Read More on the MyMLM Blog: https://www.mymlm.com/e-wallets-payment-gateways-merchant-accounts/
What's the difference between an eWallet a payment gateway, and a merchant account? Hi. I'm Robert Proctor and for the last 20 years, I've been involved in the launch of over a thousand network marketing companies. Today, only 10% are still in business. 90% failed. I want to give you some tips and tools, and some hints and suggestions to avoid being part of the 90%, instead, be part of the 10% that succeeded.
Every week, I speak with network marketing company owners. In fact, this last week, this is the reason why I wanted to bring this up this week is I had a company owner said, "Hey, I got a payment gateway. I'm ready to start accepting distributors and customers, and selling products, and taking Visa and MasterCard." We went to set up their payment gateway and guess what? It didn't work. What we found out was they had a payment gateway. They didn't have a merchant account.
What's a payment gateway? Payment gateway is kind of like the gas that goes in your car. Anybody can go buy gas. The merchant account, that's your car. That's the main vehicle and not everybody can get a car. Not everybody can get financing for a vehicle. There's a huge difference between a merchant account and a payment gateway.
A merchant account says we're going to check your credit, we're going to look at your website, we're going to check your terms and conditions, your policies and procedures, we're going to take a look at your compensation plan. We're going to make sure that you actually have goods and services, and products and inventory that you can ship out to your customers and distributors. It's kind of like going to a bank and getting approved for a loan. That's who the merchant account is.
The payment gateway, anybody can go buy a payment gateway. There's thousands of them out there. Our software is actually integrated with about 85 of them. A merchant account is critical that you [inaudible 00:01:33] to a merchant account provider before you go and buy a payment gateway. I've seen so many companies actually go out and buy a payment gateway, not realizing they needed a merchant account in front of it. And they all of a sudden announce that they're going to launch their business, and guess what? They didn't have a merchant account. They couldn't take their Visa, their MasterCard, their credit card. All of a sudden, guess what happens? The customers leave, the distributors start leaving because they weren't prepared.
My son's in ROTC and they have a phrase that I love. Proper planning prevents poor performance. This is your planning. You got to properly plan to get a merchant account and a payment gateway.
Lastly, what is an eWallet? A lot of companies think if they get an eWallet, they've got a way to take money. Not necessarily. An eWallet means that your distributors and customers actually have to leave your website, go set up an eWallet, put some money into the eWallet, come back to your website, and then put in their eWallet information. A lot of people think that that's going to be a way to transact business. Well, guess what? Distributors don't want to leave the website. Customers don't want to leave the website. The moment they leave your website, they're going to go off to another website because you've complicated the system that they should be able to just simply put in the Visa, put in the MasterCard, put in the credit card, and make a purchase right there.
I've been doing this for 20 years. I've seen over 900 companies fail. If you think I can help you understand a little bit more about merchant accounts and payment gateways, and the difference between eWallets or maybe connect you with some companies that could get you set up with a merchant account, do me a favor, give me a shout on the phone, fire an email. If you got some value from this today, do me a favor. Like it, share it, and, hey, we'll see you on the next video. Have a good day.