Payment Industry Consultants

Payments Facilitator

Portfolio Rationalization

Once upon a time, a merchant was a merchant was a merchant. The putative strategy in merchant acquiring was simple: board as many accounts as possible – big merchants, small merchants, low risk merchants, high risk merchants, and even new LLCs – basically any merchant with a checking account and an “open for business” sign. The rationale for this was straightforward: payments processing – transaction processing – produced real, actualizable revenue that made merchant acquiring a lucrative endeavor. Read more...

I don’t think so => “VARs and traditional integrated payments software model heading for the graveyard”

Authored 6.6.2016 by Adam T. Hark, Managing Director, Preston Todd Advisors “Will PayFacs Kill the VAR Model”, by PMNTS makes an interesting argument, but I don’t buy it. The PayFacs model has been around for a long time. Though not always marketed as “PayFacs”, the master merchant account configuration with subordinate processing accounts isn’t new to the acquiring industry. Here are my top 5 reasons why this article’s prediction won’t come true…at least not any time soon. Read more...