HARBORTOUCH SALES PARTNER PROGRAM GETTING STARTED WITH HARBORTOUCH

Transcription

1 HARBORTOUCH SALES PARTNER PROGRAM GETTING STARTED WITH HARBORTOUCH HT2115_

2 ABOUT HARBORTOUCH Harbortouch is a payment and transaction processor serving businesses nationwide. Ranked by the Nilson Report as one of the largest payment processors in the United States, Harbortouch currently handles the merchant accounts for over 120,000 merchant locations and processes in excess of $10 billion annually, with those numbers constantly increasing. Harbortouch provides payment processing services for Visa, MasterCard, Discover Network, American Express, Diners Club, JCB, ATM, debit cards, EBT state and government cards, electronic gift and loyalty cards, as well as a variety of private label and smart card technologies. Harbortouch caters to all avenues of commerce, currently serving retail stores, restaurants, mail order and telephone order, e-commerce, Internet, home-based, petroleum, supermarket and lodging merchants. Harbortouch values each merchant it serves, realizing that exceptional customer service is just as important as competitive pricing. Our award winning customer service and technical support is handled entirely in-house and is available 24 hours a day, 7 days a week, completely free of charge to all of our merchants. Consistently recognized as a leader in innovation, Harbortouch is a six-time Inc. 500/5000 honoree and was ranked on Deloitte's 2008 Technology Fast 50 list. Over the years, Harbortouch has developed several revolutionary programs. Harbortouch Online has received industry-wide recognition as a cutting-edge reporting, communication, online application and portfolio management tool. Another example of Harbortouch's innovation was the launch of the industry's original free terminal program in Through this groundbreaking program, Harbortouch became the first processor to offer state-of-the-art free equipment to merchants. In 2009, Harbortouch introduced the first truly integrated Electronic Cash Register (ECR) with built in credit card processing. The company then offered this advanced ECR system to merchants completely free of charge. Most recently, Harbortouch added a touch-screen point of sale (POS) system to its free equipment offerings. We deliver an unparalleled merchant services experience, with exceptional support, cutting-edge equipment, and competitive rates. Free Point-of-Sale (POS) Systems Free Electronic Cash Registers Free EMV & NFC Compatible Payment Terminals Free Mobile Payment Solutions 1

3 AWARDS & ACCOLADES STEVIE WINNER AMERICAN BUSINESS AWARDS Best inbiz CERTIFIED Vendor Partner BEST CHANNEL VENDOR Harbortouch is widely recognized as a leader in the payment processing industry. The following are some of our key achievements: 2015 Harbortouch received Gold Award in the Mobile Shopping App category for Perkwave application, and a Silver Award in the Business-to-Business Products category for Echo POS 2014 Harbortouch ranked on Inc. 500/5000 list of fastest growing private companies for sixth time Harbortouch received awards in two categories from the 2013 Best in Biz Awards, the second year in a row the company was honored by the organization Harbortouch Free POS System received first place award from Golden Bridge Awards for second year in a row Harbortouch Free POS System received silver award from Best in Biz Awards Harbortouch Free POS System received first place award from Golden Bridge Awards Harbortouch Free POS System received bronze award from American Business Awards Ranked on Inc. magazine's list of Fastest Growing Private Companies in the U.S. for fifth consecutive time Ranked on Deloitte's "Technology Fast 50" list for New York, New Jersey and Connecticut Ranked on Inc. magazine's list of Fastest Growing Private Companies in the U.S. for fourth consecutive time Ranked on the Inc. 500 list of Fastest Growing Private Companies in the U.S. for third consecutive time Harbortouch CEO Jared Isaacman named finalist for Ernst & Young's "Entrepreneur of the Year" Ranked 6th Fastest Growing Private Company in the U.S. by Inc. Magazine Transaction Trends "Trendsetter of the Year" Harbortouch CEO Jared Isaacman named one of "America's Best Entrepreneurs" by BusinessWeek magazine Harbortouch CEO Jared Isaacman named second on Inc. Magazine's list of "30 Entrepreneurs Under 30" in Harbortouch CEO Jared Isaacman is a finalist for the Ernst & Young "Entrepreneur of the Year" award in Named New Jersey's Best by NJBIZ Magazine Ranked 19th Fastest Growing Private Company and 2nd Fastest in the Financial Sector in the U.S. by Inc. magazine Ranked 4th "Best Processor" by the Green Sheet Winner "Best Customer Service" by the Green Sheet. 2

