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electronic health records (EHRs) in healthcare—that allow for seamless data transfer and improved efficiency. Vertical SaaS vs. Horizontal SaaS Vertical SaaS Horizontal SaaS Target Audience Built for businesses in a specific industry or niche (e.g., Integration with other software.
This involves analyzing transaction patterns and cross-referencing merchant data against global sanctions lists or politically exposed persons (PEPs) databases. This step is especially critical for e-commerce businesses. Building trust by partnering with compliant businesses. Reducing potential losses from high-risk merchants.
A payment gateway securely transmits customer data to the payment processor. A merchant account is a bank account that stores business funds from customer payments. Measures such as encryption, tokenization, and fraud detection are vital for protecting payment transactions from cyber threats, fraud, and data breaches.
Through strategic ISV partnerships, businesses can enhance their service offerings, streamline operations, and open new revenue streams. As anISV, Stax works with a number of software partners to give sub-merchants total control over how they operate their businesses. How does an ISV integration work? Whats the value of an API?
TL;DR A scalable solution adapts to higher volumes, evolving businessmodels, and new payment methods without breaking down or holding you back. It adapts as you grow, offering the tools you need to manage payments, support new businessmodels, and ensure secure, efficient payment processing.
Generate repeat business When you make it easier for customers to pay, they’re more likely to do business with you again. Industry data shows that when it comes to marketing spending, 82% of companies agree that it’s cheaper to invest in retention than acquisition.
Consider the average transaction size and volume your business handles, as some processors are better suited for larger transactions, while others are ideal for high-frequency, low-amount payments. Does your businessmodel include recurring billing? Read the complete guide on these pricing models here.)
The payment processor : this is the payment services provider that handles the verification and transfer of data and funds between the financial institutions involved in that transaction. It’s a recurring form of payment perfect for businesses using a subscription businessmodel.
Types of credit card processing companies There are two general types of payment processors: Direct processors (like Stax) offer businesses a dedicated merchant account, with more control and often lower costs at scale. Make sure your processor can help with PCI compliance and uses tokenization to protect sensitive cardholder data.
To set up credit card payment processing for your business, you need to apply for a merchant account, and upon approval, get a payment gateway (online payments) and payment terminals (card readers, virtual terminals) to start accepting card payments. Stax, Payment Depot, and CardX are three of the very best providers in the industry.
Meanwhile, a payment gateway is the technology that authorizes and processes payments between a buyer and seller by securely transmitting payment data. They comply with the latest industry and security standards to ensure that you and your customers data remain safe from any threats.
In this article, we’ll explore the significance of billing platforms in contemporary business, delve into the features that set Stax Bill apart, and guide you through the process of selecting the right billing solution for your unique needs. said Suneera Madhani, founder and CEO of Stax. “The
Data cited by Statista shows that the software as service is expected to hit $299 billion by the end of 2025. While traditional businessmodels have a harder time estimating their future revenue, SaaS companies have access to more accurate revenue forecasts, such as their MRR and ARR.
That’s why for most businesses, it’s almost impossible to make do without a credit card terminal. Finding the right credit card machine that fits your businessmodel, however, isn’t always an easy task. But if you’re stuck, worry not: in this article, we’ll help you find the best payment terminal for your business.
To keep the system of securing financial information and cardholder information safe, a multi-pronged approach to payment processing data security is imperative. Payment tokenization helps safeguard cardholder data, so your users can collect and process payments securely. Its usually done to prevent credit card fraud from occurring.
While they operate under different businessmodels, ISVs and SaaS share similarities in software development, cross-platform accessibility, and industry reach. ISVs and SaaS providers differ in software distribution, licensing models, hosting responsibilities, support options, upgrade and maintenance procedures, and scalability.
In this guide, we’re going to cover what companies need to consider when choosing a SaaS billing platform—and how Stax Connect makes this process simple. For best practices, integrate it with your other systems, offer flexible plans for optimized cash flow, and ensure data security compliance to industry standards. Real-time insights.
Creating a merchant account allows you to receive credit and debit card payments, which are crucial for businesses today. In addition, they also ensure the privacy of businessdata and compliance with laws and regulations. Types of Merchant Processing Solutions Most businesses accept multiple payment methods.
