Payment Method

What is a payment method?

A payment method is simply how money gets from your client to you. Different methods have different speeds, costs, and levels of convenience. The payment methods you accept affect how quickly you get paid and what fees you incur.

Offering multiple payment options makes it easier for clients to pay promptly.

Common payment methods

Small businesses typically accept some combination of:

• Credit/debit cards — Convenient for clients, but you pay processing fees (typically 2-3%)
• Bank transfers (ACH) — Lower fees than cards, but takes 2-5 days to clear
• Checks — No fees, but slow and can bounce
• Cash — Immediate, no fees, but harder to track and requires in-person exchange
• Digital wallets — PayPal, Venmo, Zelle—convenient, varying fees
• Wire transfers — Fast, especially for international, but higher fees

Choosing what to accept

Consider the tradeoff between convenience and cost. Card payments cost you fees but make paying easy—clients pay faster. Checks are free but slow and add collection risk. Most businesses find accepting multiple methods optimizes for getting paid promptly.