|July 18th, 2019|
The vaping industry has witnessed an exponential growth over the recent years. If we talk about the popularity of e-cigarettes in America, it has been phenomenal in every sense. Being considered as the safe alternative of cigarette smoking, it is turning generations towards the E-cig shops.
For having an idea of how promising this industry is for any merchant you don’t have to do much as the estimated turnover of the vaping industry is suffice to make it clear to the world. It might surprise many to know that market of e-cigarettes is expected to rise to value of $47.11 billion by 2025. As more and more number of people including youth are getting alarmed of the repercussions tobacco smoking may have on their health, there are bright opportunities for merchants to open online or brick and mortar shop for selling out new vaping pens and other devices. The major hindrance that comes in their way is to open a merchant account.
Why Vaping Merchants Are Out Casted?
It is not true that e-cigarette shop owners are exempted from having card processing services for selling their products. But it is the similar difference that lies between impossible and extremely difficult. To have a merchant account is not impossible but it is truly a daunting task. You have to come in terms with the fact that you are a high-risk merchant and need to have high-risk merchant services only for enabling your business to accept card payments.
This is because of sundry reasons like the vaping industry is highly regulated. Retailers have to deal with a huge number of FDA regulations which cover a long list of rules for sales of electronic cigs and vape devices. Moreover, it is mandatory to follow the city and state rules, as applicable.
Another important reason why vape merchants are seen as high risk merchants is because of the legal age restrictions on sales of vapes. Often payment processors hesitate to partner with high-risk vape retailers because vape devices can also be used to smoke marijuana. Not only the vape juice and pens but their accessories such as atomizers and batteries are also considered to be high-risk too.
What Difference Does The Tag Of High-Risk Merchant Account Create?
Pondering what you may have to face when you are looked upon as a high-risk merchant? Well, there are quite some things you need to get through with before you put your foot into the arcade of e-cigarettes. This includes the likelihood of getting highly charged by the processing companies for their merchant services. Considering the level of risk involved in your business, many of them can even reject your application for merchant account.
But that does not mean you will never be able to avail credit card processing services. At the same time, it implies that every merchant dealing in e-cigs and vapes would have to look for a high risk merchant account services processor. But this will be conditional too like often credit card processors intent to levy restrictions on credit card transactions that can be processed. Some merchant service providers will go to the extent of asking aggressive cash reserve or try to bind you in a long –term contract. Despite the fact these conditions are not of trivial importance, merchants are often made to surrender their wills and wishes.
How To Go About Getting A High-Risk Merchant Account For Your Vape Shop?
There can be some challenges in making your debut in vape industry but what no smart merchant would like to overlook are the immediate and long-term returns that are expected from business. You should start with an honest search for high-risk merchant services account while not trying to hide the nature of your business. Consequences of the same can prove to be as daunting as immediate termination of payment processing services accompanied with hefty fines.
As soon as you make up your mind for running a vape devices business you should fill an application for getting a merchant account. For this you will have to gather all required docs like credit history, merchant service history and financial history before submitting it to the merchant service provider. With many of the progressive processing partners you can do it online. Only experienced team can render you required guidance and impart innovative solutions your business seeks.
Paycron- A Name To Trust When Rest All Turn Their Faces
You may have received bag full of negative responses for your application but that is not the end of your aspirations. At Payrcon, we have worked closely with high-risk merchant account processors and we can figure out the most suitable for your shop too.
Being in the industry for quite long we are well aware of the challenges and complexities involved in setting up a high-risk merchant account for your e-cigarettes and vape devices business. From terminals to online payment solutions we garner our high-risk clients with every single thing their business can get benefited from. Our unparalleled customer support services are highly appreciated.
Contact us today to let us introduce to the best of e-cigarette and vapes merchant account providers.