Customer Resources

5 Ways To Reduce Financial Transaction Fees

If you are operating a business today, you are (probably) always looking for efficiencies and cutting costs. Here are 5 ways to reduce financial transaction fees.  Whether you operate a retail, restaurant or service based business, you have many options and resources at your disposal.

Often, the best relationships to have are those that relate to your financial position. Banking, lender, merchant service provider, accountant and tax professionals relationships are all critical to have and to maintain with regular communication.

1. Talk to Your Bank

Banks have the pulse on the most current financial trends. From interest rates to funds transfers, this is what they do all day every day. We work with local banks to support their payment processing needs with partner programs (which means we help behind the scenes.) We provide the necessary support and training at no cost to the bank or the business. We believe there are ways to be more efficient, reduce fees and eliminate unnecessary costs to lower expenses for small and medium business owners.

Ask your banker for the most cost effective options, from the type of account you utilize, to online banking, methods of processing transactions (including EFT/ACH) and consolidating to one bank.

2. Discuss Needs with Your Lender

Often small businesses will start out with one loan, and perhaps some leased equipment programs to open. Getting the business up and running from scratch means there is no equity in the retail store, restaurant or service based business. After you pay down debts, show regular cash-flow and prove the business model, it is important to have the business evaluated.

There are always loan options available that may offer the option to reduce financial fees and high interest rates – even when interest rates have been high due to inflation and economic uncertainty.

3. Consider Merchant Services Options

Today, there are seemingly countless options for processing payments. Other than the traditional credit card, cash and checks, businesses are using other ways to collect money from customers. Service businesses are using e-Checks and Text2Pay methods that are fast and convenient with less overhead.

Implementing the latest technology to ensure PCI compliance can also reduce unnecessary fees. All types of businesses must keep safety and security in mind, whether providing services from the road or in a brick and mortar location.

4. Work Year-Round With Your Accountant

All year, your accountant is a valuable resource. They can help maintain accurate reporting, analyze cash-flows, properly record expenses and look for ways to reduce financial expenses. Making sure that all transactions are properly recorded is imperative.

Learn more about tools that help transfer information from your POS or Operations Management Software into QuickBooks.  They are are readily available and easy to use.

5. Get Professional Tax Advice

You should not wait until the end of the year to get professional tax advice and support for your business. If your accountant is not certified as a tax professional, ask them to connect you with their recommended team for support. You should always have a pulse on the impact of taxation and ways to reduce monthly, quarterly and annual payments.

There are many options financial professionals can recommend implementing that positively effect the success of your retail, service and restaurant business. These are just 5 ways to reduce financial transaction fees all business owners and financial professionals should consider.

If you are a small business owner, a banker, lender or financial professional reach out to learn about programs available. Our focus is on education and training to help maintain flourishing businesses. Working together is how we can make a true difference and promote success in our local community. We always tailor programs to suit a business, the specific industry or professional support teams to make it simpler and effective.