What is PayFac-as-a-Service?
If you’re in the payments processing space, and more specifically the SaaS industry, it’s likely you’ve heard of PayFac-as-a-Service (PaaS). It’s a relatively new tech that can revolutionize the way businesses process payments.
Put simply, PayFac-as-a-Service is a solution that allows SaaS providers to easily develop, deploy, and maintain secure payment processing capabilities in their own software. It offers a comprehensive suite of tools to streamline the payments process, from onboarding users to managing transactions.
To achieve the goal of facilitating easy payments, you can either depend on an existing PayFac or become a PayFac yourself. The latter is well-suited for larger establishments that rake in more than $50 million every year.
What are the benefits of PayFac as a Service?
Regardless of the model you choose, PayFac-as-a-Service offers tremendous financial benefits to businesses. Here are some of the key benefits that businesses can enjoy with this tech:
1. Higher revenue margins
There are profits in transactions for the businesses that facilitate these transactions. That’s how banks and other payment processing institutions make money. With PayFac-as-a-Service, you can bypass the traditional middleman and increase your profit margins.
By working with a pre-existing PayFac provider, you can enjoy much higher margins than the traditional payment processors offer. So if you’re looking to monetize payments, PayFac as a service should be a good fit for your business.
2. Personalized support
There are times when you may need support regarding a technical issue or even assistance with a specific merchant account. The good thing about PayFac as a service is that you don’t even have to be an expert in payments to act as a PayFac.
You’re simply a managed PayFac, and what that means is that you can pass all the operational challenges and tasks to the provider. As a result, you get greater flexibility and more personalized support.
3. Better merchant management
Another benefit of PayFac as a service is that it gives you more control over how you manage your merchant relationships. You can easily onboard merchants, edit information, track payment metrics, and more from a centralized location.
By using such a solution, you can provide your merchants with a better overall experience, thus increasing customer satisfaction.
4. Greater control over the user experience
Did you know that as much as 88% of users will fail to return to a website if they have a bad experience? Well, may not be statistics experts, but 88% is a lot to lose.
With PayFac-as-a-Service, you can ensure a great user experience by providing an intuitive and seamless payment process. You can easily customize the process to meet your specific business needs while also providing an applaudable experience to customers.
5. Better scalability
As your business grows, it’s important to ensure that your payment processing capabilities can also scale. This is where PayFac-as-a-Service comes into play.
The solution can easily scale to meet your changing needs, allowing you to serve more customers and process payments faster. So if you’re planning to increase your customer base, this tech should be an ideal choice for you.
6. Quicker time to market
PayFac as a service eliminates all the inconveniences that come with signing up to be a PayFac yourself. You don’t have to worry about complex procedures and paperwork, all you need is the right provider and you’re good to go.
This greatly reduces the time it takes for you to get your payment processing capabilities up and running, thus helping you make money much more quickly.
As you can see,
PayFac-as-a-Service offers a variety of benefits that can help businesses streamline their payment processing capabilities. So if you’re looking for a solution to take care of all your payment needs, it may be worth considering PayFac as a service.
And with Tilled, you can easily get started with this tech without breaking the bank. So check us out and find out more about our services today!