4 INDUSTRY TERMINOLOGY Associations - Visa, MasterCard and Discover Network each represent an association of member banks. These associations collectively represent thousands of banks who, in turn, represent millions of cardholders and merchants. Non-Bankcards - Non-bankcards differ from the associations in that they rely on their own bank for the issuing of credit cards to consumers as well as processing the credit cards for business owners. Currently, the only non-bankcard is American Express. Issuing Bank - An issuing bank is a member of one of the associations. Their role is to issue credit cards to consumers. When a consumer uses their credit card to make a purchase, the issuing bank sends the money to the acquiring bank. They hold the risk of the consumer paying their credit card bill and for that they charge interest. Acquiring Bank - The acquiring bank is basically the clearing house in the transaction process. They loan the money to a merchant for a credit card purchase until the issuing bank reimburses them. Processor - A processor essentially oversees the flow of funds from the time a transaction is authorized until the merchant gets paid. There are many functions that take place to make this happen including the approval of merchants for merchant accounts, programming credit card processing devices, encrypting debit PIN pads, monitoring transactions for risk, ensuring the merchant gets paid, and most importantly, acquiring merchants. The processor has all the operational responsibilities but without having thousands of merchants, a processor can't make money. The processor holds all the risk and liability on the merchants' credit card transactions. A processor must be sponsored into the associations by an acquiring bank. Harbortouch is a processor and is sponsored by First National Bank of Omaha. Front-End Network - A front-end is the communication network for authorizing and capturing a credit card transaction. Most front-end networks process transactions over a phone line, IP connection (i.e. DSL modems, cable modems, etc.) or via a wireless/satellite connection. When a credit card terminal dials out it is connecting to a front-end network. The front-end certifies the transaction. Back-End Network - After a transaction has been authorized and captured by the front-end, it is then transferred to a back-end network. The back-end analyzes the transaction to determine what type of transaction it is (credit card, check card, reward card, etc). There are over a hundred different types of credit card transactions. The back-end then scrubs the transaction and determines what interchange it requires. The interchange essentially becomes the actual cost of the transaction. Finally, the transaction is settled. At this point the back-end creates an ACH file so that the acquiring bank can pay the merchant for the sale and simultaneously submits a credit request through the association network for the issuing bank to reimburse the acquiring bank. The back-end network also performs other functions including generating merchants' month-end statements, performing voice authorizations and managing consumer disputes or chargebacks. Referral Partners - A wide range of referral relationships exist in the processing industry. Typical examples include networking groups, restaurant associations, web hosting companies, retail associations, CPAs, etc. Any other business, person or association that shares a common customer with the credit card industry is a potential referral source. 3

5 HOW TO GET YOUR FIRST SALES STEP 1 A good way to get started is to write down a list of all the businesses where you know the owner or manager. This list should be as comprehensive as possible. Think about your local bars, restaurants, dry cleaner, convenience store, etc. Make sure you think outside the box when compiling this list; remember that the first businesses you think of are also likely to be the same ones your competitors visit. Some of the best paying residuals come from merchants that are more obscure because there is less competition. Business to business companies like office supply and contractor supply stores are perfect examples. Leave no stone unturned; include doctors, plastic surgery centers, hardware stores, landscape supply companies, etc. STEP 2 Once you have created your list, contact each one. Let them know you are working as an agent for one of the largest credit card processing companies in the country. Feel free to mention Harbortouch s various awards and accolades to help make an impression. Offer to provide a free statement analysis to show them how you can save them money each month on their processing fees. Emphasize the fact that you are not trying to sell them anything; you are providing a cost-saving service. You don't need to get a check from anyone or charge them anything upfront. All you need to do is find out what their rates are and lower them. If they already have a credit card terminal, we can reprogram it for free. If they want a new one, you can offer one from our free terminal program or even offer a free electronic cash register with built-in processing. Don't forget to mention Harbortouch's award-winning 24/7 customer service and technical support, handled completely in-house. They will have no reason not to switch! STEP 3 Once you obtain their merhant statement, submit it to your Relationship Manager. They will do the analysis for you and show you how to do it in the future. They will also help you prepare a professional proposal to send back to the merchant. After the first few deals, you should be able to handle this step yourself, but your Relationship Manager is always there to help. STEP 4 Once the merchant accepts the proposal, send them the application. The goal is to always have as much of the application filled out as possible before you give it to them so that all they need to do is sign it. Submit the application to underwriting and get it approved. STEP 5 If the deal includes a terminal or cash register, you should make sure that the equipment arrives safely, plug it in and ensure that the merchant is comfortable with it. Giving a little extra attention to each merchant will be noticed and appreciated and is the best way to get referrals. If the deal is a reprogram of their existing hardware, you would go to the business location and follow the step-by-step instructions provided on Harbortouch Online (Harbortouch's online portfolio management tool) to reprogram the terminal. STEP 6 The merchant receives a welcome kit in the mail. STEP 7 Check in with your merchants occasionally to make sure they aren't having any problems with their service or equipment. Don't forget to ask for referrals! STEP 8 - Although all of these steps may seem overwhelming for your first couple deals, the process will quickly become second nature. In no time, you will be able to go through this entire process in hours. 4

