How Small Business Start with Internet of Things

Competing in the industry, increasing productivity and efficiency, reducing costs, streamlining workflows, saving time, collecting valuable data, and making data-driven decisions are the primary reasons a business chooses to implement the internet of things (IoT).

IoT devices automatically collect data and monitor devices/systems in real-time. You can use IoT for predictive maintenance to increase machines’ productivity and reduce/avoid downtime.

According to Alan Safahi, an experienced entrepreneur who runs a successful startup company in San Francisco, businesses can leverage IoT technology to relieve their workers, teams, and departments from time-consuming and repetitive tasks.

At the same time, it is more productive when employees use their skills for more complex tasks and creative roles instead of manually collecting and monitoring data or systems. So, how do you start with IoT? Here is the step-by-step process. Read on!

Step 1: Problem Identification

Although finding solutions for problems is the ultimate goal of any organization, not recognizing the problem itself or implementing an irrelevant solution can waste resources and time.

Therefore, the first step when starting with IoT technology is identifying a problem. The purpose is to determine whether the IoT technology you have selected or want to purchase/implement can resolve the issue.

Step 2: Break the Project into Phases

According to Alan Safahi, breaking the project into phases is the best way to achieve your goals. For technological implementations, following the conventional project management technique with steps like “initiating,” “planning,” executing,” “controlling,” and “closing” can lead to success.

Step 3: Implement the Correct Infrastructure

Implementing an infrastructure requires focusing on two solutions: software and hardware—select reliable hardware for a solid infrastructure that perfectly aligns with the IoT and interconnected devices. Decide on the type of servers, storage solutions, and cloud platforms, and focus on the software and database you will use to streamline business processes.

Step 4: Create a Team of Qualified Professionals

Executing a technology project like IoT is complicated, daunting, challenging, and time-consuming. Because you need an integrative approach to multiple technologies, developing a tailored solution is complex.

So, picking a technically sound team with a project manager is a reliable way to handle IoT-related projects. The team must have people from the IT department, data analysts, workers, trainers, managers, and software developers.

In addition, Safahi recommends implementing proper testing protocols to determine whether the IoT integrated with the company’s system works optimally. Likewise, testing helps you determine whether the integration has loopholes and, if any, how the team can fix them quickly.

Step 5: Secure and Update the IoT infrastructure

IoT technology connects a wide range of devices for data storage and sharing. The information exchange may contain sensitive and confidential data, requiring a high-level security layer or encryption methods.

So, keep the devices secure during and after project completion to prevent data theft. According to Alan Safahi Orinda CA, IoT software changes because service providers add more advancements to the technology for optimal results. Therefore, updating the IoT technology from time to time is essential to streamlining your business operations and mitigating the risks of cyber threats.

Originally Posted: https://alansafahiorindaca.com/how-small-business-start-with-internet-of-things/

Guide to Online Invoicing for Small Businesses

Online invoicing has become an integral part of various businesses in numerous industries. According to Alan Safahi, an experienced entrepreneur in San Francisco, online invoicing allows companies to leverage built-in payment options.

Unlike paper invoices or emailed PDFs, online invoicing systems allows you to track payments and get paid efficiently and quickly. Today’s article will discuss online invoicing and its benefits for small businesses. Read on!

How Does Online Invoicing Work?

Online invoicing follows an innovative approach by sending consumers information or data digitally. You can find various online software solutions. However, choosing the right one that aligns with your business and financial goals is critical to improving your company’s bottom line.

Once you generate an invoice, a software solution notifies the customer via email. Not only does an online invoicing system lets the customer view the invoice, but it also supports digital payments.

In addition, Safahi says online invoicing can streamline your business billing processes. You can implement a system that tracks invoices and tell you whether the customers have viewed them. An ideal system also sends reminders or notifications to customers when the due date is close.

The best online invoicing system or software allows you to sort and organize paid and unpaid invoices. You can set up recurring bills without worrying about initiating new invoices.

Although invoicing is an integral feature of accounting software systems, Safahi recommends investing in tailored software with customization features to let your customers know that your company/brand is professional and offers unique payment services. Let us now discuss the advantages of online invoicing.

Advantages of Online Invoicing

Online invoicing offers a wide range of advantages for small businesses. For instance, you can generate immediate customer receipts. Your customers will receive digital invoices and pay quickly, cutting out the delivery time of offline methods. In addition, adding a link in the invoice is convenient, efficient, and reliable, streamlining your company’s cash flow.

If you want to streamline your business financial and accounting records, use an online invoicing system. You can find various software or tools that integrate accounting systems and consolidate record-keeping into a centralized location. Moreover, online invoicing helps you save time by spending less time tracking whether customers have paid invoices.

Disadvantages of Online Invoicing

Although online invoicing systems have several advantages, they have a few downsides. For instance, some invoicing tools or software systems require a monthly fee. So, if you have a limited budget, you will find it challenging to pay the monthly payment.

