Industry Insider
From Confused to Content For Spartan Payment Solutions, simplifying a complicated process fuels business growth By Bryan Ochalla
“I
have found over the years that to most merchants, this industry can seem complicated and confusing,” says Leo Daboub, founder of Newport Beach, California-based Spartan Payment Solutions LLC. “I have also met many experienced sales agents who, after years of being in this industry, still have problems figuring out and understanding interchange and all of the different rate structures out there.” Both of those issues have been on Daboub’s mind since the day he opened the doors of Spartan Payment Solutions two years ago. Before taking the entrepreneurial leap, Daboub spent four years at TransFirst Merchant Services and three years at Payment Resources International. “We simplify the process for the merchant and the sales agent so they can make smarter decisions,” “There are numerous he says. How? For starters, they provide their customers with a variety merchant verticals that of options and solutions. “There is are still very profitable a real need for merchants, and also sales agents, to have a place that and, at times, not as comwould provide and research for petitive as in the retail them affordable solutions for any type of merchant account,” he says. space.” —Leo Daboub
Multiple Options
Daboub and his crew are ably assisted by a slew of partners. Spartan Payment Solutions has affiliated itself with a wide range of ISOs, both nationally and internationally, to provide any sales agent or merchant “the best possible options in providing them the right fit for their account, whether the issue is pricing, service, technology, or just getting a merchant approved with the least amount of hurdles possible.” This also enables the company to “deliver competitive, secure merchant services for businesses under any category,” Daboub says. Currently, that includes a number of traditional merchant verticals, such as e-commerce companies, government entities and municipalities, and lodging, restaurant, and retail establishments, as well as nontraditional merchant verticals, such as adult membership Web sites, credit repair companies, online dating and matchmaking services, multilevel marketing firms, and travel companies. Such affiliations “enable us to provide multiple domes36 October 2010 | Transaction trends
tic and offshore payment processing solutions, including for those businesses that find obtaining approval elsewhere difficult,” Daboub says.
Flexible Mindset In addition to providing their customers with a healthy dose of payment processing solutions, Spartan Payment Solutions provides consulting services that are aimed at high-tech companies looking to break into the industry and sales groups that are looking for superior ways to ramp up their sales count or volumes, or that wish to venture into new merchant verticals. Serving such a broad spectrum of businesses isn’t easy, admits Daboub, especially given today’s shrinking profit margins. In the last few years, “merchants have become much more educated on pricing, and the industry has become more competitive. The recession hasn’t helped either.And ISOs that aren’t willing to change with the times are finding it more difficult to stay afloat.” Daboub says he hopes to keep Spartan Payment Solutions afloat by following his own “change with the times” advice. For instance, “there are numerous merchant verticals that are still very profitable and, at times, not as competitive as in the retail space.” Serving said verticals could help the company keep its head above water—and keep up with its competitors—as could “trying new sales strategies.” Education is yet another area of focus—specifically, the education of current and potential customers. “I believe that for some merchants, it’s not all about savings,” he says. “We in this industry know what is out there as far as options in reporting, wireless transactions, etc., but you would be surprised how few merchants are aware of these options.” That particular solution squares nicely with what Daboub says is Spartan Payment Solutions’ No. 1 priority: service.“Unlike an individual ISO, we act as the broker for the merchant, bank, or sales agent. We will provide and prepare, if needed, rate analyses, pricing and connectivity options, and POS solutions. Depending on the account type, history, and volume, we will then find the ISO that best fits that merchant, and knows and is familiar with the needs of that type of merchant.” TT Bryan Ochalla is a contributing writer to Transaction Trends. Reach him at bochalla@yahoo.com.