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In this article:\nWhat is credit card processing?\nSteps and parties involved with credit card processing\nHow can credit card processing help your business?\nMost businesses are familiar with the concept of credit card processing. It allows customers to purchase items or services with their credit or debit cards in person and online. But what you might not know is that this process is much more complex behind the scenes. \nThroughout this article, we’ll walk you through how credit card processing works and why it’s important for pretty much any business. \nWhat is credit card processing?\nThe basic concept of credit card processing is that a customer swipes, “dips,” or taps their card on a terminal or enters their card information online, the payment is authorized, and the transaction is complete. However, that’s only what happens on the surface. This process is much more intricate than it seems, and it can be helpful for business owners to understand how this works. \nHow does credit card processing work?\nSo, what are the steps involved in credit card processing? It can help to understand all of the parties that are involved first. \nOf course, you have the cardholder, or customer, and the merchant (your business). Other participants include:\nThe merchant’s bank: The bank that is receiving the payment from the purchase\nThe processor: This is usually a POS (point of sale) service provider that is used for to process the payment. It may be a traditional payments processor, a third-party payments facilitator, or some extension of your bank that provides the ability to process credit cards\nCredit card network: The provider of the card itself, like Visa or Mastercard. They act kind of as a liaison between the payment processor and the banks involved\nIssuing bank: The customer’s bank that issued the credit card and where the payment is being pulled from\nKnowing each party’s involvement in the process will help us to explain exactly how this works behind the scenes. \nThere are three main steps that take place in processing a credit card transaction:\nAuthorization\nAuthentication\nClearing and settlement\nWhile it seems that everything happens immediately and the payment goes through with ease at the counter or online, the entire process can take 24-48 hours. \n(Image)\n\nLet’s start with step 1: Authorization. \nThis is the part the most of us are pretty familiar with. In this phase, the issuing bank as to give approval to the merchant to proceed with the transaction. \nThe customer gives their card to the merchant to swipe on a terminal provided by the processor, or provides their credit card number into a field online. Then an internet connection or phone line is used to send the credit card information to the merchant’s bank. \nThe merchant’s bank then passes those details along to the credit card network, and the credit card network requests authorization from the issuing bank. The authorization request includes the following information:\nCredit card number\nExpiration date\nBilling address\nCVV or security code\nTransaction amount\nStep 2: Authentication\nAuthentication is the final step that takes place in the store or online as the transaction is completed, but it isn’t the final step of the entire process. This just allows the customer to go through with their purchase and accept their goods or service. \nIn this phase, the issuing bank uses fraud protection tools like Address Verification Service (AVS) and the card’s security code to verify the credit card. \nThe issuing bank gets the authorization request from the credit card network and validates the card details and checks to see if the customer has any funds available in their account. The issuing bank then approves or declines the transaction and sends this back through the credit card network, which then passes that information onto the processor or merchant bank. \nWhen the merchant receives approval to move forward with the transaction, a hold is placed on the purchase amount in the customer’s bank account. \nThen the customer receives their receipt and continues on their day.\nThese first two steps take place in a matter of seconds, but it’s good to know how much is going on behind the scenes so that is something does go wrong, you can assess the situation from a point of knowledge and understanding. \nStep 3: Clearing and settlement\nThe final stages of the credit card process occur at the same time and over the course of the next 24-48 hours. \nAt the end of each business day, the merchant will send all approved transactions to their payment processor or bank. The processor then sends the approved transactions back to the credit card network, where the forward each approved transaction onto the issuing bank. \nThis is where the customer might see a hold or “pending” amount in the bank account until the transaction is finalized. Within 24-48 hours the issuing bank will send the funds back through the credit card network and to the processor and merchant’s bank. \nAny fees that are owed to the credit card network or payment processor will come out of these funds, and the merchant will receive the remaining amount. \nOnce everything goes through, the hold will be removed from the customer’s account and they’ll see their transaction information posted on their account. \nHow can credit card processing help your business?\nCredit card processing isn’t a new concept for small businesses. Most businesses offer some form of credit card processing, whether online, via a terminal, or even over the phone. Because it isn’t common practice to carry cash around and fewer people even have checkbooks anymore, customers expect businesses to accept credit cards. \nHaving some form of credit card processing will allow your business to have more opportunities for sales, whether you’re in retail or the service industry. \nOne thing that prevents some business owners from getting a credit card processor is the fees that are associated with it. These fees can vary a lot and may be a percentage of each transaction or a flat rate per transaction required by your service provider. While these can add up and be intimidating, the increased sales that you are likely to get from offering credit card transactions will more than make up for the increased cost. \nYou may also like: \nWhat are alternative payment methods and why should your business consider them?\n


Small business guide: What is credit card processing?

