Top 5 payment mistakes made by startups

By Sneha Menon

Startup Advocate @braintree_dev

@braintree_dev @snehamenon

A Startup Integrates With a Payment Processor and You’ll Never Guess what Happened Next…

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Your business model is denied

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#1

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Risky Business

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Selling Diamonds

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Money Lending

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CRM Systems

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SaaS for Cat Gif’s

Your business model is too risky

Execute a document: Alcohol Addendum

Talk to your payment processor to figure out the documentations and processes you need to follow - specially if you’re in a high risk category

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Not accepting multiple payment types

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#2

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Adding PayPal as a payment option leads to conversion of 15-20%

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Not Reading the fine print of your fee structure

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#3

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Extra Fees*

Bank Withdrawal Fees

PCI Compliace Fees

Batch Processing Fees

Pro-tip: Choose flat rate pricing

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Limited Fraud Protection and Security

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#4

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Fraud

#1 A stolen card being used to purchase goods

#2 Carding attacks where a fraudster runs multiple stolen cards to determine their validity

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Basic Advanced

Customizable set of AVS, CVV, and risk threshold rules

Fixed set of rules including geolocation and device information

No Support

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#5

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Startup “X” did not get support at the right time and you’ll be gobsmacked by what happens next…

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#1 X’s account was placed under limitation #2 X couldn’t receive any payments #3 X’s customers got angry #4 A social media storm was created #5 X lost credibility

Go with a payment processor that has phone support

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#1 Business model acceptance

#2 Multiple payment options

#3 Extra Fees

#4 Fraud protection and security

#5 Customer support



Sneha Menon Startup Advocate

@braintree_dev @snehamenon

braintreepayments.com