According to Startup India, two to three startups introduce themselves in the market with every passing day. This overwhelming rate at which startups are launching themselves coupled with limited finance options presents several challenges for the startups already on the rise. Managing early-stage funding well could be one of them. Individuals and firms fund many growth-stage startups. Financial transactions in early startups are particularly tricky, from seed investments and series funding to angel investors and venture capitalists. Keeping in mind that we are turning firmly into a digital generation, handling these digital payments can seem daunting. Some of the issues that hinder merchants from setting up payment gateways are listed below.
1. Protection Against Frauds:
One of the significant challenges for startups lies in preventing fraudulent activity in their payment transactions. An absence of a unified payment gateway can lead to merchants furnishing important details to unwarranted authorities and subsequently falling prey to elaborate scams in the process. Hence, one must always ensure having fraud-monitoring tools such as validation services, purchase tracking, and customer accounts. As an additional security level, merchants must mandate the establishment of a level 1 Payment Card Industry Data Security Standard protocol to avail security services such as tokenization, fraud management filters, and point-to-point encryption. This aspect should be a priority while choosing the right payment gateway for your startup business.
2. Integrating with Technology:
In this rapid age of digitization, one of the critical challenges for startups involves integrating their website effectively with a payment gateway. The reason behind doing so lies in facilitating effective automation for all financial transactions of the startup. Consequently, as all startup funding activities gather momentum, the need for a unified payment platform assumes the utmost priority. While doing so, the merchants must ensure that the integration is accessible enough for businesses and one that seamlessly syncs transactions with CRM, accounting, and other software that are central to your startup business.
Also Read: Jumpstart Your Online Business With Startup Booster
3. Facilitating Multiple Currencies & Payment Methods:
Most payment gateway solutions stifle their functionality by not lending support to multiple payment methods and currencies that are not native. For a startup to achieve a legitimate global status, having a well-equipped payment system is necessary to handle cross-border transactions with ease. Doing so lets the startup compete and establish its presence in international markets and allows them to surpass the customary hurdles of taking up new bank accounts and startup business entities that come with the acquisition of an international client. Narrowing in on a payment app that already has the infrastructure in place helps the startup provide a hassle-free payment experience.
4. Covering all Channels of Payments:
A payment gateway needs to have the ability to accept payment from all available channels and platforms, irrespective of the customer’s geographic location or technological limitation. From websites to mobile applications, startups struggle to ensure that their customer runs into no irksome hassles while initiating a transaction with them. Working with a single processor for all relevant payment processing activities gives the merchant the liberty of reducing the number of vendors and, subsequently, the costs involved. In this centralized cataloging process, they also save time, which would have otherwise spent reconciling transactions jutting from various loose ends.
5. High Processing Fees:
One of the critical challenges for startups is the high processing fees involved in setting up a payment gateway and bearing the brunt of hefty transaction fees. This mentality is the fact that most merchants do not consider processing fees to be an extraneous challenge and regard it in the same light as the cost of doing business. However, the fact of the matter remains that there are large variances in processing fees and their calculation methods. Many factors dictate these variances, including the type of card used, methods of accepting payments, average size of transactions, type of businesses, and the kind. Hence to avoid unprecedented costs, merchants must get into the habit of holding elaborate discussions with their payment gateway service providers to carry out a closer inspection of the various computations that comprise processing fees in the first place.
Paytm for Startups to the Rescue
To resolve all the payment hassles that plague budding startups worldwide, Paytm for Startups provides immediate benefits to your startup business with its universal payment gateway solutions, presenting itself as the unanimous one-stop solution for all startups out there. Paytm entails no set-up costs and provides merchants with the luxury of going live within minutes of their registration. Its omnichannel payment gateway makes payments possible from all available channels. It supports a wide range of currencies and payment methods, thus acting as a unified payment front for all startups associated with the payment application.
Additionally, Paytm for Startups does not charge any additional maintenance fees from its merchants, thus substantially reducing their business cost. If you are a startup aiming at jumpstarting your startup business without the worry of payment transactions, Paytm for Startups is your answer.
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