In this article:\nAccepting credit card payments without a merchant account\nPros and cons of using a third-party payment facilitator\nAdditional resources for credit card processing\nIn this day and age, it is absolutely essential for your business to have the ability to process credit card payments, no matter what type of business you have or how small it is. Customers expect the ability to just swipe their cards or run their credit card numbers to easily pay for your products or services. \nThe traditional method of running credit card payments is to apply for a merchant account through a bank, and/or get set up for accepting credit cards via a merchant processor. This can take anywhere from a few days to several weeks to get the account approved and have the ability to start processing payments. However, you can possibly get better rates and  more personalized service via a traditional merchant processor, so keep that in mind.\nIf you choose not to get set up with your own merchant account and/or processor in order to accept credit card payments, today’s third-party payment facilitators are good option, particularly for truly small, one-person businesses.\n \n\nHow to accept credit card payments without a merchant account\nThird-party payment facilitators or “aggregators” (like Square, Stripe, etc.), allow you to get set up to accept credit cards quickly and usually will give you a basic card reader for free. These third-party companies generally offer simple, flat-rate processing, which some businesses prefer, though you should be aware that you’ll generally pay about 20% more for flat-rate processing than if you go throught the hassle of getting set up with a traditional payments processor and use “interchange plus” pricing.\nOne reason that you don’t need a merchant account to use a third-party payment facilitator is that each facilitator has their own large merchant account that all of the funds go through. \nSo, funds from your customers’ credit cards go through your payment facilitator, into your payment facilitator’s large merchant account, and then into your bank account. \nOne of the largest problems that business owners face with third-party services is deciding which one to use. There are dozens of options out there to choose from, so narrowing it down can quickly become overwhelming. \nNot sure if a third-party service is right for you? We’ll go over some of the pros and cons to help you make an informed decision. \nPros of using a third-party payments facilitator\nThird-party payment processors have gained popularity with new business owners in particular because of the following:\nQuick and simple set-up process that doesn’t require extensive documentation\nEasy-to-understand, flat-rate transaction fees (but remember, you may be paying more for this convenience)\nCapabilities for customers to pay online or in person\nUsually no long-term contracts\nCons of using a third-party payments facilitator\nWhile third-party solutions are simpler to set up and understand than some merchant processor accounts, there are several drawbacks to the third-party facilitators:\nThere is little to no flexibility on rates, and you will probably pay a little more for processing. Traditional merchant processors will often negotiate their rates and fees, while third-party services keep it simple with one rate system for everyone (but again, you may pay more for the convenience)\nService interruptions or cancellations can occur for businesses in specific industries (For example, some third-party facilitators don’t allow clients to sell firearms or related products—they may even let you set up an account but then cancel it when the first order goes through)\nLimited customer service; not all third-party providers offer free customer support or 24/7 support which can be a problem if your system has a malfunction late in the day. In addition, you may prefer interacting with a real person, such as your processor’s merchant-level service agent, who can talk you through the process, explain and modify your processing agreement, help with any issues, and become a trusted business advisor\nJust be sure to do your research and find the payment processor or facilitator that best suits your needs. \nCheck out this articles for more information about credit card processing fees: \nCredit card processing fees: what small businesses need to know\n\nWith almost too many credit card payment processing solutions to choose from, this task can quickly become a burden on any small business owner. We want to help make that process a little easier for you.\nSolo makes it easy to pay and get paid\nSolo is not a bank, but is a financial super-app for small businesses, freelancers, sole proprietors, contractors, and more. Solo is the easy way to pay and get paid. Your customers don't have to sign up to pay you, and can use several payment methods, including Apple Pay, Google Pay, and cards. QR codes make it easy to get paid, and you can easily cashout your Solo account balance for free, or spend it using your Solo Cash Card anywhere Visa is accepted. Learn more at \nSolo.co\n.

Do I need a merchant bank account to accept credit card payments?

