ACH Processing actually began as a solution for large insurance agencies (among others) to collect premiums automatically. No waiting for the check to be mailed for State Farm and the like.
The small or mid sized business was not offered these services by the bank as it entailed some additional labor costs. Technology evolved and now any business can take advantage of an automated payment plan to debit checking, savings and credit card accounts like clockwork.
I have a friend who is a Chiropractor. His business depends on people coming in the door and he is quite busy. Marketing is a big interest of mine and I wonder how would a membership model do in the Chiropractic world? You offer X number of visits per month for $150. Put the client on an automated payment plan via their checking, savings or credit card account. The patient becomes a long term recurring revenue stream that the Chiropractor can rely for predictable cash flow. 50 of your client's on this plan = $80k per year in revenue. Sound good?
An automated system that debits checking, savings and credit card accounts serves many purposes. By not having to remind the client to pay their monthly fee the client doesn't "think" about that money coming out of their pocket. When that payment is automated they just see the debit on their statement and know what it was for. In addition the owner knows exactly how much and when the revenue rolls in.
You can obtain easy to use powerful automated ACH and credit card processing systems that make this a breeze. Throw in accepting payments in person, by phone and via the Internet and you have a complete solution. All done at very reasonable costs.
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