Why Health & Fitness Businesses Are Considered High-Risk
Many health and fitness businesses are classified as high-risk by traditional banks and payment processors. This is due to a combination of factors that increase the likelihood of chargebacks or financial risk, including:
- Subscription-Based Models: Recurring billing can lead to disputes if customers forget about or misunderstand their memberships.
- Chargebacks: High levels of refund requests and customer chargebacks can make payment processors wary.
- New or Seasonal Businesses: Many health and fitness businesses are newer startups or have fluctuating revenue, making them less predictable.
- High Ticket Purchases: One-time purchases for fitness equipment, training packages, or classes can lead to larger-than-average transaction sizes, increasing scrutiny.
- Digital Services: Online fitness programs and virtual consultations can be prone to fraud or disputed payments.
At Payment Nerds, we understand the challenges of being labeled high-risk and work with you to create a stable and reliable payment solution, ensuring your business thrives.
Benefits of Choosing the Right Payment Processor
Working with a payment processor experienced in the health and fitness industry brings significant advantages.
Seamless Recurring Billing and Membership Management
For gyms, fitness studios, or subscription-based wellness programs, automated recurring billing ensures a steady cash flow. You can offer monthly or annual membership plans, with the flexibility to handle upgrades, cancellations, or pauses with ease.
Multiple Payment Options for Your Customers
Today’s customers expect convenience. With Payment Nerds, you can accept credit cards, debit cards, ACH transfers, digital wallets (like Apple Pay and Google Pay), and even mobile payments. Providing multiple payment options helps you retain clients and reduce friction during the payment process.
Secure and Fraud-Resistant Transactions
We prioritize security. Our solutions include PCI-compliant payment processing, tokenization, and advanced fraud detection to protect your business and your customers’ sensitive data.
Integration With Your Business Tools
Our payment solutions integrate seamlessly with popular fitness management software, point-of-sale (POS) systems, and eCommerce platforms. This allows you to manage memberships, retail sales, class scheduling, and payment processing all in one place.
Merchant Account Options for Health & Fitness Businesses
Choosing the right type of merchant account depends on the structure of your health and fitness business:
- Retail Merchant Accounts: Best for in-person transactions at gyms, studios, or wellness centers. These accounts work seamlessly with POS systems and card readers.
- eCommerce Merchant Accounts: Tailored for online fitness classes, subscription services, or digital content sales. Integrate with platforms like Shopify, WooCommerce, or custom websites.
- Mobile Merchant Accounts: Perfect for personal trainers or fitness businesses on the go. Accept mobile and contactless payments with ease.
- High-Risk Merchant Accounts: Specifically designed for businesses flagged as high-risk, providing stability and support even with a higher chargeback risk.
At Payment Nerds, we assess your business needs to help you choose the most effective merchant account setup for your operations.
What You’ll Need to Get Started With Merchant Services
Setting up your payment processing account is simple and straightforward. Here’s what you’ll need to get started:
- Photo ID: A government-issued ID to verify the business owner.
- Signed Merchant Application: Standard paperwork to begin account setup.
- Voided Check or Bank Letter: To verify your banking information for seamless deposits.
- Bank Statements: Three months of bank statements to demonstrate your business’s financial health.
- Processing History: If applicable, past processing statements to give us insight into your business volume.
- Business Documentation: Relevant licenses, certifications, or proof of business legitimacy.
Once you provide the necessary information, our team will guide you through the setup process to ensure a smooth and timely onboarding experience.
Key Software Integrations for Fitness Businesses
Payment Nerds integrates with the tools and systems you already use to manage your fitness business. From POS systems to scheduling software, our solutions are designed to work seamlessly with platforms like:
- Mindbody: Streamline class scheduling, memberships, and point-of-sale transactions.
- Zen Planner: Manage memberships, billing, and fitness class check-ins.
- Square and Clover: For advanced POS solutions tailored to gyms and studios.
- Shopify and WooCommerce: Perfect for eCommerce businesses selling fitness products, digital content, or subscription plans.
- NMI Payment Gateway: A reliable, secure gateway for handling online and in-person payments.
If your business uses custom software, our team will work with you to ensure seamless integration, so you don’t miss a beat.
