Each business is unique and so the way it functions. Whether you are running a private clinic or a quick-service restaurant, or a large multinational corporation, one thing they all share in common is accepting payment from clients. Current payment solutions like a point-of-sale system or counter top credit card terminal give results. But what if there is no physical interaction between you and your clients? What if you offer your service through phone or the internet? Or you want to provide an added payment service to your clients?
That’s where a virtual payment terminal comes in. This service requires no manual entry and can handle credit card payments for you. It is a cloud-based service that works in your internet browser and lets you process transactions in real-time from any device with an internet connection.
Let’s find out more about a virtual payment terminal and how do they function.
Virtual Payment Terminal: the basics
The virtual payment terminal is similar to an online checkout form. It is a web-based application that lets you process electronic payment made through fax, email, telephone, or in person. It is easy to turn any laptop, desktop, tablet, or smartphone into a POS system. And you don’t require any extra hardware or software to start. If you need to make in-person payments, all you need to do is connect a card reader using a USB input to a PC. Your virtual payment terminal will start working if you have an internet connection, a merchant account with a payment gateway, and a web browser.
Who benefits the most with a virtual payment terminal?
People from different business categories are effectively using a virtual payment terminal. But some business types who are specifically bound to reap significant benefits are:
- People who do freelancing and work from remote locations and don’t do much in-person interaction with their clients. Some professions, like freelance graphic designers, web developers, and writers, fall under this category.
- Restaurants and other eateries that receive bulk orders over the phone or through online portals.
- Retailer and small shop owners who do not require a complete POS system or a credit card reader.
- Doctors, lawyers, or CPAs who run a private office and receive clients but can accept payments over the phone or through other means.
A virtual payment terminal also offers the function of setting up recurring billing. For businesses that work with clients who pay weekly or monthly, you can set up a payment schedule. The functionality lets you set specific parameters for each client and process the payment whenever they make it.
Some exceptional features of a virtual payment terminal
The virtual payment terminal offers some outstanding features other than an online checkout form. All these features are meant to make receiving payments an effortless job without any hindrance.
- End-to-end encryption with tokenization
A well-defined virtual payment terminal conducts transactions inside a secure payment gateway that may use a tokenization technology. It may also employ end-to-end encryption to save sensitive data within the payment system and when transmitting data.
- Recurring billing
Like we mentioned before, the virtual payment terminal offers a recurring billing function. For those business owners who work clients who pay on a weekly or monthly basis, this function is quite useful. You can create a payment schedule for each client based on your deal, and it will automatically transact the payment every time. The function is not only useful to you but also beneficial for your clients. It helps grow cash flow, boost client retention, and offer convenience and flexibility to both parties.
Why you need one for your business?
A virtual payment terminal is an additional tool to make your payment processing fast and efficient. When in business, it is always better to have options to settle your payments. Internal and external environments can shift anytime, and you need to be quick to make shifts. The virtual payment terminal also allows sync back to QuickBooks, which is the secret behind its real-time function. Using a virtual terminal automates payment, and it means no CSV files, and that means no manual work.
Several merchant account providers come with their virtual payment terminals. You can take a look at what functionalities they offer and then make your decision. Each virtual terminal has a feature that is designed for different industries. So take your time to find one that fits your bill.