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An ISO agreement outlines the terms and conditions of the relationship between the ISO and the processing company, including the services that the ISO will provide to merchants which can include equipment deployment, sales, training and customer service, the fees that the processing company will pay for those services, ...
Steps for Becoming an Independent Sales Organization Write a Business Plan. ... Choose a Legal Structure. ... Check Name Availability. ... Apply for an Employer Identification Number. ... Find a Payment Processor. ... Launch Your New ISO Business.
Simply speaking, an ISO?or Independent Sales Organization?is a third-party payment processing company that is authorized to handle merchant accounts for businesses. ISOs have relationships with acquiring member banks, and this allows them to provide merchant services to their customers.
An Independent Sales Organization, or ISO, is a specialized third-party company that sells and manages credit card processing services outside of a bank or other financial institution. This service is usually provided in exchange for a percentage of the merchant's sales.
Pay the Registration Fees If the card company accepts your application, the only thing left to do is pay the registration fee. Each card company charges a $10,000 registration fee to newly registered ISOs. Each year after that, each corporation must pay a $5,000 fee to continue functioning as an ISO.
To become an ISO partner, a business should get its documents in order, find a sponsor (like a bank or a larger ISO), and register with Visa and Mastercard. This process requires good credit, legal representation, detailed business plans, and two years' worth of financial reports.