Remember, this is particularly problematic for small businesses. Another disadvantage of online invoicing is that spam filters hide invoices. For example, when you send invoices by email, the inbox service may tag them as spam. Therefore, your customers will wait for the invoices, especially if they are unaware of the spam folder.

Emails are highly vulnerable to hacking, meaning sending invoices via emails means a hacker may steal sensitive financial or personal information. Most people in the U.S have not adopted or acknowledged digital invoicing formats, meaning if your customers are not tech-savvy, you will find it challenging to send invoices online. So, you will have to use the traditional invoicing methods.

How to Choose the Best Online Invoicing System?

Although almost all invoicing software solutions offer tailored features, you must choose the one that aligns with your business or financial goals. For example, select a solution that accepts credit card and debit card payments, surface basic reports, customize invoices, and streamline the payment processing. The purpose is to improve the workflow and provide customers with the best experiences.

According to Alan Safahi Orinda, find a solution that lets you create new invoices and edit the existing ones. An ideal software enables you to customize the look and feel of the invoice to match your brand colors, logo, and tagline.

In addition, choose software that lets you update the invoice number, payment terms, product details, tax rates, customer information, and line items. For instance, you can hire a professional software development service to design an invoicing system that lets you add coupons, discounts, legal footers, and notes.

Moreover, customers expect a familiar and relevant payment experience. So, make sure the invoicing system is easy to use and intuitive. The purpose is to generate invoices with minimalist designs to avoid confusing customers, get paid faster, and support various methods, including ACH debit, ACH credit, checks, and bank transfers.

Final Words

Online invoices have become crucial for businesses in all industries, allowing them to neglect the traditional method and adopt a digital strategy to mitigate errors, ensure transparency, provide customers with reliable experiences, and improve their financial operations. Follow the tips and tricks above to choose the best online invoicing system for your small business.

Originally Posted: https://vocal.media/journal/an-essential-guide-to-online-invoicing-for-small-businesses

Tips to Improve Productivity At Work

Productivity refers to measuring your business and financial performance. According to Alan Safahi, an experienced entrepreneur and a San Francisco-based startup company founder, productivity indicates how efficiently your employees, company, and financial activities work.

Wearing eighteen different hats, scrambling to complete deadlines, and answering hundreds of phone calls and emails can take a toll on your physical and mental health and deteriorate your workplace productivity.

For instance, instead of carrying out a bunch of tasks simultaneously, you should prioritize the most critical ones and follow a step-by-step approach to complete your project without hassle.

According to Alan Safahi Orinda, productivity improves your morale and employees' motivation, creating a business or organizational culture of excellence and a comfortable workplace environment. Here is how you can enhance productivity at work.

1. Complete Tasks in Batches

It takes a lot of time to get into a rhythm with a specific task or project. If you start and stop that task or process constantly or frequently, you will waste time and get back into your routine or rhythm where you left off.

So, if you find it challenging to complete a specific task on time, Alan Safahi recommends setting a block of time to carry out a specific task. Divide the large project into smaller chunks and work on a single objective at a time.

Set meetings with your employees back-to-back in the morning or afternoon and answer emails and voicemails for a chunk of time in the evening before you leave for home from the office.

2. Create an Exercise Routine

Successful entrepreneurs take a keen interest in improving their physical and mental wellbeing. Prioritizing yourself enables you to boost your energy levels and increase your metabolic processes.

Exercising for at least 30 minutes 4-5 times a week is essential to maintain mental health, stay sharp, and operate with good focus daily. Exercise improves your body functions and enhances cognitive skills, reduces stress, and increases blood flow to all organs, including the brain.

Thus, your brain releases serotonin and dopamine that maintain a positive mood and increase your concentration skills. Being physically and mentally fit is directly promotional to improving your productivity at work. You must also encourage your employees to exercise for at least 30 minutes daily.

3. Work Remotely

The Covid-19 pandemic has caused many businesses to close their doors. However, there are numerous ways to streamline your business operations and maintain employees' productivity.

According to Alan Safahi, working remotely can increase productivity by completing more tasks efficiently and quickly. Although working in an office environment can foster collective resources and energy, it can hinder productivity.

On the other hand, encouraging your employees to work from home improves their productivity. At the same time, it reduces equipment costs, decreases employee turnover, and saves on office rental.

Moreover, you can access a more talented pool of employees, ensure fewer staff absences, allow your workers to have more flexible working hours, and reduce the carbon footprint to ensure sustainable practices.

4. Organize Your Work Environment

A growing body of research evidence shows that a well-organized and hygienic work environment is directly proportional to increased productivity levels. Less stuff can decrease stress and anxiety and let you and your team work more productively and efficiently.

