As an owner or operator of a small to mid-size business, you are faced with many challenges, including the need to increase your customer base while improving customer retention. Rising costs, lack of available consumer credit, and economic uncertainty has impacted all businesses of all sizes. As a result, stimulating business growth is top of mind for many retailers. But how do you potentially boost your bottom line without depleting your working capital? One option to consider is offering customers a private label credit card to pay for purchases in your store.
Unlike the standard credit cards you typically see issued from banks, private label credit cards set themselves apart because they are branded for a specific retailer like you, but you aren’t required to manage the program!
A credit card bank manages the private label credit card program for your business and performs many of the key functions:
- Issues the credit card
- Funds the credit
- Collects payment from customers