Payment Facilitator Systems
A Payment Facilitator assumes the role of the Master Merchant. The major benefit to becoming a Payment Facilitator is to quickly and easily onboard sub clients or SaaS platform users to facilitate credit, debit card and in some case ACH transactions .
Let’s use an example: A SaaS offers an invoicing solution eg MyBooks. Businesses that want to leverage their invoicing solution complete a simple application and 15 minutes or so later they are approved and set up to accept customer payment. For our example let’s say the business name is “Best Landscapers”. They applied and are now approved and ready to bill/invoice there customers using the MyBooks platform.
They email their customer an invoice for $100, that customers clicks to secure payment page and makes payment. Best will not be funded the entire $100. The payment fees are taken from this so they might see $96.80 assuming a 2.9% and 30 cent processing fee.
MyBooks would receive a portion of the $3.20 fee being assessed. The amount will vary but a typical amount could be 40 cents.
So you have two attractive components: first the ease of enrolling a new client and second a revenue stream from every payment processed.
So how does a Payment Facilitator System work?
- Register w/Sponsor Bank
- Approval by Sponsor Bank
- Connect with Technology platform. Integrate via API
- Sponsor bank issues PayFac / aggregation credentials
- Go to market
In summary your search for a Payment Facilitator Systems should start with a conversation.Our strength is creating partnerships that help your business be more profitable.
That’s a question best answered by having a conversation with you guessed it: Agile Payments. Our strength is creating partnerships that help your business be more profitable.