In addition, when you have less clutter at the office, you will think more clearly and avoid wasting time searching for a missing or misplaced file or document. Therefore, staying organized is essential to increasing productivity at work.

Alan Safahi recommends setting goals, tracking progress, using an employee-oriented agenda, creating to-do lists, and limiting distractions can increase workplace productivity. At the same time, focus on keeping the environment clean, comfortable, and reliable for your employees.

For example, keep the windows and blinds open to ensure natural light comes in and air circulates properly. Keeping plants in the workplace is an excellent way to improve indoor air quality and your employees' moods.

5. Plan for the Unexpected

An unexpected interruption or an emergency situation can cause a lot of stress and anxiety if you have a tight schedule. As a result, you may not complete a project on time, leading to failures and financial instability.

Safahi recommends flexible time in your project calendar to streamline the process and avoid unexpected situations. Alan Safahi advises entrepreneurs and business leaders to develop contingency plans to respond to critical events that knock your company's original plans off track.

So, create a list of risks, measure risks based on likelihood and severity, identify daunting tasks, conduct a business impact analysis, and create a solid contingency plan. You must monitor the plan and distribute it among your employees. 

Originally Posted: https://vocal.media/journal/5-tips-to-improve-productivity-at-work

Things to Consider Before Starting A Small Business

Starting a small business requires thorough planning and preparation, allowing entrepreneurs to develop goals, strategies, and actions to ensure their business thrives and stays competitive, prospers, and improves the overall bottom line. 

According to Alan Safahi Orinda, a professional entrepreneur and founder of a startup company, small business is the backbone of socioeconomic prosperity, with about 31.7 million small businesses in the U.S economic system. 

Before starting a business, Alan Safahi recommends that you take a few steps to improve your chances of success. Today’s article will discuss critical things or factors to consider before starting a small business. Read on! 

1. Self-Assessment

The most important task, and also the first that you should carry out, is a self-assessment. Being the owner of a business can be a challenge. Knowing your weaknesses and strengths helps you focus your initial efforts on the things you do the best while at the same time finding ways to improve or compensate for your weaknesses.

2. Multitasking Skills 

When you start your own business, you must do everything yourself. It can be a significant change from working for someone and being responsible for only one area of a company’s operations.

According to Alan Safahi, you may have the right profile to start a business if you think of risks as an opportunity rather than a threat. Think about how you would handle unexpected projects. Starting a business often means unexpected setbacks and spontaneous opportunities that you need to act on quickly.

3. Business Proposition 

It’s essential to clearly understand and define your unique proposition to potential customers. While you can have a concept so different from anything seen on the market before that it grabs immediate attention, it is through the application of the following tactics that companies often achieve success: 

• Take an existing product and improve it 
• Develop a new product based on your target audience’s needs 
• Innovative aspect to offer something attractive or beneficial
• Develop an idea that will successfully cover a unique market
• Develop new markets or promotion techniques for existing products

4. Writing a Business Plan 

A business can help you bring on new partners and get funding. According to Alan Safahi, an experienced entrepreneur, having a solid plan will help investors feel more committed and confident because they will see a higher ROI. 

In addition, a business plan is a powerful tool to persuade investors and people working with you. It enables you to develop S.M.A.R.T goals, create effective strategies, and make informed decisions to streamline your company operations. 

A business plan defines your business idea, identifies your goals, and functions as your company’s resume. Essential components include a current and pro forma balance sheet, a profit and loss calculation, and a cash flow analysis. 

Because it provides specific, organized information about your business (including how you plan to repay your loans), a good business plan is a critical part of any loan application.

5. Business Capital and Expenses 

Capital can be obtained through bank loans, personal savings, family contributions, etc. A professional business coach or mentor can help you identify the type of financing and lender that’s right for you while helping you organize your loan application.

You must know all your expenses, both your initial one-time expenses and the steady demand for cash. You must itemize each purchase and each payment and determine its actual cost. 

Alan Safahi recommends taking into account: equipment, insurance, business presentations, advertisements, furniture, stationery, supplies, inventory, legal and accounting services, salaries, bank commissions, employment benefits, etc.

6. Set the Accounting System 

If you don’t keep track of sales, inventory, expenses, and cash flow, you won’t know if you are making or losing money or being out of stock. These records will also allow you to compare your current results with your projections and will be needed when you file your taxes at the end of the year. 

An accounting system helps you monitor your business growth, build financial statements, track deductible expenses, prepare tax returns, streamline finances, and legitimize your filings. Therefore, establishing an accounting system is critical to organizing receipts, documenting data, and analyzing records. 

Final Words 

Starting and running a small business is one of the best ways to escape the traditional nine to five job, access credit, stay competitive in the market, and streamline your company’s operations to improve its overall bottom line. Similarly, it gives you personal satisfaction, access to resources, technology tools, and flexibility with changing conditions. 

