volume of transactions, you might prefer an app or service that charges a flat fee per transaction rather than a percentage fee. If you have a low volume of transactions, you might prefer an app or service that charges no monthly fees or minimums.
- The type of cards you want to accept: Depending on the preferences and expectations of your customers, you might need to accept different types of cards from your app or service. For example, if you want to accept American Express cards, you might need an app or service that supports them. If you want to accept contactless payments or mobile wallets, you might need an app or service that supports them.
- The type of device you have: Depending on the model and operating system of your smartphone, you might need different compatibility and requirements from your app or service. For example, if you have an iPhone, you might need an app or service that works with iOS. If you have an Android phone, you might need an app or service that works with Android.
To help you compare and choose the best option for your small business, here are some of the most popular and reliable apps and services that allow you to take credit card payments with just your smartphone:
SumUp (you need a card reader)
SumUp is one of the leading mobile payment providers in Europe, offering a simple and affordable way to accept card payments with your smartphone. SumUp works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. SumUp charges a flat fee of 2.69% per transaction, with heavy monthly fees, minimums, or contracts. SumUp also provides a free card reader that connects to your smartphone via Bluetooth, allowing you to swipe, chip, or tap cards easily.
To use SumUp, you need to download the SumUp app on your smartphone, create a free account, and order your free card reader. Once you receive your card reader, you need to pair it with your smartphone via Bluetooth, and then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to insert, swipe, or tap their card on the card reader. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the SumUp dashboard online.
SumUp is a great option for small businesses that want a simple and low-cost way to accept card payments with their smartphone. SumUp is especially suitable for businesses that sell products or services in person, such as cafes, restaurants, shops, salons, or markets. SumUp is also ideal for businesses that have a low to medium volume of transactions, as the flat fee per transaction is more economical than a percentage fee.
Square (you need a card reader)
Square is one of the most popular and innovative mobile payment providers in the world, offering a comprehensive and versatile way to accept card payments with your smartphone. Square works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. Square charges a percentage fee of 2.75% per transaction for in-person payments, and 2.5% per transaction for online or phone payments, with no monthly fees, minimums, or contracts. Square also provides a free card reader that connects to your smartphone via the headphone jack or Bluetooth, allowing you to swipe, chip, or tap cards easily.
To use Square, you need to download the Square app on your smartphone, create a free account, and order your free card reader. Once you receive your card reader, you need to connect it to your smartphone via the headphone jack or Bluetooth, and then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to insert, swipe, or tap their card on the card reader. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the Square dashboard online.
Square is a great option for small businesses that want a comprehensive and versatile way to accept card payments with their smartphone. Square is especially suitable for businesses that sell products or services online or over the phone, as well as in person, such as e-commerce shops, delivery services, consultants, or freelancers. Square is also ideal for businesses that have a medium to high volume of transactions, as the percentage fee per transaction is more competitive than a flat fee.
PayPal Here (you need a card reader)
PayPal Here is one of the most trusted and convenient mobile payment providers in the world, offering a seamless and secure way to accept card payments with your smartphone. PayPal Here works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. PayPal Here charges a percentage fee of 2.75% per transaction for in-person payments, and 3.4% + 20p per transaction for online or phone payments, with no monthly fees, minimums, or contracts. PayPal Here also provides a card reader that connects to your smartphone via Bluetooth, allowing you to swipe, chip, or tap cards easily.
To use PayPal Here, you need to download the PayPal Here app on your smartphone, create a free PayPal business account, and order your card reader. Once you receive your card reader, you need to pair it with your smartphone via Bluetooth, and then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to insert, swipe, or tap their card on the card reader. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the PayPal dashboard online.
PayPal Here is a great option for small businesses that want a seamless and secure way to accept card payments with their smartphone. PayPal Here is especially suitable for businesses that already use PayPal for their online payments, as they can easily integrate their accounts and access their funds instantly. PayPal Here is also ideal for businesses that have a loyal customer base that prefers to pay with PayPal, as they can offer them more convenience and security.
