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to make a lot of money with just a few accounts. and the EU did this; the end results weren't good for
2. Online applications and sending docs for e-signature; consumers.
quick approvals; POS being more affordable, which If the government were to regulate interchange, this
happened with the switch from PCs to less-expensive business has many smart leaders who would change the
Android devices; more gateway options; technology, in pricing model to hardware/software-as-a-service with
general, has changed the business for good and bad. fixed costs. That would end up changing the business,
though that model has been around for a while. Or they
Merchants have more options than ever. Shoppers can could change the name of the fee; a percentage could be
use their phones to pay, tap and pay, etc. The acquirer charged for using the "hardware and or software."
side is a bit complicated due to mergers and acquisitions
reducing options. And some companies bought by PCs When the government makes rules, businesses make
and VCs changed how they do business, and only some- changes to protect profits, so the outcome is that busi-
times for the better. Most investors need help to under- ness always wins.
stand what they buy.
4. I often get calls from agents asking for advice. Here
Example: Company A buys Company B and finds out are a few things I tell them: Answer your phone. An-
they have a few merchants selling "adult toy/novelties" swer emails. Keep your website updated; even if you're
seemingly harmless. Then they get a call: "We can't pro- a single agent, you can at the very lease have a landing
cess for these merchants. Please move them ASAP, or we page. Consider sending a newsletter to your merchants
will turn them off. We don't care that the previous com- monthly. Read contracts and pay a lawyer a reasonable
pany processed them for the last seven years." fee to read it. Learn a new skill.

Or an ISO changes their bank, and that also causes the Have a LinkedIn profile and company page. When you
merchant to get either shut off or told to move with a go after a larger merchant/business, they will go to
10/30-day notice. Google and look you up. We are in the digital age; poten-
tial customers will look at reviews. And other info about
The technology has helped us close more business and your or your company. Many will not agree with this,
do it more efficiently. Also, working with that tech pre- but our biggest competition is coming from the internet.
COVID helped us because we didn't have to make many
adjustments. We were already doing video meetings, Justin Milmeister, CPP
video/screen sharing demos, and closing business with Elite Merchant Solutions
e-signature apps.
1. I officially joined the payments industry in early 2002.
3. Fintech and Payfacs have disrupted our industry and I was about a year into commercial real estate sales, and
will continue to do so. Regulation: The U.S. Congress I was on a listing appointment with a fairly large re-
tail shopping center. Upon finishing my appointment,
needs more clarification on the payment system, how
it works, and that there is plenty of competition. Sena- I walked into a restaurant to grab something to eat, and
the owner was there and said he couldn’t take my credit
tor Durbin and his cohorts want to gang up on Visa/MC
and lower interchange with no understanding of what card for payment. He was visibly angry.
the results will be.
I asked why not. He told me his terminal has been bro-
In my B2B Vault podcast, we've discussed this a few ken for three days, and he couldn’t get through to the
times. We'd love to have Senator Durbin on the podcast support number. He'd sat on hold for over an hour sev-
eral times and eventually hung up. He grew angrier tell-
or get an invitation to DC to explain the business, let
them know the healthy level of competition today and ing the story.
that business owners/merchants have more choices than
ever. I didn’t think much about it until maybe three months
later. A friend I hadn't seen in about a year and a half
called me to go out. Last time we hung out he was sell-
Regulation will not help small business owners be- ing cars at a Ford dealer and basically broke. He offered
cause the price to process payments will stay the same
for them. Large companies like Walmart, Amazon, etc., to pick me up and he drove up in a brand-new Porsche.
I said, what the hell are you doing these days; he said
will benefit because they have the money to do routing,
etc. They benefited most from the Durbin Amendment, credit card processing. About three months later, I start-
ed my own payment processing company.
while small-ticket merchants paid more for processing.
Regulation: Consumers will be the biggest losers. They When I started in the industry it was all about leasing
will pay more for banking and have less access to credit; terminals. Many companies weren’t paying residuals,
paying just on leases to sales reps. In the “golden age”
rewards, points and cash back will be gone. Australia
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