Alan Safahi says a small business requires you to thoroughly analyze the market conditions, define your target audience, and develop a product that aligns with customers’ needs. Consider the factors above to optimize the overall process and achieve your goals. Until Next Time!

Originally Posted: https://alansafahicontracosta.com/things-to-consider-before-starting-small-business/

Strategies to Build Your Fan Base

Marketing helps you identify and understand the needs and wants of your customers. It allows you to promote your products/services and stand out from the competition. According to Alan Safahi, a successful entrepreneur, marketing gives entrepreneurs an opportunity to gain insights and reach their potential customers.

It enables you to promote your products and make them more appealing to your target audience. It is about finding the right people for your products and includes various disciplines, including public relations, sales, pricing, packaging, and distribution. Today’s article will discuss strategies to build your fan base. Read on!

Create a Website

Creating a website is a must-have for an entrepreneur or small business. According to Alan Safahi, investing in an intuitive, informational, functional, easy-to-use, and navigational website can improve your fan base. Remember, a website is your business’s online storefront. Safahi recommends making it consistent with your products or services and engaging your customers.

Add a Blog Section

Your company reflects your experience, skills, and expertise. A blog is an excellent way to build your business authoritativeness and credibility by educating your existing and potential customers. Your blog must have the same branding as your business website. Create engaging, informative, and helpful content.

Build Email Lists

Collecting email addresses from your existing and potential customers is an excellent way to keep them informed about your business. At the same time, you can use the email list to send valuable stuff to your customers.

Alan Safahi Orinda recommends avoiding heavy sales jobs or constantly nagging your customers about the latest product offerings. Follow the 80/20 rules, meaning 80% of your content should be informative and 20% promotional.

Offer Free eBooks

Offering free eBooks is another best way to build your fanbase and create an online reputation. When you provide eBooks that contain helpful information, it shows your expertise in the respective industry. As a result, your potential audience or targeted customers will trust you more and buy from you.

Improve Your Social Media Presence

Whether Twitter, Facebook, Friend Feed, LinkedIn, or Myspace, building a solid social media presence allows you to reach your target audience, engage them with valuable content, and drive organic traffic to your website. Remember, this is directly proportional to increasing your sales, boosting revenues, and improving your business’s bottom line.

Become An Active Community Member

A professional entrepreneur is an active community member online and offline. The purpose of actively participating in community events and providing advice to fellow professionals and customers is to showcase your expertise, credibility, and authoritativeness in your niche or industry.

Manage Third-Party Reviews

Third-party websites, such as Yelp, are an excellent way to promote your business and build a fanbase because 55% of people read online reviews before purchasing a product or service. Third-party reviews are accurate and truthful.

Even if you have bad reviews, you can respond positively and discuss what went wrong. Replying to customer reviews on third-party sites will show professionalism, allowing people to trust your business.

Originally Posted: https://alansafahicontracosta.com/strategies-to-build-your-fan-base/

An Essential Guide to Budgeting for Small Business

According to Alan Safahi, an experienced and skilled entrepreneur, small businesses deal with emergencies that create additional expenses, delays, and lost profits without a strategic budget or plan. 

Safahi Orinda, a successful startup founder, says small business budgeting requires careful planning and preparation. However, it would help if you did not complicate it. In other words, it must not be nerve-wracking and time-consuming. 

When you use advanced cutting-edge tools and best practices given below, you can take control and manage your budget planning. The purpose is to make accurate financial decisions and improve your business. Read on! 

Review Your Revenue

The first step is to identify your income sources that feed your business activities when building a budget. Once you have collected, analyzed, and detailed your income sources, you can tote them to calculate and analyze your monthly income. According to Safahi, develop your budget according to your company’s revenues instead of focusing on the profits.

Deduct Fixed Costs

Fixed costs are recurring and sustain your business operations. However, there is no set time or duration for a fixed cost because it can recur daily, bi-weekly, weekly, bi-monthly, monthly, quarterly, and annually. 

Collect relevant data, including information about your company’s revenues, to streamline the entire process. Generally, small businesses have fixed costs like taxes, rent, insurance, supplies, repayment of loans, and asset depreciation. 

Measure Variable Costs

In addition to deducting fixed costs, Safahi recommends measuring valuable costs because they contribute to your business’s ongoing operations. However, they also include discretionary expenses that boost your business’s visibility, growth, and profitability.

Your business may incur variable costs like utilities, office supplies, equipment repair or replacement, and marketing expenses. Therefore, Safahi Orinda recommends understanding, tracking, and analyzing variable costs to plan for additional enhancement to your company’s budget and adjust your cashflows.

Create a Contingency Fund

The business world is unpredictable and risky. Not having a contingency plan can put your company at risk and on the brink of collapse. According to Alan Safahi Orinda, a contingency plan can protect your business in times of financial crisis. 