6 HOW TO GET MORE SALES Once you have made a few sales and are comfortable with the process, you need to develop reliable sources for leads. As you continue to build your portfolio, it should become easier and easier to obtain new leads, but the first few months are always the most difficult. There are various channels to obtain leads as you build your business: Referrals - These are the best source of leads because they are extremely easy to sell. If a merchant has been given a positive referral from another business owner, you immediately overcome any trust hurdles and they will be very willing to listen to everything you have to say. One way to increase referrals is to offer your existing merchants a $50 gift card or some other incentive for every deal they refer to you. You can also get friends, family, business associates and other acquaintances to give you referrals. Networking groups - There are many networking groups out there that allow you to meet new business owners and share referrals. Your local chamber of commerce is a great place to start as well as groups specifically designed for lead-sharing such as BNI. Associations - There are countless local and regional business associations that share a common customer with you. These associations exist within virtually every industry: restaurant associations, retail associations, bowling alley associations, furniture store associations, etc. Do some research online or look through the yellow pages and contact the head of these organizations. Try to become the official credit card processing partner of the association by offering special discount rates for their members or an exclusive association promotion like the free cash register program. Vertical marketing - Vertical marketing is an extremely effective way to infiltrate specific markets and become a specialist in the particular industry. Basically the way it works is that once you sign a merchant in a specific industry, you should pursue every other merchant in the same industry in that immediate geographic area. All business owners know their competitors and don't want to miss out on something their competition is taking advantage of. For example, if you sign ABC Antiques, you can call Hometown Antiques and mention that you just saved ABC Antiques money on their credit card processing. It immediately gets you in the door at Hometown Antiques. The more businesses you sign in the same market, the more names you can drop and the more you become known as the sales rep that handles that particular industry. It gives you instant legitimacy. This also works well with independently owned chain stores or chain restaurants. For example, if you are processing for one Dunkin' Donuts, it makes it very easy to approach another independently owned Dunkin' Donuts and mention that you are already working within his own company. 5

7 WHAT IF I DON T HAVE ANY LEADS? HOW DO I REACH MERCHANTS? 1. The least expensive way to prospect merchants is to pound the pavement. Simply go door to door and walk into businesses. Have a sales pitch prepared that quickly piques the business owner's interest, such as the lower rates you can provide or the free cash register program. This will get him to sit down with you and allow you to explain your services in greater detail. 2. The above sales method works much better if you call the merchant first to warm the lead. This call would basically be to introduce yourself and give a brief description of your business. I am a sales agent with Harbortouch, one of the largest credit card processors in the nation, and will be in your area this afternoon. I was hoping to stop by and talk to you about our new free cash register promotion You don't have to get into too much detail on the phone. This is basically the quick sales pitch you would have used to get the business owner to sit down with you and discuss your services. This way, when you arrive, he is already prepared to talk with you. 3. As mentioned above, a phone call is an inexpensive way to reach merchants. This can be taken to the next level and a full telemarketing method can be used. It takes time to refine a strategy that works but it's the least expensive way to reach a large number of merchants. 4. Direct mail is another way to reach large numbers of merchants. You can send letters or postcards to businesses in your area. This technique is most effective if you highlight a particularly compelling offer. Remember that you must capture the business owner's interest enough that he picks up the phone and calls for more information. Harbortouch Online provides sample postcard designs for just this purpose. You can purchase/rent mailing lists from a company that specializes in mailing lists or you can obtain this information from the local yellow pages. 5. If you are particularly web-savvy you may want to do some internet marketing. However, this method can be very costly and yield sub-par merchant accounts. 6 5

8 FREQUENTLY ASKED QUESTIONS There are many questions that will arise as you progress through the steps outlined in this document. Although some are listed below, additional questions should be directed to your Relationship Manager. Are there any deals Harbortouch won't approve? Yes, there are certain high risk accounts like online gambling, online pornography, etc. that we will not approve. You will receive Harbortouch's full underwriting guidelines once you have signed up as a sales agent. Can we always save merchants money? 99% of the time we will be able to offer them a lower rate. There are rare exceptions in which the size of the margin does not make a deal worth it. Can I represent myself as Harbortouch? Yes, you are an agent of Harbortouch. You are required to disclose this per Visa/MasterCard regulations. Do you have any sample marketing material? Yes, there are numerous resources available on Harbortouch Online including business card templates, postcard designs, sales slicks and pricing proposals. Additionally, we have professionally printed marketing materials available at no charge from Sales Support. We also provide a customized website for your office at no charge. What is the learning curve? The first couple of deals may be a little tough, but Harbortouch is here to help you through the beginning stages. The process will get easier with each deal and after the first handful of accounts, you should be very comfortable with the basics. You will continue to become more proficient at statement analysis and as you get more experience, you will have no problem upselling value-added products and services. What if a merchant says they are under contract with their current provider? Although a merchant may currently be under contract with another processor, it is very easy for them to get out of the contract. Even if the merchant has a cancellation fee, they can often get this waived, or you can use our Merchant Signing Bonus to reimburse the cost of the fee. Will you help me analyze statements? Yes, Harbortouch will analyze the first dozen or so statements for you and provide you with proposals to present to the merchant. During this time, we will also train you how to do them yourself. As you learn how to perform your own statement analyses, you will be able to shorten the sales cycle by completing this step on your own. 7