In this article:\nWhat things affect credit card processing fees?\nWhat types of fees and rates are available to small businesses?\nWhat are some add-on fees you need to be aware of?\nAs a small business owner, you obviously need to get paid for your offerings, whether you own a small retail business, hair salon, pet services business, or something else entirely. Credit cards have grown to become and will continue to be (in some form) the most common form of payment from your customers, so it’s important to have the right tools to be able to accept credit cards. \nWith credit card processing providers and platforms, you can offer this payment method to your customers and use it to your advantage in gaining new customers. But credit card processing can be complex (and expensive), and there are many little things that you should know and understand before committing to one processor or payments provider over another. \nWe want to walk you through the complexities of credit card processing fees, including what you should be paying, and some things you should watch out for. \nWhat are credit card processing fees?\nCredit card processing fees generally refer to the transaction fees associated with accepting a credit card or debit for payment. Many popular processing companies that cater to smaller businesses charged a fixed dollar amount plus a small percentage of the total transaction each time a credit card is processed. \nThis fee will typically vary depending on how the card is processed (in person, swiped, hand entered, online, via the phone, etc.) and other factors, which we’ll discuss below.\nThere are other fees that come into play when you decide to start processing credit cards too. We’ll go over each of these fees so that you know what to expect as you start shopping for the best credit card processing solution for your business. \nLearn more: \nSmall business guide: What is credit card processing?\nWhat things impact credit card processing fees and rates?\nBefore we dive into each type of processing fee, we want to cover some of the basic things that can impact your fees. Be thinking about these as you try to determine which platform to use. \nMethod of processing\nThe processing method of the credit card can impact your fees. Swiping or inserting a chipped credit card in-person has a lower risk of fraud and chargebacks, which allows your process or or payments provider to offer you lower processing fees. \nWhen a card isn’t physically processed—like if your customer enters their information online or pays over the phone, or if the magnetic strip or EMV chip isn’t working correctly with your point of sale (POS) hardware and the cashier has to enter the number manually—there is a higher risk for fraud since it is more difficult to protect the information, resulting in higher fees. \n(Image)\nSize of your average transaction\nMost credit card processors require a small fee to be paid with each purchase, on top of the percentage that they require. If your average purchase size is low, then you might be paying a lot more in transaction fees. \nFor example: Let’s say you have 100 $5 transactions and 5 $100 transactions and your service provider charges $0.10 for every transaction. You’d pay that $0.10 fee 100 times for the smaller transaction, but only and five times for the larger transaction. This is one reason some retailers have a minimum purchase amount required for credit card purchases. For very small purchases, it might actually cost you money to sell those items! \nConsider what your average transaction size is as you look at fees from different companies. \nBusiness type\nEvery business has a Standard Industrial Classification Code and a Merchant Category Code. These codes help card providers and processors see what kind of business their customers are involved with. Riskier businesses generally have higher fees associated with their transactions. \nThere can also be a certain amount of social pressure for processing companies to charge higher fees (or avoid providing service altogether) for some types of businesses. Firearms-related companies or shooting ranges, adult entertainment companies, and cannabis businesses are only some that have had issues getting credit card processing services at various times.\nWhat types of fees are associated with credit card processing?\nWhen it comes to credit card processing, the fees can really start to add up, which is why we encourage you to shop around and look at several different options before signing a contract. It’s important to understand what types of fees exist and how your individual business can be impacted by them. \nRemember the things that can impact your fees as you explore what types of fees generally come with credit card processing. \nMerchant account fees\nIf you are using a merchant account, there are generally two types of fees you’ll have to pay in order to process credit cards. \nInterchange fees\nInterchange fees are non-negotiable fees determined by the issuing bank and card network (like Visa or Mastercard). Whenever a customer uses their credit card, an interchange fee is charged. It’s usually a fixed dollar amount plus a small percentage, like 2% + $0.15. So, on a $10 transaction, the interchange fee would be $0.35. \nMarkup fees\nMarkup fees are the negotiable fees that your provider adds on top of their interchange fees. This is the “markup” they get for providing you this service. Again, this is generally a small percentage