Likewise, having a contingency plan works well with financial backups, including small business loans and additional infusions from investors. You can access the emergency fund immediately and protect yourself from additional debts.

Create Your P&L Statement

Create a profit and loss (P&L) statement based on the financial information or data. The purpose is to create a formal financial report and document your expenses, revenues, and profits/losses within a given period. 

Make sure you don’t create an overly complex profit and loss statement and follow the easy steps, such as adding up your revenue and expenses for the month and subtracting your costs from the total revenue. Alan Safahi says that when you have a positive result, you have made a profit. 

On the other hand, a negative figure means you have made a loss. Anyway, a profit and loss statement is an integral component of your budgeting plan, streamlining the financial side of your business.

Originally Posted: https://alansafahiorindaca.wordpress.com/2022/06/10/an-essential-guide-to-budgeting-for-small-business/

How to make your startup more Productive

Starting your own business has many advantages, including financial advantages over working for a salary or wage. However, starting a business is one thing, and maintaining it is another, meaning you must work hard to increase productivity and streamline operations to generate higher returns on investments.

According to Alan Safahi, a professional entrepreneur and founder of a successful startup in San Francisco, making your startup more productive requires careful planning and preparation. Safahi recommends the following important points to optimize yourself as an entrepreneur and make your business more productive.

Learn the Art of Saying No

According to Safahi Orinda, “time is money.” Time is the asset you have as a startup owner, requiring you to guard it because many people will try to get a slice of it. Safahi recommends assessing each situation and determining whether it is worth your time to attend an event, conference, meeting, party, or presentation.

When you say “Yes” to everyone, you may waste your time not focusing on essential business tasks. So, this is not something an entrepreneur or startup owner should do if they want to avoid complications. Remember, you should say “Yes” when it streamlines your business operations and helps you achieve your goals.

Eliminate the Multitasking Thinking

While many entrepreneurs think that multitasking can save them time and effort, this is a misconception. According to Alan Safahi, multitasking can take a massive toll on your physical and mental health because it is a biological impossibility.

Besides, everyone has a limited cognitive capacity. It means you can carry out a task depending on your focus on a particular job, whether for ten minutes or an hour.

When you want to make yourself and your startup more productive, it is wise to avoid distractions. So, the general rule of thumb proposed by Alan Safahi Orinda is focusing on one task at a time.

Avoid Burnout in Your Startup

Burnout is a significant problem for entrepreneurs and employees working at a startup. As a leader of the organization, you must not overburden your employees to ensure they maintain their productivity levels. That way, you can retain your employees and optimize your business operations.

Alan Safahi recommends staying vigilant and encouraging your employees to take necessary breaks to avoid burnout. For instance, if you think your employees feel deflated, overwhelmed, and unmotivated, make sure you prevent them from falling into the trap of working longer and harder.

Set Reminders

Safahi recommends using smart calendars and premium smartphone apps to set schedules and reminders for specific days to focus on critical tasks and prevent your brain from remembering things.

More importantly, Safahi advises young entrepreneurs to integrate apps with collaboration tools because they allow you to organize everything by topics, tasks, and teams.

In addition, set major milestone notifications and alerts at the department, team, and individual level to ensure everyone working in your startup company sets their tasks within the same channel for granular items.

Originally Posted: https://safahi.com/how-make-your-startup-more-productive-846dfd1fce0e

The Role of Government in Job Creation

Introduction

In the current state of the economy, it is difficult for businesses to create jobs. The government needs to step in and provide a solution. One way they can do this is by providing subsidies for business to hire more workers. They can also provide grants or loans for start-up companies that want to hire more people.

The government should not just hand out money and hope that these jobs will be created. They need to work with businesses and help them find the best solutions for their problems.

“The government needs to be more strategic in order to address the issues of unemployment” according to Orinda businessman and startup entrepreneur Alan Safahi.

They need to work with businesses and help them find the best solutions for their problems. This will allow for the creation of high-paying jobs that are more in demand in different industries”.

What is the role of government in job creation?

“The government has a role in job creation. The government can incentivize business owners to create more jobs by lowering taxes on labor and employment” continues Safahi.

Taxes on jobs and taxes on labor are two different concepts. Taxes on jobs are the amount of money that is taken from an employer’s profits, while taxes on labor are the amount of money that is paid by employees to the government.

Necessity for a Course Correction on Taxation

“The Tax Cuts and Jobs Act has been a boon for job creation, according to Safahi.

It is the first time in more than three decades that a tax reform bill has been passed with bipartisan support, and it is the first major overhaul of the U.S. tax code since 1986. The Act made significant changes to individual income taxes, corporate taxes, international taxation, retirement savings, and other areas of the law.

The need for a course correction on taxation became necessary because of the Tax Cuts and Jobs Act’s success in job creation. The measure is expected to create 1 million new jobs over 10 years as well as contribute to 3% GDP growth over that same period.

