Collect Mobile Credit Card Payments with Square

I’ve attended a few festivals this year, visiting vendors selling everything from porcelain plates to homemade coffins. Many of these vendors have a “cash only” sign, missing out on numerous attendants with little cash, yet armed with a credit card. Thanks to technology, accepting credit card payments is extremely easy with Square.

My brother started using Square this summer, and it has been nothing short of amazing. Armed with an iTouch and an internet connection, he collected credit card payments in less than a minute, without expensive Point-of-Sale infrastructure. This accessibility enabled him to increase transactions, and create an extraordinary experience that left many in awe.

In my opinion, Square has revolutionized payments, and many agree. At the moment, Square is processing $11 million dollars a day, and they recently raised $100 million in funding. I’d say it’s safe to say that Square will be around for a while, so let’s learn a little more about it.

Square-App

 

How to start collecting payments with Square:

  1. Signup for Square & have card reader mailed (the white attachment above)
  2. After receiving card reader, plug it into the headphone jack of your Android, iPhone, or iPad
  3. Download the “Square” app from the Apple store or Android Marketplace
  4. Setup account, and you’re ready to go!

 

How much does it cost to use Square?
Square collects 2.75% of each swipe (transaction).


Benefits of Square:

  1. Simple and easy to use.
  2. Eliminates the need for expensive payment infrastructure.
  3. Transactions records are emailed to customers
  4. Ability to add Sales Tax to transactions
  5. Next Day Payout
Barriers to using Square:
  1. Smartphone Needed (Although an iTouch works, but needs wireless internet to handle transactions)
  2. Need to understand how to use a smartphone (as well as the Square app)
Overall, Square is great for small businesses.


Grade: A