and fixed dollar amount on top of the interchange fee. \nOne-time fees\nSome fees are unavoidable, like transaction fees and equipment fees. But if you read the fine print, you can make sure you don’t have any hefty termination fees to pay later down the road. \nSetup fees\nSome providers charge fees for a technician to help you get set up on their payment processing software and equipment. These vary by provider, and some providers don’t require any setup fees. \nTermination fees\nTermination fees come when you cancel a contract or end your service with a provider. This is one where you’ll want to read the fine print. Make sure you understand the terms of your contract and termination fees before committing to anything. \nEquipment fees\nEquipment fees come into play when you need a terminal, phone add-on, or tablet for running credit cards in-person. Sometimes you can buy the equipment outright, and sometimes you may need to finance or lease the equipment, depending on the cost. \nRecurring fees\nBe aware of the different recurring fees you may see on your statements from credit card processing providers. Some of these may be completely unnecessary for your desired level of service, so make sure you understand exactly what you need to be paying for. \nMonthly subscription fees\nMany service providers require a monthly subscription fee for customer support and PCI compliance. If you don’t see this fee on your bill, make sure that you’ll still have access to some kind of customer support in case you run into problems. \nMonthly minimum fees\nSome providers require monthly minimum fees to ensure that they get their “cut” even when you are having a slow sales month. \nStatement fees\nIf you receive paper or online statements, your provider may require a service fee for each statement you receive. It may be called a “processing fee” or “miscellaneous fee.” Sometimes you can save this fee by opting out of mailed, paper statements.\nIRS fees\nSome providers might charge an “IRS reporting fee,” where they charge a fee to report your transactions to the IRS and provide you with the necessary documentation. This is a spammy practice that should be disputed. Most providers should do this for you at no cost. \nPCI fees\nIf your provider offers PCI compliance and support, then they may require a fee to help with this. This may be included in your monthly subscription fees. But sometimes this fee is charged when there is no benefit to the customer, so make sure you’re getting what you pay for. \nPayment gateway provider fee \nWhen you sell products/services online, those payments go through a payment gateway provider to ensure the information is encrypted and secure. Some of these providers may require fees, but several don’t have fees. Your payment processor may even have a preferred payment gateway provider that comes with their service.\nBe sure to ask if there are any additional fees for this service.\nProcessing fees\nThese fees are the general “credit card processing fees” that you may be somewhat familiar with, and they can encompass some of the fees we’ve already discussed. \nTransaction fees\nTransaction fees are the fees that occur each time a credit card is processed. They generally have a fixed dollar amount and a small percentage, similar to interchange and markup fees. Depending on the type of provider you are using, your transaction fees may be the interchange and markup fees. Some providers only charge one fixed rate per transaction.\nFlat fees\nFlat fees will vary between each type of payment processor. These are your monthly fees, equipment costs, and any other recurring fees that have the same rate each time you pay it. \nIncidental fees\nIncidental fees happen on a case-by-case basis. Generally, you’ll have an incidental fee if there is a chargeback or insufficient funds to cover the transaction. Card not present (CNP) fees may be considered incidental fees as well, if your processor charges an additional fee or a special rate for this type of transaction. \nBe sure to discuss the fee structure with your merchant services provider or processor representative so you have a very good idea of what to expect for all fees related to accepting credit cards so there are no surprises.\n(Image)\nTraditional vs. “new age” credit card processors\nTraditionally, every brick and mortar business would need to work through a merchant account and their bank to have the ability to process credit cards. It was a time-consuming and often expensive proposition to get a card reader hard-wired into the system, terminals set up at your place of business, approvals, etc. \nThis is where a lot of the fine-print (and potentially unnecessary) fees we’ve referred to can sometimes come into play. \nMerchant accounts generally have an interchange fee that is required with each transaction, and then on top of that you are required to pay the markup from your provider. \nYou can often negotiate with your merchant services provider to get preferred or lower rates, and sometimes salespeople will offer very low rates in order to sign your business. This can be to your advantage, so be sure to ask around and talk to several companies, and be sure to get the full details and read the fine print for whatever company you’re considering.\nSources:\n
\nhttps://www.creditdonkey.com/credit-card-processing-fees.html\n
\nhttps://www.fundera.com/blog/credit-card-processing-fees\n
\nhttps://www.merchantmaverick.com/clover-pos-cost\n