How to Transform Government from a Negative Force to a Positive Force for Job Creation

The government has always been seen as something that is an obstruction to business, but that is no longer the case. The view of entrepreneurs like Safahi is that the government can also be a positive force for job creation:

“The government should not be a hindrance to the growth of the economy. It should instead be a facilitator and a catalyst for job creation’ says Safahi.

The tax cuts will create jobs by making it easier for companies to invest in new projects and hiring more employees. The government can also provide incentives to companies that are creating jobs, such as tax breaks and other benefits, which would result in more job creation.

Originally Posted: https://safahi.com/role-of-government-in-job-creation-c6534b2f851b

Choose Best Payment Gateway Service Providers

 For every business in the world, “sales” is the name of the game, and that means money is involved in ensuring a seamless customers’ purchasing experience becomes imperative. One of the most critical aspects of creating a seamless experience is the checkout experience. Now, if you’ve landed here, then it’s safe to assume that you already have a beautiful website along with quality web hosting.

We here at Zed specialize in providing comprehensive payment orchestration solutions for multinational businesses, and that means we know how you can optimize your checkout process. If you want your business to have sustainable growth, then you need to address the checkout optimization aspect. According to Zed Founder and entrepreneur Alan Safahi, the goal is to ensure the checkout process is streamlined and straightforward.

Once you achieve that, you’ll be inviting customers to, well, show you the money. The most vital aspect of ensuring a seamless checkout process is integrating the best payment gateway service provider. It’s a third-party application that provides an easy-to-use tool for processing payments from sales. So what is a payment gateway? How does it work? Those are all the questions we will address in the following passages and list out some of the best payment gateways you can integrate. So without further delay, let’s begin!

Payment Gateway Introduction

Around 96% of Americans shop online, which is expected to grow up to 230.5 million people in 2021 within the US. And that means smarter customers who already know and understand the basic steps of the e-commerce shopping experience. The online buying process for most of us is muscle memory. All you need to do here is browse, pick a product, add to the cart, hit the checkout. However, according to Safahi, for that to happen, you have to make sure you provide an outlet that allows your customers to pay for the product or service securely. And ensure that the payment is fully processed; the payment gateways handle all that. 

It basically acts as in-between services, and processing inputted information provided during checkout and facilitating the authorization or fulfillment of payments made for e-businesses and online retailers. And payment gateways aren’t only limited to online businesses. You will find them at brick-and-mortar establishments as well. However, if you are still not convinced why payment gateways are so important, let’s check out why you need them.

Why Use A Payment Gateway?

Well, you need a payment gateway because they take charge of purchasing’s tricky tasks like encrypting sensitive info from credit card payments. While also helping you meet specific standards for data security, ensuring safe transactions between you and your customer. That’s not all. The third-party integration also saves you a lot of time and work because it removes the need to input info received on your end manually. Add to that the flexibility it offers business by being able to process different types of payments.

Remember, flexibility is helpful as it increases the likelihood of sales by widening accessibility for customers with various payment types. Besides, it would help if you offered a wide range of payment options, as people vary in how they pay for products. One Baymard article states that lack of payment options is one of the leading causes of cart abandonment issues. So now that you know what payment gate service is and why you need one, let’s talk about choosing the best payment gateway service for your business!

How To Choose A Payment Gateway Service?

According to Safahi, the right payment gateway will take your business a long way but finding the best fit for your business might seem overwhelming if you don’t know what you are looking for. As a general rule, it is always best to evaluate the individual features of each before choosing any third-party tool, and your choice should be based on the needs and capabilities of your online store. When it comes to finding the best payment gateway service, there are five main factors to consider, and that’s what you will find in the following passages. So without further delay, let’s check them out!

1st Factor: Security

Well, in the online business world, security is paramount. No one is going to fork over sensitive financial information to an e-commerce store that looks shady. Therefore, you need a reputable payment gateway that provides safe checkout experiences for your customers. 

One of the most powerful tools for online businesses is displaying security signage. According to one article from Cox BLUE, more than 80% of customers feel safer seeing logos of trustworthy payment options on a website. Therefore, we recommend going with a payment gateway that handles your customers’ delicate data with care and if you can ensure that they stick around.

2nd Factor: Costs

You already know that when choosing any service, you need to know all the associated fees and costs, and it is especially true when selecting third-party tools like payment gateways. In addition, you will need to pay transaction fees for your business. So make sure you pay attention to your gateway’s costs and make sure you have the necessary research on hand before integrating it into your site, so you’re not slammed with surprise fees.

3rd Factor: Accepted Payment Methods

Remember, the internet is all about ease of use, so the easier you make it for your customers to make purchases, the more likely it is that you will make them. You need to make sure the payment gateway you choose incorporates a wide variety of payment methods. That way, you will be widening your “sales net.” According to Bounteous, 50% of customers say that they will move away from a brand if they don’t find their preferred payment method. 

