Smartphones like iPhone and Android are targeting small business owners as an opportunity to expand customer base. With so many apps developed, particularly for iPhone users, the potential seems infinite.

And here’s a great example of smartphones’ role in small business courtesy of Jackson Comfort Systems.

The owner of Jackson Comfort Systems in Northfield, Ohio, once tried out a credit card processing service from Nextel, but her technicians hated the bulky phones it required. Then she looked into options from AirCharge and United Bank Card, but those services were pricey: up to $250 for portable credit card machines and $25 per month, per truck for wireless service.

Eventually, she asked her 27 technicians to simply write down customer credit card numbers. Payments would get processed in her office. But that led to errors and higher credit card fees. Plus, customers didn’t like it.

“It was frustrating,” says Jackson. “We pride ourselves on good customer service, and that meant we weren’t giving it.”

But in May, Jackson received a flyer telling her about a new service called GoPayment from Intuit (INTU). For $20 per month, Jackson’s technicians can use their existing cell phones and text messaging services to process payments. Instead of waiting weeks to get paid, Jackson Comfort Systems gets its money on the spot.

Paying with plastic has been the norm for years, but for many small businesses like Jackson’s that operate remotely, it has been an elusive benefit. Out on the road, options were limited: buy cumbersome machines for hundreds of dollars, call the office with credit card numbers, or simply miss a sale by refusing to take credit cards.

Now, photographers, contractors, limo drivers and dog trainers — any business that operates remotely — can find a wealth of new software to process credit cards on mobile phones.

Apple’s (AAPL, Fortune 500) iPhone has been a big driver, with a slew of new applications popping up in the last year. Users type a credit card number and expiration date into the phone, and have the customer “sign” on the phone’s screen.

“Now we have some small businesses that are running their whole businesses off the iPhone,” says Derek Del Conte, co-founder of Inner Fence, which developed the first iPhone application for processing credit cards.

Inner Fence’s app costs 99 cents to download and then $25 a month. Each transaction costs 25 cents, plus 2.09% to 3.79% for fees charged by the credit card companies. The app also lets business owners issue refunds, review prior sales and email PDF receipts of their transactions.

GoPayment, the service that Jackson uses, requires a $60 setup fee and a $20 monthly fee, plus a $0.23 per-transaction fee and 1.64% to 3.54% for credit card processing fees.

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Mobile credit card processing have gotten extensive hype recently. This blog posting will let you see whether they are a profitable investment decision for your small business. Moreover, you will learn the differences and positive aspects between wired and handheld terminals and software program, and exactly how would you select.

The increasing interest in handheld point-of-sale terminals isn’t any big surprise. This set of end users is made up mostly of business people who really need to travel for business but would like to provide credit and debit card payment alternatives for their buyers.

Mobile credit card processing equipment make it possible for vendors to process credit card payments easily and safely, wherever they head out. These types of terminals present mobility and transaction versatility, enabling them to make use of several gadgets to process swiped bank card dealings or e-commerce product sales via online-based payment gateways. On top of that, using a handheld unit to process settlement transactions allow these vendors to benefit from a reduced, low priced fee when compared with keyed entries.

Mobile terminals can easily catch card details offline and save orders for later transmission, an essential advantage for retailers who end up in distant areas. But will your small business profit using this solutions? It will depend on your merchandise and services and also the forms of payment methods that best serve your customers and prospects.

Mobile credit card processing solutions at the moment consists of multifunctional units in which merge mobile handsets, Smartphones and point-of-sale transaction terminals along with different peripheral devices and software package, making it possible for vendors to assimilate a number of bits of point-of-sale machines into a single device. This minimizes the acquisition of repetitive equipment, delivers a hassle-free solution for carrying out various small business chores and presents vendors an opportunity to monitor a purchase from virtually any place.

The transaction period for processing a credit card using a mobile port can in reality be less than with a conventional land-line port, with respect to the coverage and the kind of portable gadget. A number of handheld programs enable sellers to transfer their cashier and check-out areas to virtually any spot inside the shop, in contrast to a permanent site which is linked to a land line and also a power source.

Vendors who are hesitant to get away from their own wired terminals might favor attaching external units, for instance those supplied by U.S. Wireless Data, AIRPAL and IVI Checkmate, that alter regular land-line terminals into mobile devices. When plugged into ordinary terminals and mobile phones, these types of gadgets function as handheld terminals and let retailers to get the best of both worlds – the ease and freedom of a mobile port yet the range of a wired one.

Numerous providers supply economical peripheral devices and computer software, such as Scanning Systems and LinkPoint International, which could transform any kind of PDA directly into a transaction-processing port. These types of mobile credit card processing equipment provide vendors the possibility to swipe clients’ credit cards or take e-commerce purchases via Net gateways.

When you check out the world of mobile solutions, be sure the port you buy provides the following advantages:

• Service for debit, credit, charge and stored-value cards, along with loyalty marketing programs.
• Capacity to process protected ATM/debit card orders.
• Assistance for Address Confirmation Service.
• Electronic benefits transfer (EBT) functions.
• Integrated network modem (and the power to compliment extra networks).
• Built-in thermal printer together with drop-in paper loading.
• Capability to hook up to peripheral devices, including barcode wands and check scanners, via an RS-232 program.
• Easy-to-read backlit LCD display that supports non-English fonts.
• Long-lasting, standard rechargeable electric battery pack.

This is merely a starting peek in to the broad universe of mobile credit card processing equipment as well as their complementary peripheral devices and software program. Before buying one, connect with other business people who employ these, read industry reports and also ask for product document from the suppliers. Search past the technology and chose the wireless port that perfectly agrees with your small business requirements