Credit card processing fees: what small businesses need to know

In this article:\nBefore you start: what do you need to know about designing a website?\nHow to build your website\nBest practices for designing an effective business website\nAdditional resources for your online marketing strategy\nDesigning and building a website is an essential part of marketing your business online, even for super-small, one-person concerns. Think of your business website as an extension of your business or a 24/7 sales representative that is constantly feeding your information to potential customers. \nIf you don’t have a business website yet or want to create a new one, you’re in luck. We’re going to walk you through the basic steps of planning and designing your website. We’ll also provide additional resources to help along the way. \nBefore you start designing your website\nThe planning process is almost more important than actually building the website. Before you ever start designing your site, you should have a good idea of what you want it to look like, how you want your pages laid out, and what kind of content your site will have. \nWhat pages do you want on your website?\nContent is king. You can’t have a good or useful website if you don’t have relevant content that helps guide your visitors down the sales funnel. So what kind of content do you need? What pages will you have?\nThe kind of content that you have can really help guide the design of your site, too.\nCommon pages for a basic business website might include the following:\nHome \nAbout\nServices or products\nFAQ\nContact\nLocations\nBlog\nDetermine what kind of content you want on your website and start writing it up before you start designing your site. This will make the design process go much smoother if you have content to actually place on your site as you build it. \nYou may also like: \nImportant market research questions to ask your customers\nAs you think about the pages that you want, also be thinking about how to organize your site. What pages will you place in the main navigation? Will you have interlinking between pages for customers to have multiple ways to access a page?\nIf you’re not sure what to put on your website, check out other websites for businesses within your industry. \nWhat do you want your website to look like? \nIt’s always a good idea to think about what you want for the layout of your website before you start building it. This will guide you in the process and make it easier, rather than testing out every different option that your website builder has available (there are likely tens if not hundreds of different configurations to choose from). \nLook at other websites to see what elements you like. Do you want a big home page banner with a large image or video background? Do you like the accordion layout for an FAQ page? Do you want a contact form on your contact page? Do you prefer rounded pictures or straight edges? All of this will play into the look of your website. \nOne key thing to consider here: always keep your brand at the forefront of your design. Your website should feel like an extension of your business, so make sure it looks that way too. \nThink about the color scheme that you want that matches your brand. \nWhat materials/assets should you gather before putting your site together?\nBesides your written content, there are several other assets you may need to get together before you start building your website. \nThese include:\nLogo\nHigh-quality images\nProduct information\nVideos\nPDFs and other resource-type documents\nForms\nInfographics\nCharts\nAny other media you might want\nPick out your domain name\nIt’s always a good idea to at least have some domain names picked out for your website before you get started, even if you haven’t purchased them yet. \nSome website builders will let your purchase a domain through their platform with a subscription to their hosting fees. Or you may want to go through a third-party domain registrar like GoDaddy or BlueHost. \nTo see what domains are available, visit one of these third-party registrars or the website builder you intend to use and search for the domains that you want. They will show you what is available and provide alternatives if your first pick is not available. \nHow to design your simple business website\nOnce you have your site planned out, it’s time to start the design process. \nFirst, you’ll want to find a website builder that fits the needs of your business. There are several different options available here, but some of the easier (and cheaper) options are \nSquarespace\n and Wix. \nWant more options? Check this out: \n5 best DIY websites for small businesses on a budget\nA website builder is a platform that generally has prebuilt templates that you can choose from to build your website. Most templates are easy to customize to fit the design that you are looking to create. \nFor most website building platforms, you don’t even have to call anyone to get started. You just sign up on the platform you want, choose your template, and start designing. You’ll be able to easily add the sections that you want into your website and create new pages. \nWant a deeper look? Go here: \nHow to build your own business website (step-by-step walkthrough)\n  \nWhen you are done putting together your website on the platform that you choose, you may need to sign up for a subscription or pay for the web hosting and domain fees. So be sure to have your credit card handy in order to get your site launched quickly. \nBest practices for designing your own website\nWe have a few best practices to help guide you along your web design journey.\nKeep your domain name simple\nA long and hard-to-spell domain name is not going to provide a very friendly experience for your customers. Try to find something simple and easy to remember. This will also be useful for your business emails. \nMake sure your brand is prominent\nYou want your customers to recognize this new website as your business, your brand. Make sure your logo is loud and proud on your home page (it doesn’t have to be huge, but keep it prominent). \nAlso make sure that the colors, fonts, and other styles on your website are reminiscent of your brand. If you don’t have branding guidelines, now might be a good time to implement some. \nWrite unique content\nDon’t copy and paste content from other websites. You wouldn’t think we should have to say this, but you’d be surprised how often this happens. Unique content will help you develop the tone that you want to set with your customers. \nGoogle can also detect when you have content copied from other websites, and that could hurt your search engine visibility. If you’re not comfortable writing your own content, find a freelance writer or employee to help you out. \nUse high-quality images (and other media)\nMedia will help diversify your website and keep your audience engaged with your content. Images to click through and videos to watch help increase the engagement on your site. \nThat being said, make sure that you are using high-quality images. Blurry images and slow-loading videos are a sure way to lose some credibility with potential customers. You might want to make sure to have your site reviewed by a competent web developer to make sure it’s loading as quickly as possible.\nIf you can’t afford a professional photographer, that’s okay. Most phones can take images that have good quality for websites. And you can also look through free stock photo sites like \nUnsplash\n to find beautiful images. \nCheck these articles out for more info:\n7 free stock image sites for small businesses\n3 ways to get (and use) professional photos for your business\nKeep it clean and simple\nRemember that less is more. A busy website with too much information, or flashy images and videos, or—Zeus forbid—\nsounds\n on one page can quickly become overwhelming for your visitors. \nKeep your website well-organized so that your visitors can quickly find the information they are looking for. \nPay close attention to how you set up your navigation bar. Ask several people to try to find a particular part of your site during the design process. Pay attention to any hiccups or anything people find counterintuitive. \nMany times, website designers create great-looking sites but the user experience is so confusing as to make the entire website pointless from a business perspective.\nInclude a prominent CTA (call to action)\nWhy do you have a website in the first place? To provide more information for your customers, sure, but also to get more sales!\nMake sure that you have call-to-action prominently placed on your home page and contact page (at the very least) to help guide new customers down the sales funnel. \nThis could be a phone number in your header, a “call now” button, or a “book appointment” link that points to the contact page or your online scheduling app, or even “order now” if you have taken the time to \nset up your online store\n.\nAdditional resources for your online marketing strategy\nA website is just the first step (and a very important step at that) towards improving your online visibility. \nThere are several other things that you can and should be doing to help grow your reputation online and show up in the search engines. \nHere are a few resources that can help you get started:\n\nLocal SEO: 15 free tips for better search rankings\n\n\nHow to get more reviews\n\n

