Recurring Billing of Customers
Hi guys, First post here so be gentle! I have an idea to serve my local community with a product that could command a £4-£10 per week rental, and I was wondering how I could go about automatically and securely billing my customers week in, week out for this product? Many thanks, Paul.
generally you would do it with a recurring credit card payment which is accessible to all sizes of business via your normal card processors.
Using a direct debit is not normally available to a small start up unless you go through a third party – at which point using a recurring payment on a credit card tends to work out cheaper, assuming of course your customers have credit cards.
I hope that helps, although do bear in mind that weekly payments are a real pain to collect and reconcile, most businesses dont go below monthly for that reason.
I hope that helps.
James Smith [i]Chartered Accountant[/i] www.jamesesmith.co.uk --------------------------- Your indispensable guide to Small Business Bookkeeping, Self-Assessment & VAT
Use paypal, that way you don’t need a merchant account.
Through paypal, if you are going to put up a website for online payments, you should use Paypal’s scripting that you can customize for your customers. But not everyone in the area will have paypal, thus you should still put up a credit card billing option.