GB Pay (no card reader needed)
GB Pay is one of the most innovative and convenient mobile payment providers in the UK, offering a unique way to accept card payments with your smartphone without having a card machine. GB Pay works with both iOS and Android devices, and supports all major debit and credit cards, including contactless payments and mobile wallets. GB Pay charges a flat fee of 1.5% per transaction for in-person payments, and 2% per transaction for online or phone payments, with no monthly fees, minimums, or contracts. GB Pay also provides a QR code that you can display on your smartphone or print out, allowing your customers to scan it with their own smartphone and pay securely.
To use GB Pay, you need to download the GB Pay app on your smartphone, create a free account, and generate your QR code. You can customize your QR code with your business name, logo, and colour scheme. Once you have your QR code ready, you can display it on your smartphone screen or print it out and stick it anywhere you want. Then you are ready to take card payments. You can enter the amount and description of the transaction on the app, and then ask your customer to scan your QR code with their own smartphone camera or QR code scanner app. They will be redirected to a secure payment page where they can enter their card details and confirm the payment. You can also send a receipt to your customer via email or text message. You can track and manage your transactions and payouts on the app or on the GB Pay dashboard online.
GB Pay is a great option for small businesses that want a unique and convenient way to accept card payments with their smartphone without having a card machine. GB Pay is especially suitable for businesses that sell products or services in person or remotely, such as street vendors, delivery drivers, tutors, or therapists. GB Pay is also ideal for businesses that have a low to medium volume of transactions, as the flat fee per transaction is more economical than a percentage fee.
What are the Tradeoffs Involved in Taking Credit Card Payments with Your Smartphone?
Taking credit card payments with your smartphone has many advantages for small businesses, such as convenience, customer satisfaction, security, and cost-effectiveness. However, there are also some tradeoffs involved in taking card payments with your smartphone, such as:
- Reliability: You need to have a reliable smartphone and internet connection to take card payments with your smartphone. If your smartphone runs out of battery, breaks down, or loses signal, you might not be able to accept card payments. You also need to have a backup plan in case of any technical issues or errors.
- Compliance: You need to comply with the rules and regulations of the app or service you use to take card payments with your smartphone. You need to follow their terms and conditions, privacy policies, and security standards. You also need to comply with the laws and taxes of the country you operate in, and report your income and expenses accordingly.
- Customer trust: You need to build trust and credibility with your customers when taking card payments with your smartphone. Some customers might be hesitant or suspicious of paying with their card on a smartphone, especially if they are not familiar with the app or service you use. You need to reassure them that their card information is safe and secure, and provide them with clear and professional receipts.
What are the Challenges Associated with Taking Credit Card Payments with Your Smartphone?
Taking credit card payments with your smartphone can be a great way to grow your small business and reach more customers. However, there are also some challenges associated with taking card payments with your smartphone, such as:
- Competition: You might face more competition from other small businesses that also take card payments with their smartphone. You need to differentiate yourself from your competitors by offering unique products or services, excellent customer service, and competitive prices.
- Customer service: You might encounter more customer service issues when taking card payments with your smartphone. You need to handle customer complaints, disputes, refunds, chargebacks, and frauds promptly and professionally. You also need to provide customer support and assistance for any questions or problems they might have with their payments.
- Marketing: You might need to invest more in marketing and promotion when taking card payments with your smartphone. You need to attract more customers to your business by creating a strong online presence, building a loyal customer base, and generating positive reviews and referrals.
Conclusion
Taking credit card payments with your smartphone is a smart and convenient way to accept payments from your customers without investing in expensive equipment or signing up for a merchant account. However, you need to consider several factors when choosing the best app or service for your small business, such as the type of business you have, the volume and frequency of transactions you have, the type of cards you want to accept, and the type of device you have. You also need to be aware of the tradeoffs involved in taking card payments with your smartphone, such as reliability, compliance, and customer trust. Finally, you need to overcome the challenges associated with taking card payments with your smartphone, such as competition, customer service, and marketing.
I hope this article has helped you understand how to take credit card payments with just your smartphone, and what are the key factors that impact your decision making. If you have any questions or feedback, please leave a comment below. Thank you for reading! 😊
Simple and Transparent Payment Processing Fee
At GB Pay, we keep things simple and transparent. The only charge your business incurs is a small fee for processing payments. We believe in fairness and providing you with a straightforward pricing model, so you know exactly what to expect.