How to design a simple website for your small business

In this article:\nMarket research questions to ask before starting your business\nQuestions to ask your target audience\nWhat questions to ask your current customers\nMarket research questions to ask about your competitors\nWhether you’ve been in the game for a while or you are just starting up, market research is an important part of any successful business. It helps you identify the best opportunities for gaining new customers and growing your business. \nBut where do you start? It can be difficult to know which questions are important to ask and what the answers to those questions might mean for your business. \nWe’ll guide you through the most important market research questions you should ask before starting your small business. \nWe’re going to break these questions up into four categories: \nGeneral\nTarget audience\nCurrent customers\nCompetitors\nLet’s get started! \nMarket research questions to ask yourself before starting your business\nIt’s always a good idea to narrow down your market before diving too deep into the nitty-gritty details. Asking general market research questions will help you do that. Ask these questions of your market to determine the potential reach that your business could have in your current market. \nHow big is our potential market?\nYou’ll want to know the potential that your business has for growth. A larger market generally means more opportunity. A market that is too small or narrow may not provide much room for growth. \nHowever, a narrow market doesn’t mean to avoid it altogether. You may just need to expand into multiple markets for better growth potential.  \nIs this market going to grow or shrink? How much?\nDetermine what the growth trends are for your market. A growing market, again, provides more opportunity. Research the trends and learn whether your market is growing or declining. \nTrends can change, so don’t get discouraged if things aren’t looking up. But be realistic about your income if you choose to enter a declining market. \nimage of people holding up a market growth arrow for small business research\n\nAre there other products/services similar to ours? What are they?\nIt’s good to know what else is out there. Look for products or services that are similar to your offerings and learn more about them so you can do it better. You don’t want consumers to think that you are simply ripping off something that already exists. \nWho are our primary competitors? What is their market share?\nYou need to know who your competitors will be and what share of the market they already own. If they completely dominate the market for your business offerings, it’s going to be much more difficult to enter as a newbie. \nLearn everything you can about your competitors (we’ll have some more questions on this below). \nIs there any significant market share available for us?\nFind out what the demand is for your prospective business offerings. Is there a growing demand and are consumers looking for other options? What share of the market could you potentially grab hold of?\nMarket research questions to ask your target audience\nLearning more about your target audience will help you determine who your ideal customers are and how you can best market to them. You need to learn what makes them tick and how you can solve their problems with your offerings. \nThese questions are a little more straightforward and don’t require additional explanation:\nHow old are they?\nWhere are they located?\nWhat is their income?\nWhat is their profession?\nWhat is their household size?\nWhat is their gender, age, race?\nWhat interests do they have?\nWhat do they need?\nWhat problems do they face each day?\nWhat objections will they have to your business?\nWhat does a typical day look like for them?\nWhat do they enjoy doing?\nWhere do they currently shop?\nHow do they like to make purchases?\nWhere do they spend most of their time?\nWhat media outlets are they using?\nattractive woman average customer for market research\n\nMarket research questions to ask your current customers\nIf you are in the research phase of a new potential business, you likely don’t have customers yet. But you’ll need to test out your offerings, so use those people to determine how your customers would respond to the following questions. \nDo you like the product/service?\nDid our offering solve a need for you?\nWhat did you like most about this product/service?\nWhat did you like least about it?\nHow does this offering fit into your daily workflow?\nHow would you rate your experience with our company?\nWould you recommend us to a friend?\nIf you don’t have existing customers or haven’t tested out your offerings yet, ask these questions to people who use similar products/services. \nwoman pressing virtual emojis during market customer research survey\n\nMarket research questions to ask about your competitors\nYou are going to want to know what you’re up against as you start your new venture. Get to know your competitors on a personal level and through the eyes of their customers. \nWho are your main competitors?\nWhere are they located?\nWhat are they doing well?\nWhat could they do better?\nWhat offerings do they have? Is it more or less than what you plan on offering?\nAre their offerings different from yours?\nWhat are their prices like? Can you compete with that?\nWhat benefits/value do they provide to their customers?\nWhat do their customers like about them?\nWhat potential companies could become competitors in the future?\nHow are they marketing to their customers?\nDo they have good or bad online reviews?\nWhat is their online visibility like?\nThese last couple of questions are key. Online marketing, reviews, and overall visibility in the search engines is something you need to think about as you start your new business. You don’t just have to compete to get customers to visit your physical storefront (if you have one) but also to get them to visit your digital storefront. 