You can easily find out the most popular payment methods amongst your customers with the help of your site’s analytics. You can use the data to observe what countries have shoppers visiting your e-commerce website as preferred payment methods may differ by country. One study found that 40% of people feel more comfortable shopping from a business that offers multiple payment methods. So keep that in mind.

4th Factor: Compatibility

Another important factor when choosing the best payment gateway means finding one with the capability to integrate to your current platform from a technical and design standpoint. Make sure that you don’t choose one that takes an over-abundance of messy tricks to incorporate smoothly into your existing structure. There are plenty of different payment gateways out there that offers a wide range of services. Many can even be customized to match your site’s feel; We recommend choosing one gateway tool compatible with your brand. 

5th Factor: Payment Location

So as you know by now, some payment gateways allow customers to complete a transaction within the checkout processes of the website. While others lead users to another site to finish their purchases. There are payment gateways that provide an API that incorporates directly into your site. However, others incorporate directly into your site. 

Whenever you choose a payment gateway service, make sure it promotes the best user experience for your shoppers. Remember, once the customers trust your site, they might not mind the extra diversion, so now that you know the factors that go into determining the best payment gateway. So now, let’s tell you about a few of the best payment gateway solutions out there to make your life easier. 

What Are The Best Payment Gateways? 

Now, finding the best payment gateway solution amongst the hundreds out there can be overwhelming, and that’s why you should use those factors to find one that meets your need. Remember, 46% of cart abandonments happen at the payment stage of checkout. 

So if you aren’t outfitted with a smart payment gateway, you are looking at lost sales and maybe even long-term harm to your brand. So to make sure you take into account those factors we’ve listed. Now, to make things easier for you, the research team here at Zed has compiled a list of some of the best payment gateways available right now. So let’s check them out!

Amazon Payments

The e-commerce giants created Amazon Payment. It helps build a trusted and familiar way to submit payments on your site. Here are some features of Amazon Payment: It has eliminated the learning curve for checkout processes and draws from the technical strength of an established platform. Back in 2016, Amazon reported that there is 310 million active customer account. Now current Amazon login information, Amazon Payments gives shoppers a simple, familiar way to make purchases.

By being available, it offers shoppers a simple, familiar way to make purchases. Since it is an API-driven payment gateway, you can easily customize Amazon Payments into your site’s existing look and feel. You can simply add a free plugin and be on your way. Add to that the transactions are completed on your site. It is one of the best payment gateways for responsiveness, and it has mobile capability upstanding critical for users as 79% of smartphone users have made a purchase online using their mobile device.

Originally Posted: https://zed.network/simple-way-to-choose-the-best-payment-gateway-service-providers/

Impact Of Real-Time Payments In Real World

Real-time payment processing is fast becoming a vital part of the world economy and is known by many names like Faster Payments, Immediate Payments, Instant Payments, or Fast Money. So what are real-time payments? Well, it’s composed of technology that enables instantaneous money transfer between banks and banking systems.

The first real-time payment processing system popped up back in 2001 in South Korea, and within the following decade, real-time payments technology popped up throughout the UK and parts of Asia. We here at the Zed Network specialize in providing real-time cross-border payment processing solutions for multinational operations. So we know all there is to know about real-time payment processing, and we thought we should let you see the impact of these payments in the world. 

According to Zed Founder and entrepreneur Alan Safahi, the best thing about real-time payments is that it doesn’t have any “float,” which is the interval between when money goes from the payer’s account and becomes available in the receiver’s account. One of the reasons real-time payment processing services are so popular is that it allows everyone to make payments 365 days a year and the funds are available immediately. 

While it may seem like payments made with credit or debit cards, digital wallets, or P2P apps are real-time payments, it usually isn’t the case. That’s because, for these payment processors, the payments aren’t processed right away. For example, credit and debit card transactions can take up to 72 hours to clear and settle as they go through a bank settlement process. In contrast, digital wallet transactions aren’t considered real-time payments because these are non-bank money transfers and the transactions occur between personal wallet accounts.

While transactions made through the Automated Clearing House (ACH) system can process same-day and next-day payments. However, these payments are cleared in batches. That means the funds are not available until the settlement process is complete and the payments are clear. So now that you know what real-time payments are, let’s check out their impact on the economy!

The Impact Of Real-Time Payments In The US

The Clearing House is the first organization that brought real-time payment processing when it launched its RTP® (Real-Time Payments) Network. With its launch, it became the first new payments system in the US in 40 years. It was created so that all federally insured depository institutions can use it to clear and settle payments in real-time. In addition, the network was created to serves as a platform that allows banks and other financial institutions that they can utilize to develop and deliver new innovative products and services to their customers.