That’s why businesses are constantly seeking innovative ways to streamline operations and enhance customer experiences. Industry data shows that subscription-based businesses are growing 3.7x So, let’s dive into the realm of recurring payments and how they can benefit your business.
According to Forrester’s data, digital payments are the most used payment method today, with 69% of American adults using them to make payments online. Businesses must therefore adapt and be able to accept such payments. Identity theft, data breaches, and chargeback fraud are some of the most common types of risks.
This makes ACH PayFacs a desirable option for small businesses or start-ups. The great thing about an ACH PayFac solution like Stax Connect is that SaaS companies or ISVs can embed ACH payments in their software easily and own (also, white label) the payment experience. Any breach can cause a big dent in your reputation.
Long before the digital age, newspaper and magazine companies have been using the subscription model to create and retain a consistent readership for their publications. This businessmodel has now been adapted very well in the internet age, especially in the SaaS (Software-as-a-Service) and eCommerce industries.
The PSP will first send the incoming payment data to the acquiring bank, which is a financial institution that accepts and verifies transactions on behalf of merchants. Payment gateways exclusively handle the secure transfer of information from the data entry point to the PSP and back.
While their target audience and the breadth of their solutions are the key differences, vertical and horizontal SaaS also share many similarities, in particular cloud-based hosting and subscription businessmodels. With Stax Connect, you can quickly fuel the growth of your platform and enable payments for your users.
And because of the digital nature of SaaS businesses and their subscription-based businessmodels, the ability to collect data on how the company is performing is easier and faster than ever. Inaccurate revenue figures: Double-check revenue data to avoid miscalculations that could impact the Magic Number.
Advanced encryption techniques are used to protect sensitive data during transmission, ensuring that personal and financial information remains confidential. EFT payments are a cost-effective solution for both businesses and consumers. EFT payments offer a high level of security compared to traditional payment methods.
Choosing the payment processor and other items in your credit card processing tech stack will depend entirely upon your businessmodel. Processor: An entity responsible for handling transaction data between the merchant, acquiring bank, and card networks. to 2.54% + $0.10 Mastercard : 1.29% + $0.05 to 2.64% + $0.10
Recurring billing is a subscription payment model that automatically charges customers at regular intervals for access to a product or service. This businessmodel is used for subscriptions, memberships, retainers, and other solutions offered on a recurring basis. Learn More What is Recurring Billing?
Some challenges and considerations of embedded finance and fintech involve regulatory and compliance issues, data privacy and security, and stiff competition. Request Quote Understanding Embedded Finance Embedded finance is the seamless integration of financial services and digital banking into conventionally non-financial business services.
Moreover, they also allow businesses to not only monitor electronic payments but also obtain helpful data and trends. Overlapping customer base – ISVs and PayFacs can have overlapping customers, particularly businesses seeking integrated payment solutions. Contact us today for a consultation and learn how we can help.
Subscription models offer companies large and small the opportunity to build predictable revenue and high customer lifetime value. In a subscription businessmodel, customers pay a recurring fee in exchange for a product or service. Customer sign-ups.
As a part of the broader Stripe suite, it facilitates digital transactions and enables businesses to accept credit card payments and manage complex money flows. Compliant with PCI DSS, Stripe ensures secure data transmission and storage. These features help businesses protect sensitive data and maintain customer trust.
To access these functionalities, most companies work with an independent software vendor (ISV) partner, which essentially is a software company or app that works with another ISV company to drive their digital transformation and revenue sales, improve scalability, and enhance business processes.
In this blog post, well help you understand the factors and features you need to consider to find the right payment gateway to suit your unique business needs. TL;DR Choose a payment gateway compatible with your businessmodel, whether for eCommerce, subscriptions, or omnichannel sales.
Stax offers a range of payment processing equipment to get you started if you need help. The Best Credit Card Readers in 2025 As part of our holistic range of scalable payment solutions here at Stax, we offer several choices of payment processing equipment for your business. Need something more specific?
You will look at the pricing data of your competitors for the particular product, determine the industry average price, then set your own price below that benchmark. This businessmodel had key flaws, including limited selections, late fees, time-consuming store visits, and zero recommendations.
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