Important market research questions to ask before starting a new business

In this article:\nWhat is freelancing or freelance work?\nBest freelance jobs for highest pay\nTop freelance jobs that anyone can do\nHow to get started in a freelance career\nFreelancing is growing in popularity, and the era of the “gig worker” has definitely begun. Whether this has been the result of the COVID-19 pandemic and the related adjustments to the workforce, freelancing has been around since before the local “handyman” became a thing. Freelancing and it generally gives those who do it extra money on the side of their full-time job or even is there full-time job and allows them the chance to manage their own schedule. \nOver the course of the coronavirus pandemic, the freelance industry shifted, and it now makes up about 36% of the U.S. workforce. Beyond that, 75% of freelancers who left an employer to do their freelance work full-time say they make the same or more than they did with their previous job. \nSeems compelling, right? Well, if you’re interested in getting into the freelance game, check out some of the best freelance work that you can do as you read on. \nWhat is freelancing or freelance work?\nFreelancing is when someone works for themselves instead of for another company. You’re basically self-employed and offering your services to others who need it. \nFreelancers can be categorized as independent contractors, temp workers with staffing agencies, gig workers, project-based workers, and even self-employed business owners. \nThe beauty of freelancing is that it’s very flexible too. It doesn’t have to be a full-time job (although it certainly can be). You could freelance to supplement your income from your full-time job, do multiple freelance jobs, or find enough customers that you can do your main freelancing job full-time. \nIf you just want to try freelance work for a little bit, find a job that you can do for a few hours a week and see how you like it. \nBest freelance jobs to earn the highest pay\nSome of the highest paying freelance jobs you can find are based on specific skillsets. If you have a specialized skill that you can offer to customers, then you may be set to start making good money for freelance work. \nCheck out these top high-paying freelance jobs. \nContract and corporate law\nIt’s no secret that attorneys and law clerks can make a lot of money. If you decide to take this on your own, you could work in corporate law or help companies develop contracts and work completely for yourself rather than through a firm. \nAverage pay: $75-85/hour\nBest places to find freelance lawyer jobs:\n\nhttps://www.lawclerk.legal/\n\n\nhttps://www.upwork.com/freelance-jobs/corporate-law/\n\n\nhttps://www.lawyerexchange.com/\n \nDigital marketing consultant\nMarketing is another industry that is very specialized and takes a lot of experience and knowledge to get the job done right. As a digital marketing consultant, you could take your industry knowledge of marketing and previous experience and translate that into helping companies better manage their digital marketing strategies. Consult on the areas you are strongest and provide best practices and methods for your clients to move forward with. \nAverage pay: $50/hour\nBest places to find digital marketing consultant jobs:\nJoin a digital marketing jobs group on Facebook\n\nhttps://www.upwork.com/freelance-jobs/digital-marketing/\n\nSearch engine marketer\nSEO (search engine optimization) is necessary for any business that wants to get found online. If you’re familiar with the ins and outs of Google and how to raise a website’s visibility, then you might try your hand at freelancing as a search engine marketer. \nAverage pay: $50/hour\nBest places to find freelance SEO jobs: \n\nhttps://www.freelancer.com/jobs/seo/\n\n\nhttps://www.upwork.com/freelance-jobs/seo/\n \nWeb designer or developer\nEvery business needs a website and new businesses are popping up every day. Put your web design and development skills to use to create beautiful websites for your customers. You could even seek out local businesses that need a little website help and pitch some low-cost websites to get started and build your portfolio. \nAverage pay: $45/hour\nBest places to find freelance web design jobs:\n\nhttps://dribbble.com/web-design-jobs\n\n\nhttps://www.fiverr.com/categories/graphics-design/website-design\n \nProgramming and software development\nIf you have great programming skills, you could start freelancing and develop mobile apps and software for businesses. This might be one of the highest paying freelance jobs because it requires such a specialized skill set and a lot of experience to do it well. Because the industry and needs for programming varies so greatly, so does the average pay. But great programmers can make upwards of $150-$200 per hour. \nBest places to find freelance programming jobs:\n\nhttps://www.freelancer.com/jobs/programming/\n\n\nhttps://www.upwork.com/freelance-jobs/application-programming/\n\nCareer coach\nAre you good at job interviews, writing resumes, and connecting others with job opportunities? You may have what it takes to make it as a freelance career coach. This is a job you could do one-on-one with individuals who are seeking career advice and trying to get a good job. You could also provide workshops, online courses, and partner with staffing agencies for seminars. \nAverage pay: $45/hour\nResources for becoming and marketing yourself as a career coach:\n\nhttps://www.readyresetgo.com/the-career-coach-accelerator\n\n\nhttps://www.linkedin.com/pulse/so-you-want-become-career-coach-heres-some-tips-help-harris-ms-cprw\n \nFinancial advisor\nA freelance job in finances could range from being a financial modeling expert, to a CPA, to a financial estate planning attorney. Focus on your area of expertise and find the customers that would value those skills. \nAverage pay: $62.50/hour\nBest places to find freelance finance jobs:\n\nhttps://paro.ai/experts/\n\n\nhttps://www.upwork.com/freelance-jobs/finance/\n  \nBusiness consultant\nBusiness consultants help businesses improve their performance and efficiency. Have you run your own businesses before or worked in auditing capacities that allow you to create solutions for businesses? Then this could be the right freelance job for you. \nAverage page: $60/hour\nBest places to find business consultant jobs:\n\nhttps://www.upwork.com/freelance-jobs/consulting/\n\n\nhttps://www.fiverr.com/categories/business/business-tips\n \nSpecialized writer, copywriter, technical writer\nTechnically