Best Credit Card Machine For Small Business – Forbes Advisor UK

The cost of a credit card machine can differ based on a variety of factors, such as the type of machine, payment processing fees and any extra services or features that your business requires.

Equipment costs

Equipment costs can range from a few hundred to several thousand pounds, depending on the type of credit card machine, its features and what types of transactions it can process. A machine that can process all types of transactions will be more expensive than one that can process swipe transactions only.

A basic countertop credit card machine can cost around £40 to £160, while more advanced models with additional features, such as touchscreens or NFC technology, can cost upwards of £1,000 or more. Handheld credit card machines or mobile credit card readers typically cost between £40 and £400.

Payment processing fees

The payment processing fee charged depends on the provider. However, it’s usually a percentage of each transaction plus a flat fee. Payment processing fees can range from 1.5% to 3% or higher, depending on the type of transaction you’re processing (chip versus swipe, for example) and whether you’re a high-risk merchant (such as a marijuana or CBD shop, as these often have high fraud rates).

For example, Square charges 1.75% per transaction, whereas Stripe charges 1.5% + 20 pence per transaction. Some payment processing providers may also charge additional fees for things such as chargebacks or foreign currency transactions.

Some credit card machine providers may offer equipment at a discounted rate but may charge higher payment processing fees to compensate for the cost of the equipment. Businesses should weigh their payment processing needs and compare the total costs of different credit card machine providers to find the best option for their budget and requirements.