The Clearing House claims that they are already connecting over 50% of all demand deposit accounts, such as checking accounts in the US, and are expected to reach nearly all US accounts in 2020 through the RTP Network. There are several benefits to using RTP technology. Here are some benefits for you to check out:

• It allows you to send and receive payments around the clock, seven days a week, 365 days a year.
• It allows people to initiate payments from their existing accounts. There is no need to set up a separate funding account.
• It allows you to receive payments within seconds of the sending bank initiating the transaction.
• It allows you to manage cash flow more easily.

Everyone from consumers, businesses, and government entities can use the RTP network for all types of payment processing needs. With the RTP technology, you can facilitate payments across all payment categories, they are:

• Business-to-business (B2B), 
• Business-to-consumer (B2C), 
• Consumer-to-business (C2B), 
• Peer-to-peer (P2P), 
• Government-to-citizen (G2C), 
• and Account-to-account (A2A) transactions.

As time goes on, more and more businesses, consumers, and municipalities will start embracing digital payments, leading to financial institutions all across the country utilizing the RTP network’s capabilities and creating faster and safer payment processing services.

The FedNow Service

Another real-time payment processing and settlement service are the FedNowSM. The Federal Reserve created it, and the service will incorporate clearing functionality into settling payments. The real-time payment processing service allows banks and financial institutions to exchange the debit and credit information needed to process payments and notify customers whether the payments were successful. Now, the FedNow service isn’t fully up yet, with its still on beta testing. However, it is expected to go live in 2023 or 2024.

Impact Of Real-Time Payment Processing On Businesses

The impact of real-time payment processing can be seen on a business’s cash flow. It’s known to improve budgeting, financial projections, and overall cash management. Real-time payment services are also known to improve operational efficiencies and boost customer engagement and satisfaction. One Ovum and ACI Worldwide survey back in 2018 found that 77% of merchants surveyed across the globe expect real-time payments to replace physical payment cards eventually. Here are some of the things that the survey revealed:

• Worldwide, 51% of all merchants, billing organizations and retail banks were expected to increase their IT budgets for payments-related projects in 2018.
• Real-time payment processing is now central to planned customer service improvements for most merchants, retail banks, and billing organizations.
• More than three-quarters of organizations expected or experienced customer service gains from real-time payments.
• Worldwide, 68% of merchants, 72% of billing organizations, and 78% of banks predicted that the combination of real-time payments would decline the importance of payment cards over time.

Integrating real-time payments has many benefits like increased speed in transferring money, improved cash flow, and minimizing fraud exposure. However, even with overwhelming data show beneficial real-time payments can be. According to Safahi, US businesses have been slow to embrace the model. Here are some reasons why real-time payment processing has been slow in the US:

• A limited number of banks and other financial institutions can currently send and receive real-time payments.
• There is uncertainty within the payments industry about which real-type payment system will prove to be the most successful.
• The cost of investing in new technology is high to switch from batch processing to supporting real-time payment processing.
• There is a lack of awareness and information.
• There are low business transaction limits. 

The Future Of Real-Time Payment Processing

According to Safahi, the real-time payment models will continue to exist side-by-side with existing payment systems for the foreseeable future as fintech companies worldwide continue to innovate new ways to make payments. However, we don’t think real-time payments will replace payment models that currently serve a specific function like scheduled payroll payments made via direct deposit ACH money transfers. 

But businesses may integrate instant payments to pay suppliers when goods or services are delivered. As time goes on, experts believe that services like wire transfers, credit and debit cards, prepaid cards, digital wallets, and person-to-person (P2P) applications like Venmo, real-time payment technology will continue to evolve. 

With two real-time payment processing services in play now in the economy, the service’s popularity is poised to grow significantly in the coming years as both consumers and businesses begin to understand the benefits of having one more payment option. As you know already, the benefits of real-time payment processing services are plenty. 

With benefits like improved cash flow, simplified money management reduced chance of fraud, and the peace of mind that comes with knowing that money transfers happen instantaneously offer something that’s been missing from the financial world till now. So there you go, those are the impact of real-time payment processing in the real world. As you can see, the story of real-time processing is still growing and will continue to grow for the foreseeable future as the world catches up to the technology. 

Now, if you want to be ahead of the curve in your niche, then integrating real-time payment processing layers is the way to go. That’s where Zed comes in. Our specialty is creating highly effective real-time payment processing and orchestration layers that optimize your money flow along with providing the perfect infrastructure for real-time cross-border payments. So if you need real-time payment processing solutions or want to know more about the technology, then get in touch with us! 

Also, if you have any other questions regarding payment orchestration and solutions, then drop them in the comments below or hit us up on our socials, and we will answer them for you. So make sure you send us all your queries and feedback. And with that being said, that’s about all we have for you today. We will come back with something new for you soon. Until then, see ya!

Originally Posted: https://zed.network/impact-of-real-time-payments-in-the-real-world/