this could have been placed in the number-one spot. If you are knowledgeable in just about any given topic, or know how to research and write well, then you could become a freelance writer and make good money doing it. Have you been working in a specialized industry for a while? Find businesses in that industry and write content for them. The pay range varies a lot depending on your experience and the industry you’re writing for, but experienced writers can make well over $100/hour. \nBest places to find freelance writing jobs:\nFind digital marketing groups on Facebook (digital marketing teams are always looking for skilled writers to help their marketing efforts for clients across various industries)\n\nhttps://www.upwork.com/freelance-jobs/writing/\n \nNote: The pay for any of these jobs can vary a lot. You may make well over the average or might not be able to get companies to pay you the average. It’s all in how you market yourself, what the market is like locally for your services, and what your customers’ needs are. \nBest freelance jobs that anyone can do\nYou don’t have to have years of experience, a degree, or even any special skills to make it as a freelancer. There are tons of jobs out there that anyone can do while providing the benefits of being your own boss and managing your own schedule. \nCheck out these freelance jobs:\nApp-based driver\nHave you ever wondered what it would be like to work for Uber or Doordash? As a driver for any of these app-based driving companies, you would be an independent contractor, setting your own hours and only working when you want to. It’s a great side gig to earn some extra cash, and if you really enjoy it you could even make it work full time. \nJust visit the website for the delivery/driving service that you want to work with in your and get started today. \nA few important tips:\nYou will need a working vehicle (in some cities you can even ride a bike) and a driver’s license\nYou must be 18 years or older\nYou’ll need to consent to a background check for most services\nVirtual assistant\nAs a virtual assistant, your job could vary between several different responsibilities, from data entry to customer support. Many business owners opt to hire freelancers for the simpler tasks that are difficult to keep up with on a daily basis. That’s where you come in. And if you do it well, you could be looking at a long-time career in the virtual assisting game, particularly if you get good experience and can land some larger clients. \nCheck out \nUpwork\n for some good beginner freelance jobs for virtual assistants. \nTranscribing services, transcription\nCan you type 60+ words a minute? Do you enjoy typing? Then you might be the perfect candidate for a freelance transcriber. There are tons of transcription services out there that are always hiring freelancers to help with their workload. A good freelance transcriber could make anywhere between $15 and $30 per hour. \nCheck out these sites that hire freelance transcribers:\n\nhttps://www.rev.com/freelancers\n\n\nhttps://www.transcribeme.com/jobs/\n \nWriting, editing, proofreading\nIf you know how to write and research well, then you could easily become a freelance writer. The more specialized and experienced you are, the more money you can make here, but anyone can become a freelance writer if they are good with grammar and putting sentences together. And the beauty of this is that businesses in all industries need writers. You can find a topic that interests you and start applying for jobs. \nResources for starting a freelance writing career:\n\nhttps://www.upwork.com/freelance-jobs/writing/\n \nHow to get started in a freelance career\nIf you are ready to dive into the world of freelance work, congratulations! We hope you enjoy it! Here are some helpful tips as you get started that will help you better define your services as a freelancer and start getting clients. \nChoose a niche. You can explore different areas of expertise in the beginning, but really nail down the industries that you enjoy working in and get a ton of experience to build up your repertoire in that area. Becoming the expert will make you a much more desirable candidate for new clients. \nDefine your services. As you can see, there are a ton of things you can do as a freelancer. But similarly to choosing a niche, you’ll want to define your services to those that you can really excel at. This is how you’ll make more money in the long run and get really good at what you do. \nKnow your ideal client. Become familiar with your ideal client. What problems do they need solved? What will your ideal client be willing/able to pay? Can they afford to hire you? Are there specific demographics that your ideal client meets? Knowing this will help you market yourself as a freelancer. \nStart marketing yourself as a freelancer. Use as many outlets as you can to start marketing yourself. Create a portfolio website that you can send to potential clients. Update your LinkedIn profile to show your experience as a freelancer and describe yourself in such a way that appeals to businesses that are hiring freelancers. Create profiles on freelancing sites like Upwork, Fiverr, and more. \nStart freelancing before quitting your day job. This is important so that you can really test out freelancing before diving all in. Find out if you like it and get some good gigs started before dropping your main source of income. Once you get more experience freelancing and can supplement your main income with it, then you’re ready to go all in. \nContinuing growing your skills and acquiring new clients. Keep up on your skills and the changes in your industry. Staying sharp will help you become the best in your field so that you can continue to grow your client base. \nSources:\n
\nhttps://www.upwork.com/i/freelance-forward\n
\nhttps://www.cnbc.com/2019/12/14/highest-paying-freelance-jobs-of-2020-where-you-earn-90000-or-more.html\n
\nhttps://freelancinghacks.com/highest-paying-freelance-jobs-earning-steady-income/\n
\nhttps://www.transcriptioncertificationinstitute.org/blog/transcriptionist-salary\n


87 articles found in “Resources”

Small business guide: What is credit card processing?

Do I need a merchant bank account to accept credit card payments?

Credit card processing fees: what small businesses need to know

How to design a simple website for your small business

Important market research questions to ask before starting a new business

13 best freelance jobs for 2022 (and tips to get started)

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