When you receive payments through your website – whether it’s membership, donations or products – you need to make sure the money is deposited quickly into your organization’s bank account. Payment platforms fulfill this role.
Many users of the GiveCentral’s donor management software have asked us how to choose a payment platform.
Here are the 4 questions to consider to select one effectively
- What is the average volume of payments I receive?
- What is my level of knowledge of payment platforms?
- What will be the impact on my cash flow?
- What features do I need?
Transaction volume and platform pricing
Each platform modulates its rates and it is in part the volume of your transactions that will determine the price per transaction. Indeed, most platforms apply a combination of;
- Percentage to the transaction,
- Fees fixed at the transaction,
- Monthly fee.
Typically, a low volume nonprofit organization will favor higher transaction costs, while in the case of larger volumes, a monthly fee will reduce the percentage per transaction.
→ Reduce all fees in percentage per transaction to compare the cost of different platforms. Make the calculation regularly and change platforms as needed.
Knowledge of technology, configuration and use of the platform
Not all payment platforms have the same ease of configuration and use: some are more intuitive and easier to set up than others. Request a demonstration of the user interface.
As a general rule, if you are not familiar with the technology or do not have the support of a specialized resource, opt for a platform that gives you access to advisors or customer support. These will guide you through the many options and will work with you when setting up or in case of technical problem.
→ Make sure you can speak with an account manager at all times before choosing your payment platform.
The impact on your cash flow
Some platforms deposit money into your account several days after the transaction. For many nonprofits, this constraint can be problematic. Find a platform that deposits your funds on demand, preferably the next day.
→ Make sure you get your money back as soon as possible.
Choosing the right platform is all the more complicated as the many solutions on the market are very varied, each with their specific technological features. So you have to make sure that the selected platform will integrate easily with the software you use.
Call the GiveCentral team so that we can advise you on the subject.
→ List the desired functions before choosing your payment platform.