How to avoid a ‘double dip’ with your business transaction advisor
Transaction advisor services are widely available on both the public and private markets.
A lot of them are for business clients and many of them require a degree in finance or economics.
They are typically based in the United States and Europe and have a good track record of getting clients through the process.
Here are some tips to avoid getting stuck.
The first is to avoid confusing your client with a ‘specialised’ service.
In some cases, the specialist is a payment processor or a credit card processor.
This can cause confusion between your payment and advisor account.
For example, a specialist in billing can charge for a ‘transaction consultant’ service, but they won’t be able to bill your business for a transaction advisor.
Instead, they will bill you for the transaction advisor fee.
If you can’t afford the fee, they can charge you a commission, which could increase the cost of the service.
The second point is to take advantage of a fee-based arrangement.
In many cases, a fee structure means that you get more of the return from your transaction advisor than you pay for the service itself.
The difference between the cost you pay and the return is called the ‘cost per transaction’.
The fee you pay per transaction will depend on your business’s needs.
For instance, a firm with a large number of business customers might want to have a ‘full-service’ fee.
A firm with fewer business customers, for instance, might want a fee of 1% per transaction.
Fees vary between different companies, so it’s important to check the terms and conditions of each service.
Fees can also vary depending on the size of your business.
A small firm with very few customers might not need a fee for a full-service service, while a large firm with many customers may need a higher fee.
For more information, see our tips on avoiding double dips and how to decide which fees are right for your business: What are the best fee structures for your service?
A fee-free transaction advisor is a ‘fixed-fee’ service with no commission, so you get paid the same amount every time you use the service (in most cases).
A fee structure will vary depending in the size and complexity of your services.
In general, a higher-fee company should be a good choice, but you should look for a fee that is more than a 1% charge.
Fees from your own customers can add up quickly.
Some fee-dependent services charge an extra fee for using your referral network.
If a fee is higher than 1%, this could be a sign that you have a commission problem.
A fee for the referral network can be used to reduce the amount of commission you pay.
A commission-free fee is one that doesn’t have a fixed-fee relationship, meaning that you pay the same commission every time someone uses the service, even if the referral fee is different.
A payment processor will typically charge a commission if they use your referral and your company uses a different payment processor.
A company that uses a payment processing service could be in trouble if it uses a fee scheme that doesn, in fact, have a fee relationship with your company.
You can use your transaction consultant fee to get around this problem.
For details on how to use a fee plan, see Managing fees in your transactions.
Fees may be charged when you’re transferring funds from a different account.
This may be due to the nature of the transaction, a mistake, or a mistake made by the processor.
If this happens, it may affect the transaction.
For your business, this can be a red flag that you need to take a look at how your transaction fee is being used.
For a guide on how the ‘fee’ part of your transaction can be confusing, see How to decide if you should charge your transaction adviser fee.
What’s the best option for a business with a lot of transactions?
The fee structure for a payment broker, which is the most common fee structure, will vary.
Some businesses require a fee from a commission-based service, such as a credit cards processor, and other businesses require no commission at all.
Some firms have no fees at all, and others charge fees based on the amount you’re able to charge them for the fee.
Some are not based on commission, and some offer a range of fees, depending on what you need.
It’s important that you understand what fees your business will need to pay to have the best transaction advisor service.
A high-fee firm is a good option if you need a payment service that charges a commission.
A low-fee service is good if you don’t want to pay a commission and need a low-cost, fee-less service.
If the fees you’re paying are too high, it’s a sign your business is not ready for a new transaction advisor or if your business has some other issue with its advisor account that needs attention