If you are a small business owner planning to set up a merchant account, you need to use point of sale (POS), which can accommodate a debit  and credit card.

There are several things you need to know about point of sale terminals that can help reduce your costs of doing business and maximize the effectiveness of your business operations on a daily basis.

Firstly, it is in your best interest from where to get a terminal, will it be from a bank or buy outright? The financial benefits of ownership are significant. In addition to providing your business with a tangible asset, the property will save you a lot of money in the long run.

It is compromising to rent with having an option to buy, which would still cost more money to buy the machine outright. It is interesting to ask whether to invest on a POS terminal, given that there is a rapid pace of technological change which could be expected from this type of machine. However, the change in payment processing and methods has been and will probably continue to be hampered by regulations, in place to protect consumers against credit card fraud.

It is reasonable to say that the debit and credit card processing moves at a slow pace, compared to, say, personal computers or HDTVs, to warrant investment in a terminal point sale. Such investment will be usable for many years, perhaps decades. Lot of people who starts a small business are nervous about the thought of these long-term considerations.

Perhaps the only way to respond is to emphasize that your business will undoubtedly have many advantages, it must have if it fails, and the risk is a fundamental fact immutable entrepreneurship. Any smart business owner have realistic plans for the future, but maintaining an optimistic attitude is also essential for success.

Another important thing to consider: Your own POS gives you much more flexibility in the choice and change, if necessary, is your merchant account provider.

If you rent from a bank, you’re also stuck with them as a supplier, and if you are not satisfied with the rate increase and bad service, you must return your POS and adjust your system. Most companies that supply POS terminals allow you to choose your provider, and switching providers is a relatively simple process in this case.

Renting a point of sale terminal does give you peace of mind, it will be replaced at no cost to you if it should be replaced. However, companies that provide POS for sales generally provide some sort of guarantee. Do not forget to ask what kind of warranty it is and what it will cost. A comprehensive life guarantee may be included in the purchase price of the machine.

The last thing to consider is the type of machine. Do you want a simple dial-up system or with a high speed Internet connection? The answer to this question depends on the volume of customers you expect, and how fast you need to treat their transactions.