How to Choose the Best Card Payment App for Your Small Business

If you run a small business, you know how important it is to offer your customers a variety of payment options. More and more people are opting for cashless payments, especially since the COVID-19 pandemic. According to a report by Square, 79% of UK consumers prefer to pay by card or contactless, and 64% say they would avoid businesses that only accept cash.

But how do you choose the best card payment app or machine for your small business?

There are many factors to consider, such as the type of terminal, the transaction fees, the monthly costs, the security, and the customer service. In this article, we will help you compare the pros and cons of different card payment apps and machines, and give you some tips on how to make the best decision for your business.

What is a Card Payment App?

A card payment app is a software application that allows you to accept card payments using your smartphone or tablet. You usually need a card reader that connects to your device via Bluetooth or USB, and an internet connection. Some card payment apps also work with contactless payments, such as Apple Pay or Google Pay.

Card payment apps are popular among small businesses because they are convenient, affordable, and easy to use. You don't need a fixed till point or a landline connection, and you can take payments anywhere you go. You also don’t have to sign a long-term contract or pay monthly fees. You only pay a fixed percentage per transaction, which is usually lower than traditional card machines.

What is a Card Payment Machine?

A card payment machine is a hardware device that allows you to accept card payments using a countertop terminal, a portable terminal, or a mobile terminal. You usually need a merchant account with a card payment provider, who will process your transactions and charge you fees.

Card payment machines are more suitable for businesses that have higher volumes of transactions, need more features and functionality, or want more security and reliability. However, they also come with higher costs and longer contracts.

Some of the most popular card payment machines in the UK are:

• Worldpay: Worldpay is one of the largest card payment providers in the world, offering a range of card machines for different needs. You can choose from countertop terminals (£17.50+ per month), portable terminals (£22.50+ per month), or mobile terminals (£27.50+ per month). You also have to pay a setup fee (£150), a minimum monthly service charge (£15), and transaction fees (variable depending on your turnover)⁵.
• Barclaycard: Barclaycard is another leading card payment provider in the UK, offering three types of card machines: countertop terminals (£10+ per month), portable terminals (£15+ per month), or mobile terminals (£20+ per month). You also have to pay a setup fee (£150), a minimum monthly service charge (£20), and transaction fees (variable depending on your turnover)⁶.
• Dojo: Dojo is a new card payment provider that aims to offer transparent pricing and flexible contracts. You can choose from countertop terminals (£15 per month), portable terminals (£17 per month), or mobile terminals (£20 per month). You also have to pay transaction fees (1.4%-1.8% + 5p per transaction), and a minimum monthly charge (£10). You can choose from a one-month or a six-month contract⁷.

How to Choose the Best Card Payment App or Machine

There is no one-size-fits-all answer to this question, as different businesses have different needs and preferences. However, here are some factors to consider when comparing different card payment apps and machines:

Cost

How much are you willing to pay for the device, the transaction fees, and the monthly fees? How often do you take card payments, and what is your average transaction value? How much can you save by switching to a different provider or device?

Features

What features do you need from your card payment app or machine? Do you need a receipt printer, a barcode scanner, a cash drawer, or an inventory management system? Do you need to accept online or phone payments, or set up recurring payments? Do you need to integrate with other software or platforms, such as accounting, e-commerce, or booking systems?

Convenience

How easy is it to use your card payment app or machine? How fast is the setup and the payment processing? How reliable is the connection and the battery life? How portable is the device, and how much space does it take up? How easy is it to get customer support and technical assistance?

Security

• How secure is your card payment app or machine?
• How do you protect your customer's data and prevent fraud?
• What security standards and certifications do you follow?
• What are your responsibilities and liabilities in case of a breach or a dispute?

To help you make the best decision for your small business, we recommend that you:

• Do your research: Compare different card payment apps and machines based on their features, fees, and benefits. Read reviews and testimonials from other customers, and ask for recommendations from your peers or industry associations.
• Try before you buy: If possible, test different card payment apps and machines before committing to a purchase or a contract. Many providers offer free trials, demos, or money-back guarantees. This way, you can see how they work in practice and how they fit your business needs.
• Negotiate the best deal: Don’t be afraid to negotiate with your card payment provider to get the best deal for your business. You may be able to lower your fees, waive your setup costs, or shorten your contract term. You may also be able to switch providers without paying any penalties if you find a better offer elsewhere.

Conclusion

Choosing the best card payment app or machine for your small business can be a daunting task, but it can also be a rewarding one. By offering your customers more payment options, you can increase your sales, improve your cash flow, and enhance your customer satisfaction.