Pubs and Hotels can get help to save thousands of pounds on their credit card transactions by seeking a free audit.
The Card Processing Advisory Service (CPRAS), an independent cost reduction specialist company which works with organisations that accept credit card payments, recently worked for a number of hospitality businesses ranging from large hotel chains to single-site boutique operations and even fast food outlets. In 81% of cases, merchant account charges could be reduced by over 10% with the average saving being 18.6%.
Scope for significant savings
Graham Hallewell, founder and managing director of CPRAS said:
“It’s about far more than negotiating rates and maximising the potential of revenue generators like Dynamic Currency Conversion (DCC). Even where a hotel goes out to competitive tender and negotiates hard, there is always scope for significant further savings. A recent client with 36 merchant numbers across numerous sites spent months going through a tender and negotiation process. Nonetheless, we were still able to save them over 40%!”
Working for a single site hotel in London with a turnover of £10m, CPRAS found savings of £36,358 per annum while a multi-site hotel chain with a turnover of £35m was presented with savings of £88,941 per annum. The company also found savings of £2,250 for an independent nightclub in Manchester and £7,923 for a hotel in Cornwall.
FREE Transparency Audit
In a bid to help businesses large and small, CPRAS has consulted the Minister of State, Oliver Letwin MP, to support the company in conducting a Transparency Audit to look at the rates charged to small and medium sized businesses and public bodies.
“When the pressure is on hotels and public houses to make operating savings, and help is needed to get start-up businesses to survive their first few years of trading, it’s imperative that merchant providers’ charges are reviewed. We are offering to conduct a FREE Transparency Audit to 1,000 UK businesses (with turnovers of up to £200m) and public sector bodies to identify the huge savings that can be made through a professional evaluation of the rates charged and renegotiating those rates on the company’s behalf,’ said Graham.
Mr Letwin commented: ‘Businesses in the UK benefit from an environment where the cost of doing business is very low compared to other countries. Low card processing costs are extremely important as they not only support consumer focused businesses, but also because they help to keep prices affordable for us all. I welcome any initiative which supports British business and I look forward to seeing the results of the CPRAS Transparency Audit.’
Take part in the Transparency Audit
CPRAS is inviting companies wishing to take part in the Transparency Audit or require further information about their merchant provider’s charges to visit the CPRAS website.