MCC 4722- Running Tour and Travel Business
You are at High-Risk
If you run a travel agency as the tour operator, or hotel operator planning to the same then you must be excited by the opportunities in High Risk.
Before start receiving online funds, you must setup payment gateway for your merchant account. Your online payment gateway basically makes it possible for your customer’s payment to reach the merchant bank’s processor. But if you are just starting, then getting a merchant account for business is the toughest job. Good financial credibility also not getting the merchant account for you. You may or may not be aware. But the real and only reason is that your business model falls under high risk. And banks and merchant gateway providers think that they have credit risk involved with the industry you are in. This is not because the salesperson does not want your business. This is because the bank or their processor will not accept high risk but remember, all is not lost. With some negotiations and risk management strategies, all of this can be overcome. businesses because of the regulatory and/or charge-back risk.
REASONS WHY YOUR BUSINESS IS HIGH RISK Industry Language - Normal Language High ticket size - Expensive travel Charge-backs - Cancellations issue Long Fulfillment time horizon - Refund issues High Failure rates - Competitive business
OVERCOMING HURDLES: WHAT YOU CAN DO TO GET MERCHANT ACCOUNT Find consultants who specialize in the helping high-risk merchants finding a merchant account. We at merchant stronghold provide you the same. If you have a good record of risk, fraud, and charge-backs, you will be required to provide at least 6 months of prior financials to prove it. The best side of this is that if you can provide financial statements of 3 years, you will have more leverage to negotiate a better deal. Startups with a weak or non-existent record, you must accept a very well relationship.
Contact us - US HQ 10300 49th Street N Suite 427 Clearwater, Florida 33762 UK HQ 160 City Road Kemp House London EC1V 2NX +1 (888) 622 - 6875 +1 (844) 465 - 4723 info@merchantstronghold.com www.merchantstronghold.com