The HVAC sector will remain a rich source of profits for hardworking, passionate entrepreneurs. Even so, running this type of company comes with its share of challenges. Once you understand what they are and how to overcome them, you will be well on your way to stability and success.
Key payment methods
Modern consumers are accustomed to digital convenience in every aspect of their lives, and paying for a new furnace or an emergency AC repair is no exception. Offering a variety of payment methods that align with customer expectations enhances their experience, while but ensuring you receive your payments promptly and securely.
To meet diverse customer needs, you should be able to accept a variety of payment types. Credit and debit cards remain a cornerstone, offering customers the ability to pay for significant repairs or installations while potentially earning rewards.
For larger projects, offering ACH bank transfers provides a secure and often lower-cost alternative for both you and the client.
Critically, the rise of mobile payment solutions cannot be ignored. Digital wallets like Tap to Pay on iPhone allow for instantaneous, secure transactions directly from a customer’s smartphone, providing the ultimate on-the-spot convenience.
Dealing with high-dollar transactions
HVAC services often involve substantial costs that can exceed typical credit card limits, creating a payment challenge for customers and businesses. While checks allow customers to cover larger amounts, they expose merchants to the risk of returned payments due to insufficient funds, closed accounts, or stop payment orders.
An alternative option is to accept payments via ACH (direct bank transfer). This allows customers to make a payment without hitting their credit card limit, and proactively reduces risk for merchants by verifying customer details and securing digital authorization.
Another option for businesses to accept higher-dollar value transactions is to work with a high-risk payment provider that offers a more detailed and personalized underwriting process.
Unlike standard payment processors that rely on low-risk thresholds, high-risk providers conduct an in-depth review of a business's financials, processing history, and overall stability. This comprehensive evaluation allows them to accurately assess the company's specific risk level and, in turn, set customized, much higher limits for both individual transaction amounts and monthly volume.
Choosing a payment processor
Navigating these payment challenges requires that you choose a merchant account for HVAC businesses that best meets your unique business needs. Consider factors including pricing and fees, mobile capabilities, integration with business management software, security, customer support, and financing options.
The payment processor you select is a vital link between you and your customers that ensures the efficiency and security of payments. Consequently, you should devote time and attention to selecting the right one.
The company should offer fair pricing and fees. It should give you everything you need for invoicing and payment collection, contactless Tap to Pay on iPhone payments, and portable card readers.
Additionally, the provider should furnish seamless integration with business management and customer relationships software as well as automated invoicing and payment tracking. To protect customer data, it should also require encryption and tokenization, anti-fraud tools, and PCI DSS compliance.
The company should also focus on your needs, particularly in terms of onboarding and technical support. Finally, you might consider working with a vendor who integrates with financing providers. This will enable you to give customers additional ways to pay for big-ticket costs.
Staying ahead of your HVAC competitors requires you to find ways to address the payment challenges that are endemic in the industry. A dedicated payment services provider can give you the expertise, tools, and customer service you need to succeed.
North is a leading financial technology company that builds innovative, frictionless end-to-end payment solutions designed to simplify and grow businesses of all sizes. From the front door, to the back office, the developer world, and partnerships that expand the payments landscape, North offers proactive, comprehensive merchant services, in-house processing, and more.
